Count saleable stock
Start with one product category. Separate saleable items, damaged items and stock already committed to customers. A promised delivery is not yet stock on the shelf.
- Use a consistent unit: items, packs or metres.
- Record the date and the person who counted.
- If records and the physical count differ, investigate the difference first.
Connect demand with delivery time
Estimate sales until the next delivery. Add your chosen closing stock, then subtract saleable stock on hand and confirmed deliveries that will arrive in time.
WORKED EXAMPLE
40 + 10 − 18 − 12 = 20
Example: 40 expected sales, 10 desired closing items, 18 currently available and 12 confirmed to arrive in time. The gap is 20 items. At 2,500 RWF per item, stock alone would cost 50,000 RWF.
This is only an example; sales may differ from the estimate. A negative result means no calculated gap: review the assumptions before ordering more.
Check the money that will be available
- Include transport and other confirmed costs.
- Check when your supplier expects payment.
- Separate stock money from rent, wages and other scheduled payments.
- If funds are short, compare a smaller order, a different date or prioritising faster-moving items.