Supply chain glossary
Replenishment
What replenishment is, how the main models differ, and what drives order timing and quantity.
30. july 2026
2 min
Replenishment is the process of ordering and moving goods to restore inventory at a stocking location to a target level. It answers two questions on a repeating cycle – when to order and how much – based on current stock, expected demand and supplier lead time.
Replenishment runs at every node of the supply chain: supplier to central warehouse, warehouse to store, store to shelf. Two models dominate.
- Reorder point (continuous review) – an order is triggered whenever stock falls below a calculated threshold; the order quantity is usually fixed.
- Periodic review – stock is checked on a fixed calendar (e.g. every Monday) and topped up to a target level; the order quantity varies.
The quality of replenishment rests on inputs that drift easily: forecast accuracy, lead time reliability, MOQ and pack‑size constraints, and shelf capacity. Automated replenishment recalculates parameters per SKU and location instead of relying on static min–max settings that age quickly.
Replenishment in practice
Veritico STOCK generates order proposals per SKU and location from its own demand forecast, respecting MOQ, minimum order value and pack sizes, and adjusts parameters as demand shifts. See replenishment and allocation management and demand forecasting and inventory optimization, or how Albert improved availability with fresher stock.
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