Reorder Point (ROP)
The inventory level that triggers placing a replenishment order.
Also known as: ROP, reorder level
What is Reorder Point (ROP)?
The reorder point (ROP) is the inventory level at which a replenishment order should be placed to avoid stocking out before new stock arrives. It is calculated from average demand during the lead time plus safety stock, so it moves whenever demand or supplier lead times change. A static reorder point set once and forgotten is a common cause of both stockouts and overstock.
How Endless handles it
Endless keeps reorder points dynamic against live demand and lead times, so replenishment triggers on real signal rather than a spreadsheet number set last quarter.
Related terms
Browse the full commerce operations glossary.
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