Inventory optimisation

The right stock, in the right place.

Model safety stocks and coverage, balance service against working capital, and replenish in real time. The inventory optimiser sets the optimal policy for every item and location, or follows your own stock rules.

Stock policy
Example item · 3 locations
Optimiser live
Modelling service scenarios for every locationSafety stock and stock value at 95, 97, 98 and 99% service Optimal policy: 98% service, safety stock per locationApplied to reorder points and replenishment proposals 99%98%97%95%Service levelStock value → Current · 97% · €2.9M Optimal · 98% · €2.4M
Service vs stockCurrent policyOptimal policy
Safety stock by locationUnits
Central DC1,240
Warehouse North860
Warehouse South540
Output
Safety stock per locationReorder pointsReplenishment proposals
The optimiser’s policy, or your own stock rules
3strategies

traditional stock rules, optimised policies or multi-echelon optimisation

Min–max, reorder pointOptimisedMulti-echelon
1data model

shared with distribution, procurement and production planning

Stock targets feed every module
InventoryDistributionProcurementProduction
Everyitem

and location gets its own stock policy, balancing service and working capital

ServiceWorking capital
Projected stockOne item at the central DC, weeks 1 to 12 (illustrative) 2,0001,5001,0005000 W1W4W7W10W12 Reorder point · 900 Safety stock · 400 Order placed Delivery · 1,200 units Projected stockReorder pointSafety stockOrderDelivery The optimiser sets safety stock, reorder point and order quantity for every item and location, or follows your own stock rules.
Stockprojected per item and location
Safety stock · 400 unitsThe buffer the optimiser protects
Reorder point · 900 unitsAn order is placed when stock reaches it
Order quantity · 1,200 unitsDelivered before stock reaches the safety stock

What you can do

Built for the planners who own the stock.

Safety stock and segmentation

See what each service level costs before you commit

  • Model safety stock scenarios and see what each service level costs in stock before you commit.
  • Classify items by margin, variability or demand pattern, and give each segment its own policy.
  • Traditional methods (safety stock, reorder points, min–max), optimisation-driven policies or multi-echelon optimisation.
Segment policies
Example · 4 segments, 3 locations
A · stableHigh margin, steady demandOptimised98% serviceA · volatileHigh margin, variable demandOptimised97% serviceB · seasonalMid margin, seasonal patternReorder point95% serviceC · erraticLow margin, erratic demandMin–max90% serviceSCENARIO · A-ITEMS · ALL LOCATIONS95%97%98%99%97%98%Safety stockStock value21,900€2.2M24,300€2.4M

Overstock and coverage

Excess, dead stock and low coverage, flagged live

  • Dead stock, excess and low coverage spotted straight away, with live alerts.
  • Each alert comes with a proposed fix: a replenishment, a transfer or a review.
  • Planners act on the few items that matter instead of scanning every row.
Stock alerts
Example · today, all locations
Target cover
Excess · SKU-2207 · Central DC9.5 weeks of cover, target 4Transfer 1,200 to NorthLow coverage · SKU-3301 · Warehouse North1.2 weeks of cover, target 4Replenish 2,400Dead stock · SKU-1180 · Warehouse SouthNo sales for 14 weeksReview with salesPROPOSED FIXES · READY FOR REVIEW3 of 1,180 items need a call todayThe rest stay within policyReview

Replenishment and suppliers

Orders proposed before stock runs low

  • Raw material and finished goods needs calculated automatically, together with procurement planning.
  • Purchase requisitions and orders proposed instantly, with supplier confirmations tracked.
  • Visibility shared with suppliers, with their input and feedback in one connected view.
Projected stock
Example · SKU-3301 · Warehouse North
Projected stockReorder point
Safety stockReorder pointW1W4W8W12PO-8812 · 2,400 unitsSupplier A · arrives week 4ProposedConfirmedPR-1204 · RM-104 · 6,000 kgRaw material for week 6 productionRequisitionSUPPLIER VIEW · SHAREDConfirmations and feedback in one connected view

FAQ

Inventory optimisation, answered.

How does inventory optimisation help manage stock?

It balances having enough stock to meet demand against tying up too much capital: the right products at the right time and place, with fewer stockouts and lower carrying costs, taking demand variability, lead times and shelf life into account.

Which inventory strategies does Horizon support?

Traditional control methods (safety stock, reorder points, min–max), optimisation-driven planning that balances working capital against service, and multi-echelon optimisation across locations. You can also keep your own stock rules.

How does it work with the rest of supply planning?

Stock targets feed distribution, procurement and production planning, so transfers, purchase orders and production all work towards the same plan.

How fast can we start?

Start with Horizon Instant: demand planning on your own data, up and running in less than 24 hours. The supply modules then build on the same data model.

See the optimal stock on your own data.

Start with Horizon Instant: demand planning on your own data, up and running in less than 24 hours.