Demand forecasting and reordering is the process of analyzing historical sales data, predicting future demand, and calculating when and how much inventory to purchase. Manual forecasting is time-consuming, error-prone, and often relies on guesswork, leading to stockouts or excess inventory.
Automation extracts sales and inventory data, calculates demand forecasts and reorder quantities, and flags products needing replenishment. The result is faster, more accurate ordering and lower carrying costs.
The full workflow, from trigger to completion.
Automation runs on a weekly schedule, pulling the latest sales and inventory data from the store platform.
Retrieve historical sales transactions and current stock levels via API, storing the data in a structured format.
The automation calculates moving averages, detects seasonal patterns, and generates demand forecasts for the next 4-8 weeks based on historical trends.
Computes safety stock, reorder points, and optimal order quantities for each SKU using configurable formulas and lead time data.
Decision node checks if any SKU has fallen below its reorder point or if forecasted demand exceeds available stock.
Automation creates a formatted purchase order and sends it to the supplier via email or supplier portal integration.
Purchase order details are automatically logged as a bill or commitment, updating the accounts payable ledger.
Message is sent to the warehouse and operations team with reorder details, expected delivery date, and inventory impact.
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