Turns and Days

Annual Usage

Annual usage is the numerator for turns.

highlighted = computed this step

Annual usage

Annual usage is 200 units.

annual usage=200\text{annual usage}=200
Turns and daysThe chart shows annual usage, average inventory, turns, and days of supply.turns and daysturns 4; days of supply 90averageaverage 50annual usageannual usage 200what-if avgwhat-if avg 40measurevaluemeaningbeginning inventory40period startending inventory60period endaverage inventory50simple averageturns4usage / averagedays of supply90days / turnswhat-if days72lower averagedeterministic inventory ratio arithmetic only

Usage role

Turns compare annual usage with average inventory.

turns=annual usage/average inventory\text{turns}=\text{annual usage}/\text{average inventory}
Turns and daysThe chart shows annual usage, average inventory, turns, and days of supply.turns and daysturns 4; days of supply 90averageaverage 50annual usageannual usage 200what-if avgwhat-if avg 40measurevaluemeaningbeginning inventory40period startending inventory60period endaverage inventory50simple averageturns4usage / averagedays of supply90days / turnswhat-if days72lower averagedeterministic inventory ratio arithmetic only