Days in hand

Days in hand is a number that tells you for how many days you have inventory for a particular product. days in hand is calculated on the basis of sales velocity of your product. This article will help you in understanding how days in hand is calculated. You can use this to manage the inventory available with Eshopbox. It will help you in identifying:

• Products that require replenishment

• Products that require recall

How does it work?

Navigate to Inventory > All Product. Click on the stock tab. You can view days in hand.

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Eshopbox calculates the days in hand for each product and for every location. To calculate days in hand, Eshopbox considers:

• Number of products sold in the last 30 days from a location

• Current sellable inventory available in the location

Days in hand = Current sellable inventory (30 * Number of products sold in the last 30 days)

Now that you have a basic understanding, let’s put it to work with a hypothetical scenario.

Product ABC is having 90 quantity at location A. The last 30 days sale of the product in 15 qty.

Days in hand = 90 / (30 * 15).

Days in hand will be 45 days for product ABC. This means you have stock available with Eshopbox for next 45 days.

It is advisable that you maintain an optimum level of days in hand with Eshopbox. The level varies from category to category and is dependent on the average sale of your products.

You can also take certain actions depending on the days in hand. For instance:

• If the days in hand is high, you can:

  • recall the products from Eshopbox to avoid additional costs. Learn how to recall inventory from Eshopbox.

  • run promotions or update discounting for those products.

• If the days in hand is low, you can:

  • replenish the inventory. Learn how to send inventory to Eshopbox