At an Account level, updating the Inventory Restock Settings will help sync an account's initial Inventory Model and Demand Forecast.

It’s important to set up the overall account wide inventory settings first so all alerts and recommendations presented reference a more accurate and general baseline. Once set up, Kapoq will present more relevant Restock Alerts based on defined Lead Times, Reorder Frequency, and Safety Stock.

Note: All the Inventory Restock Settings reference default metrics provided by Kapoq which should be updated.

Let’s work our way down the Settings page, inputting the default and overarching account parameters.

Note: We always recommend building out the initial account wide settings to establish an overall baseline Inventory Plan.

If it is your first time setting up inventory settings, Kapoq will display an inventory wizard walk-through to help you become familiar with the platform's Inventory Plan and model. As you work your way through the Inventory Module, more custom inventory plans can be assigned to groups of SKUs when different suppliers / vendors / warehouses require different sets of lead times, reorder frequencies, and safety stock amounts.

Setting up Lead Times will help Kapoq determine how early you need to know about potential stockouts.

For context, Lead Times should include the total elapsed time to:

To set up, input Lead Times within Inventory Settings.

Note: 21 days is the default time frame initially input. Edit and update this number to best reflect your overall account Lead Times across all products within an account.

Setting your Reorder Frequency based on your current reorder cycle and process will help you sync your suppliers / vendors / warehouses with Kapoq to better time the eventual reorder alert and task.

To set up, navigate to the Inventory Settings Tab and down to the Reorder Frequency section shown below.

Note: 21 days is the default time frame initially input. Edit and update this number to more accurately reflect your account wide Reorder Frequency.

The intention of Safety Stock is to have a buffer zone and additional inventory available in case things do not go as planned. It’s insurance protection when lead times, inbound shipments, and even Amazon receiving processes exceed standards or expectations.

To set up and define Safety Stock within Kapoq, navigate to the Inventory Settings tab then down to the Safety Stock section shown below.

Note: Lower Safety Stock improves your sell-through rate. Higher safety stock prevents out of stock situations but can take up valuable storage space and impact restock limits. Higher safety stock also increases your average inventory and can lower your IPI score.

The Demand Planning section allows you to create an account wide demand forecast based on your sales history. Once set up, the demand planning feature will calculate inventory forecasts which drive restock alerts.

The initial parameters allow you to reference a number of historical sales lookback windows (7, 30, 60, 90, or best 60 days) which will help drive the baseline account level inventory forecasts and restock amounts. Inputting weighted averages of historical demand from specific lookback periods, or your best sales period ever, will help define the calculating factor your settings.

To set up, navigate to the Inventory Settings, then to the Demand Planning section, shown below.

*The "best 60 days" is defined as the best consecutive 60 days of sales for each SKU using the full date range of all available sales data in Kapoq.

For each field, you can specify a weighting by inputting a percentage amount next to the historical period. The weight will take into account the lookback periods sales, excluding out of stock days, and references those weights in the restock calculation. The total weighting must equal 100%.

The Demand Adjustment accounts for expected growth or decline in sales. Kapoq will use this percentage to adjust your daily sales demand forecast and gets utilized during the restock calculation. Inputting a positive number communicates sales are to increase by x percentage as expectations are x% more than the historical weighting defined. Vise versa, a negative number expects sales to decline by x%.

Once complete, Kapoq will leverage all inputs to calculate your inventory model, generating restock alerts, restock amounts, forecasts, etc. to support Inventory Management.

Note: You can upload your own custom SKU demand forecast or even flat forecasts in case you want to do something custom. We’ll walk you through these in Section 2 - Inventory Groups.

Storage Settings can be input in the below view manually. Per Amazon, Storage Limits update once a quarter while Restock limits update once a week. A best practice is to utilize this cadence when updating settings per each account in Kapoq.