Fill Rate Calculator

Fill Rate Calculator calculator can be used to determine how quickly inventory is being replenished by comparing the rate at which inventory is used to the rate at which it is replenished.

Input Parameters

Calculation Results

Fill Rate

0%

Calculation Formula

Fill Rate = (Cost of Goods Sold / Average Inventory) × 100%

Where:
- Average Inventory: The average value of inventory held during the period
- Cost of Goods Sold: The total cost of goods sold during the period

Fill Rate Calculator Calculator Usage Guide

Learn how to use the Fill Rate Calculator and its working principles

What is Fill Rate?

Fill Rate (also known as Inventory Turnover Rate) is a measure of how quickly a business uses up its inventory. It indicates how many times inventory is sold and replaced over a period.

How to Use This Calculator

  1. Enter your Average Inventory Value (the average value of inventory you have during the period)
  2. Enter your Cost of Goods Sold (the total cost of products sold during the period)
  3. Click the "Calculate" button to compute your Fill Rate

Understanding the Results

A higher fill rate indicates that your inventory is being sold and replaced more frequently, which is generally a good sign of efficient inventory management. A low fill rate may indicate overstocking or slow-moving inventory.

Example

For example, if your average inventory is $50,000 and your cost of goods sold is $200,000, your fill rate would be (200,000/50,000) × 100% = 400%. This means your inventory is being turned over 4 times per year.

Practical Applications

Fill Rate is useful for:

  • Inventory management optimization
  • Identifying slow-moving products
  • Improving cash flow
  • Comparing performance across different periods or with industry benchmarks