FORECASTING

Inventory forecasting: the right stock, in the right place

Inventory forecasting with TIMi estimates the stock level needed at each store or warehouse for a future period, to avoid both stock-outs and overstock, and shows the factors behind it.


Stock per location

A recommended level for each reference and each storage point.


Lead times included

Supplier lead times and logistics constraints are inputs.


Explained levels

Each recommendation shows why the safety stock is what it is.

HOW IT WORKS


How inventory forecasting works.

Three steps, in one engine, on a standard server with no cluster.


1. Prepare the data

Anatella gathers the history of sales or stock outflows, replenishment lead times, current stock levels and logistics constraints (storage capacity, delivery frequency), then structures them into variables.


2. Build the model

Modeler projects future stock consumption from historical trends and seasonal factors. The recommended stock level is then derived, given replenishment lead times.


3. Recommend and explain

Each recommendation comes with its factors, such as the consumption trend, the supplier lead time or a safety margin linked to demand variability.

Data prep / ETL
Anatella
Outflows, lead times, stock and constraints
Automated machine learning
Modeler
Projected consumption per reference
Recommendation
Stock level and its factors
Illustration: the three steps, in one engine.

HOW IT DIFFERS


From a demand forecast to a stock level.

Demand is only the first half of the problem.

Demand, then lead times

Demand forecasting estimates a future consumption volume. Inventory forecasting goes further and turns it into a recommended stock level, given replenishment lead times and logistics constraints.

Lead time sets the safety stock

Replenishment lead time is an input of the model: the longer it is, the higher the recommended safety stock for the same accepted risk of stock-out.

Handle constraints explicitly

When constraints matter (storage capacity, delivery frequency), Anatella includes an LP/IP solver for large-scale optimization problems.

EXPLAINABILITY


A level says how much to hold. The factors say why.

A stock recommendation alone gives a level to maintain, not what justifies it. A white-box model shows the factors, so logistics teams can tell whether a high safety stock comes from demand variability, a long supplier lead time or a particular seasonality.


For logistics and purchasing

A recommendation can be questioned and adjusted with business context, instead of being followed without justification.


For holding costs

Understanding the factors of a safety stock helps to adjust it precisely, instead of applying a uniform margin out of caution.


For model owners

Modeler’s built-in Drift Report shows when a model loses accuracy, so you update it when needed instead of on a fixed calendar. Recompute recommendations at regular intervals (weekly or monthly, depending on rotation speed), or as soon as a significant change in demand or lead times is detected.

What drives this stock level
Variability of demand
Supplier lead time
Seasonality
Storage capacity
Illustration: relative weight of the factors for a typical case. Not real data.

DATA


What data a stock model uses.

Anatella connects to more than 80 sources, so this data can be gathered without prior custom development.


Sales and stock outflows

By reference and by storage point.


Lead times

By supplier or by reference.


Stock and capacity

Current levels and storage constraints.


Seasonality and events

Promotions, periods of high demand.

PROOF


Closest reference.

We do not yet have a published customer story on stock-level optimization itself. Bavaria is the closest: its goal was to avoid stock-outs and simplify the work of store managers.

Bavaria | Stock-out prevention

Demand models for 300,000 points of sale

The models cross sales, weather and neighboring stores, and score 2.4 million records per second.

FAQ


Common questions.

How is it different from demand forecasting?

Demand forecasting estimates a future consumption volume. Inventory forecasting goes further and turns it into a recommended stock level, given replenishment lead times and logistics constraints.

Can it handle slow-moving references?

Yes, but the precision depends on the amount of history available. For references that sell very little, a model can rely on comparable references to build a first recommendation.

How are supplier lead times taken into account?

The replenishment lead time is an input variable of the model: the longer it is, the higher the recommended safety stock for the same accepted risk of stock-out.

How often should stock recommendations be recomputed?

Ideally at regular intervals (weekly or monthly, depending on rotation speed), or as soon as a significant change in demand or in supplier lead times is detected.

RELATED USE CASES


Keep exploring.


Demand Forecasting

Estimate future demand per product and see what drives the forecast.

Read more

Sales Forecasting

Forecast revenue from the sales pipeline and past conversion, with the factors explained.

Read more

SEE FOR YOURSELF


Test it on your own data.

Run TIMi on your own data with a free trial, or talk to us about your case.

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