How do I measure inventory turnover?

How do I measure inventory turnover?

To measure inventory turnover, divide the cost of goods sold (COGS) by the average inventory for a specific period.

What is a good inventory turnover ratio?

A good inventory turnover ratio varies by industry, but generally, a ratio between 5 and 10 is considered healthy.

How can I improve my inventory turnover?

You can improve inventory turnover by optimizing stock levels, reducing lead times, and enhancing sales strategies.

What tools can help me track inventory turnover?

Tools like inventory management software, ERP systems, and spreadsheets can help you track and analyze inventory turnover.