The 4 Biggest Mistakes When Using the Safety Stock Formula

The usual safety stock formula Ss = z sigma sqrt(L) is based on multiple assumptions and shortcuts often not respected in real supply chains.

Nicolas Vandeput
6 min readOct 5, 2021

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Let's review these shortcomings one by one.

The maze of inventory optimization. Credit.

Safety Stocks in the Supply Chain

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Nicolas Vandeput

Consultant, Trainer, Author. I reduce forecast error by 30% 📈 and inventory levels by 20% 📦. Contact me: linkedin.com/in/vandeputnicolas