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Practitioner · Course 2: Replenishment · Lesson 4 of 5

Replenishing a style that is selling faster or slower than its own plan

Level: PractitionerTime: 45 minutesOrder used: Order A's own T-shirt style, sold through both Northline Apparel's own shops and Fairway StoresTool: Replenishment worksheet
For an agent such as Meridian Sourcing, or a merchandiser working with one, adjusting a replenishment plan once a style's own sales run faster or slower than the rate the plan assumed. Lessons 2.2 and 2.3 are useful background.
StyleOrder A's own T-shirt, sold through a hybrid model
ChannelsNorthline Apparel's own shops and Fairway Stores, wholesale
AgentMeridian Sourcing, agent in Egypt, 5% commission
Planned weekly sales rate400 pieces per week, the rate the last replenishment used
What this lesson setsHow to adjust replenishment once real sales diverge from plan
Not set hereAssembling every replenishment step into one worksheet (lesson 2.5)
02Opening

This page explains how to adjust a replenishment plan once a style's own real sales run faster or slower than the weekly rate the plan originally assumed, for an agent or merchandiser managing more than one selling channel

This page explains adjusting replenishment: recalculating a style's own reorder point and quantity once real sales diverge from the rate the last replenishment cycle assumed, rather than repeating the same figures unchanged. It is for an agent, such as Meridian Sourcing, or a merchandiser working across more than one channel for the same style.

At work, a replenishment plan is built from a weekly sales rate measured at one point in time; that rate does not stay fixed forever. A style can speed up once it becomes better known, or slow down as a season matures, and a plan built on last cycle's rate quietly falls out of date if nobody checks it. Repeating the same reorder point and quantity cycle after cycle, regardless of what real sales are doing now, either understocks a style that has sped up or overstocks one that has slowed down. This lesson gives you the method for recalculating the plan once a real, sustained change in pace is confirmed.

03Before you start

You need: lessons 2.2 and 2.3's reorder point and replenishment quantity methods are useful background but not required.

By the end of this lesson you can:

  • state why a replenishment plan built on one cycle's own sales rate needs checking, not repeating, the next cycle;
  • calculate a style's own current weekly sales rate and compare it against the rate the last plan used;
  • apply the method for recalculating the reorder point and replenishment quantity once a sustained change is confirmed;
  • read the replenishment worksheet's own rate-comparison column and say what it flags;
  • avoid the common mistake of adjusting a plan from one channel's own sales alone when the style sells through more than one.

Not covered here: the reorder point and replenishment quantity calculations themselves (lessons 2.2 and 2.3); assembling the full worksheet (lesson 2.5).

04Key terms
TermMeaning
Weekly sales rateThe average number of pieces of a style sold in one week, found by dividing total pieces sold by the number of weeks elapsed.
Hybrid selling modelA brand that sells through more than one route to market at once, for example wholesale and its own direct retail, often at different prices.
Reorder pointThe quantity of stock remaining at which a Make to Stock buyer places its next production order against the standing forecast.
Sustained patternA sales gap that continues across more than one recording period, rather than appearing in a single week only.
AgentAn independent business that is paid a commission for arranging or managing an order on behalf of whichever side hired it.
Replenishment cycleOne repeating round of Make to Stock production, run against a forecast rather than a single confirmed order.
05Teaching
The rule

A replenishment plan is adjusted once a style's combined weekly sales rate, across every channel it sells through, shows a sustained change from the rate the plan last used

A replenishment plan's reorder point and quantity are only as current as the weekly sales rate they were built on. Once real sales across every channel a style sells through, combined, show a sustained pattern of running faster or slower than that original rate, the plan is recalculated using the new, confirmed rate. A hybrid selling model makes this check a genuinely combined one: checking only one channel's sales, while ignoring the others, can miss or wrongly signal a real change in the style's total pace.

Combined rate,every channelthis cycle Sustained changefrom the plan'sown last rate? Recalculatereorder point andquantity if yes
A replenishment plan is recalculated once the style's combined weekly sales rate, across every channel, shows a sustained change from the rate the plan last used. Checking only one channel while others sell through a different route can miss a real change in the style's total pace.
What you meet in real life

How the sales rate is combined, and who checks it, differs by channel structure and by side

What can differThe shapes you will meetWhy it matters
Hybrid, own shops and wholesale togetherOrder A's T-shirt sells through Northline Apparel's own shops and through Fairway Stores' wholesale purchase, both counted together for one combined rate.A hybrid model's real pace is the combined rate; checking only Northline's own shops could miss a genuine speed-up happening mainly through Fairway Stores.
A single export channelA style sold only through one wholesale buyer, with no separate direct-retail channel to combine.A single-channel style's combined rate is simply that one channel's own rate, with no combination step needed.
An agent coordinating more than one buyerMeridian Sourcing, as agent, sees sales data flow through more than one relationship and is positioned to flag a combined change early.An agent's cross-channel view can catch a sustained change that neither individual buyer would see from its own data alone.
A rate change driven by one channel onlyA local promotion at Fairway Stores' own shops temporarily lifts sales there, while Northline's own shops stay flat.A change confined to one channel, and not sustained once the promotion ends, should not by itself trigger a full plan recalculation.
The case we follow

Meridian Sourcing checks Order A's T-shirt combined weekly sales rate across Northline Apparel's own shops and Fairway Stores

The last replenishment cycle for Order A's T-shirt was planned on a combined weekly sales rate of 400 pieces. Meridian Sourcing, as agent, now checks real sales across both Northline Apparel's own shops and Fairway Stores together for the two weeks since that plan was set.

QuestionRepeating the last plan's 400-piece rate unchangedChecking the current combined rate
Does the plan reflect what is happening now?Not necessarily, since the last rate is used regardless of new dataYes, the plan is checked against the current combined rate each cycle
What if one channel sped up and the other stayed flat?No difference, since neither channel's data is checkedThe combined rate correctly reflects the real overall change
What if the change turns out to be one week only?No difference either wayThe sustained-pattern check correctly avoids reacting to a single week
The worked number

Order A's T-shirt combined weekly sales rate has risen to 460 pieces per week, a sustained 60-piece increase over the plan's 400-piece rate

Meridian Sourcing combines both channels' real sales to check against the last plan's own rate.

Northline Apparel's own shops, weekly rate: 260 pieces per week
Fairway Stores, wholesale sell-through, weekly rate: 200 pieces per week
Combined current weekly sales rate: 260 + 200 = 460 pieces per week
Rate the last replenishment plan used: 400 pieces per week
Sustained weekly increase: 460 − 400 = 60 pieces per week
Plan's own rate400 pieces/week Combined real rate460 pieces/week (+60)
The combined real rate of 460 pieces per week runs a confirmed 60 pieces per week ahead of the plan's own 400-piece rate. Because both channels' figures are counted together and the gap holds across the checked weeks, the plan is recalculated on the new 460-piece rate.
The method

Five steps that adjust a replenishment plan once real sales diverge from the rate it originally used

  1. Calculate each channel's own current weekly sales rate separately. Use real recorded sales for each channel over the same period length.
  2. Combine every channel's rate into one total weekly sales rate for the style. A hybrid style's real pace is the sum across all its channels, not any one channel alone.
  3. Compare the combined rate against the rate the last replenishment plan used. A meaningful gap is the trigger for checking further, not yet for recalculating.
  4. Confirm the gap holds across more than one period before recalculating. A single week's gap in one channel alone is not yet a sustained pattern.
  5. Recalculate the reorder point and replenishment quantity using the new, confirmed combined rate. Carry the new rate forward until the next check finds another sustained change.
The trap

A common mistake is adjusting a replenishment plan from one channel's own sales alone when the style sells through more than one

A common mistake is checking only the channel closest to hand, such as one buyer's own reported sales, and recalculating the whole plan from that single channel's rate while ignoring how the style is selling elsewhere. If Meridian Sourcing had recalculated Order A's T-shirt plan from Northline Apparel's own 260-piece shop rate alone, ignoring Fairway Stores' own 200-piece wholesale sell-through, the new reorder point would have understated the style's real 460-piece combined pace, risking a stockout across both channels once the true combined demand caught up with the smaller, single-channel-based order.

06In plain words

A replenishment plan's reorder point and order quantity are built on a weekly sales rate measured at one point in time, and that rate can change. For a style sold through more than one channel at once, the real rate to check is every channel's sales added together, not any single channel alone. If the combined rate shows a sustained change, holding across more than one period rather than a single week, the plan should be recalculated using the new rate. Checking only one channel while a style also sells through another route risks basing the whole plan on a rate that understates or overstates what is really happening.

07Quick check
  • A replenishment plan is adjusted once the style's combined weekly sales rate, across every channel, shows a sustained change.
  • A hybrid style's real pace is every channel's sales rate added together, not any one channel alone.
  • Order A's T-shirt combined rate rose to 460 pieces per week, 60 pieces ahead of the plan's own 400-piece rate.
  • A gap must hold across more than one period before it counts as sustained rather than ordinary variation.
  • Recalculating from one channel's rate alone, when a style sells through more, risks a plan that misstates real combined demand.
08Workplace scenario

Meridian Sourcing must decide whether to recalculate Order A's T-shirt replenishment plan after confirming the combined rate increase

Meridian Sourcing has combined both channels' sales for two straight weeks and confirmed the 460-piece combined rate against the plan's own 400-piece rate.

  • The confirmed combined rate has held at approximately 460 pieces per week across both of the last two weeks, not a single week only.
  • The current reorder point and replenishment quantity were both calculated using the outdated 400-piece rate.
  • Delta Garments, the factory, has confirmed a production slot is available if the recalculated order is placed within the week.
Meridian Sourcing, agent's note: "The combined rate has held at 460 pieces per week for two straight weeks, against the plan's own 400-piece rate. Should the reorder point and quantity be recalculated now on the new rate?"

Should Meridian Sourcing recalculate the reorder point and replenishment quantity on the new 460-piece combined rate, or continue with the plan built on 400 pieces? Decide before you open the answer.

Show decision

Recalculate on the new 460-piece combined rate. The increase has held across both of the last two weeks, meeting the sustained-pattern condition, and continuing with the outdated 400-piece rate would understate real combined demand across both channels.

First, why the outdated 400-piece plan is now understating demand. A reorder point and quantity built on 400 pieces per week will run out faster than planned against a real 460-piece pace, risking a stockout across both Northline Apparel's own shops and Fairway Stores together.

Second, why recalculating now, with the open production slot, matters. Delta Garments' available slot lets the recalculated, larger order be placed without delay; waiting risks losing the slot and having to recalculate later against an even larger, unaddressed gap.

Meridian Sourcing should recalculate the reorder point and replenishment quantity using the confirmed 460-piece combined rate, and place the order within the current open production slot. Lesson 2.5 brings this recalculation together with every other replenishment step into one complete worksheet.

09What it costs

Continuing on the outdated 400-piece rate instead of recalculating risks a shortfall of about 240 pieces across the next 4-week cycle

Framed in lost sales rather than a single penalty figure: the gap between the outdated plan and the real combined rate compounds across a full cycle.

Real combined weekly rate: 460 pieces per week
Outdated plan's own weekly rate: 400 pieces per week
Weekly shortfall if the plan is not recalculated: 460 − 400 = 60 pieces per week
Shortfall compounded across a 4-week replenishment cycle: 60 × 4 = 240 pieces
Lost sales value at Order A's own shop price, USD 19.90: 240 × 19.90 = USD 4,776

Leaving the replenishment plan on its outdated 400-piece rate for a full 4-week cycle, once the real combined rate has confirmed at 460 pieces, risks a 240-piece shortfall worth approximately USD 4,776 in lost sales across both channels combined.

10Working template

Replenishment worksheet: the rate-comparison column this lesson fills

The workbook's "Rate comparison" sheet takes each channel's own current weekly rate, combines them into one total, compares the total against the rate the last plan used, and flags whether the gap has held for more than one period.

Meridian Sourcing's own row records Northline Apparel's 260-piece rate and Fairway Stores' 200-piece rate combining to 460 pieces, with the sheet flagging a sustained increase against the plan's own 400-piece rate.

Download the Replenishment worksheet (Excel)

11Check yourself

1. For a style sold through more than one channel, what is the correct weekly sales rate to compare against the last replenishment plan?

2. Northline Apparel's own shops sell 220 pieces per week and Fairway Stores sells 180 pieces per week of the same style. The last plan used a 350-piece rate. What is the confirmed weekly gap?

3. Why should a single strong week in only one channel not, by itself, trigger a full replenishment plan recalculation?

12Glossary
ENARFRTRMeaning
Weekly sales rateمعدل المبيعات الأسبوعيTaux de vente hebdomadaireHaftalık satış oranıThe average number of pieces of a style sold in one week, found by dividing total pieces sold by the number of weeks elapsed.
Hybrid selling modelنموذج بيع مختلطModèle de vente hybrideKarma satış modeliA brand that sells through more than one route to market at once, for example wholesale and its own direct retail, often at different prices.
Reorder pointنقطة إعادة الطلبPoint de recommandeYeniden sipariş noktasıThe quantity of stock remaining at which a Make to Stock buyer places its next production order against the standing forecast.
Sustained patternنمط مستمرSchéma soutenuSürekli örüntüA sales gap that continues across more than one recording period, rather than appearing in a single week only.
AgentوكيلAgentAcenteAn independent business that is paid a commission for arranging or managing an order on behalf of whichever side hired it.
Replenishment cycleدورة تجديد المخزونCycle de réassortYeniden stoklama döngüsüOne repeating round of Make to Stock production, run against a forecast rather than a single confirmed order.
13Next

Lesson 2.5: Building a complete replenishment worksheet

You now know how to adjust a replenishment plan once real sales run faster or slower than expected. The next lesson brings every replenishment step, from candidate check to adjusted quantity, into one complete worksheet. Back to the course map

14Ladder

RecognizeTell a sustained combined-rate change apart from a single channel's own single-week variation.
ConnectSee how every channel's own weekly rate is added together before it is compared against the plan.
CompareTell a hybrid style's combined-channel check apart from a single-channel style's simpler check.
DecideRecalculate the reorder point and replenishment quantity once a sustained combined-rate change is confirmed.