The order quantity, also known as ordered quantity, is a crucial parameter in inventory management that defines the quantity of an item that is (re)ordered to maintain stock levels and meet demand.

Determining the order quantity is a strategic decision based on various factors, including the current stock quantity, average demand, delivery times, storage costs and safety stock levels. Companies can set the order quantity individually for each item or use management rules that automatically calculate the order quantity.

To determine an optimal order quantity, companies must find a compromise between the costs of warehousing and order processing and the risk of shortages or excess stock. An order quantity that is too high can lead to excessive stock levels, while an order quantity that is too low can lead to supply bottlenecks and customer dissatisfaction.

Modern inventory management systems often use mathematical models and algorithms to calculate the optimal order quantity. These models take into account factors such as the optimal order quantity, which minimizes overall costs, and the economic order quantity, which optimizes the balance between ordering and storage costs.

The right order quantity helps to lower inventory costs, reduce tied-up capital and improve delivery performance. Companies can optimize their operational processes and increase their competitiveness through efficient order quantity planning.