Operations · Free tool
Inventory Days Calculator
Enter average inventory value, COGS, and period to get Days Inventory Outstanding (DIO), turnover ratio, and a reorder suggestion. Bulk CSV mode handles SKU-level rollups.
DIO formula
- DIO = (Average Inventory ÷ COGS) × Days
- Turnover = COGS ÷ Average Inventory
Industry DIO benchmarks
| Industry | Healthy DIO |
|---|---|
| FMCG distribution | 15–30 |
| Apparel retail | 60–120 |
| Electronics retail | 30–60 |
| Pharma distribution | 25–45 |
| Cement / building materials | 20–35 |
Why DIO matters
Working-capital cycle = DIO + DSO − DPO. Every extra day of DIO ties up roughly 1/365 of your inventory in cash. A 10-day reduction on ₹50 Cr COGS frees ~₹1.4 Cr. SKU-level DIO is what drives actual reorder decisions - live inventory analytics in FireAI.
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Frequently asked questions
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