Inventory planning
Slow-Moving Inventory
By the Supply Chain Manager team · Updated October 16, 2026
Slow-moving inventory is stock that still sells, but so slowly that what you hold will take months to clear at the current pace.
It sits between healthy stock and dead stock. The item has demand, so it is not obsolete, but the quantity on hand is far out of line with that demand, often because of a large order, an MOQ or a demand drop.
A common threshold is more than about six months of supply at the current sales rate, but the right line depends on shelf life, product value and how quickly the range changes.
How to calculate slow-moving inventory
Slow-moving if Days of Supply > threshold (for example 180 days)
Slow-moving inventory example
Illustrative numbers: 900 units on hand, selling 4 a day. Days of supply = 225 days, about seven and a half months. At $20 a unit, that is $18,000 of stock, most of which will not be needed for half a year.
Why slow-moving inventory matters for distributors
Slow movers tie up cash and warehouse space that faster SKUs could use. Catching them early leaves options: stop reordering, transfer to a location with demand, bundle or promote, or return to the supplier.
Common slow-moving inventory mistakes
- Waiting until the item stops selling entirely before acting.
- Continuing automatic reorders because the SKU still shows some sales.
Slow-moving inventory in Supply Chain Manager
Supply Chain Manager marks a SKU and warehouse as slow-moving when current stock would last more than 180 days at the trailing 90-day sales pace.
Open the live demoExamples on this page use made-up round numbers to show the calculation. They are not benchmarks or results from real businesses.