> ## Content Index
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> Use this file to discover other available public pages before exploring further.

# Demand Planning: How to avoid dead stock and product shortages
- URL: https://blog.jestor.com/demand-planning-how-to-avoid-dead-stock-and-product-shortages/
- Published: 2026-01-06T20:33:33.000Z
- Updated: 2026-01-06T20:33:33.000Z
- Author: Aline Valério

To perform efficient Demand Planning, avoid guesswork. Connected tools like **Jestor** allow crossing sales history with current inventory to automatically suggest what to buy, avoiding dreaded Stockouts (missing product) or Overstock (stagnant inventory).

### **The cost of buying wrong**

Buying is a bet. If you bet wrong:

- **Bought too much:** Cash tied up in stock, cash flow suffocated.
- **Bought too little:** Customer wants to buy, but can't. You lose the sale to a competitor. Excel fails here because it's not dynamic. It doesn't know that "next month is Black Friday."

### **Automating Replenishment in Jestor**

Create a system that calculates purchasing needs for you.

**The Logic in Jestor:**

1. **Average Sales:** The system calculates how many "Blue Sneakers" sold in the last 3 months.
2. **Lead Time:** The system knows the supplier takes 15 days to deliver.
3. **Reorder Point:** When stock hits 20 units, Jestor creates an alert: *"Buy 50 more units now to avoid running out."*

### **Frequently Asked Questions (FAQ)**

**What is ABC Analysis?** It classifies products by importance. "A" items are the 20% generating 80% of revenue. In[Jestor](https://jestor.com/?ref=blog.jestor.com), focus automation on "A" products.

**Does the system consider seasonality?** You can create manual rules or integrate with AI to predict peaks (e.g., increase toy stock in October).

**Does this replace the buyer?** No. The system suggests the purchase ("Suggested Order"), the buyer reviews and approves. Technology does the math, humans do the strategy.

### **Conclusion**

With **Jestor**, your purchases are based on real data, ensuring healthy inventory and positive cash flow.

Plan your demand intelligently:[https://jestor.com/](https://jestor.com/?ref=blog.jestor.com)