GlossaryEN1 min readUpdated: Jun 13, 2026

Inventory turnover

Logistics managers and warehouse operators use inventory turnover to measure how often average stock is consumed or sold and replenished within a given period, typically one year.

Last updated: 13 June 2026Published: 19 June 2025

Source: https://de.wikipedia.org/wiki/Lagerumschlag

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Logistics Concept

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Logistics managers and warehouse operators use inventory turnover to measure how often average stock is consumed or sold and replenished within a given period, typically one year. It is calculated by dividing the cost of goods issued by the average inventory level. High turnover indicates lean, efficient stock management with low carrying costs; low turnover points to excess inventory or slow-moving items, putting pressure on cash flow and warehouse profitability. In contract logistics and freight forwarding, the metric informs pricing and storage capacity planning. It should not be confused with physical cargo handling, which refers to the movement of goods rather than their replenishment cycle.

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