Knowledge — Inventory Problems

Redistribution: use the stock you already own

The most expensive inventory mistake is buying more of what the network already has — in the wrong place. Location-level imbalance means lost sales and overstock exist at the same time, on the same SKU.

Why it happens

Totals lie

Central reports show enough network stock while individual locations are empty. The gap only appears at SKU-location level.

Transfers happen late, manually, or never

Nobody owns the decision; by the time someone notices, an emergency purchase already went out — adding stock to a network that had enough.

Not every transfer is worth making

Moving three units across the country costs more than it earns. Without minimum line values and per-location limits, redistribution creates logistics noise instead of sales.

What good control looks like

Surface imbalance daily: who is below target, who holds unwanted overstock of the same SKU

Generate concrete transfer lists — with minimum order values, line limits and receiving-capacity caps so transfers stay economical

Move excess up to the receiving location's allowed level, never above it

Only then buy: new purchase orders cover what redistribution cannot

First — redistribute, then buy — transfers recover sales at full margin

Horizon runs redistribution as a scheduled, rule-based process: excess from unwanted-overstock zones flows to locations below target before any new purchasing, automatically or with one-click confirmation.

Common questions

When is redistribution better than ordering more?

Almost always when the same SKU is below target in one location and in unwanted overstock in another: the transfer recovers the sale at full margin and reduces excess at the same time.

Doesn't moving stock around get expensive?

It can — which is why transfer rules include minimum line values, maximum lines per location per day and receiving limits. Good redistribution is selective, not constant shuffling.

See this on your own data.

The free demo begins with a real simulation on your history — where sales, cash and time are leaking, and what the system would have done instead.

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