What Are Reorder Points in NetSuite?
Reorder points allow NetSuite to alert you when inventory levels drop below a certain threshold, prompting you to restock before items run out. It’s an incredibly useful automation tool for inventory planning and procurement.
Setting Up Reorder Points: Start with the Item Record
To begin, let’s open an item record in NetSuite. Make sure your Replenishment Method is set to Reorder Point. This setting enables the system to monitor inventory and make recommendations accordingly.
If you’re using multi-location inventory, you’ll find the relevant reorder data in the location sublist. For example, let’s say at our Tatooine location, we have:
- Reorder Point: 24
- Preferred Stock Level: 125
- Current On-Hand Inventory: 12
Since we’re below the reorder point, NetSuite will suggest ordering more to bring stock levels back up to the preferred amount.
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Don’t Forget Vendor Setup
To use the Order Items page effectively, ensure that each item has a preferred vendor with a purchase price set. If this isn’t specified, NetSuite will use the purchase price listed on the item record.
Also, you can manually add or update vendor information right from the order items page if needed—super handy for last-minute adjustments.
Using the Order Items Page
From your Home dashboard (or via your Purchasing Manager role), head over to the Order Items page. Once there, select Reorder Points and choose the specific location you want to review.
You’ll see a list of items that meet the reorder threshold. Don’t forget the checkbox for “Include items with no preferred vendor”—this will surface additional items that meet your reorder point but don’t yet have a vendor assigned. You can assign the vendor right there on the page to make them eligible for ordering.
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Understanding the Reorder Math
Let’s look at a couple of examples:
- An item has a reorder point of 24, and you’re currently at 12. NetSuite recommends ordering up to the preferred stock level of 125.
- If there’s a reorder multiple set (say 25), the system will round up the suggested quantity to match that.
- If you already have some quantity on order, NetSuite subtracts that from the total needed. For example, if you need 80 but already have 13 ordered, it will suggest ordering 67 more.
Wrapping It Up: Submitting Purchase Orders
Once you’ve reviewed everything, just hit Mark All, and NetSuite will group the items by vendor. Hit Submit, and boom—you’ve got your purchase orders automatically generated.
This saves tons of time and ensures you’re never caught off guard by low stock again.
Reorder points in NetSuite are a simple yet powerful tool for keeping inventory under control. By setting preferred stock levels, assigning vendors, and using the order items page, you can automate replenishment and reduce stock outs or over-ordering.
Learn How Reorder Points Can Optimize Your Inventory Management
Frequently Asked Questions (FAQs)
Acumatica is a cloud-based ERP system that centralizes accounting, inventory, sales, and customer data to help businesses run more efficiently.
Yes! Dashboards are fully customizable by role or user so your team sees only what matters most.
The Production Manager Dashboard gives real-time updates on order statuses, capacity, labor, and material usage.
It shows pending change requests, approvals, and standard costs—streamlining collaboration between departments.
Yes, sales orders can be entered in just a few clicks with real-time inventory, pricing, and shipping integrations.
Inventory is automatically adjusted after shipments or production events, no manual updates needed.
Absolutely. You can view, edit, and manage BOMs directly from the item screen for seamless production planning.
Yes, users only see what’s relevant to their job function, and permissions can be tailored per role.
You have the option to manually review and release invoices before sending or printing them.
Contact us to see a demo or speak with an expert. We’ll guide you through setup and show you how to simplify and automate your operations.
