What is Days of Inventory (DOH)?

Days of inventory on hand = current stock value ÷ daily COGS. It tells you how long stock would last before you run out at today’s velocity.

A real Kenyan example

Stock KES 1.5m ÷ daily COGS KES 33k = 45 days. Healthy retail.

Formula

DOH = Current stock value ÷ Average daily COGS

Why it matters

Days of inventory makes stock visible in time, easier to talk about than abstract turns.

How Veira helps

Veira flags any SKU with DOH > 90 days as a dead-stock candidate.

FAQs

Is high DOH bad?
Above ~90 days for fast-movers is a red flag.
Daily COGS or daily sales?
COGS, cancels markup so comparison is fair.
Seasonal stock?
Use the season’s daily COGS, not annual average.
How often check?
Weekly for top SKUs.
Does Veira show DOH?
Yes, per SKU on the inventory dashboard.

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