Certified Materials and Resource Professional Practice 2025 – All-in-One Guide to Exam Excellence!

The Not In Stock (NIS) percentage specifically measures items that cannot be filled due to stock outs. This metric is crucial for inventory management and sales forecasting, as it indicates the proportion of demand that cannot be satisfied because the items are unavailable in the inventory. A higher NIS percentage suggests a greater challenge in meeting customer demand, potentially leading to lost sales and customer dissatisfaction.

This value is distinct from other metrics such as availability or back-orders. For instance, the percentage of items available for sale reflects the opposite situation, showing items that are ready for purchase, while back-ordered items are those that can still be ordered despite being out of stock. The percentage of items in inventory looks at the overall stock level rather than the specific impact of stock outs on fulfilling orders. Thus, the NIS percentage is a critical indicator of inventory performance and sales capability.