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This KPI calculates the frequency of stock gross sales and replacements over a specified timeframe. A high stock turnover rate is an indication of efficient use of elements and raw materials, which lowers holding costs and reduces the chance of obsolete inventories. Maintaining production flow and ensuring that sources can be found when wanted depend Automotive news on efficient inventory turnover. You get a quick view of how sure areas of your small business, corresponding to customer support or production lines, are operating. You can identify inefficiencies, velocity up processes, and make changes rapidly so your operations keep aligned to your corporation aims.