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created at
2026-01-21 19:17:08
updated at
2026-01-21 19:17:09
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https://www.clear.in/s/safety-stock
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2025-07-15 14:06:22
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title
Safety Stock
excerpt
content
Running low on the stock might be inevitable, but disruption of your business isn’t. Safety stock, sometimes called buffer stock, is necessary for keeping customer service levels high and ensuring business continuity. Meaning of safety stock and importance Safety stock inventory refers to the extra amount of goods stored in a warehouse to prevent out-of-stock situations. Safety stock serves as insurance against change in demand. Reasons to maintain safety stock Safety stock helps in eliminating the disturbance caused by the out-of-stock situation. If there’s sufficient safety stock, a business doesn’t need to turn away its customers or rely on its vendors to supply quickly due to the depletion of its inventory levels. Safety stock provides cover until the next batch of supplies arrive. Let’s find out how safety stock helps a business: · Safeguard against surges in demand – Safety stock safeguards a business against unexpected demand spikes and erroneous market for...
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