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Glossary & Terminology

A comprehensive guide to key terms used throughout Synplex. Understanding these concepts will help you use the platform more effectively.

A​

Average Daily Sales (ADS)​

The average number of units sold per day over a specified period (7, 30, 60, or 90 days).

Example: If a product sells 210 units in 30 days, the ADS is 7 units/day.

Used for: Forecasting depletion dates, calculating reorder timing, understanding sales velocity.

Related terms: Sales velocity, demand rate

B​

Bundle​

A collection of products sold together as a single item.

Example: A Sleep Set bundle contains socks, sweats, and a t-shirt.

Also called: Product bundle, bundle set, combo pack

Related terms: Bundle mapping

Bundle Mapping​

The process of linking bundled products so that sales are correctly attributed to each component product.

Why it matters: Ensures accurate inventory tracking and demand forecasting for individual items within bundles.

Related terms: Bundle, component product

C​

Cost Value​

The total cost of inventory on hand, calculated as: Units On Hand × Unit Cost

Example: 50 units × $20 = $1,000 cost value

Related metrics:

  • Total Cost Value — All inventory across all products
  • Cost Value in No Sales — Inventory of non-selling products
  • Cost Value in Overstocked — Excess inventory consuming capital

Related terms: Inventory value, on-hand cost

D​

Days to Order​

The number of days until you should place a reorder based on current inventory and sales velocity.

Formula: (Current Inventory − Stock Buffer) ÷ Average Daily Sales

Example: (100 units − 20 buffer) ÷ 5 units/day = 16 days until reorder needed

Related terms: Lead time, reorder point, running low threshold

Demand Velocity​

How quickly your inventory is being sold (units per day).

Also called: Sales velocity, depletion rate

Related terms: Average daily sales, forecast

E​

ERP (Enterprise Resource Planning)​

A business management system that integrates various functions like inventory, accounting, and sales.

Why it matters: Synplex can sync with your ERP system to keep inventory data consistent across platforms.

Related terms: Integration, data sync

G​

Grading (ABC Classification)​

A method of categorizing products based on their revenue contribution to your business.

Three grades:

  • Grade A — Top 80% of revenue (high-margin drivers)
  • Grade B — Middle 15% of revenue (steady sellers)
  • Grade C — Bottom 5% of revenue (slow movers)

Why it matters: Helps prioritize inventory management efforts where they have the most impact.

Related term: ABC Analysis

H​

HS Code (Harmonized System Code)​

An international classification code for products used for tariffs and international trade.

Example: HS Code for cotton t-shirts is 6204.6200

Why it matters: Needed to calculate tariffs on imported products.

Also called: Tariff code, trade classification code

I​

Inventory Table​

The main interface in Synplex where you view, filter, and manage your products and their inventory levels.

What it shows:

  • Product name and SKU
  • Current on-hand quantity
  • Status (Healthy, Running Low, Out of Stock, etc.)
  • Sales velocity
  • Reorder information

Related terms: Product list, inventory view

L​

Lead Time​

The number of days between when you place an order and when it arrives at your location.

Example: If you order today and products arrive in 14 days, the lead time is 14 days.

Why it matters: Critical for determining when to reorder to avoid stockouts.

Related terms: Supplier lead time, days to order

Landed Cost​

The total cost of a product including the purchase price, shipping, tariffs, and other fees.

Formula: Unit Cost + Shipping per Unit + Tariffs per Unit + Other Fees per Unit

Why it matters: Affects profitability analysis and purchasing decisions.

Related terms: Tariff, total cost of ownership

M​

Minimum Order Quantity (MOQ)​

The smallest quantity a supplier will allow you to order.

Example: If a supplier's MOQ is 100 units, you cannot order just 50 units.

Why it matters: Affects purchasing decisions and inventory planning.

Related terms: Supplier requirements, order constraints

O​

On-Hand Quantity​

The amount of a product physically in stock right now.

Also called: On-hand inventory, current stock, available inventory

What's NOT included:

  • Incoming inventory (on order)
  • Inventory at other locations
  • Damaged or defective items

Related terms: Stock level, available inventory

Overstocked​

A status indicating you have more inventory than needed to meet demand.

Consequences:

  • Capital tied up in excess inventory
  • Risk of obsolescence
  • Higher storage costs

Action: Review demand forecast, reduce future orders, plan clearance.

P​

Product Status​

The current state of a product's inventory level. Synplex automatically assigns statuses:

  • Healthy — Balanced inventory, no action needed
  • Running Low — Approaching reorder point, plan to order
  • Out of Stock — Zero inventory, urgent action needed
  • Overstocked — Excess inventory, review forecast

Why it matters: Helps you quickly identify which products need attention.

R​

Reorder Point​

The inventory level at which you should place a new order to avoid stockouts.

Calculated as: (Lead Time × Average Daily Sales) + Safety Stock

Example: (14 days × 5 units/day) + 10 units = 80 units as reorder point

Related terms: Running low threshold, days to order

Running Low​

A status indicating a product is approaching its reorder point.

What to do: Plan to create a purchase order soon. Check lead times to ensure arrival before stockout.

Related terms: Low stock, reorder threshold

S​

Safety Stock​

Extra inventory held as a buffer to protect against stockouts due to:

  • Unexpected demand spikes
  • Supplier delays
  • Demand forecast errors

Example: If your normal inventory is 50 units, you might add 10 units of safety stock = 60 units total.

Why it matters: Balances the cost of extra inventory against the risk of losing sales.

Related terms: Buffer stock, safety margin

SKU (Stock Keeping Unit)​

A unique identifier code for each product variant you carry.

Example: "BLU-T-SHIRT-M-XL" for a blue t-shirt in size medium-extra large

Why it matters: Ensures accurate inventory tracking, especially for variants.

Stock Gap​

A status indicating temporary unavailability of inventory due to supply delays.

Example: You're waiting for a shipment to arrive, so you show "Stock Gap" rather than "Out of Stock."

Action: Monitor the expected delivery date and update forecast if arrival is delayed.

T​

Tariff​

A tax or duty charged on imported products by customs authorities.

Example: Importing clothing may have a 25% tariff, increasing costs.

Why it matters: Significantly affects the total cost of imported products and profitability.

Related terms: Import duty, landed cost, HS code

Time to Reorder (TTR)​

Another term for "Days to Order" — how many days until you should reorder based on current velocity.

U​

Unit Cost​

The cost to purchase a single unit from your supplier.

Example: If you buy 100 shirts for $1,000, the unit cost is $10/shirt.

Used in: Inventory valuations, profitability analysis, purchase decisions.

Related terms: Cost, purchase price, supplier price

V​

Velocity​

See "Demand Velocity" — how fast your inventory is selling.

W​

Webhook​

An automated notification system that sends real-time updates from Shopify to Synplex.

Why it matters: Keeps your inventory data current without manual action. Synplex uses webhooks as its primary data sync method.

Related terms: Data sync, real-time update, automatic sync

Additional Resources​

Terms by Category​

Inventory Levels:

  • On-Hand Quantity
  • Running Low
  • Out of Stock
  • Overstocked
  • Stock Gap

Demand & Planning:

  • Average Daily Sales
  • Days to Order
  • Lead Time
  • Reorder Point
  • Demand Velocity

Costs:

  • Unit Cost
  • Cost Value
  • Landed Cost
  • Tariff

Operations:

  • SKU
  • Bundle
  • Safety Stock
  • MOQ

Questions?​

If you encounter a term not listed here or need clarification:

  • Check the search function in Synplex
  • Review the specific feature guide (e.g., "Understanding the Inventory Table")
  • Contact support at support@synplex.io