← Back to KPIs
Inventory Turnover Rate
Also known as: Stock Turnover, Inventory Turns
Measures how often inventory is sold and replaced over a specific period, indicating the efficiency of inventory management.
Business Use Case
Executives use this KPI to optimize inventory levels, reduce holding costs, and improve cash flow by identifying slow-moving products.
Business Criticality
High
Journey / Navigation Area
Generic
Owning Function
Data Architecture Team
Scope
Global
Formula
(Cost of Goods Sold / Average Inventory)Calculation Notes
Exclude obsolete or non-moving inventory items; ensure consistent valuation method for inventory.
Technical Details
Measure Typerate
Aggregation WindowTime based - Monthly
Events
SQL Queries
Google Analytics 4 (BigQuery)
-- ==========================================
-- 1. GOOGLE BIGQUERY SQL
-- ==========================================
SELECT product_id,
SUM(sales_quantity) / NULLIF(SUM(average_inventory), 0) AS inventory_turnover_rate
FROM `your-project.erp.warehouse_logs`
WHERE event_date BETWEEN '2023-01-01' AND '2023-12-31'
GROUP BY product_idAdobe Experience Platform (AEP Query Service)
-- ==========================================
-- 2. ADOBE AEP QUERY SERVICE SQL
-- ==========================================
SELECT product_id,
SUM(sales_quantity) / NULLIF(SUM(average_inventory), 0) AS inventory_turnover_rate
FROM aep_backend_dataset.warehouse_logs
WHERE event_date BETWEEN '2023-01-01' AND '2023-12-31'
GROUP BY product_idSource Data
ERP
Dependencies
[ "Cost of Goods Sold", "Average Inventory" ]
Report Attributes
Product Category Region Time Period
Recommended Reporting Views
Views
Executive Summary DashboardOperations Efficiency Dashboard
Segment Eligibility
true
Governance
Data Sensitivityinternal
Governance
Created bydevyendarm
Created on8/19/2026
Last modified bydevyendarm
StatusPUBLISHED
GitHub
View File on GitHub
catalog/kpis/inventory-turnover-rate.yml