How much money are you losing every week on delivery fees and spoiled inventory? Most restaurants order too often (racking up delivery costs) or too infrequently (watching ingredients spoil). You can calculate the optimal ordering frequency for each ingredient using proven formulas.
Why ordering frequency impacts your bottom line
Every order triggers delivery costs. Order too frequently, and these fees accumulate fast. But order too rarely, and you're stuck with excess inventory that spoils.
💡 Example:
Restaurant with €8,000 weekly revenue:
- Daily ordering: 7× €25 delivery costs = €175/week
- Ordering 2× per week: 2× €25 = €50/week
- Difference: €125 per week = €6,500 per year
The EOQ formula adapted for restaurants
Economic Order Quantity (EOQ) calculates your optimal order size. Here's the restaurant version:
EOQ = √(2 × Annual consumption × Order costs) / Inventory costs per unit)
💡 Example: Beef calculation
- Annual consumption: 2,600 kg (50 kg/week)
- Order costs: €25 per order
- Purchase price: €18/kg
- Inventory costs: 20% of purchase price = €3.60/kg
EOQ = √(2 × 2,600 × 25) / 3.60 = √36,111 = 190 kg
Optimal: 190 kg per order = order every 19 days
Shelf life trumps EOQ calculations
EOQ assumes unlimited shelf life. Fresh products need different rules:
- Fresh fish: Maximum 2-3 days inventory
- Meat: Maximum 5-7 days inventory
- Vegetables: Varies by product, 3-10 days
- Dry goods: Use EOQ formula directly
⚠️ Note:
For perishables, shelf life decides frequency, not EOQ results. Spoilage costs more than extra delivery fees.
Seasonal shifts and consumption patterns
Something most kitchen managers discover too late: consumption patterns change dramatically with seasons and events. Adjust your ordering frequency accordingly:
- Summer months: More fish, salads, ice cream
- Winter months: More meat, warm dishes, soups
- Holidays: Boost inventory 2 weeks before major celebrations
- Local events: Check community calendars for busy periods
💡 Example: Seasonal adjustment
Salmon consumption by season:
- Summer: 30 kg/week (fish-heavy menu)
- Winter: 15 kg/week (fewer fish dishes)
- Summer ordering: every 5 days
- Winter ordering: every 10 days
Setting minimum and maximum inventory levels
Calculate safety stock to avoid running out completely:
Safety stock = Average daily consumption × Lead time × 1.5
The 1.5 factor covers unexpected rushes or supplier delays.
Group suppliers for maximum efficiency
Bundle ingredients by supplier to reduce delivery costs:
- Vegetable/fruit supplier: 2× per week
- Meat/fish supplier: 2-3× per week
- Dry goods supplier: 1× per week
- Beverage supplier: 1× per 2 weeks
⚠️ Note:
Only bundle products with similar shelf lives. Don't order fresh fish with dry goods if it creates excess inventory.
Digital tracking eliminates guesswork
Manual tracking wastes time and creates errors. Systems automatically show you:
- Current inventory levels per ingredient
- Weekly consumption averages
- Optimal ordering frequency recommendations
- Low inventory alerts
How do you calculate the optimal ordering frequency? (step by step)
Measure your weekly consumption per ingredient
Track how much you use of each main ingredient over 4 weeks. Add it up and divide by 4 to get your average. This is your basis for all calculations.
Calculate the EOQ using the formula
Use the formula: √(2 × Annual consumption × Order costs) / Inventory costs per unit). Annual consumption = weekly consumption × 52. Inventory costs = 20% of purchase price.
Adjust for shelf life and season
Check whether your EOQ result fits within the shelf life. For fresh products: maximum 3-7 days inventory. Increase during busy seasons, decrease during quiet periods.
✨ Pro tip
Track your top 8 ingredients every Tuesday at 10 AM and calculate 5-day consumption trends. This prevents costly emergency orders and keeps your purchasing predictable.
Calculate this yourself?
In the KitchenNmbrs app you can do this in just a few clicks. 7 days free, no credit card.
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Frequently asked questions
How often should I order fresh fish?
Fresh fish needs ordering every 2-3 days maximum, regardless of EOQ calculations. Spoilage costs exceed delivery fees. Base orders on your weekly menu and confirmed reservations.
What are typical delivery costs for restaurants?
Delivery fees range €15-50 per order, depending on supplier and distance. Larger orders often get better per-kg rates. Negotiate these costs with your suppliers.
How do I calculate inventory carrying costs?
Inventory costs run about 20% of purchase price annually. This covers refrigeration, storage space, insurance, and spoilage risk. For highly perishable items, expect up to 30%.
Should I consolidate all orders with one supplier?
No, group suppliers strategically. Fresh products need 2-3× weekly orders, dry goods only weekly. This balances delivery costs with inventory risk.
What if my consumption varies dramatically week to week?
Use your peak consumption period as baseline and add safety stock. Better to have slight excess than stockouts. Review weekly patterns and adjust accordingly.
How do I handle suppliers with minimum order requirements?
Calculate if meeting minimums costs less than frequent small orders plus delivery fees. Sometimes larger, less frequent orders save money despite higher inventory levels.
📚 Sources consulted
- EU Verordening 852/2004 — Levensmiddelenhygiëne (2004) — Official source
- EU Verordening 853/2004 — Hygiënevoorschriften voor levensmiddelen van dierlijke oorsprong (2004) — Official source
- EU Verordening 1169/2011 — Voedselinformatie aan consumenten (2011) — Official source
- NVWA — Hygiënecode voor de horeca (2024) — Official source
- NVWA — Allergenen in voedsel (2024) — Official source
- Codex Alimentarius — International Food Standards (2024) — Official source
- FSA — Safer food, better business (HACCP) (2024) — Official source
- BVL — Lebensmittelhygiene (HACCP) (2024) — Official source
- Warenwetbesluit Bereiding en behandeling van levensmiddelen (2024) — Official source
- WHO — Foodborne diseases estimates (2024) — Official source
Food Standards Agency (FSA) — https://www.food.gov.uk
The HACCP standards shown in this application are for informational purposes only. KitchenNmbrs does not guarantee that displayed values are current or complete. Always consult the FSA or your local authority for the latest regulations.
Written by
Jeffrey Smit
Founder & CEO of KitchenNmbrs
Jeffrey Smit built KitchenNmbrs from 8 years of hands-on experience as kitchen manager at 1NUL8 Group in Rotterdam. His mission: give every restaurant owner control over food cost.
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