Inventory and Warehousing · Odoo glossary
Inventory Turnover
Inventory turnover measures how often stock is consumed or sold over a period.
Definition
In general ERP practice
Inventory turnover measures how often stock is consumed or sold over a period. A common value-based formula is cost of goods sold divided by average inventory value, using a consistent valuation and period.
In Odoo
Odoo inventory valuation and accounting reports provide the data needed for a turnover calculation. Stock-movement quantities alone do not establish a cost-based ratio; choose the same product scope and period for the numerator and average inventory.
Official Odoo documentation
The Odoo-specific explanation above is based on the documentation for Odoo 19. Features and workflows can differ in other versions.
Related glossary terms
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