What is one key requirement in planning for reorder points?

Establishing automatic reorder triggers is a key requirement in planning for reorder points because it ensures that inventory levels are effectively managed in real-time. This process helps to maintain optimal stock levels by automating the ordering process when the inventory reaches a predetermined threshold. When stock dips below a specific level, a reorder trigger can prompt automatic purchase orders, reducing the risk of stockouts and ensuring a continuous supply of materials.

This proactive approach in automation avoids the manual oversight that can lead to delays in ordering and potential disruptions in operations. As a result, businesses can operate more efficiently and focus on core activities, knowing that their inventory needs are being automatically addressed.

In contrast, while reviewing supplier performance, offering regular training, or setting budget limits are important aspects of the procurement process, they do not directly influence the mechanical aspect of reorder point management as effectively as automatic reorder triggers do.