Inventory Forecasting Formula is a technique used by businesses to predict their future inventory needs and demands. It involves gathering data on historical sales trends, current market conditions and customer habits in order to create accurate forecasts for when stock should be ordered and how much of it should be expected. The formula also looks at customer demand, seasonality and other factors that may affect the supply chain. By using an Inventory Forecasting Formula, businesses can better manage their resources and anticipate changes in the market, allowing for more efficient operations and cost savings over the long term.