Average Days in Inventory, or ADI, is a key metric that measures the average number of days it takes for a business to turn its inventory into sales. Knowing this figure helps companies plan better and stay in control of their stock levels. It also helps them determine their overall efficiency when it comes to managing their inventory. If the ADI is too high, the company could be facing stock outs and overstocking problems, while if it’s too low, they could be missing out on potential sales. In short, ADI provides businesses with insight into how quickly they’re able to move their goods from factory shelves to paying customers.