Safety stock calculation is a method of inventory management that helps businesses plan ahead and stay prepared in case of an unexpected increase in demand. This form of inventory control involves calculating the minimum amount of supplies or products needed to ensure the business can meet the demands of customers without running out. The safety stock formula is used to determine the ideal amount for each item, taking into account lead time, demand variability, and service-level requirements. By accurately predicting future needs and accounting for potential risks, companies can ensure their operations remain efficient and profitable.