What is DRP software used for?

DRP software is used to plan how products move across a distribution network. It helps companies decide how much stock is needed at each location, when to replenish, and how to rebalance inventory between warehouses when local demand shifts faster than the plan.

In practice, a DRP tool takes demand forecasts, current inventory positions, in-transit stock, and lead times as inputs, then generates a time-phased replenishment plan for every SKU × location combination. The goal is simple: maximize product availability while minimizing total network inventory.

Modern DRP software like Flowlity adds AI-driven forecasting and probabilistic inventory targets on top of this — so replenishment decisions reflect actual demand variability rather than static reorder points that quickly drift out of sync with reality.