> ## Documentation Index > Fetch the complete documentation index at: https://docs.vortexiq.ai/llms.txt > Use this file to discover all available pages before exploring further. # Inventory Aging, Oracle ERP Cloud > Inventory value bucketed by days-on-hand. Aged stock is cash trapped on the floor. How to read it, why it matters, and how to act on it. **Metrics type:** [Key Metrics](/nerve-centre/overview#metrics-types-explained) • **Category:** [Ecommerce Platform](/nerve-centre/connectors#connectors-by-type) > Inventory value bucketed by days-on-hand. Aged stock is cash trapped on the floor. ## At a glance > Inventory value sliced into ageing buckets: 0-30 days, 31-60, 61-90, 91-180, 181-365, 365+. The longer stock sits, the more capital it ties up and the higher its write-down risk. Computed against the original receipt date in Oracle Inventory Cloud. | | | | --------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------- | | **What it counts** | `SUM(on_hand_quantity × unit_cost)` per ageing bucket, where age = days since last receipt date for FIFO layers, or weighted-average receipt date for Average Cost. | | **Tax treatment** | n/a, inventory at cost. | | **Cost method** | Average Cost / Standard Cost / FIFO per inventory org configuration. | | **In-transit** | Excluded by default. | | **WIP / raw materials** | WIP excluded; raw materials by default included with separate aging clock. | | **Currency** | Reporting ledger consolidated. | | **Business Unit / Inventory Org scope** | Respects dashboard filter. | | **Time window** | Real-time snapshot. | | **Alert trigger** | `>15% in 180+ bucket` | | **Sentiment key** | `inv_aging` | | **Roles** | owner, finance, operations | ## Calculation Calculated automatically from your Oracle ERP Cloud data. See the At a glance summary above for what the metric tracks and the worked example below for a typical reading. ## Worked example A US Fortune 500 fashion retailer on Oracle ERP Cloud. Snapshot 14 Apr 26. Total inventory value \$184M. | Bucket | Value | Share of total | | ------------ | ----------------- | -------------- | | 0-30 days | \$58,200,000 | 31.6% | | 31-60 days | \$42,800,000 | 23.3% | | 61-90 days | \$24,600,000 | 13.4% | | 91-180 days | \$26,400,000 | 14.3% | | 181-365 days | \$22,800,000 | 12.4% | | 365+ days | \$9,200,000 | 5.0% | | **Total** | **\$184,000,000** | 100% | Five things to notice: 1. **17.4% in 180+ buckets (\$32M).** Above the 15% alert threshold. For fashion retail, anything past 180 days is genuinely at season-end clearance risk; past 365 is write-down territory. 2. \*\*The 365+ bucket ($9.2M) is the structural problem.** This is inventory the merchant has owned for over a year. Holding cost (capital + warehousing + insurance + obsolescence) is conservatively 20-25% per year, so $9.2M of 365+ stock is costing about \$2M / year in carry. 3. **Cross-reference [Dead Stock Value](/nerve-centre/kpi-cards/oracle-erp/dead-stock-value):** zero-velocity items in the aged buckets are write-down candidates. Of the \$32M in 180+, perhaps 60% has zero recent sales and qualifies as dead stock. 4. **Bucket migration trend matters:** is value moving from 91-180 into 181-365 (bad, age is increasing), or is it being cleared (good, replaced by fresh receipts in 0-30)? Vortex IQ stores the bucket history so the trend is visible. 5. **Action playbook:** for fashion, run promotional clearance on 91-180 stock at 30 to 40% off; markdown 181-365 to 50%+; consider physical write-off and tax-deduction strategy on 365+. Pair with [Margin by SKU](/nerve-centre/kpi-cards/oracle-erp/margin-by-sku) to identify which markdowns are most expensive. ## Sibling cards merchants should reference together | Card | Why pair it with Inventory Aging | | ----------------------------------------------------------------------------------------------------- | ------------------------------------------------------------- | | [Total Inventory Value](/nerve-centre/kpi-cards/oracle-erp/oerp-total-inventory-value) | The total this card slices. | | [Dead Stock Value](/nerve-centre/kpi-cards/oracle-erp/dead-stock-value) | Zero-velocity overlap with aged stock = write-down candidate. | | [Inventory Carrying Cost](/nerve-centre/kpi-cards/oracle-erp/oerp-inventory-carrying-cost) | What aged stock is costing per period. | | [Inventory Turnover Ratio](/nerve-centre/kpi-cards/oracle-erp/inventory-turnover-ratio) | Dragging on turn velocity. | | [Top SKUs by Inventory Value](/nerve-centre/kpi-cards/oracle-erp/oerp-top-skus-value) | Which aged SKUs hold the most \$. | | [Dead Stock with Active Ad Spend](/nerve-centre/kpi-cards/oracle-erp/dead-stock-with-active-ad-spend) | Aged + still being advertised, the kill shot. | | [Margin by SKU](/nerve-centre/kpi-cards/oracle-erp/margin-by-sku) | Markdown cost per SKU when clearing aged inventory. | ## Reconciling against the vendor's own dashboard **Where to look in Oracle ERP Cloud:** > **Inventory → Reports → Inventory Aging by Item** > **OTBI → Inventory Real Time Subject Area** (custom analysis with date-bucketed columns) > **Cost Management → Aged Inventory Report** (audit-grade) The native Inventory Aging by Item report sums per ABC class with bucket choices the user picks at runtime. Match the bucket boundaries (0-30, 31-60, 61-90, 91-180, 181-365, 365+) for parity. **Why our number may legitimately differ:** | Reason | Direction | Why | | ------------------------------------ | --------- | --------------------------------------------------------------------------------- | | **Bucket boundary choice** | Either | User-configurable. | | **Cost method effect on layer date** | Small | FIFO uses the layer's receipt date precisely; Average Cost uses weighted-average. | | **Subinventory scope** | Either | Quarantine subinventories may be excluded depending on field map config. | **Cross-connector reconciliation:** | Card | Direction | Notes | | ------------------------------- | ----------- | -------------------------------------------------------------------------------------------------------------------------------------- | | Commerce-platform stock-on-hand | Approximate | Commerce shows units; the SKU-level age join lives on [Inventory Sync Drift](/nerve-centre/kpi-cards/oracle-erp/inventory-sync-drift). | ## Known limitations / merchant FAQs **What is a healthy aging mix for fashion / apparel?** Industry rough benchmarks: 0-90 days >70% of total, 91-180 \<20%, 181+ \<10%. Anything past 90 days in fashion is at full-margin risk; past 180 is at clearance margin. **For B2B distribution / industrial?** Different shape: longer turn cycles are healthier. 0-90 days might be only 50% of total (because items naturally sit longer); 91-180 30%; 181+ 20%. Specifically check obsolescence risk on slow-mover SKUs vs core SKUs. **Average Cost vs FIFO, does the bucketing logic change?** FIFO has explicit cost layers per receipt; bucket assignment is unambiguous. Average Cost blends, so the card uses weighted-average receipt date as the proxy. Standard Cost also uses receipt date but the dollar value is the standard not the actual. **Can I see this per inventory org?** Yes via the dashboard filter. Drill from consolidated to per-org reveals which warehouse / DC has the aging problem. **WIP and raw materials in the buckets?** Configurable. Default: raw materials yes (with separate ageing clock starting at receipt), WIP no (the WIP-aging metric is a Manufacturing module concern, separate card). **The 365+ bucket has high-cost capital equipment used for service. Should it appear here?** Probably not. Capital items used internally should not be in MTL\_SYSTEM\_ITEMS as inventoriable. If they are, that is a chart-of-accounts mapping error to fix in the Item Master. **Period-end write-down policy, does the card flag automatically?** The card surfaces the candidates; the write-down decision is a Finance call (it is a P\&L hit). Pair with [Margin Erosion Alerts](/nerve-centre/kpi-cards/oracle-erp/margin-erosion-alerts) for SKUs where margin has compressed enough to warrant clearance. **SAP S/4HANA vs Oracle, does aging logic differ?** Same concept, different table joins. SAP uses MM-IM tables; Oracle uses INV / CST tables. Vortex IQ supports both natively. *** ### Tracked live in Vortex IQ Nerve Centre *Inventory Aging* is one of hundreds of KPI pulses Vortex IQ tracks across Oracle ERP Cloud and 70+ other ecommerce connectors. Nerve Centre runs the detection layer; Vortex Mind investigates the cause when something moves; Ask Viq lets you interrogate any number in plain English. [Start for free](https://app.vortexiq.ai/login) or [book a demo](https://www.vortexiq.ai/contact-us) to see this metric running on your own data.