> ## 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 Carrying Cost, Oracle ERP Cloud

**Metrics type:** [Card](/nerve-centre/overview#metrics-types-explained)

> Estimated cost of holding aged inventory. Joined with commerce sell-through to flag dead stock with cash impact.

## At a glance

> Estimated monthly cost of holding inventory: capital cost + warehousing + insurance + obsolescence accrual. Typically 1.5-2.5% of inventory value per month.

|                    |                                                                            |
| ------------------ | -------------------------------------------------------------------------- |
| **What it counts** | `Inventory_Value × monthly_carrying_rate` (default 2%). Configurable rate. |
| **Currency**       | Reporting ledger.                                                          |
| **Time window**    | `30D`                                                                      |
| **Roles**          | owner, finance                                                             |

## 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

$277M inventory × 2% / month = **$5.54M / month carrying cost\*\*, \~$66M / year. Significant P&L hit; reducing aged stock by 20% saves $13M / year.

## Sibling cards merchants should reference together

| Card                                                                                   | Why pair               |
| -------------------------------------------------------------------------------------- | ---------------------- |
| [Total Inventory Value](/nerve-centre/kpi-cards/oracle-erp/oerp-total-inventory-value) | Base.                  |
| [Inventory Aging](/nerve-centre/kpi-cards/oracle-erp/inventory-aging)                  | Aged stock costs more. |
| [Dead Stock Value](/nerve-centre/kpi-cards/oracle-erp/dead-stock-value)                | Pure waste subset.     |

## Reconciling against the vendor's own dashboard

**Where to look:**

Vortex IQ-derived analytic; no native Oracle equivalent.

## Known limitations / merchant FAQs

**Carrying rate by industry?**
Apparel 25-35% / yr, electronics 20-25%, industrial 15-20%, grocery 30-40% (perishability).

**Configurable rate?**
Yes per workspace.

***

### Tracked live in Vortex IQ Nerve Centre

*Inventory Carrying Cost* 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.
