Business Terms Dictionary

Top of Yellow (TOY)

The upper limit of the Yellow Zone in a DDMRP buffer, calculated as the sum of the Red Zone and Yellow Zone. © Copyright 2025 Demand Driven Institute. Used with permission.

What is it used for?


The TOY is a key replenishment trigger in Planning Buffers—when the Net Flow Position drops below this level, a supply order should be generated to restore inventory levels.


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Replenishing stock too soon or too late can disrupt flow. ForgeFlow Cloud ERP ensures that replenishment is only triggered when the Net Flow Position falls below the TOY, preventing unnecessary orders while keeping inventory aligned with actual demand. This minimizes stockouts and excess inventory, improving overall supply chain efficiency.
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