1. What is Backlog?

Backlog refers to the number of orders or tasks that have been received but not yet completed or fulfilled. It's a key metric in operations management, project management, and service industries.

2. How to Calculate Backlog

The backlog is calculated using this simple formula:

Where:

• Orders Received — Total number of orders or tasks received
• Orders Fulfilled — Number of orders or tasks completed

Explanation: The formula shows the difference between what has been requested and what has been delivered.

3. Importance of Backlog Calculation

Details: Tracking backlog helps organizations understand their capacity constraints, identify bottlenecks, and improve delivery times. It's crucial for resource planning and customer satisfaction.

4. Using the Calculator

Tips: Enter the total number of orders received and the number of orders fulfilled. Both values must be non-negative numbers.

5. Frequently Asked Questions (FAQ)

Q1: What does a negative backlog mean?
A: A negative backlog typically indicates you've fulfilled more orders than you've received, which might mean you're working from inventory or had cancellations.

Q2: How often should backlog be calculated?
A: This depends on your business cycle - daily for high-volume operations, weekly or monthly for others.

Q3: What's a good backlog number?
A: There's no universal "good" number - it depends on your capacity. The important thing is the trend over time.

Q4: How is backlog different from inventory?
A: Backlog represents unfulfilled demand, while inventory represents unsold products you already have.

Q5: Can backlog be too low?
A: Yes, extremely low backlog might indicate insufficient demand or overcapacity in your operations.