Abstract: Systems and methods systems and methods for allocating inventory in a fulfillment network are disclosed. In some embodiments, a method may include identifying orders fulfilled by a fulfillment center, where each of the identified orders specifies one or more of a plurality of items. The method may also include determining, for each identified order, a probability that the identified order will occur in the future and calculating, for each identified order, a cost savings. Items may then be selected based, at least in part, upon the determined probability and cost savings of each identified order. Additionally or alternatively, a method may include, for a selected item, receiving a customer demand forecast, determining a bind factor, and calculating a target inventory for the selected item to be stored in the fulfillment center based, at least in part, upon the customer demand forecast and the bind factor.