Requirement Planning Settings

Order Execution Method: an inventory replenishment order is placed for an item when its net available inventory reaches a minimum threshold. The minimum threshold is calculated as follows:

  • Planned Order: Uses planned orders suggested by DemandCaster to explode requirements to components. Primary means of planning.
  • Order Point: Uses a min/max value for an items order point including component items. The item's forecast (based on the item's independent and dependent demand history) for the entire lead time period plus the safety stock value sets the min.

Default Consumption Types: Consumption types are the different methods to calculate supply consumption relative to the demand type. There are 5 consumption type options available. The setting of Stocking Type defines if a forecast is used to set the reorder point of the item during the lead time. The consumption types are described in the article What Are The Different Consumption Types In Requirement Planning.

Reorder point type: Choices are System Calculated and ERP

Stocking Type: Use the stocking type from the ERP or have DemandCaster calculate the stocking designation as part of stocking analysis.

Max: The amount of inventory set for an item at a location (if DRP is enabled) that can not be exceeded when suggesting an order. If forecast drives requirements greater than the max values will result in a constrained supply situation where projected on hand may go negative or below safety stock for a period of time. The options are similar to the safety stock settings. To learn how the max value is applied in requirement planning, read the article Min / Max Replenishment Planning

Setup / Ordering Cost: Basic cost to order value. Used when calculating EOQ values.

Default Window Length: This is the length of the forecast table. Options are Ordering, Planning (based on planning horizon), and 6 months.

Pack calculations mode: There are 3 options:

  • Case pack and cube: A pack consists of a bundle of items and a cube is the volume of a case pack. For example, a carton (case-pack) of eggs consists of 12 eggs. A case cube is the length * height * width of the carton of eggs. The case cube is used when using the containerization functionality in DemandCaster.
  • Case pack only: a bundle of items.
  • None: Applied when there is no case pack or case cube available.

Cost of Inventory Percentage: Percentage used to calculate the cost of carry inventory. When entered, it will influence the EOQ/Kanban calculation as well as other inventory related metrics.

EOQ Deviation Percentage:The percentage the new newly calculated EOQ/Kanban quantity may change before requiring the new calculated quantity to be used. You will see the value in () in the Options tab of the forecast detail for Final EOQ/Kanban Quantity.

Units of measure decimal places: These are options to apply rounding rules to the values of Each, Length, Weight, and Volume. 0 rounds to a whole number value.

Suggested order edit recalculation mode: This sets the rule of how edits to suggested orders affect other orders in DemandCaster. There are two options:

  • Freeze All Buckets: This freezes all suggested orders before and after the edited period regardless of the change made.
  • Freeze Prior Buckets: This freezes all values before the edited suggested order but after the edited period the value changes to re balance inventory.

Suggested orders default due day (weekly bucket planning only): Sets the day of the week a suggested order should be scheduled to arrive. Default is Monday but any day of the week may be scheduled as a default. The scheduled day is also an item based setting to allow items to have their own scheduled default due day. Only applicable in weekly bucketed planning and planning in the planning horizon when daily buckets are enabled.

Weekly to Daily distribution type: Applicable only when daily requirement planning is enabled. This determines how a weekly forecast is split to daily. The options are Evenly or Weighted. Evenly simply takes the weekly forecast and evenly splits it into days. The weighted determines how demand is distributed in a week and splits it based on a weighted calculation.

Weekly to Daily weighted split algorithm: If the weighted options is chosen, the calculation can be based on an average across an entire year or within the specific month.

Include approved suggested orders in feedback loop: Applicable only when feedback loop is enabled in DRP. This option pushes back available inventory and orders from source to destination and up an items BOM to visualize availability of inventory to meet demand.

Push Inventory: Push inventory works with the feedback loop, however, instead of pushing the correct amount of inventory to meet the demand requirement, the system will push all the available quantity of the source to the destination.

Lead Time Cushion: Add a % or weeks above the items lead time. Useful for holiday shutdowns. Best to handle by vendor at the item level.

Constrained supply distribution type: Options are Weighted or Equally

Planner Action Default View: Options are One line per Item or Multiple lines

Lock RP order editing on due dates due today: Prevents orders from being approved and edited when due on the same day of when the requirement plan is run.

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