Setting global parameters for perpetual items

A basic analysis is performed if there are issues, or usage, on a few days. A more extensive simulation is performed when backed by additional data. In both cases, items with less than a certain minimum days of history are treated separately.

Use this procedure to specify global parameters for perpetual items.

  1. Sign in as Application Administrator or Supply Management Administrator.
  2. For Application Administrator, select Supply Management > Inventory Intelligence > Configuration.
    For Supply Management Administrator, select Inventory Intelligence > Configuration.
  3. Select the Perpetual Global tab.
  4. Specify this information:
    Minimum On Hand Time Period Cutoff (Weeks)
    Specify the minimum on hand time period cutoff in weeks. Part of the analysis is completed over a large window of time. For example, 52 weeks. But the most recent period, for example 10 weeks of history, is important for determining the minimum amount that was on hand.
    Minimum Issue Days To Qualify For Analysis
    Specify a value for the minimum number of days an item must be used to qualify for analysis.
    Minimum Issue Days To Qualify For Simulation
    Specify a value for the minimum number of days an item must be used to qualify for simulation.
    Minimum Days Of History
    Specify the minimum number of days the item must be in history to qualify for simulation.
    Reorder Point Offset (Units)
    Specify a reorder point offset value. Because an order is triggered when inventory reaches the Reorder Point, it is useful for the target to be at least 1 unit higher. This can be overridden.
    Floor Multiplier
    Specify a floor multiplier value. We recommend that you keep the reorder point at or above a minimum floor value, calculated from historical data. Set the reorder point to 0 to disable. Leave it at 1 to use the calculated value. You can set it to a decimal value to adjust it more precisely. For example, 1.25 is 25% above the floor, 0.75 is 25% below the floor.