Inventory commitment date calculation

LN determines the inventory commitment date based on the planned delivery date and the total inbound lead time or the total outbound lead time.

If the total inbound lead time exceeds the total outbound lead time, LN calculates the inventory commitment date with the following formula:

inventory commitment date = planned delivery date - total inbound lead time.

If the total outbound lead time exceeds the total inbound lead time, LN calculates the inventory commitment date with the following formula:

inventory commitment date = planned delivery date - total outbound lead time
Inbound lead time determination

The total inbound lead time is the total time needed to acquire the item.

For purchased items the total inbound lead time is the sum of the following:

  • Inbound lead time.
  • Extra lead time.
  • Item supplier safety time.
  • Item lead time (supply time).

For manufactured items the total inbound lead time is the sum of the following:

  • Inbound lead time.
  • Extra lead time.
  • Routing lead lime.
Outbound lead time determination

The total outbound lead time is the sum of the following:

  • Outbound lead time.
  • Item safety time.
Lead time sources
Lead TimeSource
Outbound Lead TimeWarehouse - Item (whwmd2110s000)
Inbound Lead TimeWarehouse - Item (whwmd2110s000)
Extra Lead TimeItems - Planning (cprpd1100m000)
Safety Lead Time
  • Item - Ordering (tcibd2100s000) if the Use Item Ordering Data check box in the Warehouse - Item (whwmd2110s000) session is selected.
  • Warehouse - Item (whwmd2110s000) if the Use Item Ordering Data check box in the Warehouse - Item (whwmd2110s000) session is cleared.
Safety TimeItem - Purchase Business Partner (tdipu0110m000)
Supply TimeItem - Purchase Business Partner (tdipu0110m000)
Order Lead TimeItems - Production (tiipd0101m000)
Commitment Lead Time FactorSales Order Parameters (tdsls0100s400)
Commitment Lead Time Constant (Hours)Sales Order Parameters (tdsls0100s400)

 

Calendar sources

When LN offsets the different lead times to calculate the inventory commitment date, LN takes into account the calendars that are related to the lead times. The following table shows the calendars used.

Lead TimeCalendar
Outbound Lead Timewarehouse calendar, if not available the enterprise unit calendar, otherwise the company calendar.
Inbound Lead Timewarehouse calendar, if not available the enterprise unit calendar, otherwise the company calendar.
Extra Lead Timeenterprise unit calendar
Safety Lead Timeenterprise unit calendar
Safety Timewarehouse calendar, if not available the enterprise unit calendar, otherwise the company calendar
Supply Timeship-from business parter calendar, otherwise the company calendar.
Order Lead Timeenterprise unit calendar, otherwise the company calendar.
Commitment Lead Time Constant (Hours)warehouse calendar, if not available the enterprise unit calendar, otherwise the company calendar.

 

  • The warehouse calendar is specified in the Warehouses (whwmd2500m000) session.
  • The enterprise unit calendar is specified in the Enterprise Units session.
  • The company calendar is specified in the Companies (tcemm1170m000) session.
  • The ship-from business partner calendar is specified in the Ship-from Business Partners (tccom4121s000) session.
Inventory commitment date for sales orders

In case of a purchased item, LN calculates the total inbound lead time for sales orders as follows:

total inbound lead time = commitment lead time factor * total inbound lead time for purchased item + commitment lead time constant

In case of a manufactured item, LN calculates the total inbound lead time for sales orders as follows:

total inbound lead time = commitment lead time factor * total inbound lead time for manufactured item + commitment lead time constant

LN calculates the total outbound lead time for sales orders as follows:

total outbound lead time = commitment lead time factor * total outbound lead time + commitment lead time constant
Inventory commitment date for service orders

In case of a purchased item, LN calculates the total inbound lead time for service orders as follows:

total inbound lead time = total inbound lead time for purchased item + planning horizon in days

In case of a manufactured item, LN calculates the total inbound lead time for service orders as follows:

total inbound lead time = total inbound lead time for manufactured item + planning horizon in days

LN calculates the total outbound lead time for service orders as follows:

total outbound lead time = total outbound lead time + planning horizon in days

Related topics