To compute distribution order quantities

When Enterprise Planning carries out distribution planning, the volume that is planned for a supplying relationship depends on the value of the Allocation Rule field in the Supply Strategy (cprpd7120m000) session.

The resulting volume is checked against the lot sizing rules. The ordered quantity can be divided over multiple distribution orders as a result of the lot sizing. See Lot sizing.

Percentage

If the Allocation Rule field is Percentage, the calculation proceeds as follows:

 OQ = min(REQ, RQ x	 PE / 100.0)

Where:

OQ	ordered quantity
REQ	remaining quantity
RQ	originally required quantity
PE	percentage

The percentage is defined in the Percentage field in the Supplying Relationships (cprpd7130m000) session.

If a supplying relationship consists of two or more lines of which the validity period (partially) overlaps, LN must rescale the percentages of the corresponding lines if that total is not equal to 100%.

Example

A supplying relationship consisting of three lines exists for Item X in warehouse D:

Receiving item	Supplying item	In warehouse	Percentage	Period
Item X		D	-	-
	Item X	B	80%	1/1/2003 to 7/1/2003
	Item X	C	70%	7/1/2003 to 12/31/2003
	Item X	A	30%	1/1/2003 to 12/31/2003

A demand of 100 pieces placed on item X in warehouse D in the period from 1/1/2003 to 7/1/2003 results in:

Delivery of 73 pieces from warehouse B to warehouse D: (0.8 * 100)/(0.8 + 0.3)
Delivery of 27 pieces from warehouse A to warehouse D: (0.3 * 100)/(0.8 + 0.3)

The same demand in the period from 7/1/2003 to 12/31/2003, results in:

Delivery of 70 pieces from warehouse C, that is, 70% of 100 pieces.
Delivery of 30 pieces from warehouse A, that is, 30% of 100 pieces.

For the demand of 100 pieces placed on item X in warehouse D in the period from 7/1/2003 to 12/31/2003, LN does not have to rescale the percentages of the lines of the suppling relationship, because they total exactly 100%.

Percentage/Capable

If the Allocation Rule field is Percentage/Capable, the calculation proceeds as follows:

The same formula as above with the following addition:

 OQ = min(OQ, MQ)

Where:

MQ	maximum quantity that can be ordered

Capability

If the Allocation Rule field is Capability, the calculation proceeds as follows:

 OQ = min(MQ, REQ)

Note

LN determines the maximum quantity that you can order from a supplying cluster by using capable-to-promise techniques.