To compute the projected inventory
The projected inventory, which is displayed in the Item Master Plan (cprmp2101m000) session, shows the inventory level as it is expected on the basis of the previous inventory, the expected demand, and the planned supply.
The total planned supply for a plan period is displayed in the Total Receipts field in the Item Master Plan (cprmp2101m000) session, and is equal to the sum of:
- Production plan
- Planned production orders
- Scheduled production receipts
- Purchase plan
- Planned purchase orders
- Scheduled purchase receipts
- Planned distribution orders
- Scheduled distribution receipts
The total expected demand is equal to the sum of:
- Nonconsumed demand forecast
- Customer orders
- Dependent material demand
- Dependent scheduled demand
- Dependent distribution demand
For the current plan period and each subsequent period, the projected inventory is computed as follows:
Projected inventory of previous period | |
+ | total planned supply |
- | total expected demand |
Note For the current plan period, there is no previous projected inventory. Instead, the inventory on hand is used.