Confirm planned orders based on lead time
This topic describes how you can confirm planned orders in such a way, that only those orders which are about to start will be confirmed, taking the order lead times into account.
A confirmed planned order is ready to be transferred to the execution level.
Introduction
You must carefully select which planned orders you confirm:
- If you confirm planned orders whose start date lies far in the future, you lose flexibility; if the demand situation changes after the planned orders were confirmed, you may need to perform additional actions to adjust the plan.
- If you confirm planned orders too late, execution starts too late for the planned orders to complete in time. This risk is more pronounced for planned orders with long order lead times, that is, the planned orders that take a long time to complete.
Within Order Lead Time Only
In the Confirm Order Planning (cprrp1200m000) session, you can select planned orders based on their lead time.
You can adjust this process by entering a multiplier in the Order Lead-Time Multiplier field. If you use this option, a planned order is confirmed only if the planned start date lies before the following moment:
current date + (order lead time * order lead-time multiplier)Production orders and purchase orders
For planned production orders and planned purchase orders, the lead time is specified in the following fields:
| Type of order | Session | Field |
|---|---|---|
| Planned production order | Item - Production (tiipd0101m000) | Order Lead Time |
| Planned purchase order | Item - Purchase | Supply Time |
Planned distribution orders
For planned distribution orders, you can choose the following methods to determine the order lead time:
Supplying Item
The order lead time is defined as the time to manufacture or purchase the supplying item. This order lead time is defined in the Item - Production (tiipd0101m000) or Item - Purchase sessions respectively.
The supplying item can be defined in another company – the supplying company.
Supply Lead Time
The order lead time is defined as the distribution lead time. The calculation of the distribution lead time depends on whether you specified a carrier for the supplying relationship in the Supplying Relationships (cprpd7130m000) session. For more information, refer to Distribution Lead-time Calculation.