Inventory Planning and Analysis

You can use Inventory Planning to review all planned inventory transactions and handle inventory commitments.

  • Planned inventory transactions

    Any requirements for inventory issues, receipts, transfers, or item transfers originated by other packages, result in planned inventory transactions in Inventory Planning. When the planned inventory transactions result in actual inventory transactions, a warehousing order is generated.

  • Inventory commitment

    Inventory commitment allows you to reserve inventory for specific orders. Inventory commitments can be cancelled. You can also use the allocation and hard pegging to allocate inventory to orders, provided that this functionality is in use at your organization.

  • Order Controlled/Single setup and order generation

    Order Controlled/Single is a demand-pull system that regulates the supply of items to shop floor warehouses. A production order for a specific product pulls the required items from a supply warehouse to the shop floor warehouse. A direct link is established between the production order for which the items are required, and the warehousing order that regulates the supply of the required items to the shop floor warehouse.

  • Generate order advice (SIC)

    You can use order advice (SIC) to replenish purchased and manufactured items based on the order horizon and reorder point. Order advice (SIC) is used for replenishment on item level. For replenishment on warehouse level, you can use (TPOP) orders.

  • Generate orders (TPOP)

    You can use order advice (TPOP) to replenish items for a specific warehouse based on a time-phased supply system within an order horizon. The orders are generated based on the safety stock and projected on hand of the item and warehouse combination.

  • Kanban

    You can use supply system Kanban to replenish items for a warehouse. For each warehouse and item combination, you can manually specify or calculate the number of kanban signals used in the kanban loop.

    You can also implement the use of kanban order advice, which is to be confirmed before a kanban order can be created. Kanbban order advice generated from multiple kanban signals for the same item and supply source can be grouped into a single order advice.

  • ABC analysis

    ABC analysis is the logistic method of inventory valuation. ABC analysis categorizes the items based on the level of priority and the quantity of their usage.

  • Slow-moving analysis

    A slow-moving analysis is another method of inventory valuation. Slow-moving analysis calculates the turnover rates that are compared with the slow-moving percentage. This calculation results in a classification of items into ten categories in which the best category has the highest ratio of actual issue/inventory on hand.

  • Demand forecast calculation for each period

    The level of demand that is expected in future periods. The demand forecast is based on historical demand data and can be used to determine the optimal safety stock and reorder point.

    These are the available demand forecast methods:

    • Moving Average
    • Exponential Smoothing
    • Previous Year's Calculation
    • Last Period's Demand