Product Replenishment Setup - Ranking - Detail Rank field descriptions

Fields are presented in alphabetical order within each section.

Click the links to access field descriptions for that section:

Minimum/Maximum Lead Time Safety Adjustment

Ranking Detail Based On

Minimum Hits

This field displays if the ranking method isNumber of Hitsin Product Replenishment Setup - Ranking view. Specify the minimum number of hits that must be met within the ranking period for the selected rank level. This minimum must be specified in descending order starting with rank A. The system validates the descending order (where each value is less than the previous one) before you can exit this window.

For example, you may decide that there must be a minimum number of hits of 24 within 12 months (your ranking months set on the Ranking window) for a product to be ranked as an A product. Next, you select rank level B and enter 12. Products with 12 to 23 hits in 12 months will be ranked as B products.

The minimum number of hits for each rank level can be set for the company and warehouse records only. If the minimum hits for the warehouse record is 0, the minimum hits at the company level is used.

Rank Level

The number of ranks defined on the Ranking window determines the number of records in the grid. When you select a record (rank level) from the grid, the rank level you selected displays in this field.

Rank %

If you choose to rank products based on a percentage of hits in Product Replenishment Setup - Ranking, specify a percentage for each rank. Select a rank level from the grid to specify percentage of hits that should apply to this rank. The total percentage of all ranks must equal 100 before you can exit the Detail Ranking window. This setting can be made at the company and warehouse record level only.

Note: You can specify a rank percent of 0 when you are setting up the warehouse record level if you have set up a company record with a valid rank percent. If your warehouse rank percent is 0, the rank percent at the company level is used.

Usage Rate Calculation

Usage Months: Specify the number of months, up to 12, to use to calculate usage rate. This number applies to each rank. The usages months are used during Product Administration Month End Processing to determine average usage rate. The usage months you specify here are used if the Perform Detail Ranking Functionality option on the Ranking window is set to yes, and the Product Warehouse Products Setup - Ordering Usage Frozen option is not selected. The usage months in Product Warehouse Products Setup - Ordering for products that fall within this rank are updated with this value.

Minimum/Maximum Lead Time Safety Adjustment

Maximum Vendor Lead Time

Specify the maximum value for lead time and choose the safety allowance type: %, Days, or Ignore. Choose % to enter a percent in the following field. Choose Days to enter a number of days. Choose Ignore to not adjust the safety allowance based on lead time maximums.

Maximum Vendor Safety

Specify the maximum lead time, considered to be normal, where the safety percentage should be applied for products that fall within the selected rank. If the lead time on an order or warehouse transfer is greater than this setting, the safety allowance value in the Lead Time Maximum Vendor Safety Amount is used. If lead time days are less than the value you enter here, but greater than the lead time maximum, the mid-level lead time adjustment is made.

Specify 0 in this field and 999 in the Lead Time Minimum field to always use the safety percentages entered in the following fields.

Note: Make sure that your lead time override setting in Product Replenishment Setup - Lead Time does not conflict with this safety adjustment. During Product Administration Month End Processing, the lead time override is performed before the lead time safety adjustment. If the maximum lead days are adjusted to a value less than the lead time maximum safety days, the maximum safety adjustment will never take place.

Maximum Warehouse Safety

The percentage or number of days (depending on your selection in the set ARP Whse Safety field) you want to adjust the safety allowance to.

Maximum Warehouse Safety Lead Time

The maximum lead time, considered to be normal, where the number of days or safety percentage should be applied for products that fall within the selected rank. If the lead time on an order or warehouse transfer with a warehouse ARP is greater than this setting, the safety allowance value in the following field is used. If lead time days are less than the value you enter here, but greater than the lead time maximum, the mid-level lead time adjustment is made.

Specify 0 in this field and 999 in the If Lead Time is less than field to always use the safety percentages entered in the following fields.

Minimum Vendor Lead Time

The percentage or number of days (depending on your selection in the Lead Time Minimum Vendor Safety Type field) you want to adjust the safety allowance to, if it falls below the Lead Time Minimum.

Minimum Vendor Safety

The minimum number of days within which lead time must fall (the lower limit of the normal range). If lead time days on an order with a vendor ARP is less than this minimum, the safety allowance defined in the Type and Amount fields will be used. If lead time days are greater than the value you specify here, but less than the lead time maximum, the mid-level lead time adjustment is made.

Specify 999 in this field and 0 in the Lead Time Maximum field to always use the safety percentages entered in the following fields.

Note: Make sure that your lead time override setting in Product Replenishment Setup - Lead Time does not conflict with this safety adjustment. During Product Administration Month End Processing, the lead time override is performed before the lead time safety adjustment. If the minimum lead days are adjusted to a value greater than the lead time minimum safety days, the safety adjustment never takes place.

Minimum Warehouse Safety

The percentage or number of days (depending on your selection in the Lead Time Minimum Warehouse Safety Type field) you want to adjust the safety allowance to, if it falls below the Lead Time Minimum.

Minimum Warehouse Safety Lead Time

The minimum number of days or percent within which lead time must fall (the lower limit of the normal range). If lead time days or percent on an order or warehouse transfer with a warehouse ARP is less than this minimum, the safety allowance defined in the following fields are used. If lead time days or percent are greater than the value you enter here, but less than the lead time maximum, the mid-level lead time adjustment will be made.

Specify 999 in this field and 0 in theIf Lead Time is greater than field to always use the safety percentages entered in the following fields.

Make sure that your lead time override setting in Product Replenishment Setup - Lead Time does not conflict with this safety adjustment. During Product Administration Month End Processing, the lead time override is performed before the lead time safety adjustment. If the minimum lead days are adjusted to a value greater than the lead time minimum safety days, the safety adjustment will never take place.

Note: For the Product Replenishment Setup record to be used at a certain level, the related ARP safety fields must contain values. For example, if the ARP is a warehouse, enter values in the eight fields that relate to a warehouse ARP. Otherwise, the system looks for a hierarchy until it finds a level with all fields loaded.

Set Maximum Vendor Safety

Specify the safety allowance type. Specify % if the value you enter in the Lead Time Maximum Vendor Safety Amount field is a percentage. Specify Days if it is a number of days. Specify Ignore if you do not want to adjust the safety allowance based on lead time maximums.

Set Maximum Warehouse Safety

Specify the safety allowance type: %, Days, or Ignore. Choose % if the value you entered in theIf Lead Time is greater than field is a percentage. Choose Days if it is a number of days. Choose Ignore to not adjust the safety allowance based on lead time maximums.

Set Minimum Vendor Safety

Specify the minimum number of days or percent within which lead time must fall (the lower limit of the normal range). If lead time days or percent on an order or warehouse transfer with a vendor ARP is less than this minimum, the safety allowance defined in the following fields will be used. If lead time days or percent are greater than the value you enter here, but less than the lead time maximum, the mid-level lead time adjustment will be made.

Choose the safety allowance type: %, Days, or Ignore. Choose % to enter a percent in the following field. Choose Days to enter a number of days. Choose Ignore to not adjust the safety allowance based on lead time minimums.

Note: For the Product Replenishment Setup record to be used at a certain level, the related ARP safety fields must contain values. For example, if the ARP is a vendor, enter values in the eight fields that relate to a vendor ARP. Otherwise, the system looks for a hierarchy until it finds a level with all fields loaded.

Set Minimum Warehouse Safety

Specify the safety allowance type. Choose % if the value you enter in the Lead Time Minimum Warehouse Safety Amount field is a percentage. Choose Days if it is a number of days. Choose Ignore if you do not want to adjust the safety allowance based on lead time minimums.

Set Vendor Safety

To define a mid-level range, specify the safety allowance type (%, Days, or Ignore) from the drop-down field to be used when the lead time falls between the minimum and maximum days for orders with a vendor ARP. This option indicates whether the lead time days or percent entered in the following field are equal to or greater than the minimum lead time days, or equal to or less than the maximum lead time days. Choose Ignore to not adjust the safety allowance when lead time falls within the minimum and maximum lead time days.

Your setting for this mid-level range should be different for each rank level. Rank A products may require a safety allowance equivalent to 50% or lower. Lower ranking products may need a higher safety allowance adjustment.

Set Warehouse Safety

To define a mid-level range, specify the safety allowance type (%, Days, Ignore) to be used when the lead time falls between the minimum and maximum days for orders or transfers with a warehouse ARP. Choose % if the value you enter in the following field is a percentage. Choose Days if it is a number of days. Choose Ignore to not adjust the safety allowance when lead time falls within the minimum and maximum lead time days.

Vendor Safety

The percentage or number of days (depending on your selection for the If Lead Time falls within Min/Max, set ARP Vendor Safety field) you want to adjust the safety allowance to, if it falls in the range between the minimum and maximum vendor settings.

Warehouse Safety

The percentage or number of days (depending on your selection in If Lead Time falls within Min/Max LT, set ARP Whse Safety field) you want to adjust the safety allowance to, if it falls in the range between the minimum and maximum warehouse settings.

PO Receipt Safety Exceptions

Maximum Safety %

Specify the maximum percentage of safety quantity required when comparing the current receipts and the majority of receipts of products that qualify for the selected rank. During Purchase Receipt of Inventory Entry, the safety quantity is checked to see if it falls above this maximum when compared to the net available.

Past receipts for the period defined in the PO Receipts, and Safety Months fields are also reviewed for this maximum safety threshold. If this receipt and the specified number of past receipts fall outside the maximum range, an exception is reported.

The recommended maximum safety percentage is 75%. Anything higher than that could result in excess inventory and fewer turns.

Minimum Safety %

Specify the minimum percentage of safety quantity remaining for which you want to review current and past receipts. During Purchase Receipt of Inventory Entry, the safety quantity is checked to see if falls below this minimum percentage when compared to the net available.

For example, if the safety quantity in Product Warehouse Products Setup > Costs is 100, and the sales net available when the product is received is 20, and the minimum safety percentage is 25%, an exception would occur. The safety percentage that is compared to the minimum safety percentage is calculated as:

Net Available, Safety Allowance Quantity * 100 = Safety % OR

20¸ 100 * 100 = 20%

20% falls below the minimum, indicating the safety allowance is too low and should be reported.

Past receipts for the period defined in the Number of PO Receipts, and Safety Months fields are also reviewed for this minimum safety threshold. If this receipt and the specified number of past receipts fall outside the minimum range, an exception is created.

The recommended minimum safety percentage is 25%. Anything below that could result in a stock out and negatively impact service. However, for slower moving products (lower ranked), you may want to set a higher safety minimum because it is harder to predict lead time and customer demand.

PO Receipts

Specify the number of purchase order receipts to be reviewed, along with the current receipt, to determine if an exception should be created. If a product within this rank does not have this many receipts within the specified number of months, no exception is generated. A maximum of 25 receipts is allowed in this field. This should reflect an adequate number to show a reliable pattern. The recommended number is from 8 to 12.

When defining this for your lower ranked products, you may want to enter a lower number of receipts. Lower ranked products experience fewer inventory turns, therefore, fewer receipts.

Safety Months

Specify the number of preceding months to use to review PO receipts. Specify 12 or fewer months, preferably 6, to use data that is reflective of current receiving trends.

Safety Majority

Specify the number of receipts to use to determine the majority of receipts that fall outside the min/max safety percentages defined. You must specify a number less than the number specified in the PO Receipts field.