Program purchase work flow

Products are selected when the Purchase Entry Program Purchase Report is run, based on the ranges entered. Products or product lines that are specified on the Options page override the ranges specified on the Ranges page. Options and ranges can limit the report to specific product lines, central warehousing and buying groups, or specific products.

Calculating how much to buy is determined by the options that are entered. Future usage is forecast in stocking units and in the target type, based on historical demand. Available inventory may be deducted from the purchase quantity.

After calculating all warehouse demand for all qualifying items for the first period, the total is calculated based on the target type and then compared to the target. Target types are Program Buy, Seasonal Buy, or Period Buy. If the total is below the target, another period is calculated until the target is reached or exceeded. If the target is not reached after calculating twelve periods, the program stops and the shortage is reported.

If the target is reached, any discounts are applied and the price is calculated. Rounding is applied based on the buying unit of measure.

The final forecast usage and purchase quantity is reported, along with totals in stocking units. Target units and variance from the target is also reported.