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Min Max Planning
Min Max Planning
CONTENTS
Introduction Organization Level Min-Max Planning Setup Run the Min Max Report Subinventory Level Min-Max Planning Setups 5
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Introduction
You can use min-max planning to maintain inventory levels for all your items or selected items. With min-max planning, you specify minimum and maximum inventory levels for your items. When the inventory level for an item drops below the minimum, Oracle Inventory suggests a new requisition or job to bring the balance back up to the maximum. Oracle Inventory performs min-max planning for your items at either the organization level or the subinventory level. When you min-max plan at the organization level, you can optionally include open sales orders and work in process component requirements as demand in the min-max planning calculation. Purchase requisitions for buy items and WIP unreleased jobs for make items for the suggested replenishment quantities can be optionally created. You can then turn these requisitions into purchase orders or internal orders and the unreleased jobs into jobs for the required items. When you min-max plan at the subinventory level, you can optionally include only open sales orders as demand in the min-max planning calculation. Requisitions for the suggested replenishment quantities can be optionally created. Also, subinventory level planning cannot generate jobs and does not consider WIP jobs as supply or WIP components as demand. You can then turn these requisitions into purchase orders or internal orders for the required items.
The following example shows you how Oracle Inventory performs min-max planning. Assume an item has the following quantity values and item attribute settings:
Setup
Create an Item and apply Purchasing Template Enter the List Price in Purchasing Tab Go to General Planning Region
Inventory Planning Method as Min Max Planning Enter the Minim and Max Quantity Enter the Order Quantity Select Source Type if Min Max is Organization Level we can choose Inventory or Supplier Fix Lot Multiplier it the quantity where the Orders are created multiple of Fixed lot Multiplexer With this the Setup is completed If we run the Min Max Report It will Calculate if the Inventory Level is Less than Min Quantity It will raise the Purchase Requisitions Up to the Max Level Calculation Inventory Quantity Min Quantity is Max Quantity is Order Quantity Fixed Lot Multiplexer is Minimum Quantity Maximum Quantity Min Max Planning 60 300 15 100 150 5
Inventory Quantity is Less than 60 it will raise PR up to 300 Quantity To Run the Min Max Report Navigation Planning: Max Planning: Run Min Max Planning
1. Navigate to the Min-Max Planning window. 2. Enter Request in the Type field. 3. Enter Min-max planning report in the Name field. 4. Navigate to the Parameters field. The Parameters window appears. 5. Indicate whether the planning level is set for the entire organization or a specific subinventory. At the subinventory level, the report cannot generate jobs and does not consider WIP jobs as supply or WIP components as demand. If you select Subinventory, enter the name of the subinventory. 6. Indicate the type of item to include on the report. You can report on items under the minimum quantity, items over the maximum quantity, or all min-max planned items. 7. Enter the category set for the report. 8. You can optionally restrict the report to a range of categories, item, planners, or buyers. 9. Enter the sorting criterion for the report. You can choose to sort by inventory item, category, planner, or buyer. If you choose Category, enter the category set. 10. Enter the demand cutoff date and, optionally, the demand cutoff date offset. The report includes demand on or before this date. If you do not check Net Demand this calculation is for display purposes only.
11. Enter the supply cutoff date and, optionally the supply cutoff date offset. The calculation includes open supply orders on or before this date. 12. Enter Yes or No to indicate whether to restock. If you have set the Planning Level to Organization, the report generates requisitions or jobs according to the item's Make/Buy flag. If you have set the Planning Level to Subinventory, the report generates only requisitions. 13. If you are using the Organization Planning Level, choose one of the following For Repetitive Item options: Create Requisitions for items under minimum quantity, Create Discrete Jobs for items under minimum quantity or run the Report Only without creating jobs or requisitions. 14. Enter the default delivery location. 15. Indicate whether to net reserved and unreserved orders. 16. Indicate whether to Net WIP Demand in the available quantity calculation. Net demand is the unshipped sales quantity for the selected organization or subinventory. You cannot set this to Yes if you are using subinventory level planning. 17. Indicate whether to include PO, WIP, and Interface supply and non-nettable subinventories. 18. Choose one of the following Display Format options: Display All Information, Don't Display Supply/Demand Details (The report does not display the Minimum Order Quantity, Maximum Order Quantity, and Multiple Order Quantity columns.), or Don't Display Order Constraints (The report does not display the On Hand Quantity column). 19. Indicate whether to to Display Item Information. 20. Choose the Submit button to launch the report.
Note: It will update the PR Details in Requisition Import table but it wont raise any PR we need to Run the Requisition Import to raise the PR Login to PO Responsibility Submit a New Request Min Max Planning 8
It Generated 2 Lines each 150 because our Order Quantity Level is 150
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When you min-max plan at the subinventory level, Oracle Inventory looks at inventory balances, purchase order and internal order supply, and optionally, sales order demand for a single subinventory only. In addition, rather than using item attribute planning modifiers, Oracle Inventory uses values and parameters set at the item/subinventory level. To perform min-max planning at the subinventory level, you establish the following values at the subinventory level using either the Subinventory Items or the Item Subinventories windows:
Navigate
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Click On Item/Subinventory
Select the Item and Enable the Min Max Planning Enter the Min and Max Qty Go to Order Modifiers Enter the Fixed Lot Multiple, Min Order Qty and Max Order Qty Min Max Planning 12
Sourcing Tab
Lead Time is not mandatory for Min Max Planning Save the Changes Make a miscellaneous Receipt because the Subinventory Min Max Planning generates Move Orders. Make a sufficient Qty in any one or our Subinventory in the same Inventory Org Navigation Inventory: Transactions: Miscellaneous Transaction Min Max Planning 13
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The Quantity in Our Subinventory Is Less than Min Qty it will trigger the Min Max Plan and generates the Move Orders for Max 120 Qty Inventory Qty Min Qty Max Qty Order Modifiers Min Order Qty Max Order Qty Fixed Lot Multiple6 Min Max Planning 24 120 18 30
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Check On-hand Qty Navigation On-hand Availability : On-hand Qty Query the Item
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