Understand Inventory Replenishment Processing

Transcription

1 During EOD processing, inventory processing occurs first for warehouses that have During EOD processing, inventory processing occurs first for warehouses that have warehouses. Then it is done for warehouses that replenish other warehouses. warehouses. Then it is done for warehouses that replenish other warehouses. During on-demand processing, processing occurs for a selected warehouse During on-demand processing, processing occurs for a selected warehouse only; only products that meet the selected on-demand criteria (vendor, product class, product type, ABC only; only products that meet the selected on-demand criteria (vendor, product class, product type, ABC code, and miscellaneous sort code) are considered for inventory. code, and miscellaneous sort code) are considered for inventory. Also note that during processing, the system processes products that supersede other Also note that during processing, the system processes products that supersede other products last after all other products have been processed. products last after all other products have been processed. Inventory is replenished only in warehouses that carry sellable inventory not in warehouses that carry Inventory is replenished only in warehouses that carry sellable inventory not in warehouses that carry core, warranty, or scrap inventory. core, warranty, or scrap inventory. (A) Determine whether a product should be considered for inventory processing Vision Configuration tab, System Configuration screen, Warehouse folder, Main subfolder product superseded by another product? This product will not be considered for inventory processing. tab, Main screen warehouse a whse? ( it listed as a repl whse for any whse?) Purchasing tab, Purchasing Schedule screen product flagged as discontinued and does it have any reorder points? product fit the purchasing schedule (vendor, product class, product type) for the current day? Return to (A) Determine whether a product should be considered for processing This product will not be considered for inventory processing. (B) Determine the product s current availability 1

2 (B) Determine the product s current availability tab, Main screen product a stock product? Calculate the reorder quantity if the product is a non-stock or special product: Reorder = Backorder On- Calculate the availability of the product: Available = On-Hand Backorder In-Pick Return to (A) Determine whether next product should be considered for processing Does this product supersede only 1 product & are the products interchangeable? this product superseded by another product? Add availability of superseded product to available qty previously calculated. warehouse replenished by another whse? If the superseding product does not currently have reorder points: (1) Copy the reorder points from the original product (the one being superseded) to the superseding product. Vision Configuration tab, System Configuration screen, Warehouse folder, Main subfolder (2) Clear the reorder points of the original product and mark it as temporary and discontinued. If the superseding product does currently have reorder points: (1) Clear the reorder points of the original product and mark it as temporary and discontinued. warehouse have availability? (C) Adjust current availability if excess inventory is considered 2

3 (C) Adjust current availability if excess inventory is considered It is being performed during EOD. stock being run on demand? Should excess inventory be considered? Does the warehouse replenish other warehouses? Vision Configuration tab, System Configuration screen, Warehouse folder, Main subfolder Subtract needed quantity from available quantity previously calculated for the warehouse. Does this warehouse need to order additional quantity so it can replenish warehouses? A product s product class: tab, Main screen re excess inventory in warehouses that this warehouse replenishes? Prohibit excess transfers: Vision Configuration tab, System Configuration screen, Product Information folder, Product Class subfolder Add excess quantity to available quantity previously calculated for the warehouse. product class prohibit excess transfers? (D) Calculate the recommended order amount 3

4 (D) Calculate the recommended order amount available qty < 0 Use the absolute value of the available quantity to recalculate the EOQ: New EOQ = EOQ + Available tab, Main screen EOQ = 0? available qty < linepoint and linepoint > 0? Calculate the recommended order amount: = Linepoint Available tab, Main screen available qty < reorder point and reorder point > 0? Calculate the recommended order amount: = Reorder Point Available = 0 (E) Perform calculations to buy ahead of price increase. 4

5 available qty safety stock qty and safety stock qty > 0? Calculate the recommended order amount: Reorder Linepoint Point = EOQ + + Reorder Point 2 available qty reorder point and reorder point > 0? Calculate the recommended order amount: = EOQ + Linepoint 2 Reorder Point available qty linepoint and linepoint > 0? Calculate the recommended order amount: = EOQ Avail Reorder Point available qty < 0? Calculate the recommended order amount: = 1 X Available Reorder quantity = 0 (E) Perform calculations to buy ahead of price increase. 5

6 (E) Perform calculations to buy ahead of price increase tab, Costs/Prices screen a higher new PO cost set up? Calculate how many days till the PO cost increases. Vendor Master Maintenance, screen 2 Inventory Replenishment Parameter Maintenance. of days till the PO cost increases vendor review cycle? (F) Calculations for Per Car, Master Pack, PO Multiple Calculate the maximum quantity to buy before the price increase (Max BPI): tab, Costs/Prices and Main screens Max BPI = Average Daily Usage Maximum. of Days to X Purchase Ahead of Price Increase Calculate the extra quantity to buy before the price increase (Extra BPI): Extra BPI = 24 X New PO Cost Current PO Cost Current PO Cost Return on Added Investment X % of Contract vs. n-contract Sales 10,000 and then round the answer to the nearest whole number. 6

7 sum of the available qty & the on-order qty > linepoint? Calculate the new Extra BPI: New Extra BPI Extra Avail On-Hand = + Linepoint BPI Extra BPI > Max BPI? Set the Extra BPI equal to the Max BPI and add it to the recommended order quantity. (F) Calculations for per car qty, master pack qty, PO multiple 7

8 (F) Calculations for per car qty, master pack qty, PO multiple tab, Main and UOM screens product have a per car quantity? The system adjusts the recommended order quantity so that the sum of the recommended order quantity and the available quantity is a multiple of the per car quantity. If necessary, the system adjusts the recommended order quantity so that it is a multiple of the PO unit of measure. product have a master pack quantity? If necessary, the system adjusts the recommended order quantity so that it is a multiple of the PO unit of measure. In addition, the system adjusts the recommended order quantity so that it is a multiple of the master pack quantity. te: If the product has a per car quantity and a master pack quantity, it is possible that when the system adjust the recommended order quantity to meet the master pack quantity requirement, the per car quantity requirement may no longer be met. If necessary, the system adjusts the recommended order quantity so that it is a multiple of the PO unit of measure. (G) Create PO for primary vendor or create transfer order from repl whse 8

9 (G) Create PO for primary vendor or create transfer order from repl whse recommended order quantity > 0? Vision Configuration tab, System Configuration screen, Warehouse folder, Main and Inventory Management subfolders this whse replenished by another whse, & is its process type anything other than Field Services? this whse replenished by another whse, & is its process type anything other than Field Services? re excess inventory? Vision Configuration tab, System Configuration screen, Warehouse folder, Main and Inventory Management subfolders product a stock product in the whse? (I) Create excess inventory transfer orders (H) Create transfer orders Create a purchase order for the primary vendor. Return to (A) Determine whether next product should be considered for processing 9

10 (H) Create transfer orders Calculate the availability of the product in the warehouse: Repl Whse Avail = On-Hand Backorder In-Pick reorder quantity Repl Whse Avail? Add the product to a transfer order for the reorder quantity. re some available quantity in the Repl Whse? Add the product to a transfer order for the available quantity. te that the remaining quantity needed is incorporated into the calculation of the warehouse s available quantity. For more info, go to (B) Adjust current availability if excess inventory is considered. The quantity needed is incorporated into the calculation of the warehouse s available quantity. For more info, go to (B) Adjust current availability if excess inventory is considered. Return to (A) Determine whether next product should be considered for processing 10

11 (I) Create excess inventory transfer orders A product s product class: tab, Main screen Prohibit excess transfers: Vision Configuration tab, System Configuration screen, Product Information folder, Product Class subfolder product class prohibit excess transfers? re a linepoint for the product, and is it < available quantity? available quantity > reorder point? product a stock or temporary product in the whse? re at least one reorder point (either safety stock qty, linepoint, or reorder point) with a qty > 0 in the repl whse? Add excess inventory to a transfer order. The inventory is returned to the warehouse. Return to (A) Determine whether next product should be considered for processing 11