Inventory Replenishment Parameters
You can set up inventory replenishment parameters for your items. The inventory replenishment parameters must be regularly maintained; the calculated demand must be reviewed to avoid unnecessary purchases.
To set up inventory level controls:
To set up inventory level controls:
- Go to Warehouse and delivery > Inventory replenishment parameters workplace.
- Select the Warehouse.
- Choose the workplace modes:
- If the Valid parameters mode is chosen, the system:
- Automatically adds goods for which the stock is maintained in the warehouse.
- Shows current inventory level controls.
- Shows current parameters of inventory level control.
- If the Edit recommendations mode is chosen, the system automatically provides:
- List of recommended items to maintain their stock in the warehouse.
- Recommended inventory level controls.
4. If there are no goods on the tabular section, add them manually by clicking Add items > Pick manually.
5. To differentiate inventory level control parameters for the exact item variant, select the item, then click Group → Set individual parameters for variants. In the opened form, select the Item variant.
6. Double-click the Inventory replenishment column for the product you want to set up.
7. Select the needed Inventory replenishment method:
7. Select the needed Inventory replenishment method:
- Min – Max. Use this method for materials for which there are no reliable consumption statistics, and the current statistics should not affect the calculation of demand. The system will automatically track the moment if the current stock in the warehouse is less than the minimum stock or equal to the minimum stock. If this event occurs, the system will automatically generate a material requirement equal to the difference between the maximum stock and the current stock.
- Average daily consumption method. Use this method for materials for which a fixed daily rate of consumption is determined. The system will automatically calculate the minimum and maximum inventory for each item. If the current stock in the warehouse is less than or equal to the minimum stock, the system will automatically generate a material requirement equal to the difference between the maximum stock and the current stock.
- Calculation by statistics. Use this method for materials for which there are reliable and regular statistics on the consumption of materials and the deviation from the calculated consumption on different days is insignificant. The system will automatically calculate Average daily consumption, minimum and maximum inventory for each item. The system will use statistics on the consumption of materials as average daily consumption. If the current stock in the warehouse is less than or equal to the minimum stock, the system will automatically generate a material requirement equal to the difference between the maximum stock and the current stock.
8. Depending on the selected method, specify the relevant data:
- Minimum inventory. If this quantity of items is reached in the warehouse, the system will generate a demand for the material.
- Maximum inventory. The number of items in the warehouse immediately after the planned replenishment of the stock.
- Consumption rate per day. The number of materials consumed in one day.
- Safety stock. The number of materials in stock below which inventory should never fall.
9. Select the Demand calculation option:
- Supply from stock. In this case, if there is a new order, you can fulfill it using available stock and expected goods receipts. Stock balance is considered to be everything you have in stock, including reserved goods.
- Supply regardless of inventory level control. If there is a new order, you can fulfil it using surpluses and expected goods receipts if they form a surplus. Stock balance is considered to be only available stock, excluding reserved goods.