Min Max Planning

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Min Max Planning

What is Min Max Planning?  specify

minimum and maximum inventory levels for your items.  Minimum = “order point”.  Maximum = "order up to" .  When the inventory level for an item drops below the minimum, Oracle Inventory suggests a new purchase requisition, internal requisition, or job to bring the balance back up to the maximum.



Purchase Requisition: 



Internal Requisition: 



Item=Buy Source =Supplier Item=Buy Source =Org/Subinventory

Job:

Item=Make

 Inventory

Level = (on-hand quantity demand) + (quantity on-order) .  Where: 



Demand = unreserved sales orders + reserved sales orders + WIP component demand On-Order Qty = open PO + Requisitions + WIP jobs

 TIMING

OF ORDERS Inventory Level < minimum quantity

 QUANTITY

OF ORDERS

Order quantity = Maximum Qty – Inventory Level

 Performed

by running the Min-Max Planning

report.  Can perform at 2 levels:  

Organization Subinventory

 NOTE:-

Subinventory level planning cannot generate jobs and does not consider WIP jobs as supply or WIP components as demand

 Org 

Level

Uses item attribute planning modifiers

 Subinventory 

Level

Uses values and parameters set at the item/subinventory level.

Set Up Item Attributes:        

Inventory Item Stockable Costing enabled Inventory Asset Value Purchased Purchasable List Price (if Buy item) Inventory Planning Method: Set to Min-Max

Org Level Set Up In Item General Tab,Enter:  Min-Max

Minimum Quantity  Min-Max Maximum Quantity  Source Type   

Inventory Subinventory Supplier

Subinventory Level Set Up 

values can be set using either the Subinventory Items or the Item/Subinventories windows:    

Min-max minimum quantity Min-max maximum quantity Planning method set to Min-max planning Item sourcing details   

Inventory Subinventory Supplier

Run Min Max Planning Report Process

•Items Under Minimum qty •Items Over maximum qty •All Min Max Items

= On hand + Supply + demand

 Now

Go To Purchasing  Run Requisition Import Process  Go To Requisition Summary Window

Your Requisition No.

Auto Create The PO and follow the P2P cycle.

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