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.