Economic Order Quantity (EOQ) in Dynamics AX 2012

Dynamics 365 for Finance and Operations/AX Developer Forum
1

Hi. I would like to know if Dynamics AX 2012 has any provision for Economic Order Quantity in inventory planning ?

2

It is the standard order quantity in the default order settings. However it will not calculate this for you.

3

Hi & thanks for the feedback. Is there any way we can make the system calculate it for us?

4

You would need to customize the system to achieve this - and be very careful how you do it.

You can look at the safety stock, this is in the item coverage, and the safety stock journal will calculate a minimum stock holding position based upon usage and lead time etc. However this is a trigger point to then order a “quantity” whilst naturally the EOQ is itself a reference to the quantity to order when the inventory level is zero.

EOQ itself is an old concept and has been superceeded by many more complex inventory replenishment metrics - some of which you can argue are in the safety stock calculation. As the EOQ is generally a calculation based upon annual usage you would need to look at how you get that sort of data referenced by AX, not to mention the order costs and carrying costs etc.

5

Yes, but Default Order Settings are at the level of the Product/Product Master. Is there a way to set a Standard Order Quantity by variant (size-color)?

Thanks in advance.