order multiple

Dear All,

Could any expert explain what is the use of the Filed Order Multiple.

At what situations we can use this field.

Even i gone through the F1 Help , i could not understand .

Please explain with a suitab;le exaMPLE.

i look forward for your valuable response.

thanks and regards

I have an item that I let planning control. It is ordered in quantities of 25 because this fills a pallet.

Due to the cost and leadtime of the item I always want to keep 100 in stock, so I set this as my reorder point.

I always want to order 50, two pallet loads, to maximise transport form the vendor.

I have today 110 in stock. An order comes on for 61, breaking the reorder point. At this point the system will suggest an order for 50 initially as this is the reorder quantity, however this takes the stock to 99 and I need 100. If I left this without an order multiple the system would suggest an order of 51. However I know there are 25 on a pallet so this is my order mutiple and the system therefore suggests I reorder 75 and not 51.