I was reviewing item 82002 as a raw ingredient. I went into the item card and entered a safety stock level and a minimum order quantity.
From the Planning Worksheet, I can see demand and open PO’s but I don’t see starting inventory, running inventory, or safety stock anywhere. I checked the personalization screen and didn’t see it there either.
I then went into the Availability by Event screen but here I don’t see my open PO’s or the aforementioned figures. It seems to be treating the item as order on demand only (order 8KG if we need 8 KG, order 14 KG if we need 14 KG, etc). I also noticed this Availability by Event screen is different from the Availability Event screen I can get to from the main item menu.
It may be that I don’t know where to look and just need more training but I the key figures that are missing:
Can you post a screenshot of your Planning Tab on the Item card (SKU card if you have Locations)?
You would only use Safety Stock if you are using a Reordering Policy of Lot-for-Lot. It is not necessary with any of the other policies, and optional with L4L as well.
Same is true for the Minimum Order Quantity, as it is only useful on L4L ordering.
That being said, I’m a big fan of L4L policy as it is the most flexible planning policy, dependent on your planning horizon and lead times.
That appears to be a screenshot of the Item Card, not the SKU. I would suggest creating “Stockkeeping Unit” Card(s) for this Item for the different Locations this Item is used/stored. You will generally find the Planning Worksheet suggestions work better when the SKU for the Locations exist.
I suggest taking a specific Location, creating the SKU record and related parameters, then running your Planning again. Hopefully this resolves your issue for that specific Location.
We dont have a SKU for the Item (82002) which is the screenshots above. I will create a SKU for that item, and then run planning again.
Do i understand correctly, we need to create a SKU for every location where this specific item is stored? And in generel it should be done for every item i guess, but can it be done easier - Like the SKU for the Raw Material items being created automatically using the Item Card?
And this is from the Planning worksheets for that specific SKU. So the same info we have filled out on the item card, should also be filled out for the SKU card?
If you use the “Create Stockkeeping Unit” function, the info from the Item Card will be populated on the SKU. You can use filters on this process, so if you only want those settings for specific Locations you can do so.
The purpose of the SKU is so you can have different planning for each Location. Some companies purchase everything to a main warehouse, then transfer different amounts to satellite locations. Others maintain different stock levels at different plants. Others maintain the same stock at all Locations.
I cannot tell you what is best for your business, only how the software can support whatever is determined to be the best.
I would encourage you to reach out to your partner so you can step through the process together. It is helpful when auditing the planning to look at the SKU inventory level, planning parameters, and demand/supply sources. Don’t forget everything is date dependent, so make sure to check not just that a Purchase Order exists, but the specific Expected Receipt Date of the line.
Planning is the big one. You are able to assign a BOM/Route to a SKU, so it can change your Production Processing as well. It can have an impact on Accounting, as you can track a unique Unit Cost for the SKU as well. It is always encouraged to run several test transactions through the system to ensure you are getting the data you want.
But what about like PO’s and SO’s? From where does it pull the standard cost from? Because from my testing it is still pulling from the Item Card instead of the SKU card. I just need some clarification, sorry for all the questions.
