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Overview of Forecast Explosion

Forecast explosion is the process that explodes forecasts for planning items, models, and option classes to selected components on your planning, model, and option class bills. Forecast explosion calculates exploded forecast quantities by extending parent forecast quantities using the component usages and planning percents defined on your planning, model, and option class bills. You can associate alternate bills of material to multiple forecasts for the same item. This lets you explode the same forecast using different components, usages, and planning percents.

You explode forecasts by choosing the Explode option when loading a forecast into another forecast or a master schedule.

Forecast Explosion Logic

The following diagram illustrates the forecast explosion logic.

Exploding Forecasts from Using Assemblies

The following table illustrates when forecast explosion explodes forecast from a parent item to its components. `Always' means `Always explode forecasts from this item', and `Never' means `Never explode forecasts from this item.'

Planning Item ATO Model ATO Option Class ATO Std. Item PTO Model PTO Option Class PTO Std. Item Std. Item
Always Always Always Never Always Always Always Never
Table 1 - 8. Forecast Explosion Rules: From a Using Assembly (Page 1 of 1)

Exploding Forecasts to Components

The following table illustrates when forecast explosion explodes forecast to a component from its parent item. `Always' means `Always explode forecasts from this item', `Check' means `Explode forecasts to this item if Forecast Control is set to Consume and Derive', and `Never' means `Never explode forecasts from this item'.

Product Family Planning Item ATO Model ATO Option Class ATO Std. Item PTO Model PTO Option Class PTO Std. Item Std. Item
Check Always Check Check Check Check Check Check Check
Table 1 - 9. Forecast Explosion Rules: To a Component (Page 1 of 1)

Forecast Explosion Example

The following table illustrates how forecast explosion explodes a forecast for 100 Laptop Computers. The FC column shows forecast quantities.

Level Item BOM Item Type Forecast Control Optional Plan % FC
. 2 . Laptop Computer Model Consume No   100
. . 3 . . Carrying Case Standard Consume and Derive No 100% 100
. . 3 . . Keyboard Standard Consume and Derive No 100% 100
. . 3 . . CPU Option Class Consume and Derive No 100% 100
. . . 4 . . . 386 Processor Standard Consume and Derive Yes 65% 65
. . . 4 . . . 486 Processor Standard Consume and Derive Yes 35% 35
. . 3 . . Monitor Option Class Consume and Derive No 100% 100
. . . 4 . . . VGA Option Class Consume and Derive Yes 70% 70
. . . . 5 . . . . VGA Manual Standard Consume and Derive No 100% 70
. . . . 5 . . . . VGA1 Standard Consume and Derive Yes 50% 35
. . . . 5 . . . . VGA2 Standard Consume and Derive Yes 50% 35
. . . 4 . . . EGA Option Class Consume and Derive Yes 30% 30
. . . . 5 . . . . EGA1 Standard Consume and Derive Yes 55% 16.5
. . . . 5 . . . . EGA2 Standard Consume and Derive Yes 45% 13.5
. . . 4 . . . Monitor Manual Standard None No 100%  
. . 3 . . Operating System Option Class Consume and Derive Yes 90% 90
. . . 4 . . . DOS Standard Consume and Derive Yes 80% 72
. . . 4 . . . UNIX Standard Consume and Derive Yes 20% 18
Table 1 - 10. Forecast Explosion (Page 2 of 2)

Re-exploding Forecasts

You can change your planning and model forecasts at any time and re-explode new forecasts to your option classes, options, and mandatory components. You can choose to reconsume your new forecasts using the sales order demand history maintained by Oracle Master Scheduling/MRP and Supply Chain Planning. This lets you quickly adjust your exploded forecasts in response to forecast or bill of material changes.

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