Setting Supply Planning Parameters

Enabling the Supply Planning feature ensures that the inventory management preferences are included during supply planning runs.

To set supply planning parameters:

Go to Lists > Accounting > Items.
On the Items page beside the item where you want to enable supply planning, click View.
If you choose to select the Auto-Calculate Purchase Lead-Time option, purchase lead-time will be calculated based on purchasing and receiving history. The manual purchase lead-time field is be disabled.

Selecting a Planning Item Category is optional, but is useful for filtering planning results.
On the Locations subtab beside the Location you want to plan for, click Edit.
On the Item Location Configuration page, click the Planning subtab.
1. The Demand Source is captured on the supply plan definition.
2. To show how stock is procured, select a Supply Type. For example, Purchase or Assembly.
3. If you selected fixed lot size as the lot sizing method, enter a quantity in the Fixed Lot Size field.
4. Select a Supply Lot Sizing Method:
  - Lot For Lot - suggests orders for procurement based on daily projections.
  - Fixed Lot Size – a lot size that always uses the same quantity for a reorder. The timing of the order varies while the size of the order is constant. This option may result in multiple supply orders of the same size for the same date.
  - Fixed Lot Multiple – A lot size that always uses a multiple of a specific quantity for a reorder. Choosing this option results in one supply order.
  - Minimum Order Quantity – A lot size that always requires a minimum quantity to be ordered. After the minimum quantity is satisfied, the total required quantity will be the order quantity.
  - Periods of Supply – generates aggregated purchase orders or work orders based on the overall demand requirements over a designated period. For example, such as weekly or monthly.
  For more information, see Demand Planning.
5. In the Period of Supply Increment field, enter a number from 1 to 90. The default setting is 1.
  
  The increment starts on the first day an order is required. From that first day, NetSuite totals all orders incrementally. Orders are placed on the first day of the period.
6. If you selected periods of supply as the lot sizing method, select a Periods of Supply Type option:
  - Interval – order aggregation starts when a requirement is established and continues for a fixed period defined in the Interval field. Interval is the default setting.
  - Monthly – order aggregation starts at the beginning of each month. The requirement date is always the first day of each month.
  - Weekly – order aggregation starts at the beginning of each week. The requirement date is always the first day of the week as defined under Company Settings.
  Preferred Stock Level and Reorder Point are used for Reorder Point Planning.
7. Enter your Safety Stock Level.
  
  The amount of an item you want to keep in stock for emergencies. For example, safety stock can be a specific quantity or several days worth of stock.
8. Enter a Purchase Lead Time.
  
  Lead time is the average number of days between the day you ordered an item to the day you received it.
  
  If you have enabled the manufacturing routing associated with the assembly item, the following fields are displayed:
  - Work Order Fixed Lead Time – enter the lead time needed to back schedule production to determine the start date. For example, if the level lead time is three days, schedule your lead time to three days before delivery date.
  - Work Order Variable Lead Time – enter the lead time per unit to back schedule to determine the production start date.
9. To review planning times, click the Planning Times subtab:
  - Late Period Days – how far into the past the process will look for late transactions.
  - Firm/Release Advance Warning Threshold – how far in advance you are notified when a planned order is approaching a lead time or a time fence.
  - High Impact Late Demand Threshold – the number of days in advance you want to be notified for high impact late demand planned orders.
  - Backward Consumption Days - the number of days prior to the order date to consider.
  - Foreword Consumption Days - the number of days after the order date to consider.
  - Demand Time Fence – defaults to Default Demand Time Fence. Sets time between the horizon start and the demand time fence where only sales orders are considered.
    
    Accept the default or enter a number between zero and 365 to determine the demand time fence for this item.
  - Planning Time Fence – defaults to Default Planning Time Fence. Sets time between the horizon start and the planning time fence. Supply Planning does not suggest new planned orders or reschedule or cancel existing supply orders.
    
    Accept the default or enter a number between zero and 365 to determine the planning time fence for this item.
  - Reschedule in Days – enter a number between one and 90. This number represents the maximum number of days that the order can be advanced from the current day.
    
    For example, if you enter 10 in this field, an order for this item can be moved up ten days earlier.
  - Reschedule out Days – enter a number between one and 180. This number represents the maximum number of days that an order can be delayed from the current day.
    
    For example, if you enter 10 in this field, an order for this item can be moved to ten days later.
  - The Minimum Reschedule Days the supply planning process reschedules a supply order from its current period.
  - Reschedule Horizon - How far the system will scan for reschedule opportunities.
Click Save.

To set supply planning parameters:

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