Considerations for Configuring Replenishment Plan Attributes

You can specify generic attributes of a replenishment plan, such as the assignment set and time horizon for demand, in the Replenishment Plan Attributes section on the Plan Options page, Supply tab, General subtab.

The Supply tab is enabled only when the Calculate policy parameters, Calculate replenishments, or Rebalance inventory check box is selected by itself or with other check boxes on the Plan Options page.

Note: If you select only the Calculate policy parameters check box, the Overwrite Firm Planned Orders field is grayed out.If you select only the Rebalance Inventory check box, except for the Overwrite Firm Planned Orders field, all the other fields are grayed out under Replenishment Plan Attributes.

The plan start and end dates are calculated by the replenishment planning process. The plan start date is set to the date on which you run the replenishment plan, and the plan end date is calculated from the plan start date on the basis of the planning time level and number of buckets defined on the Scope tab. The plan start and end dates are automatically advanced each time you run the replenishment plan. The plan start and end dates together define the planning horizon.

Assignment Set

Use assignment sets to link sourcing rules and bills of distribution to organizations and items. Using sourcing rules, bills of distribution, and assignment sets together, you specify how material is supplied and transferred across a supply chain.

Select the assignment set that must be used with the replenishment plan.

Overwrite Firm Planned Orders

Specify whether firm planned orders are retained between replenishment plan runs. When you select All, the replenishment planning process overwrites all orders, planned and firm planned, from the current replenishment plan. When you select None, the replenishment planning process doesn't overwrite firm planned orders. However, planned orders that aren't firm are overwritten.

Note: If you select the Rebalance inventory check box on the Plan Options page, firm planned orders are overwritten even if you select None in the Overwrite Firm Planned Orders field.

Time Horizon for Demand

Specify the time window in which demand is considered for calculating the Beginning Inventory Position measure on a given day. When you select None, only the current day's demand for an item-location combination is considered. When you select Item lead time, the demand within the lead time for the item-location combination is considered.

Lead Time Multiplier

Enter the number by which the lead time for the item-location combination should be multiplied when the time window for demand is considered.

When you select Item lead time, the Beginning Inventory Position measure is calculated as Projected Available Balance + On Order - backlog (open orders within the item lead time). By using the time horizon and lead time multiplier together, you can determine how many days of backlog are considered during the calculation of the Beginning Inventory Position measure.

A large lead time multiplier results in a large inventory.

Supply Cutoff Days

Enter the number of days that must be added to the plan end date. All the existing orders with order due dates that fall within the specified period after the plan end date are considered during the calculation of the On Order measure.

This value is required for proper calculation of the On Order measure and prevents excess replenishments from being created when the replenishment plan is run.

The maximum number of supply cutoff days you can specify is 15. If no value is specified, zero is taken as the number of supply cutoff days.

Aggregate Planned Orders

For a replenishment plan with a planning time level higher than a day, the inventory position is nevertheless evaluated daily so that replenishments are efficiently created. However, the planned orders are moved to the ends of the aggregate planning buckets.

For such a replenishment plan, select Yes to aggregate the planned orders into one large order for each aggregate planning bucket.

If you select No, planned orders aren't aggregated into one large order.

Create Natural Time Fence

Select this check box to create a natural time fence for the replenishment plan. By creating a natural time fence, you ensure that a new planned order has a due date that's after the due date for the latest, firm purchase order or transfer order.