How You Calculate Safety Stock Based on Multiple Demand Schedules

For supply plans or supply and demand plans, you can plan statistical safety stock for end items whose forecasts are distributed across multiple demand schedules. The planning engine calculates safety stock based on forecasts in each demand schedule.

The calculation uses either the measure values generated in each of the demand schedules or item-specific values specified for each item and organization combination.

Select your demand schedules in the Demand Schedules section on the Plan Options page, Supply tab, Organizations and Schedules subtab. The planning engine uses the forecasts and other measures from these demand schedules to plan statistical safety stock for the respective item-organization combinations.

The planning engine uses each demand schedule to drive safety stock calculations for the items that belong to that demand schedule. If the same item is present in two or more demand schedules, the planning engine selects only one demand schedule to use for safety stock calculation. Oracle recommends that you ensure that forecasts for an item in an organization are restricted to just one demand schedule.