Maturity Date of On-Hand Lots

Consider maturity date of an on-hand lot in supply planning.

In some manufacturing industries such as food and beverage manufacturing, products may take some time to mature before being ready to ship to end customers. However, the products that aren’t matured yet, can still be shipped from manufacturing plants to downstream distribution centers. By doing this:

• you avoid using up the holding capacity for inventory at a manufacturing site
• you improve the demand satisfaction as the lot doesn’t need to wait at the upstream location until it completely matures

For example, you can’t ship an immature lot of cheese to a customer but can transport it between the nodes of the supply chain (from the manufacturing plant to the distribution center) if the required environmental conditions are ensured during transportation.

Note: Maturity date for on-hand lots is applicable only for unconstrained supply plans.

How Maturity Date is Calculated

The maturity date is the date when a lot reaches full maturity. The maturity date defaults automatically based on the sum of the lot origination date and the maturity days that you define in the item master. If maturity days aren't defined, the application assumes the lot is mature at creation.

Maturity Date = Origination Date + Maturity Days

Note: You can optionally modify the default maturity date.

How Supply Planning Collects Data of Maturity Date

Supply planning collects the maturity date of the on-hand lots that are either in inventory or in-transit or in-receiving in the Maturity Date column on the Supplies and Demands page. You can upload lots with maturity date in supply planning through FBDI in these ways:

• You can upload on-hand lots with maturity date in the Maturity Date column in ScpOnhandImportTemplate.xlsm
• You can upload lots that are either in-transit or in-receiving in ScpTransferOrderImportTemplate.xlsm

If a lot’s maturity date is on a nonworking day, then the supply would be available on the next working day in the organization manufacturing calendar or supply would be available in the same bucket as of the maturity date.

Note: In the material plan, build plan, planner-configured pivot tables, and other time-bucketed supply/demand displays, supplies are time-bucketed by due date and not by maturity date.

If you merge separate lots with similar characteristics into a single lot in downstreaming processes, then you need to either populate the maturity date manually on the resultant lot by tracing the individual lots or use the inventory lot merge transaction feature to merge multiple inventory lots into a single lot.

View Maturity Date

You can view the Maturity Date of an on-hand lot on the Supplies and Demands page in Supply Planning. You can edit the Maturity Date of lots in the Supplies and Demands page in a simulation set. It isn’t editable on the Plan Output and Plan Input pages.

Conditions When an Exception is Generated

If a lot is maturing later than the independent demand’s due date to which it's pegged to, then an exception Demand at Risk Due to Insufficient Maturity Time is generated. That lot must be prevented from shipping it to the customers.

Maturity date is considered only for end items and the maturity date on the lots of component items is ignored. Exception isn’t generated if the maturity date on component’s lot is later than its end item’s demand due date to which the component is pegged to.

If multiple lots with different maturity dates satisfy an end demand that are late due to insufficient maturity time, then the material availability date of the demand would be the same as that of the latest maturity date.

View Exception

The demands that are at risk due to insufficient maturity time are shown in the At-Risk Demands section on the Demand Fulfillment page. The View Supplies with Late Maturity tab in the Recommendations section provides the lot details responsible for demands at risk.

You can see the View Supplies with Late Maturity measure in the Summary section. The related measures such as At-Risk Demands and At-Risk Demand Value consider the demands at risk due to insufficient maturity time and are updated accordingly.