Parameters for Safety Stock Smoothing
You use the Parameters for Safety Stock Smoothing section on the Plan Options page, Safety Stock tab to configure the following options:
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Apply safety stock change interval to all items
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Smoothing method to calculate safety stock within change interval
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Safety stock change interval in days
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Safety stock bucket start offset days
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Maximum percentage variation in safety stock values
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Minimum percentage variation in safety stock values
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User-specified values for all items
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Statistical for end items, user-specified for all others
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Statistical safety stock for end items, none for all others
Apply Safety Stock Change Interval to All Items
If you enable this option, the planning process applies safety stock change interval to all items. If you disable this option, then the safety stock change interval applies only to items with Days of Cover safety stock method. Safety stock change interval is the time interval used for the smoothing within time interval functionality. If you specify an interval of 20 days, then starting from the application date, the planning process groups the safety stock calculation in 20-days bucket. The planning process then uses the smoothing method to calculate the safety stock within change interval to determine the safety stock level for the bucket.
Smoothing Method to Calculate Safety Stock Within Change Interval
Use this option for smoothing raw safety stock quantities in every interval, starting from the plan horizon. You can select Minimum, Maximum, or Average from the drop-down list. The result is always rounded up to nearest integer.
Safety Stock Change Interval in Days
Safety stock change interval is the number of working days used for smoothing safety stock within the time interval. If you specify an interval of 20 days, then starting from the application date, the planning process groups the safety stock calculation in 20-day buckets. The planning process then uses Smoothing method to calculate the safety stock within change interval to determine the safety stock level for the bucket. Enter a value greater than zero (0).
Safety Stock Bucket Start Offset Days
Use the current day for this option to ignore the impacts of high near-term demand that's possible due to high backlog demand. Enter a value greater than zero (0).
Maximum Percentage Variation in Safety Stock Values
When you use this option, the planning process doesn't let the safety stock deviate by more than the specified value when changing the time interval. Enter a value greater than zero (0). For example, if you specify 25 percent, the planning process sets 25 percent as the maximum percentage of change in safety stock quantity between buckets.
Minimum Percentage Variation in Safety Stock Values
When you use this option, the planning process keeps the safety stock constant across time intervals if the deviation is within the specified percentage. Enter a value greater than zero (0).