Reservations in Supply Chain Planning

You can collect information about all reservations that are created by the inventory processes and view them in one of the Supply Chain Planning work areas. You can view the amount of supply that is pegged to order fulfillment lines.

Oracle Fusion Cloud Supply Chain Planning doesn't create reservations; it just displays all the reservations that are created by the inventory processes. You cannot edit the quantity or kind of supply that is reserved to a sales order in the configurable planners' workbench.

The following types of supply can be reserved to a sales order in the inventory:

• On hand inventory

• Work orders

• Purchase orders

• Transfer orders

Multiple sources and quantities of supply can be reserved to a single sales order fulfillment line.

There are two ways by which sales orders are pegged to supplies:

• Multiple sales orders can be pegged to a single source of supply: In this case, the pegged quantity does not exceed the total supply quantity. This type of reservation is done when a single source of supply is adequate enough to fulfill many sales orders.

  For example, there are 50 sales orders for item A. Each sales order is for a single unit of A. You have defined one of your supply sources as an inter-organization transfer that supplies 100 units of A. Therefore, 50 units out of the 100 units from the transfer supply can be pegged to the different sales order fulfillment lines.

• Multiple sources of supply can be pegged to a single sales order: In this case, the pegged quantity does not exceed the total demand quantity. This type of reservation is done when a single supply source is not adequate to fulfill a sales order which demands a large quantity of supply for an item.

  If a sales order is recorded for an item that has a high demand, multiple sources of supply can be pegged in varied quantities to that single sales order. For example, you have defined two supply sources A and B as the following: A is an inter-organization transfer and B is a purchase from an external supplier. If a sales order of 800 units for this item is recorded, a part of the supply from A and a part of the supply from B will be reserved. Those reserved quantities are then pegged to the single order fulfillment line.

Supply planning respects a demand reservation to a lot without regard to the lot expiration dates. A lot that expires on day 6 can be reserved to a demand that is due on day 10. Supply Chain Planning collects this reservation as it is and reflects all reservations on the Supplies and Demands page. You can only view reservations in a Supply Chain Planning work area, but you cannot modify them.