Order Code, Size & Start Date<![if !supportEmptyParas]> <![endif]>
Nancy Zawacki CPIM
CIRM, PowerShift Support Team, Qantel Technologies Inc.
Frequent questions about Finished Goods
Planning (MFP) and Material Requirements Planning (MRP) include:
► <![endif]>What inventory
fields affect how items are planned?
► <![endif]>What fields control
the size of planned orders or requisitions created?
► <![endif]>How is the start
Order code (maintained in IM, Enterprise Item
Maintenance) determines if the item is planned by MFP or MRP.
If the order code is 0, the item is planned by MFP; if the order
code is 2, the item is planned by MRP.
For order code 1 items, MRP performs calculations and produces an
advisory report that can be used to manually plan orders.<![if !supportEmptyParas]> <![endif]>
Planned Order Size
Min order qty,
Lot size, and
Max plan period fields (maintained in IMB, Branch
Item Maintenance) determine the size of planned orders.
Planning logic determines the net requirement.
Max plan period is the number of shop days that you
want an order to cover. If
you have a net requirement of 5 for June 6th, 7th, 8th, 9th & 10th and a
Max plan period of 5 days, the planning program will
create one planned order or requisition with a due date of June 6th for
a quantity of 25 rather than 5 planned orders each for a quantity of 5
with due dates of June 6th, 7th, etc.
Lot size is the standard quantity in which
this item is ordered or produced.
Using the previous example, if the
Lot size is 10 and the
Max plan period is 5, the planned order or
requisition would be created for a quantity of 30 due on June 6th.
Min order qty is a factor of economy of scale.
Continuing the example, if the
Lot size is 10 and the
Max plan period is 5 and the
Min order qty is 50, the planned order or
requisition would be created for a quantity of 50 due on June 6th.<![if !supportEmptyParas]> <![endif]>
Planned Order Start Dates
A record of available work days for each
manufacturing branch for each year is maintained in Shop Calendar
Maintenance (XCM). Planning
logic determines and adjusts the start date of planned orders based on
the shop calendar.
Lead times (maintained in IMB, Branch Item
Maintenance) are used to calculate start dates.
The accumulated lead time (Accum LT) is used by Finished Goods Planning
to determine the required start date based on the due date of the
requirements. If the
accumulated lead time is 0, MFP uses the sum of the manufacturing lead
time (Mfg LT) plus the order preparation (Order prep LT) lead time.<![if !supportEmptyParas]> <![endif]>
The lead times used by Material Requirements
Planning depend on whether the item is manufactured or purchased (the
flag is set in IM, Enterprise Item
Maintenance). For Buy items,
MRP uses the sum of
Order prep plus the
Put-away lead times.
For Make items, MRP uses the sum of the manufacturing (Mfg LT) plus the order preparation lead
times. (Kits are unassembled
configured items planned by MFP.)<![if !supportEmptyParas]> <![endif]>
Routings Provide Additional
Control of Order Size
Maximum order quantity (Max order qty) is maintained in Routing Maintenance
(RTM). The field sets the
maximum quantity that you want to allow on a manufacturing order.
This can be very useful, especially if you need to maintain or
reset a machine after a certain quantity is run.
The Order Release Preparation (MPR) program uses the maximum
order quantity specified in the routing to create multiple orders for
the same due date. For
example, if the requirement is 500 and the maximum order
is 100, five orders of 100 each are
<![if !supportEmptyParas]> <![endif]>If you have any questions about the
planning programs, please contact