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1/16/2004
Presented by: Suryanarayana Murthy Teegela
Min-Max Planning
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What is Min Max Planning?
specify minimum and maximum inventory levels for your
items.
Minimum = order point.
Maximum = "order up to" .
When the inventory level for an item drops below the
minimum, Oracle Inventory suggests a new purchase
requisition or internal requisition to bring the balance back
up to the maximum.
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Purchase Requisition:- for Buy Items
Item=Buy
Source =Supplier
Internal Requisition:- for Items Internal movements
Item=Buy
Source =Org/Subinventory
Inventory Level = (on-hand quantity) + (quantity on-order)
Where:
On-Order Qty = open PO + Approved Requisitions
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TIMING OF ORDERS
Inventory Level < minimum quantity
QUANTITY OF ORDERS
Order quantity = Maximum Qty Inventory Level
Performed by running the Min-Max Planning report.
Can perform at 2 levels:
Org Level : Uses item attribute planning modifiers
Subinventory Level : Uses values and parameters set at the
item/subinventory level.
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SET UP
Item Attributes:
Inventory Item
Stockable
Transactable
Purchased
Purchasable
List Price (if Buy item)
Inventory Planning Method: Min-Max
Make or Buy: Buy
Min-Max Quantity
Order Quantity
Source: Supplier
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Org Level Setup:
In Item General Tab : Enter
Inventory Planning Method: Min-Max, Make or Buy: Buy
Min-Max Quantity & Order Quantity
Source Type : Supplier
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Sub-Inventory Level Setup:
Values can be set using either the Subinventory Items or the
Item/Subinventories windows:
In Item General Tab : Enter
Inventory Planning Method: Min-Max, Make or Buy: Buy
Min-Max Quantity & Order Quantity
Source Type : Supplier
Go to Org Attributes in Organization Assignement
Go to Tools: Item Subinventories
Min Max Quantity set at Subinventory level
Sourcing : Supplier
Note: Sub-Inventory Level setup overrides Org level controls
of the item.
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Min-Max Report:
Run Min-Max Report with following parameters:
Planning Level: Organization / Subinventory
Subinventory: Select subinventory if planning level is
subinventory
Item Selection: Items under min quantity
Items: Select range of items
Demand & Supply cut-off dates: default (system date)
Restock: YES (creates purchase requisition)
Leave other parameters as their defaults
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See the out put after report completed with normal
As parameter RESTOCK is set to YES inventory creates
Purchase Requisition in interface tables.
Open the view output of the completed report to see the
details of replenishment of the item.
Minimum Quantity
Maximum Quantity
On Hand Quantity
Supply Quantity (Approved PRs + Purchased Orders)
Available Quantity (On Hand quantity + Supply Quantity)
Min Max Order Quantity
Reorder Quantity: Max Order quantity Available Quantity
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After PR is created and interfaced in Inventory, Go to
Purchasing responsibility run request REQUISITION
IMPORT with the following parameters:
Import Source: INV (Default)
Group By: All (Default)
Initiate Approval after ReqImport: Yes / No
Yes indicates initiate approval process of sending PR for next
level of approval.
No Indicates wont initiate approval process User need to
send it for approval manually.
Note: Request must run from purchasing user responsibility
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After completion of request open the view output window to
see the status of the Purchase Requisition.
Can see 2 kinds of messages
1) Number of unapproved requisitions created = 1
2) Number of approved requisitions created = 1
Unapproved requisitions will be created if the user who
imported requistion does not have sufficient approval limits.
Approved requisitions will be created if the user who imported
requision does have sufficient approval limits.
These approval process will be initiated when Initiate
Approval after ReqImport Is set to YES in parameter of
Requisition Import request.
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After Requisition import is completed go to Requisition summary window to see
the imported requisition.
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Purchase Requistions for re-orders are automatically created
by the system on daily basis can be achieved by using
Concurrent Request scheduling process.
Schedule to run Min-Max Report on daily basis.
Submit Min-Max Report from SRS window and go to
Schedule and select Run the job Periodically to rerun every
1 day and enable check box of increment date parameter
each run and submit the request.
Request will be scheduled to run every day with incremental
data parameter, subsequently PRs will be created for reorder
quantities of items under minimum quantity level.
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After completion of scheduled Min-Max Report, schedule to
run Requisition Import concurrent report.
Schedule to run Requisition Import on daily basis.
Submit Requisition Import Report from SRS window and go to
Schedule and select Run the job Periodically to rerun every
1 day and enable check box of increment date parameter
each run and submit the request.
Request will be scheduled to run every day with incremental
data parameter, subsequently PRs will be imported which are
created against Min Max Report.
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While scheduling the above reports optionally choose
notification option to see the view outputs of the completed
requests and their status.
Go to Options and select people under Notify the following
people, it allows you to select N number of people for those
you want to send the view outputs of these completed
requests.
After completion of the request system will send a notification
with URL to see the output of the completed request.
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People under the Notify the following people will receive a notification in their
Notification Summary after completion of every request.
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