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Min Max Planning

Min Max Planning

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Min Max Planning

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Page 1: Min Max Planning

Min Max Planning

Page 2: Min Max Planning

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, internal requisition, or job to bring the balance back up to the maximum.

Page 3: Min Max Planning

Purchase Requisition:- Item=Buy Source =Supplier

Internal Requisition:- Item=Buy Source =Org/Subinventory

Job:- Item=Make

Page 4: Min Max Planning

Inventory Level = (on-hand quantity - demand) + (quantity on-order) .

Where: Demand = unreserved sales orders + reserved

sales orders + WIP component demand On-Order Qty = open PO + Requisitions + WIP

jobs

Page 5: Min Max Planning

TIMING OF ORDERS

Inventory Level < minimum quantity

QUANTITY OF ORDERS

Order quantity = Maximum Qty – Inventory Level

Page 6: Min Max Planning

Performed by running the Min-Max Planning report.

Can perform at 2 levels: Organization Subinventory

NOTE:- Subinventory level planning cannot generate jobs and

does not consider WIP jobs as supply or WIP components as demand

Page 7: Min Max Planning

Org Level Uses item attribute planning modifiers

Subinventory Level Uses values and parameters set at the

item/subinventory level.

Page 8: Min Max Planning

Set Up

Item Attributes: Inventory Item Stockable Costing enabled Inventory Asset Value Purchased Purchasable List Price (if Buy item) Inventory Planning Method: Set to Min-Max

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Org Level Set Up

In Item General Tab,Enter: Min-Max Minimum Quantity Min-Max Maximum Quantity Source Type

Inventory Subinventory Supplier

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Subinventory Level Set Up

values can be set using either the Subinventory Items or the Item/Subinventories windows: Min-max minimum quantity Min-max maximum quantity Planning method set to Min-max planning Item sourcing details

Inventory Subinventory Supplier

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Run Min Max Planning Report Process

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•Items Under Minimum qty

•Items Over maximum qty

•All Min Max Items

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= On hand + Supply + demand

Page 25: Min Max Planning

Now Go To Purchasing Run Requisition Import Process Go To Requisition Summary Window

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Your Requisition No.

Page 28: Min Max Planning

Auto Create The PO and follow the P2P cycle.