DRP - Desired On-Hand FAQ

Question: What fields affect the calculation of the Desired On-Hand row calculation in Product DRP Management?

Answer: The desired on-hand is the quantity you would like to have on-hand to fulfill the demand for the next forecast time bucket with some safety stock and/or minimum quantity considerations.

It is the sum of: Next Forecast Time Bucket Total Remaining Demand + Safety Stock.

Note Safety stock is calculated based on the safety stock method of the buying method, subject to the override safety stock quantity for the product/location.

Example A product/location has a safety stock quantity of 100; this quantity overrides any safety stock method calculation associated with the buying method of this product/location.

Note This row is also subject to the minimum stock level and maximum stock level for the product/location.

Example A product/location has a minimum stock level of 50 and a maximum stock level of 100. If the Next Forecast Time Bucket Total Remaining Demand + Safety Stock = 40, the desired on-hand will be rounded up to the minimum stock level of 50.

Example A product/location has a minimum stock level of 50 and a maximum stock level of 100. If the Next Forecast Time Bucket Total Remaining Demand + Safety Stock = 150, the desired on-hand will be rounded down to the maximum stock level of 100.