DRP - Suggested Planned Receipt FAQ

Question: What fields affect the calculation of the Suggested Planned Receipt row calculation in Product DRP Management?

Answer: If there is a projected deficit for a time bucket, then a suggested planned receipt quantity is calculated.

If there is a projected deficit (Expected On-Hand < Desired On-Hand) for a time bucket, then this is the suggestion for what you should plan to receive.

  1. A reorder quantity is calculated using the reorder quantity method associated with the buying method of the product/location.

  2. The reorder quantity is compared to the projected deficit, and the higher value is selected.

  3. The quantity determined in step 2 is compared to the product's minimum purchase quantity and if less, it is rounded up to this minimum.

Note This quantity is retrieved based on the product and primary supplier first (Supplier Product Maintenance), and if 0, then is retrieved from the product/location (Product Location Maintenance).

  1. The value determined in step 3 is compared to the product's purchase increment value (or 1 if the value is 0) and is rounded up (if necessary) to this multiple.

Note This quantity is retrieved based on the product and primary supplier first (Supplier Product Maintenance), and if 0, then is retrieved from the product/location (Product Location Maintenance).

Example  If the unit of measure is case100 and the minimum is 4 and the multiple is 3, then 6 would be the minimum order quantity (because you can only order in multiples of 3, ordering 3 is still below the minimum of 4).

Example The minimum purchase quantity is 10 and the purchase increment is 5 for Product ABC in location NJ. A reorder quantity is calculated to be 47, and the projected deficit is 33. Because the reorder quantity is greater than the projected deficit, and the reorder quantity is greater than the minimum, the reorder quantity of 47 is rounded to 50 (multiple of 5) to become the suggested planned receipt quantity.