Itemplanning – ITEM – fields and calculations
ItemPlanning – Item gives a precise time-phased overview of the projected item inventory availability situation. In other words to tell “When can we deliver and how many”
When the unexpected happens (e.g. a purchase order being delayed) it also offers the opportunity to simulate the impact of deviations to the planned.
ItemPlanning can be setup as a simple or complex solution depending on the requirements the company requires using it.
ItemPlanning – Item is also the solution to use when data are NOT all 100% accurate. Because of the intuitive display, the planner is able to see any inaccuracies right away.
The ItemPlanning solution produces a true time-phased projected item inventory availability using various precise calculation methods at your choice and needs:
The heart of the solution is to use 1 or more of 4 projected availability columns:
- Projected inventory – To be used by the company using sales forecasts and do not use “hard” reservations in availability calculations.
- Projected inventory exclusive reservations – To be used by the company using forecasts and want to keep out any “hard” reservations quantities in availability calculations.
- Projected inventory exclusive forecasts and reservations – To be used by the company not using forecasts and want to keep out “hard” reservations in availability calculations.
- Projected inventory exclusive forecasts – To be used by the company not using forecasts and “hard” reservations in availability calculations.
Here is an example with 2 projected availability columns selected.
One column with forecast involved and one column without.
Now looking at the 2 columns you have the following information available to make decisions:
The first column is a picture of sales not selling all of their own forecast, and inventory will be built up.
The other column is a representation of sales selling all of their own forecast.
The truth is that the right answer probably will be in-between the 2 columns.
This is what we call proper decision support. .