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Options
Production planning
es_barrett
Member Posts: 13
Would you expect for an Item that is setup with a production forecast - to have the following item setup;
- Manufacturing Policy = Make-to-Stock
- Reordering Policy = Fixed Reorder Qty.
- Reorder Point = 30,300
- Reorder Quantity = 7,800
I have been asked to look at an end-user's setup and this looks odd to me.
I would think that if sales demand for an item is variable for each month - and a production forecast (sales) exists - that these planning parameters would not be necessary.
- Manufacturing Policy = Make-to-Stock
- Reordering Policy = Fixed Reorder Qty.
- Reorder Point = 30,300
- Reorder Quantity = 7,800
I have been asked to look at an end-user's setup and this looks odd to me.
I would think that if sales demand for an item is variable for each month - and a production forecast (sales) exists - that these planning parameters would not be necessary.
0
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sorenhinrup
Member Posts: 136
You would use a production forecast, when your planning horizon is longer than your sales horizon. That way you will be able to plan your production on an estimated sale in the future.
I don't see any issues with the setup stated here.
Your production forecast will deduct the actual sales when planning.5
Answers
I don't see any issues with the setup stated here.
Your production forecast will deduct the actual sales when planning.