Supply Planning Transfer Reordering Policy

Hello everyone,
Maybe someone could explain why SKU with replenishment system Transfer should have the Reordering Policy set?
For example: SKU of the same item:
Warehouse A: Replenishment System - Purchase; Reordering Policy - Lot-for-Lot; Inventory = 0
Warehouse B: Replenishment System - Transfer; Reordering Policy - none; Transfer-from Code : Warehouse A; Include Inventory - False

Result - no planned purchase

Situation 2:
Warehouse A: Replenishment System - Purchase; Reordering Policy - Lot-for-Lot; Inventory = 0
Warehouse B: Replenishment System - Transfer; Reordering Policy - Lot-for-Lot; Transfer-from Code : Warehouse A; Include Inventory - False;

Result - planned purchase and transfer

So it turns out that purchase is planned only when planning for transfer is also set up. But why is it so if we do not carry out action message for transfer orders? Is it not enough that we have the reordering policy for purchase to Warehouse A and that Warehouse B gets item from Warehouse A, especially when Include Inventory is False for transfer SKU?

So, summa summarum: why transfer orders should be planned if we want to get recommended purchase orders?


Best Answer

  • KishormKishorm Member Posts: 921
    Answer ✓
    The reason is that you have demand (e.g. Sales Orders) for Warehouse B only. If planning is not set correctly for Warehouse B then this does not create a Transfer Order from Warehouse A to Warehouse B. If the Transfer Order is not created then there is no demand for Warehouse A so no Purchase Order created.

Answers

  • KishormKishorm Member Posts: 921
    Answer ✓
    The reason is that you have demand (e.g. Sales Orders) for Warehouse B only. If planning is not set correctly for Warehouse B then this does not create a Transfer Order from Warehouse A to Warehouse B. If the Transfer Order is not created then there is no demand for Warehouse A so no Purchase Order created.
  • guessWhoguessWho Member Posts: 3
    Kishorm, thank You!
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