Min-Max planning is one of the three major replenishment methods in Oracle Inventory. The others are – Reorder Point Planning and Kanban Replenishment. Min-Max planning can be executed either at the inventory organization level or at the subinventory level.
What is Min-Max Planning?
Min-Max planning is a tool for planning inventory that looks at user-defined minimum and maximum inventory levels. It does not consider lead times.
If the Min Max planning is performed at the organization level for an item, then the minimum and maximum quantities need to be defined at the organization level.
In this session we shall see Min Max being performed at the subinventory level and so the minimum and maximum inventory levels will be defined at the specific subinventory level.
To import a requisition based on Inventory MinMax report, please following these steps :
2 Navigate to the responsibility Inventory, Vision Operations (USA)
3 Navigate to the Master Items form and select the Inventory Organization V1 Vision Operations from the List Of Values (LOV)
4 For the purposes of this demo,
please create a new item as a copy of the seeded item CM96713. To do this, go to Tools > Copy From as shown in the screenshot below :
Name the newly created item. The Item name used in this demo is MinMaxTest. Once the item has been saved, click on the General Planning tab to review that the item is correctly setup for MinMax planning. The item planning data is shown below :
The information shown above is important to the MinMax process. When the MinMax program is run, the current stock of the Item (0 in this case since this is a new Item) will be compared to the Minimum MinMax Quantity (50000) and if the current stock is lower than the minimum level then a Requisition will be created to request the Maximum stock (500000) be purchased. Also please note the Minimum and Maximum Order Quantity defined here as these will affect the breakdown of the Requisition created.
The MinMax program can now be submitted from the Requests form. The screenshot below shows the Program name and parameters :
The Restock parameter is very important here and determines the behavior of the MinMax program. If the program is submitted with the Restock parameter set to No then the report will only serve to show which items need to be restocked. However, if the Restock parameter is set to Yes when the MinMax program is submitted, records will be automatically inserted into the Requisition Interface table for each Item than needs to be restocked.
(Purchasing, Vision Operations (USA)
Submit the Requisition Import program from the Requests form as shown below :
The Requisition Import program will process the lines in the Requisition Interface table into Requisitions. To review the imported Requisition lines, navigate to the Requisition Summary form and query using the Item MinMaxTest. The following screen can be seen :
The imported Requisition Lines show that a total quantity of 500000 which is the Maximum MinMax quantity defined in the General Planning tab of the Item Master form. The requested quantity has also been split into three lines and this honors the Maximum Order quantity of 200000 which is set for this item.