Min Max Vs Reorder Planning

Hi All,
What is the difference between both, Min Max & ReOrder Planning?
Thanks

Hi,
Min-Max planning will be either maintained at Subinventory level or Organization level.
If the onhand Qty falls below either minimum or Maximum level then system will generate either Purchase Requisitions or Work Orders in WIP module to replinish the inventory.
On running the Min-Max report system will consider the existing Onhand,PO qty or the Sales Order demand as per the input parametres.
Reorder Point is an alternate planning method for Min-Max planning method.
This will replinish once the Item Onhand falls below {Safety Stock+(LeadtimeX Demand)}.This will also produce Purhcase Requisitions for replinishments.
Thanks
-Arif.

Similar Messages

Reorder Planning vs Min Max planning

Hi,
In what business scenarios should we use:
Reorder planning (ROP)
Min Max Planning?
We are implementing INV/PO for a bank where mostly expense items should be used. Also no manufacturing modules are used.
So which planning will be recommended and why?
Also, if re-order planning is suggested, share the set ups (with screen shots), as to how to set up & get the Requisition qty.
Thanks,

Hi,
Reorder planning is like two bin system. When one bin is empty, the demand is fulfilled from the second bin while the replenishment order is generated for the first one. Reorder Planning uses Oracle Inventory forecasting information to calculate average demand.
In min max planning, we maintain 2 levels, minimum and maximum. When the stock goes below the minimum level, the Requisition is created for the Qty =Max level - Qty already in PO/Req - On Hand.
However, option is available while running min-max to include or not include Qty alrady in PO/Req.
In min-max, the min-max levels have to be maintained manually and the demand forecast is not taken into account.
Hope this answers the question.
Atique

Min-Max Planning Generating Purchase Requisitions

We have been using min-max planning for a while and scheduling the min-max planning report (planning level: organization) to run every evening to generate a purchase requisition. Of late we have some items that are showing a reorder quantity but not generating a purchase requisition. We have verified the set up of those items against items that are generating a requisition and can't see a difference. What are the possible causes of items not generating a requisition when using min-max planning?
Thank you!

Make sure Item Settup has the "List price" Given.
Source is set to " Supplier"
When you are running the Min-Max Report, it should have the Parameter "ReStock" to "Yes".
Since the records has to come from the Inventory to the Purchasing Module there is possibility that Records might be there in Interface tables. Run the "requisition Import" program and see if it address your issue.
Thanks and regards,
Phani

Min-Max Planning concept

Hi Neils,
Can you please throw a light on --> Min-Max Planning Concept and what is the formula for Min-Max
regds
MRR

Hi MRR,
Min-max planning is used to maintain inventory levels for all of your items or selected items. With min-max planning, you specify minimum and maximum inventory levels for your items. When the inventory level for an item (on-hand quantities plus quantities on order) drops below the minimum, Oracle Inventory suggests a new purchase requisition, internal requisition, move order, or job to bring the balance back up to the maximum.
See the Inventory Users Guide > Planning and Replenishment > Min-Max Planning for more detailed description of the principles behind. In addition to Min-Max you may want to consider Reorder Point Planning where you bring demand figures into the calculations.
If you would like to have sales orders or production demands on end-item or sub-assembly levels influence the planning of components then a type of MRP is needed to break down a product structure to lower level material requirements. For even more advanced planning where capacities, constraints and may be even different optimizations objectives are to be considered you have to look at the Advanced Plannning Suite of applications.
Hope this helps ypu in the right direction.
/Niels LM

Need some help with the DOF Min Max Planning Logic

Hello All,
Morning...could someone please help us with this issue which we are facing in our production system.
We are running the Dof Min Max Planning Report at the Subinventory level and for a given item.
This item setup in this sub inventory has the Min qty : 2 , Max qty :2.
--We don't see any open orders/ requisitions in the system for this item.
--We also don't see any expected receipts for this item coming to this org/subinventory.. All the shipment lines are in Fully Received status.
--We dont see any stuck supply records in mtl_supply table as well..and also checked for the Inv Transactions interface tables as well ( MTI , mtl_material_transactions_temp)..we dont find any stuck transactions for this item, subinventory & org.
Now when we are running the Dof Min Max report is is showing the Supply Quantity as 2 and Available Quantity as 2.
Hence the Reorder quantity is coming as Zero..basically it is not re stocking the item again for this subinventory level.
Could someone please assist as to what could be reason why this Supply Quantity is showing some value when we dont see any stuck supply / expected open receipts..
What else we need to check here to get this issue resolved and to know the source of the Supply Quantity.
thanks

In the report run, what parameters are considered as Supply?, Also did you check the supply data considering your cutoff dates offset?, the item what you are talking about is a buy item? check if there were requisitions already created.

Can we use MRP to plan for FERT in-house produced with PIR's & has Min/Max

Hi SAP Guru's
I have a very critical issue from the client who wants to use MIN/ MAX stock values for planning its finished products (in-house produced)
here is the details of the scenario
Client recieves 2 Excel files every week from customer
1st file contains the Weekly Demand Forecast of FERT material for next 1 year and they upload it in MD61 as PIR's BUT this value is also Inclusive of Safety stock value (ex: if weekly demand entered in MD61 as PIR is 50 and if safety stock value is 10, then actual demand is only 40)
2nd file send contains only safety stock values (for ex in this case let it = 10) to be maintained for the FERT materials
the client wants MRP to plan and trigger based on this PIR's in MD61 and Safety stock level fand plan for FERT, HALB and also ROH materials as defined in the BOM also taking into consideration the current WIP levels (Work in progress for any existing production orders currently being processed) based on the production Lead times values maintained
so what the client wants is they want to maintain 2 stock values, that is one least stock value and other higher value which if stock falls below this point, will trigger production based on the lead time and considering any WIP levels also
(for ex in this case if PIR = 50 and safety stock is 10, MRP run result client wants is = 30 and NOT =40)
so here are my questions
1. is this scenario feasible? use safety stock and min/max level for in-house produced finished which has demand PIRs in MD61 at the same time?
2. Also due to SOX complaince regulations, the client does not want to change the forecast values in MD61, so is it possible to make some settings so that forecast is corrected by WIThOUT including the safety stock value in it? ( for ex: in this case as = 40 only and NOt as 50)
3. which all settings should i maintain like for MRP type or lot size or stock qty levels or anyother customizations if any required so that when we run MRP, can it ignore the safety stock value and generate the client desired output?
thank u verymuch for your time & expert advice in advance

Hi Chakri,
This is not possible as per standard functionality. MRP always creates proposals for the shortage quantity of the safety stock. We have used the user exit in the plant level MRP run to exclude both plant and safety stock in the net requirements calculation.
You have to write logic to convert the safety stock into plant stock in the user exit so there will be no additional procurement proposals...you can create custom indicatar in materail master or linked any existing indicator like MRP group to the user exits so the MRP will checks this and will not create proposals for the selected parts.
If you have any questions then please inform.
Regards
TAJUDDIN

Min Max Planning to replenish from a single sub inventory

I am new to this site but could certainly use some help in a problem I am having. I am on a team in the process of implement discrete manufacturing. Here is the problem I am having. I am trying to set up min/max replenishment to a specific sub inventory. We currently have a centralized fabricated (make parts) store room. From that store room we move parts to variuos supermarkets with in the factory. From the supermarkets parts are component picked or kan ban replenished. The problem that I am having is that I want the replenishment trigger back to the sheet metal fabrication area to come from the "Centralized Make" parts storeroom. It is currently adding up all the locations or sub inventories the part number resides in to include RIP. I am being told that there is no way to limit the trigger to a single sub inventory.

Sandeep, Thanks I was able to generate and run the report and it did look only that the specified sub inventory and suggested the reorder qty properly. After running the report under the item number it says "unable to generate requisition" How does the fabrication area get a signal to begin the fabrication process, create a discrete job or create a planne order or something? So far your recommendations have been right on target! Again thankyou.

Min Max planning report - ability to run for specific vendor

Hi,
We have a unique requirement wherein business users would like to run min-max planning report for a specific vendor. Vendor here is item sourcing vendor. We are on R12 12.0.4. This version of applications doesnot support sourcing vendor as the min-max report parameter.
Other than setting up item category for ASL vendor, i can't think of any other easy way to accomplish above requirement. Please suggest workaround for above requirement.
Thank you

If you have to do this, here is a complex workaround.
Create a request set that contains a custom program as first stage and the regular min-max as the second stage.
The custom program accepts vendor name as a parameter and disables min-max planning flag for all items EXCEPT those that are sourced from that vendor.
Then the 2nd stage runs and creates requisition.
You may add a 3rd stage that resets the min-max planning flag.
Make this program incompatible with itself so 2 users won't run it at the same time.
Hope this helps,
Sandeep Gandhi

Min Max Planning

Hi,
Is it possible in any way for the system to source it internally for another Inventory/Subinventory if the product is available there or source it from a suplplier if it not available internally when a scheduled Min Max Planning runs.
Regards
Vinay

Not directly.
But you can setup two min-max runs.
One that runs between your SHOPFLOOR subinventory and WAREHOUSE subinventory (i.e. internal source)
And then another one that runs on WAREHOUSE subinventory with source = supplier.
Hope this helps,
Sandeep Gandhi

Min Max Planning - Sub Assembly WO Demand Planning

Hi All,
WO for FG should be a demand for WOs for SA. Can Min Max look at the WOs of FGs and if SA is a component, create a WO for SA?
I observed Min Max doesn't support this. Let me know your pointers.
Regards

Hi All,
Min Max Planning Supports WIP Demand.
Regards

Min-Max Planning: Unable to generate requisition

Hi,
Trying to generate Internal Requisition for a Buy item in Vision Instance.
Min Max report log shows the following error:
[10-FEB-15 15:55:21] INV_Minmax_PVT.re_po: 252331: p_organization_id: 207, p_approval: 3, p_src_type: 1, p_encum_flag: N, p_customer_id: 1021, p_employee_id: 32118, p_description: Min Max Buy Item Sourced Internally, p_src_org: , p_src_subinv: , p_subinv: , p_location_id: 207, p_po_org_id: 204, p_pur_revision: 2
[10-FEB-15 15:55:21] INV_Minmax_PVT.re_po: 252331: Null src type or invalid transact_flag, order_flag or purch_flag
[10-FEB-15 15:55:21] INV_Minmax_PVT.re_po: 252331: 1, User-Defined Exception
[10-FEB-15 15:55:21] INV_Minmax_PVT.get_reord_stat: 252331: do_restock returned message: Unable to generate requisition
[10-FEB-15 15:55:21] INV_Minmax_PVT.RUN_MIN_MAX_PLAN: 252331: Reord qty: 80, Reorder status: Unable to generate requisition, l_sortee: NEW.MISC
[10-FEB-15 15:55:21] INV_MMX_WRAPPER_PVT.EXEC_MIN_MAX($Revision: 120.6 $): 252331: INV_Minmax_PVT.run_min_max_plan returned success
Pls refer to screenshots for setups done.
Regards,
Abhishek

Hi,
One more thing you have to verify for IR-ISO at Item level.
Verify 'Internal Ordeded' attribute is checked in Order Management tab or not.
Please check out following link for more details .
http://raghuoaf.blogspot.in/2013/09/internal-requisition-setup-in-oracle.html
http://www.oracleappshub.com/oracle-purchasing/10-min-guide-for-internal-requisition-to-internal-sales-order-flow/

Min Max Planning not reading Flow Schedules as Demand

We use min max planning to order all recurring purchases and flow schedules for production planning.
Min max planning report does NOT see flow schedules as a source of demand. Is this correct or are we missing a setup somewhere?
If min max planning cannot read flow schedules, is there a standard report to identify component shortages where items are between min max level but not enough on hand to fulfill the open flow schedule?

Check the user and employee tht you have used to launch the conc prog...

Min/max MRP and double star planned order

Hi,
What does setting up materials for min/max mean ? Is it just some concept r does it involve some specific settings in the material master ? I know there are minimum and maximum lot sizing procedures available. Are these to be taken into account to set materials up for min/max ?
What does a planned order with two stars in the MD04 screen mean?
Thanks

Dear,
Single *** means order is Firmed and **** means Capacity planning has been done for the planned order.
There is "storage location" MRP with min max levels.
Have a look at the fields on the MRP screens in the material master and you will see the settings you can choose from.
There should be no need for any config as long as your basic MRP config is there.
The normal MRP run will then try to maintain the correct stock level in that storage location and you use the special procurement keys on the material master to determine where the stock should come from to replenish that storage location.
Go to TcodeOMIA here you will find min max for your plant.
Regards,
R.Brahmankar

Min max planning report errors out

Min max planning is defined at Organization level with the source type as
supplier.
Min max report errors out for restock option "yes".
Following is the error message in the log file
MSG-00069: Calling INV_MMX_WRAPPER_PVT.exec_min_max from Before Report Trigger
MSG-00070: INV_MMX_WRAPPER_PVT.exec_min_max returned an error:
REP-1825: Before Report trigger returned FALSE.
Have checked all the possible causes
1)work day calender
2)Default delivery location
3)profile option.
Also applied a patch for this error
Patch number 4613194
Still the issue persists

Hi,
Please review the following notes:
Note: 453956.1 - INVISMMX.RDF - Mix-Max Planning Report Completes Successfully But Receive MSG-00069 in Request Log
https://metalink2.oracle.com/metalink/plsql/ml2_documents.showDocument?p_database_id=NOT&p_id=453956.1
Note: 785813.1 - MSG-00069, MSG-00070 Errors Occurred While Running Min-Max Planning Report
https://metalink2.oracle.com/metalink/plsql/ml2_documents.showDocument?p_database_id=NOT&p_id=785813.1
Note: 275521.1 - Min Max Rep (INVISMMX) Returns Errors MSG-00069, MSG-00070, REP-1825
https://metalink2.oracle.com/metalink/plsql/ml2_documents.showDocument?p_database_id=NOT&p_id=275521.1
Note: 280605.1 - 11i INVISMMX- Error Before Report Trigger Returned False Rep-1825
https://metalink2.oracle.com/metalink/plsql/ml2_documents.showDocument?p_database_id=NOT&p_id=280605.1
Regards,
Hussein

Min Max Planning Report

Dear all,
In the exported report that Store use as a reference in raising PR (Min Max Planning - under Planning module) there is a column called “Supply Quantity” .. just want to know where from the data on this column is coming from?!!
Thanks ..

Hi,
Supply quantity comes from various sources of supply (e.g. Open Purchase Orders).
Thanks,
PS.

Min Max Vs Reorder Planning

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