Inventory Planning – An overview

Introduction

Material planning is very important for most companies. There is always a balance required between excess inventories and stock out situations. This component provides the planner with the visibility of the demand and supply for the items that are under disposition control (as marked during the definition of the item). The Disposition facilitates the supply of material against expected demand and thus acts as an aid to JIT. Demand for a material comes from sales plans, sale orders, production and Maintenance. Supply comes from production or purchasing or subcontracting depending upon whether the item is manufactured in-house or outsourced. Inventory planning helps you to check the quantity available for a given item, as well as the other demands and supplies for a given item and warehouse combination.

Feature Highlights

• View disposition information.

• Inquire the free stock available for an item in the warehouse (ATP).

• Inquire the earliest available date (EAD) for a given quantity of an item.

List of Activities