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minimum safety stock

hello experts,

what is minimum safety stock in reorder point planning?

Former Member
Former Member replied

Hi,

Minimum Safety Stock

The quantity that defines the lower limit for safety stock. This value cannot be exceeded.

Use

Defining a lower limit can influence the following:

material master data maintenance

The safety is checked to see if it is greater or equal to this lower limit.

forecasting

The lower limit is checked if you use an availability indicator which shows, according to customizing settings, if the safety stock is to be calculated again in a forecast.

If the safety stock is lower than this level in forecasting, the safety stock is automatically increased to the value of the lower level.

Dependencies

The safety stock must always be greater or equal to this lower level.

Hope this helps.

Revert if you need more details.

Regards,

Tejas

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