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safety stock

deepu_p2
Active Participant
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how do i set how much of my safety stock can be used for my production.

because if i get an order of 20 unitus and my safety stock levels are 40 units.then there is no need for me to generate a purchase reqisition for this.

and if i used my safety stock for production and it is only half to actually menctioned safety stock now. how can i restore it. will a PR gets generated automaticallu when i run my mrp for safety stock. or how does it work?

Accepted Solutions (1)

Accepted Solutions (1)

former_member42744
Active Contributor
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MRP is usually set up to generate an order for any material where the inventory falls below the safety stock value. So if your safety stock is set to 40, and you use 20 of that, then an order should be created. The order is usually for the minimum order qty. set in the material master unless MRP determines more is needed.

You said that there is no need for you to put in an order in the above situation but if there isn't, why define a safety stock level at all? Why not wait until its zero? The whole point is to keep some in inventory and never reach zero. If you are at 20, and suddenly an order come in requiring 30, now what do you do? You only have 20. Safety Stock levels need to take into account normal sales/production volume, the typical size sales or production order, and unexpected changes to the market. It will typically be different for every material and should be carefully reviewed. You don't want to over do it either and have a lot of excess inventory.

I'm not an MM or MRP specialist, so I'm sure those guys can probably do all sorts of things around the process. But that is the basic process.

Craig

Answers (1)

Answers (1)

Former Member
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Hi,

You can use Reorder point planning and safty stock planning..

Material Master need to Maintain like this

Reorder Point 40. (Reorder Point Includes Safety Stock)

Safety Stock 20.

Lot Size Procedure: FX: Lot size to be procured: 20.

When your stock will fall below 40 (Reorder Point). System will create PR of quantity 20 (Fixed lot Size Qty).

Hope That will helpful,

Regards,

Nilam

Former Member
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Dear all!

Not alway when stock fall below safety stock, MRP run will trigger PR or PO(planned order) for you.

It depends the setting config. You can set how many % if stock below the safety stock, PR will be genarated when run MRP.

Ex. your stock for Material A is 21 pcs. you set safety stock for A is 40.

But in SPRO -> production -> MRP -> MRP Group -> Carry out -> Safety stock you set 50%

When you run MRP for material A. It doesn't genarate PR for A. Until A below 20 pcs.

You can use EX lot size and rouding value in Mater master to trigger PR genaration

Regards.

former_member42744
Active Contributor
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See.. I knew there were MM and MRP folks here that knew more of the bells & whistles!!!!

Craig