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Safety Stock

Hi,

Can someone help explain safety stock/min safety? Is this the same as a min/max or rop/roq?

Thanks,

Rob

replied

hi,

Safety stock

Specifies the quantity whose purpose is to satisfy unexpectedly high demand in the coverage period.

The risk of shortfalls is reduced by having a safety stock.

Minimum Safety Stock

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

You can specify a minimum safety stock. If the result of the safety stock calculation is lower than this limit, the safety stock is then automatically set to this minimum value. You enter the minimum safety stock in the material master record (the MRP 2 screen).

Hope it clears your idea....

Regards

Priyanka.P

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