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Automatic Safety stock calculation in R3

Dear experts,

I am using consumption based planning in R3.

In material master,

I have used the MRP type 'VM' ( Automatic re-order planning)

Service Level = 99.5%

Planned deliv time = 2 days

Forecasting View -

historical periods = 60

forecast periods = 12

After executing the forecast, I get the following automatically calculated values of -

MAD = 447

Safety stock = 399

I want to understand , how this value of 399 has been arrived.

The formula provided in the SAP help is

SS = R * sqrt(w) * MAD

or

SS = R * w * MAD

But using any of these formulaes, I am unable to come to the value of 399.

Awaiting ur inputs on this,

regards

Niranjan P. Adkar

Former Member
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