MRP | Run MRP required to maximum
We have a bonded warehouse that supplies various other warehouses and stores in the country. Each warehouse has a required stock level. In the past we ran into a issue. For example
We have a required stock of 100
MRP shows stock of 90 below required of 100
Assume we take one box of 24 and send it to the location.
In the mean time we sell another 20 of the products so the new level (90+24-20=94) is again below required. So it starts to order again. This is anoying as you send the same product over and over.
In version 9.1 we now have the setting minimum-maximum. This would be ideal as now we can say minimum is 100 and max is 100 + 3wk of avg sales. So we decided to use this and in MRP we now see
But we never realized that minimum stock is slightly different then required stock. Because minimum blocks you during sales of the item(!) This is highly unwanted. So is there a way / anybody knows how to setup required vs maximum instead?
Another option would be to remove the check on minimum being blocking for sales. That would also solve the issue.
Looking forward to your findings.
Johan Hakkesteegt replied
What I mean is, the original / basic purpose of the min-max setting is to be able to block transactions when they would take stock below or over the given levels.
So if you choose to use the min-max setting instead of required for MRP, and turn the blocking feature off, you will not be able to use min-max blocking if you ever in future find that you need this functionality for some other purpose.
For example, keeping (total) warehouse value as low as possible is important to us, so taking your example (24pcs/pck, avg sales during 3 week lead time is 96 pcs), we might set:
Minimum 48 (2x24) --> this isn't actually even necessary.
Required 96 (4x24)
Maximum 144 (6x24) --> to keep MRP from overstocking our warehouse
Then we play around with Required, until we reach an optimum stock rotation. By the way, in your scenario, you should consider lead time to include both delivery time from your vendors, and avg delivery time from your warehouse to locations.
As for that matter, with your company being "logistics heavy", you should really consider building or buying an MRP / logistics addon.