When calculating the order or line point for a baby branch in a parent/baby relationship, the lead time for the baby branch is the greater of the lead time of the parent branch or the transfer cycle from the parent branch to the baby branch. This method protects the baby branch from running out of material during the transfer cycle and ensures that the baby branch's order point is not higher than its line point.
When the system determines the quantity of products to transfer from the parent branch to the child branch, it does not transfer a quantity that takes the parent branch below its order point, unless there is an immediate need in the child branch. For non-immediate need suggested transfers, the parent branch will, by default, not transfer a quantity that takes the parent branch below its order point.
In regards to non-immediate need suggested transfers to child branches, you can modify how much of the parent branch's order point the system protects. You can set this parameter at the system, buy line, and product level.
The following procedure is a manual process for a single product. Use Mass Load to enter inventory parameters to groups of products.
To set the percentage of a parent branch order point to protect for suggested transfers:
From the Maintenance menu, select Product to display the Product Maintenance window.
From the Inventory menu, select Primary Inventory Maintenance to display the Primary Inventory Maintenance dialog box.
From the Edit menu, select Additional Parameters to display the Additional Inventory Parameters dialog box.
From the File menu, select Insert Branch to display the Additional Inventory Parameters dialog box.
In the Enter new branch or territory field, enter the branch or territory ID.
Click OK to return the ID to the Branch/Terr field in the Additional Inventory Parameters dialog box.
Enable stock/nonstock determination for the product, if needed.
Set the product buy package quantity and divisibility, if needed.
In the %OP field, enter a percentage of the parent branch's order point to be protected in suggested transfers for non-immediate needs. For example, if the calculated order point is 12 and the %OP is 50, the system reads the parent branch order point as 6 for calculating suggested order quantities.
A value set at the product level overrides that set at the buy line level. If no percentage is set at the product level, but one is set at the buy line level, the value at the buy line is used.
A value set at the buy line level overrides that set at the system level. If no percentage is set at the buy line level, but one is set at the system level, the value at the system level is used.
If no percentage is set for the parent branch-that is, the field is left blank-the system uses the default of 100%.
Note: The calculated order point at the parent branch includes manual service stock.
Changes take effect when you exit Product Maintenance.
More Options in the Additional Inventory Parameters Dialog Box
The Additional Inventory Parameters dialog box also offers these options:
To... | Select this menu option... |
remove a branch from the Additional Inventory Parameters dialog box, select the branch and | File > Clear Branch |
find a branch that is not currently visible in the dialog box | File > Find Branch The Additional Inventory Parameters dialog box displays. In the Enter branch or territory to find field, enter the branch or territory ID and click OK to return to the Additional Inventory Parameters dialog box. The cursor moves to the requested branch. |
toggle between prompting for a branch to display branch-specific parameters and displaying all branches | File > Toggle Hierarchy The Additional Inventory Parameters dialog box displays. In the Enter hierarchy branch field, enter the branch or territory ID to which you want to toggle and click OK to return to the Additional Inventory Parameters dialog box. |
See Also:
Order Points and Line Points Overview