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Calculations in Replenishment Planning

Received Response
edited May 11, 2020 10:04PM in Supply Chain Planning and Collaboration 3 comments


How are PAB and Planned Replenishment calculated in RP?


Hi All,

We have modeled Min Max Planning Inventory Policy in RP. Can you share some insights on how system calculates Final Inventory Position and Replenishment Quantity?

  1. Final Inventory Position: The description of the measure suggests: "The sum of the projected available balance, on-order quantity, and planned orders.". The PAB by definition already include planned orders, so looks likes it is double counting Planned Orders in the calculation. Please also refer the attached example and value of 511 for 20th Jul 2020 is not making sense. The PAB = 345 and replenishment order = 83, The Final Inventory Position should be 428 and not 511.

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