In a nutshell: Planned replenishment works with minimum and maximum quantities. Order-related replenishment uses the required quantities form open warehouse requests to calculate the replenishment.
Now I understood the difference between these two replenishment type.
But still one thing is not clear to me.
In case of Planned replenishment system will ROUND DOWN while in case of Order related replenishment system will ROUND UP to the multiple of minimum replenishment quantity.
How ROUND DOWN and ROUND UP functions and work while replenishing the quantity.
Also what exactly ROUND DOWN and ROUND UP mean in replenishment process .
I know my this question will make you laugh pls bear me.
But answer to his question will clear my all doubts.
first you need to understand what the "minimum replenishment quantity" is. It is actually (IMHO) a badly chosen name. What it means that that you want to replenish in certain quantities, which represents a complete unit. For example if in the storage type from where you pick the replenishment, the material is always stored in units of 100 pcs on a pallet. So you maintain this quantity as minimum replenishment quantity, You do not want to break a pallet, just because you need to replenish 230 pcs. So you round down, means you only replenish 200 pcs. That is the standard in planned replenishment.
In order related replenishment you do not want to round down, as otherwise you can not fullfil the orders. So there you can round up and replenish 300 pcs.
Bluesky
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