Dynamic safety stock and average daily requirement

[Former Member]

Dear PP Experts,

1) For the creation of range of coverage profile ,what is the meaning of number of periods in the header " Determine average requirements ? Does it means that if my requirement in one month is 1000 then my number of period is 1 ?

2) What is the advantages and disadvantages of use of Dynamic safety stock ?

Regards ,

Vishwas.K

[rupesh_brahmankar3]

Dear,

Period indicator

You use this indicator to determine the calendar period for which you want to carry out the average daily requirements.

Please refer link for details

https://wiki.sdn.sap.com/wiki/display/ERPLO/Dynamicsafetystock+calculation

Regards,

R.Brahmankar

[Former Member]

Dear R.Brahmankar

Thanks for the suggestion ,I have already gone through the link provided by you but still one question

Does it means the if I enter the following data while creation of range of coverage profile

number of period = 1

Type of per.length=3

No. of Days per Period=20

and my requirement in one month is 1000 then average daily requirement is 1000/20 =50

and if I enter

number of period = 2 and keeping the all data same then my average daily requirement will be = 1000 / (20 *2) =25 .

Means 1000 will be covered for 2 months ?

Regards ,

Vishwas.K

[rupesh_brahmankar3]

Dear,

Yes right.