You are here: Inventory > Requirements Planning > Run Netting Manufacturing Forecast > General Information about Run Netting Manufacturing Forecast

General Information about Run Netting Manufacturing Forecast

You will find a general description of how to manage lists in MONITOR in the chapter Managing Lists in the System under General in the MONITOR Basics guide.

Why Use This Procedure?

This procedure allows you to perform requirements planning based on manufacturing forecasts. You can only perform requirements planning for parts with registered manufacturing forecasts.

The procedure generates manufacturing and purchase order suggestions for several parts at a time, throughout all structure levels. The parts that are given order suggestions are those that will have shortages due to reservations originating from manufacturing forecasts. But you can also take reservations from sales forecasts, customer orders or material requirements from manufacturing orders into account, if they should apply to incorporated parts.

These suggestions can later be used to generate actual manufacturing and purchase orders in the Manufacturing Order Suggestion and Purchase Order Suggestion procedures.

If you prefer to perform requirements planning directly from your customer order backlog, as well as from any existing sales forecasts, you should use the Run Netting procedure instead.

What Is a Run Netting Manufacturing Forecast?

The Run Netting Manufacturing Forecast procedure functions just like the Run Netting procedure, as an automated process consisting of several steps. All structure parts are calculated using the maximum number of levels indicated under the Create tab, which means that the program performs an explosion of the parts.

First the system will generate a manufacturing order suggestion at the top level (level 0) for the part assortment in your list. After that, it will calculate the requirement for the next level (level 1). Any material requirements that appear and are caused by possible shortages for that level of M-parts and S-parts will be covered by new manufacturing order suggestions. P-part shortages are covered by purchase order suggestions. After that, the next level is calculated (level 2) and so on, all the way down to the lowest level.

Compare this with applying the Requirement Calculation procedure, which usually first performs the requirement calculation and generates order suggestions for M-parts, S-parts and P-parts in one step, and finally for the P-parts in another separate step.

In the Requirement Calculation you can see information regarding which parts and for which requirements the system has made order suggestions or rescheduling suggestions. In the Run Netting Manufacturing Forecast procedure you will only see a summary of how many suggestions have been placed, and how long the run took in a separate window and a text log. Also see the Printout Samples.

Use the tab called Order Window in the Part Info procedure to see additional information about order suggestions and rescheduling suggestions. Also see the Requirement Calculation procedure, to see how the equivalent information is presented there.

A netting run may take quite some time if there are large structures with many levels, and if you have selected a large range of parts in your list. Normally, the Run Netting is therefore scheduled to be run automatically on the database server during the night or at other times when few users are logged on to MONITOR. A log file is created per company called NETTO_[company no].LOG, where you can see information about the netting runs. The log file is created in the path %TEMP% in Windows for the Windows user account which is logged on to run the netting.

Also see in the flow chart what the proper work flow is for the Run Netting Manufacturing Forecast procedure.

Make sure that the parts with the largest structures (the most levels) are contained at the beginning of the range of parts that you will be including in your Netting run, as this will minimize the time used for the lowest-level explosion.

Sales Forecasts

You can also perform a netting run that takes saved sales forecasts into consideration. In order to avoid having forecasts and received customer orders double your requirement, the program will deduct from the forecasts. This is determined by the setting Sales forecast from forecast register is deducted... (Never, From lead time, From present time), under the heading Requirements Planning under the Inventory tab in the Settings procedure. The calculation rule for this stipulates that each forecast record "from today and up to and including" the date of the last placed customer order, is decreased with the factor "placed orders / forecast quantity". In this case, the sales forecast for customers (customer order rows with row status > 1) are treated as sales. In other words, they are calculated as if they were orders and not forecasts.

Example: If the forecast says that we will sell 100 parts within a certain period, and if we have already received a customer order for 30 parts for the same period, we will deduct these 30 parts from the forecast. If our 100 parts are divided into two forecast records, they will each be reduced by 15 parts each. Any forecast items that are further ahead in time than the last customer order will not be affected by this deduction.

Quote Backlog

The netting run can also include the quotes in your quote backlog that have been selected for simulation / requirements planning. A quote can be given a probability code that indicates the result that can be expected from the quote. Each probability code has a certain percentage value. For example, two quotes have a probability of 50% and the same part with a quantity of 100. This would give a total quantity of 200 for that part. The probability (or likelihood) is that 50% of the quotes will be accepted, which means that both quotes are requirement calculated with a total quantity of 100 parts.

CDT

The netting run can also consider reservations that were created in the Check Delivery Times (CDT) procedure.

Important Considerations during Netting Runs

In order to use a more automated materials control process while using procedures such as this, you must make sure all your part data is correct, otherwise the system will create incorrect manufacturing order / purchase order suggestions. Should these suggestions be used to generate actual orders (release orders), then these orders will be inaccurate. It is therefore important to check the following part information before running the netting for the first time:

What Update Options Exist for this Procedure?

You can purge all previous runs, or only your own previous runs, before starting a new run.

You can enter another planned quantity in the list, other than the one that was registered in the manufacturing forecast.

The Netting run always generates manufacturing order suggestions for M-parts, S-parts and F-parts, as well as purchase order suggestions for P-parts, should any shortages occur for them.

Can Any Charts Be Displayed?

There are no charts or graphs available in this list.

Window Functions

Use Run in the list to start the Netting run. A control question will pop up that must be confirmed, before the run begins.

Read more about the other Window functions under Window Functions in the MONITOR Basics guide.

Concept Link IconSee also: