Why Use This Procedure?
The Planning Formulas procedure is the basis for the Stock Refill System (SRS) during material planning in the Inventory module. The entered planning formulas and variables are used for material requirement calculations in different procedures included in the SRS. (See a schematic image of SRS below).
A schematic image of SRS.
MONITOR comes with collection of standard and advanced planning formulas that are used for different calculations. You can enter own variable values for the formulas, in order to get the correct calculations for your own business.
The procedures included in SRS where the planning formulas determine the calculations are: Prepare Annual Budget, Calculate Stock Levels, Calculate EOQ, Refill List - Purchase and Refill List - Manufacturing, respectively and also Inventory Analysis in the Inventory module.
Before you start using SRS, all variables in this procedure must be reviewed and given the values that apply to each company's material planning situation.
Edit Planning Formulas
There is a supplement to this procedure called Edit Planning Formulas. By using this supplement you can add own alternate formulas for certain calculations. Another alternative is that the formulas are edited by a Monitor instructor/consultant or the Support Center at Monitor ERP System AB in consultation with your company.
Window Functions
Read more about the Window functions under Window Functions in the MONITOR Basics guide.