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Planning Optimization doesn't support the Today's date, First issue, and Coverage time fence options. It always uses the Today's date + procurement time option. Without the First Issue option available Planning Optimization creates a planned PO for the minimum quantity (safety stock), for a requirement date of the lead time for that particular item. This causes the planners to purchase goods that are not yet required to stock, causing capacity issues at the warehouse. It also causes issues with the supplier relationship and costs, since we are sending a small PO to the supplier way ahead of time and not consolidating the fulfill minimum qty planned PO with the demand forecast generated planned PO.

The first issue selection worked well in MRP, but is not available in planning optimization. Creating tons of manual effort and incurring costs to warehousing operations, as well as supply costs when planned PO's are being proposed well before they are required.
Category: Planning
STATUS DETAILS
Needs Votes
Ideas Administrator

Thank you for your feedback. Currently this is not in our roadmap; however, we are tracking it and if we get more feedback and votes, we may consider it in the future.

 

Sincerely,

Christian Rytt

PM, Microsoft

Comments

M

I totally agree with Matt. More than that, the Today's + lead time doesn't work properly. When we analyze the pegging into planned orders, we can see that the safety stock is taken into account only for the last planned order even if this is a forecast in 12 months and the lead time is only few days. The pegging information is totally wrong which can generate mistakes for planners, especially in make to order scenario.

It would be great to get as soon as possible the same feature than for the former MRP engine. Otherwise we'll have trouble with manufacturers that are moving to Planning Optimization.

Category: Planning