
In the Reverse Planning it’s possible to calculate including forecast and you can calculate according to safety stock or reorder point, which makes it possible to plan in many different ways or many different scenarios. Let’s show an example.
If I’m looking for my critical items within a full year and I’m planning including forecast, I’d like to take all forecast entries into account and I like to plan according to reorder point, meaning the maximum of those three in my calculated according selection and I will not trigger on end inventory, I’ll get back to that.
If I make this calculation it will look on all the items that goes below reorder point in that period, which is in this scenario 55, sorry 51 lines. Whereas if I made the same calculation but without the forecast, this is the same in the planning journal, it’s possible to ignore the forecast.
So if I’m calculating without the forecast, which will make in this scenario 26 lines only and this way I could continue calculating with no forecast and I would like to calculate according to safety stock or zero for those items that doesn’t have safety stock.
This will be even more critical because those lines here actually have a safety stock breach and in this scenario you have six lines in here and you can see the previous inventory, the lowest inventory in the period and the end inventory. And likewise I could calculate for a true zero, meaning even if the item has a safety stock, I would like to find item that is actually crossing zero in the period and I’m now down to three items that has a true zero break through the period.
But as you can see here, some of the items still have a positive end inventory, so it’s only a date issue here, meaning if I only want to look at items that I need to replenish, whereas the first one I just need to figure out the dates and correct those.
If I’m calculating according to true zero and trigger only on end inventory, it will find all my items that has a negative end inventory according to actually to zero. So this is my most critical item in this scenario. And of course this list of items with negative inventory according to zero is the item I need to replenish right now.