Min-max practical

Step1:

• Create the item ra_test_minmax
• In General Planning tab, select Min-Max in Inventory planning method field and subinventory as source type
• Regarding Min-Max quantity and order multiplier, you can define it if you want to do planning for this item at an organizational level. If you want to plan this item at  subinventory level, then enter the min and max quantity at sub inventory window. For now, we are not defining it as we want to run at the subinventory level first
• Don’t confuse with the planning method field in MPS/MRP planning. You can select anything here. By default, it is not planned which means it will not be considered in ASCP collections. Leave this field, it will not affect Min Max planning 

Step 2: 
Assign this item ra_test_minmax to M1
  Step 3:

• Change organization to M1
• Go to Setup-->organizations-->subinventories
• Create subinventory ra_subinv
• Click open

• Select sourcing type as Subinventory
• Click on Item/subinventory
• Add our item with Min and Max quantity. Go to Order modifier tab and add fixed lot multipliers.No need to add order quantity minimum and maximum. This maximum quantity is the one for which we can create purchase order. If we want to order more quantity than this maximum order quantity, we need to create more than 1 purchase order 
  

 

Step 4:

• This step is not needed but as we have defined new item , so we are also defining its on hand quantity   and also, it will make the process more clear
• Define on-hand quantity of item using miscellaneous transactions
• Define on-hand quantity of item using miscellaneous transactions  
• Select Type as Miscellaneous receipt

Step 5: 

• Go to Planning-->Min-max planning
• Enter Planning level: Subinventory
• Enter subinventory: ra_subinv
• Enter Items from : ra_test_minmax(also you can leave this field blank as there is only 1 item in this subinventory)
• Submit the request
• Go to View-->requests-->Find
• View output when request completed

Clearly, reorder quantity is 400 units. 

Note: Please note that we have run this min-max planning request at an subinventory level. It can only be run at organizational level in case item is placed in many subinventories in 1 organization. In that case, we need to find this item in organizational items. Then, enter the min max quantity and fixed lot multiplier in General Planning tab. We are doing this as in this case we are running the request at an organizational level. Also, In planning, we will select the Organizational at Planning level in the parameters.

For any clarification, feel free to ask. Hope, it is useful. Thanks for your precious time.