Demand planning

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The procurement process can include demand planning. It helps you keep the right amount of stock on hand and ensure that your sales meet the schedule.

1C:Drive provides you with the Demand planning tool. It helps you do the following:

The Demand planning tool calculates the quantity of products that you need to buy to cover the current demand.

The current demand calculation is based on the current stock on hand, Reorder point settings, replenishment period, and not dispatched sales and work orders. The Reorder point settings are optional. You can use them if you want to analyze current demand taking into account the minimum and maximum inventory levels.

You can generate replenishment orders based on the demand calculation results. The replenishment orders include purchase orders, subcontractor orders, and production orders.

Calculating current demand

To calculate current demand:

  1. Go to Purchases > Planning > Demand planning.
  2. Enter or select the following:
    Field Description
    Demand period A period that you calculate current demand for.
    Replenishment method

    The stock replenishment method.

    Select a replenishment method to view current demand for products with a certain replenishment method. It is the main replenishment method assigned on the product card.
    Supplier A product supplier.

    A list of suppliers is based on the Counterparties catalog.

    Select a supplier to view current demand for products of a certain supplier. The supplier is the main supplier specified on the product card.
    Company A company that you calculate current demand for.

    You can select another company if Use multiple businesses accounting option is turned on in Settings > Company > Multiple businesses > Multiple businesses accounting.
  3. On the Demand tab, click Calculate.

The results of current demand calculation appear on the Demand tab. The results are shown by days within the specified demand planning period. The results include the following details:

Field Description
Product A product description from the Products catalog.

You can expand a product description line to view the demand calculation details. They include the following:

  • Opening balance. The quantity of product items currently in stock. The quantity is one of the following values:
  • Receipt. The quantity of products that you expect to receive. It is based on purchase orders that you expect to receive within the demand planning period. To view them, expand the Receipt line.
  • Dispatch. The quantity of products that you plan to dispatch. It is based on sales and work orders scheduled for dispatch within the demand planning period. To view them, expand the Dispatch line.
  • Reorder point. The minimum inventory level. It is available if specified in the  Reorder point settings.
  • Max level. The maximum inventory level. It is available if specified in the Reorder point settings.
  • Closing balance. The product quantity in stock by the end of the demand planning period. It is calculated by the following formula:

    Opening balance + Receipt − Dispatch
Shortage The quantity of products that you need to buy to cover demand within the demand planning period.

Shortage arises in the following cases:

  • Reorder point settings apply and Closing balance is less or equal to Reorder point. In this case, shortage is calculated by the following formula:

    Max level − Closing balance

  • Reorder point settings do not apply and Dispatch is greater than Receipt. In this case, shortage is calculated by the following formula:

    Opening balance + Receipt − Dispatch
Overdue

The product shortage on the current date.

It is based on the quantity of products specified in the following documents:

  • Overdue purchase orders.

    They include not received purchase orders that you have planned to receive before the current date.

  • Overdue sale and work orders.

    They include not fulfilled sales and work orders that you have planned to ship before the current date.

It is calculated by the following formula:

product quantity of overdue sales and work orders − product quantity of overdue purchase orders

If the Reorder point settings apply and the product is currently out-of-stock or its quantity is less than Reorder point, the formula is the following:

product quantity of overdue sale and work orders − product quantity of overdue purchase orders + Max level

You can quickly create multiple purchase or production orders based on the results of current demand calculation. To learn more, see Generating replenishment orders based on current demand.

Generating replenishment orders based on current demand

You can view stock replenishment recommendations based on the demand calculation results.

A replenishment recommendation can include a purchase, production, or subcontractor order for a product that you need to replenish. Subcontractor orders are available if the Engage subcontractor check box is selected in Settings > Accounting settings > Production > Subcontracting. Production orders are available if the Enable Production subsystem check box is selected in Settings > Accounting settings > Production.

From the recommendations list, you can select multiple replenishment orders and generate them in one click.

 To view replenishment recommendations:

  1. Select the Recommendations tab.
  2. Click Calculate.

The recommendations list include the following details:

Field Description
Product A product description from the Products catalog.

You can expand a product description line to view recommended replenishment options.
Variant \ Source A product variant such as size or color \ A product supplier.

Note. A product can have multiple suppliers including the following:
Receipt date The date when you need to replenish the product. To view the recommended replenishment orders, clickexpand_product_line.pngnext to the product. For each available option, this column shows the actual date when you can receive the product. The actual date depends on the Replenishment period specified on the product card.

For example, you need a product on 23.09.2019. The product Replenishment period is 3 days. Then the Receipt date of a replenishment order is 26.09.2019.
Quantity The product quantity that you need.
Price A supplier’s price for a product.

It is prefilled from Counterparty prices list of the product.
Amount A replenishment order amount.
Currency A supplier’s price currency.

It is based on the supplier’s price type.
Price type A supplier’s price type. To learn more, see Supplier price types.

To generate replenishment orders from the recommendations list:

  1. Select the check boxes of the replenishment options.
  2. Select the Orders tab.
  3. Click Generate orders.

The replenishment orders appear on the Orders tab. They include products based on the calculated demand. You can double-click a replenishment order and edit its details. To learn more, see Purchase orders or Production orders.