Purchase Ordering Methods

Sales Forecast

• Accumulates the Budget Units for each month from the Reorder Month for every future month required to cover the Delivery Days (assuming there are 30 days in a month).

• Less units already on purchase order

• Plus Minimum SOH

• Less SOH

• Rounds up to the next multiple of Order Units

Replenish to Minimum

• Minimum SOH for the Reorder Month(looking at a single month as many months ahead as required)

• Plus Backorders

• Less units already on purchase order

• Less SOH

• Rounds up to the next multiple of Order Units

Weighted and YTD Average

• Averages sales history from today for as many of the immediate past months as stated.

• Accumulates the average based on the number of future months coverage required for.

• Rounds up to the next multiple of Order Units 

Availability of each method

The Purchase Order Generation form by warehouse for all suppliers offers:

1. Replenish to Minimum

2. Sales Forecast

The Purchase Order form by warehouse by single supplier offers:

1. Replenish to Minimum

2. Weighted and YTD Average