Once you have specified an MRP procedure and the appropriate parameters for this particular procedure, you must also enter the procedure according to which the system is to calculate the lot size for material requirements planning. Depending on the selected lot-sizing procedure, you can/must specify either one or several of the parameters given in the following Table:
Parameters required for lot-size calculation
Do you use... | You must maintain | You can maintain |
Lot-for-lot order quantity | Minimum lot size | |
| Maximum lot size | ||
| Rounding profile | ||
| Rounding value | ||
Fixed lot size | Fixed lot size | |
Replenish up to maximum stock quantity | Maximum stock | |
Period lot size | Minimum lot size | |
| Maximum lot size | ||
| Rounding profile | ||
| Rounding value | ||
Optimum lot size | Lot size independent costs | Minimum lot size |
| Storage costs indicator | Maximum lot size | |
| Rounding profile | ||
| Rounding value |
Period and optimum lot-sizing procedures are irrelevant as far as manual reorder point planning is concerned as these two procedures need the future requirement values for lot-sizing which can only be determined by using the forecast.
The lot-sizing procedure, "replenish up to maximum stock level" can only be used for reorder point planning.
Minimum lot size
By setting a minimum lot size, you are instructing the system (during lot-size calculation) to create an order proposal for at least the amount which is specified here even if a smaller quantity would have been sufficient.
Maximum lot size
By entering a maximum lot size, you can determine that during the lot-size calculation, the system will not exceed the quantity specified here for order proposals.
Rounding profile
You use the rounding profile to instruct the system to adjust the order quantity to a deliverable unit. In Customizing, enter a threshhold value per deliverable unit from which the system is to round up to the next unit.
Please refer to the section, Rounding Profile: How does the System Calculate the Order Quantity?.
Rounding value
By entering a rounding value, you are instructing the system to round up the receipt quantity to a multiple of the value specified here.
For the "fixed lot size with splitting and overlapping" procedure, the rounding value is also used to determine the partial quantities into which the total quantity of the planned order (field fixed lot size) is split.
Fixed lot size
By entering a fixed lot size, you are instructing the system to create order proposals for the amount of the fixed lot size specified here. It only makes sense to use the fixed lot size if you selected either the "fixed lot-sizing procedure" or the "fixed lot size with splitting/overlapping".
Cycle time
If you select the lot-sizing procedure, "fixed lot size with splitting and overlapping", then you must also enter a cycle time. The cycle time specifies the time interval in which the planned orders, which are created using this lot-sizing procedure, may overlap.
Maximum stock level
In this case, the system will create an order proposal for the amount that results from subtracting the available stock from the maximum stock level during the lot-sizing procedure, "replenish up to maximum stock level".
Lot size independent costs
The system only requires the lot size independent costs for the optimum lot-sizing procedure. In this case, the most economical lot size is determined by means of the lot size independent costs and the storage costs
Storage costs indicator
The system only requires the storage costs indicator for optimum lot-sizing procedures. With this indicator, you can determine the storage cost percentage which the system uses during the lot size calculation.
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