How to Consume Forecast Qty Now Real Job Exists

[ZanebK]

Hi,
We have started using Forecasts and are trying to work out the best way to address the following:

We have a part number where we added a forecast for Qty 225 in December. A PO was raised and the forecast Qty was ordered and received into stock. Per below, it is now ‘On Hand’.

We now have a job to use the stock, due April. However, per below MRP has created a new suggestion to buy more stock, rather than use the existing stock.

Time Phase is still showing that the forecast requires 225. Now that a real job exists, how do we get it to consume the existing stock?

Thanks a lot for any advice.

[jkane (John Kane)]

Forecast should only be used for 0 level parts. Is this forecast for a component or a finished good?

[ZanebK]

Thanks for the reply. It’s a stocked part that can either be sold or used on a higher assembly.

Does this mean the forecast is only consumed if it is a level 0 job?

Is there any alternative way to ‘forecast’ stocked parts? (I.e. to buy/make them in anticipation of future demand?

[jkane (John Kane)]

Forecast will only be consumed by Sales Orders, and nothing else. So, if there were sales orders open for that specific part, it would be consumed. Since the order is for a different part, the forecast will not be consumed.

I forget what the manufacturing forecast is called, but yes, Epicor does support it. It is setup using these menus.

Gonna call in @timshuwy to remind me what the standard term for this functionality is so you can google it to learn more. It is some acronym that begins with an M if I remember correctly.

[Chad_Smith]

I suspect the M acronym you are looking for would be Master Production Schedule (MPS)? That’s really a forecast of a different variation on a forecast though.

Maybe the new(ish) planning BOM’s functionality is what you need to make this really work? I think that John is correct in that you will be happier forecasting those top level items if possible.

Planning Bom?

Planning BOM - These parts define all the possible material combinations that are used in the method of manufacture for related finished good items. The related finished good items are known as Planning Pool Parts. Planning BOM parts are then used to generate forecast demand for the Planning Pool parts The following rules apply if you set a part to Planning BOM. However, the rules don’t apply to the materials you add to the Planning BOM part’s bill of materials: You cannot setup replenishment…

[jkane (John Kane)]

Yes!! I think that is it.

I’m not sure how the Planning BOM works, but that may definitely be an option.

You are right @Chad_Smith , the MPS is supposed to tie to the Forecast but used for component parts.

[ZanebK]

Thanks a lot @jkane and @Chad_Smith

I will start investigating MPS tomorrow

[timshuwy (Tim Shoemaker)]

Planning BOM is an added functionality that allows you to build a fictitious bill of material with percentages of various types of parts in the BOM… .then you can forecast the planning bom, and the system will use those percentages to tell what you need of each subcomponent. it is great when you have many possible variations of something and you dont want to forcase dozens of part numbers. For example, you might sell BIKES and you have 10 different colors, and three different handlebar styles… you simply create a planning bom that lists all the colors and all the handlebars along with their percentages. then forcast the BIKE.
MPS is different. You can create a “Master Production Schedule” that defines what you are GOING TO BUILD… note that this is a schedule that YOU create.YOU are planning it, and you set that production schedule in motion… then when sales is selling something, they compare the order with the “ATP” (Available to promise) which allows them to see what of the MPS plan is still available and not consumed by other customers.

[ZanebK]

I tested MPS with the same scenario:

1. Part X had Qty 60 on-hand. In MPS Entry, I added demand for Qty 100.

2. MRP created a PO suggestion for 100 to satisfy the MPS demand, which was ordered and received into stock.

3. Per Time Phase screenshot below, the on-hand quantity is now 160.

4. I then created a ‘real’ job which requires the 160. However, as shown, MRP has created a new suggestion to buy another 100. It is not consuming the 160 already in stock and is showing the MPS demand as still outstanding.

[Chad_Smith]

Well, I suspect that might be because it’s a master PRODUCTION schedule and it expected to see a job to fill that MPS Demand rather than a PO, but I have no receipts to back that up it’s just a guess.

I think that you need to forecast/mps the items you are making not the materials you are consuming. That was where the idea of the planning BOM might be something that helps your situation came from. You could add this item to a planning BOM and forecast/MPS that item which would drive demand for its components.

[ZanebK]

Thanks for the reply.

Unfortunately, these are ‘long lead’ parts, being purchased in advance of the Assemblies they are required for. The assemblies do not yet have a part number or finished design.

Not sure on Planning BOMs - the challenge is that we’d need to create a new one, with a completely different materials list each time, due to how bespoke our order requirements are.

Tried looking at Planning Contracts, but the problem was that you need to have Planning-Contract-specific bins. We have thousands of projects, so creating project-specific locations wasn’t viable. Particularly as we already have general standardised bins for stock.

[jkane (John Kane)]

Just found this setting in Company Config. Not sure if it is impacting what you are trying, but thought I would let you know.

[ZanebK]

Thanks for the suggestion.

For now, the only effective workaround I can find is to mark the forecast as ‘inactive’ once the items have been purchased. That gets rid of the demand on Time Phase.