PO Suggestions for Purchased Subcomponents Coming too Early

Kinetic ERP
1

Hi all, my company has been live in Epicor Kinetic for just over a year now, but recent personnel changes are leading us to use functions we didn’t try out in Test in order to streamline our manufacturing business. One of those things is min/max/safety parameters, which are working wonders on our finished goods, however not as well with our purchased subcomponents (boxes, labels, etc.)

For instance, if we have 1000 boxes, and our max parameter on the finished part is 1000, we will be left with 0 boxes in inventory when the run is complete. Although those 1000 finished goods could last for months, Epicor will generate a suggest to purchase more boxes immediately.

My question is, is there a way to have Epicor count the existing subcomponents on the final finished part as stock for more accurate suggestions?

If not, what is the best way to mitigate this issue?

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2

First think I’d look at is Min and Safety stock on those boxes. Also lead time. In your example, while those 1000 finished goods may last for months, if your minimum stock on the boxes is > 0, it’s going to suggest you order more before you finish your run and use them all.

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3

Yeah, I was thinking perhaps you just go ahead and process the PO, but put an extended delivery date on it (assuming your vendor would allow it).

… but, then you’d just get change suggestions to expedite the PO. Unless you lock the date on the PO Release… But then I can’t remember if MRP would then kick off a NEW suggestion to, again, try to get them in before you go below the minimum. Can’t remember.

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4

Okay, would you mind helping with an example?

Our A1 finished part is setup as follows (all numbers represent cartons of 12ea):
Min: 27 (1 day usage because we have a 1 day lead time)
Max: 810 (6 weeks usage)
Safety: 135 (1 week usage)
Reorder to max

We need a box with an actual lead time of 12 days, or 10 working days. The minimum order quantity is 2000.

We also need a label (different vendor) with an 8 day lead, or 6 working days. Their minimum quantity is 10,000 ea, which would cover roughly 833 A1 cartons.

What would you suggest for each of the subcomponents?