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Planning Policy Code
Planning Policy Code
Defines a production sizing rule for a part. The MS and RP modules use this code when generating planned manufacturing orders (MRP parts), planned flow schedules/ authorizations (JIT parts), and planned purchase and transfer requisitions to determine a production quantity for orders, flows, and requisitions. The valid codes are:
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As Required. The part is ordered as needed.
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Fixed Time Period. The order quantity will satisfy all requirements for the part for a specified period into the future, based upon a specified minimum number of days and incremental day quantities.
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Fixed Quantity. The part is ordered in fixed quantities, based on specified minimum and incremental order quantities.
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Physical Control. The planning modules will not generate orders, but will suggest action, for the part.
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Partial Planning. For JIT parts, separate flow schedules/authorizations will be created each time the demand fluctuates for a part.
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Average Planning. For JIT parts, the demand for a part over a given Flow Interval (defined in the JIT module) will be totaled and averaged as a flow authorization to create a smoothed production schedule.
The Partial Planning code helps meet demand more exactly, while the Average Planning code allows a smoother, more consistent production schedule to be created, even though temporary inventory surpluses and shortages may occur as a result.