A Level 1 part is an actual part that can be built, moved to and from inventory, and shipped to a customer. At this level, the system runs master scheduling for a specific set, either for all parts at all sites, or for a specific part at a specific site. You can either manually enter demand forecasts for a Level 1 part or import previously generated forecasts from Demand Planning. A forecast can be a sales plan or another predicted value. By defining certain planning parameters, you can then have the system generate supply in the form of shop order requisitions, purchase requisitions, or non-firm production schedules. You can also have the system consume forecasts with actual demand. The supply will be in response to the forecasts you entered previously and the backlog of actual customer orders.
Using this information, the system creates a manufacturing plan, or master production schedule (MPS). The system also suggests new orders and actions for existing orders. Furthermore, it calculates gross demand, which forms the basis of material requirements planning (MRP).
When the calculation is complete, you can review the plan for the Level 1 part, with the results grouped by period.