Calculate Buffer Zones
Explanation
This activity is used to calculate
buffer zones based on the unprotected lead time, lead time category and
variability category. Further minimum lot size and imposed order cycle will also
be considered. As a result of performing this job, Green Zone, Yellow Zone and
Red zone will be established for parts with Auto Update buffer levels allowed.
After this process is executed
Buffer Zones will be determined as below. If any Adjustments are applicable then
they will also affect the buffer zone calculations as well.
Green Zone will be established based on the
maximum of the following equations:
- Imposed Order Cycle * Operational Average Daily Usage
- Minimum Order Lot Size Qty
- Average Daily Usage * Unprotected Lead Time * Green Lead Time factor
Yellow Zone will be established by calculating:
- Average Daily Usage * Unprotected Lead Time
Red Zone will be calculated as the sum of Red Base and Red Safety, which is
calculated as below:
- Red Base = Operational Average
Daily Usage * Unprotected Lead Time * Red Lead Time factor
- Red Safety = Variability Factor *
Red Base
Prerequisites
- Part should be defined as
buffered part.
- Unprotected lead times for both
the purchased and manufactured parts must have been calculated.
- Lead Time Category and
Variability Category should be assigned to part.
- If required,
Minimum Order Qty
and Imposed Order Cycle should be specified.
System Effects
- After this process is executed
Green Zone, Red Zone and Yellow Zone are established.
Window
Calculate Buffer Zones
Buffer Parts Attributes
Related Window Descriptions
Calculate Buffer Zones
Buffer Parts Attributes
Procedure
From the Calculate Buffer Zones window:
- In the Site field, enter the site for which you want to calculate
buffer zones. Click
List to select from the available sites. If you leave the field blank, the
buffer zone
calculation process will run for all the sites to which you have access.
- Click OK.
From the Buffer Parts Attributes window:
- Search for the part for which you want to calculate buffer zones.
- Right-click and select Calculate Buffer Zones.
To schedule the task as a background job:
-
Click Schedule to open the New Database Task Schedule window. Set the required scheduling parameters and save. Scheduled tasks can be seen in the Scheduled
Database Tasks window.