On March 9, Consultant, Author and MSDynamicsWorld.com contributor, Scott Hamilton, wrote a valuable article entitled, “Model SCM Decision Making for Purchased Material using Microsoft Dynamics 365 for Operations.”
At the beginning of the article, Hamilton expressed that the content would start, “with the key planning data for purchased items, and the different ways to maintain the planning data.” He went on to express that: “It identifies several special cases regarding the planning data for purchased items, and reviews the use of planned purchase orders generated by master planning calculations. It also discusses one approach for measuring improvements in the use of planning data to model SCM decision making.”
“Planned orders communicate the need to replenish an item’s inventory,” Hamilton wrote, “and are generated by master planning calculations based on an item’s planning data and demands stemming from S&OP game plans. They provide a critical tool for effective supply chain management (SCM). The item’s planning data represents a model of decision making about coordinating the supply chain. In particular, the planning data for purchased items and the generation of planned purchase orders in Dynamics 365 for Operations or AX 2012 R3 should represent the SCM decision making logic by the responsible buyers.”
The article provides the following considerations for its thesis:
- Key Planning Data for Purchased Items
- Key Pages for Defining an Item’s Planning Data
- Maintain Planning Data for Items
- Special Cases for Purchased Items
- Planned Purchase Orders and Coordination Tools
- Measuring Improvements in the Model of SCM Decision Making
- Case Studies
Hamilton offers a step-by step guide for a variety of use-cases. Among them, as stated above, “Key Planning Data for Purchased Items”, wherein he wrote (and provided the following figure:
“Master planning calculations will generate planned purchase orders based on an item’s planning data and demands stemming from S&OP game plans. Figure 1 summarizes the planning data for purchased items and highlights the companywide versus site-specific and site/warehouse policies. The information reflects the baseline model with coverage planning at the site/warehouse level. The bottom of the figure also highlights the three key pages for maintaining an item’s planning data, and the next section illustrates their use. Further explanation covers each aspect of planning data within the figure.”
Queue Associates encourages all of our clients, prospective clients, partners and other affiliates to read the complete article, containing a rich set of examples of, and considerations for SCM decision making:
(Copyright © 2017 GuidePoint Media, LLC/MSDynamicsWorld.com. All Rights Reserved.)
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