Demand forecast planning for RM

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Posted on by CU04051314-0

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Hi all,

What would be best practice to see the raw material demands from a formula of a finished good item? Looking at monthly demands for the upcoming year. FG demands are entered by month. The problem we are seeing is that safety stock is interfering with the singular monthly demands. Leadtime are an issue but those are more understandable for the users.

FG - demand forecast of 1000

RM - 500

RM - 250

Thanks,

Trent

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Dynamics 365 Supply Chain Management

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Mike Foss 51 on at

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Do you have an item coverage on the item that include a minimum greater than 0?

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CU04051314-0 235 on at

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Thanks for your response Mike, unfortunately yes many items do. On top off that there are transfers between the purchase site and the production site. Adds another layer of complexity.

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CU04051314-0 235 on at

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Additionally, the planning we are seeing for the demand forecasting are planned purchase orders not pegged to any demand. Would there be a reason for this to happen?

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Laurens vd Tang 4,018 Super User 2025 Season 2 on at

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Good day,

Do you have a safety stock for finished goods?

Laurens van der Tang

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Mike Foss 51 on at

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Is there's a reason you wouldn't toggle "Include on-hand inventory", "Include inventory transactions", "Include Sales Orders", "Include Transfer orders" etc?

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CU04051314-0 235 on at

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Hi Mike and Laurens, thanks for you quick responses.

Mike, I figured the best way to only see the results of the demand forecast we have on the FG items was to only have that setting on. If you know of a better way to go, please let me know.

Laurens, yes, we do have safety stock setup on the FG items.

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Laurens vd Tang 4,018 Super User 2025 Season 2 on at

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Good day,

Would it not be an option to use either forecast or safety stock?

Best regards,

Laurens van der Tang

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CU04051314-0 235 on at

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Thanks for the suggestion, Laurens, I will test the comparison to see if we get more of a pure demand forecast plan.

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