Related topics
There are three types of inventory control codes, and three corresponding programs used in DC1 Inventory Control. They are:
- Forecast control codes
- Replenishment control codes
- Service control codes
In this program you define the inventory control codes for calculating forecast information. The purpose is to give you the flexibility to define several different forecasting methods, for different segments of stock, according to different classes and different keys within those classes. In addition, you can define methods on warehouse level or company level.
Options
| Select | Select this option to work with key values in order to define forecasting methods for the control key class. |
- Control key class
- This column lists the existing control key classes for which you can define forecasting methods. You can only select one at a time.
The Nickname class allows you to define EOQ methods which do not have to be assigned to a specific key within the system. The nickname is an arbitrary name. When you installed DC1 Inventory Control, a common EOQ method and its’ corresponding values were automatically set for the default class. However, you can maintain these values. Select the Default class if you want to maintain the EOQ method for the default class.
- Short code
- This column lists the short codes of the existing control key classes.
Work with forecast control codes (INVD01004)
On this panel you define the inventory control codes for calculating forecast information. The purpose is to give you the flexibility to define several different forecasting methods, for different segments of stock, according to different classes and different keys within those classes. In addition, you can define methods on warehouse level or company level.
Options
Selection fields
- Control key class
- Displays the selected control key class for which you want to define forecasting methods.
- Whs
- This column lists the warehouses for which a forecasting method has been defined at warehouse level. If a warehouse code is not entered, then the forecasting method is used at company level.
- Key value
- This column lists the key values entered for the selected control key class. For example, if the control key class is *ITM (item), then valid item codes are listed.
- Exponential smooth
- Indicates if Exponential Smoothing should be used to calculate forecast for this control key class, warehouse and key value.
- Moving average
- Indicates if Moving Average should be used to calculate forecast for this control key class, warehouse and key value.
- Forecast copy
- Indicates if Forecast Copy should be used to calculate forecast for this control key class, warehouse and key value.
- Alpha value
- Displays the alpha value, ranging between 0.01 and 1.00.
- Auto alpha update
- YES indicates that the system should automatically update the alpha value when the Inventory calculation is calculated. NO indicates that the Alpha value entered in the previous field should be used for every period.
- Minimum alpha
- Displays the minimum alpha, ranging between 0.01 and 1.00.
- Maximum alpha
- Displays the maximum alpha, ranging between 0.01 and 1.00. The maximum alpha must be greater than the minimum alpha, if Auto alpha update is YES. Each time the system calculates a new alpha value, it checks that it is greater than the minimum alpha and less than the maximum alpha.
- No of periods MA
- Displays the number of periods MA if Moving Average is selected as the method of forecast, or if the Forecast Copy method is selected and Auto markup/down is YES. This value represents the number of forecast periods on which to base the forecast calculation.
- Maximum deviation %
- Displays a percentage value for the allowed maximum deviation between the present period forecast value and the previous period forecast value. This value is used to determine if a forecast error has occurred during Forecast calculation. These errors are printed on the Inventory calculation error printout. If a value is not entered, then the system cannot alert the user to deviations in forecast.
- Tracking limit
- Displays the tracking limit, ranging between 0.01 and 1.00. This value is used in evaluating the forecast error and for updating the alpha value if Auto alpha update is YES.
- No of track errors
- If a tracking limit is shown in Tracking limit, then the number of tracking errors permitted is shown in this column, ranging from 1 to 99. This number represents the number of consecutive calculations allowed for a forecast error to occur before the system prints an error line on the Inventory calculation error printout.
- Markup/down %
- If the forecasting method is Forecast Copy, then a percentage value for the markup or markdown calculation is shown.
- Auto markup/down
- If the forecasting method is Forecast Copy, then indicates if the markup or markdown percentage should be automatically calculated. The number of forecast periods on which to base the calculation is defined by the value in No of periods MA.
Work with forecast control codes (INVD01007)
On this panel, you can add, change or delete entries for this control key class. For each warehouse and key value, you must select the method and establish the parameters that you want to use to calculate forecast for the selected control key class.
Note: You are not allowed to delete the *DFT key value.
Function keys
- Control key class
- Displays the control key class with which you are working.
- Warehouse
- Key value
- Mandatory entry. Enter a key value. For each warehouse and key value in this control key class, you define a method and parameters to be used for calculating forecast.
- Description
Select method
Select the method you will use to calculate forecast for this control key class, warehouse and key value. The three methods that you can choose from are listed below. You can only choose one method.
- Exponential smooth
- Indicate if you want to use Exponential Smoothing to calculate forecast for this control key class, warehouse and key value.
- Moving average
- Indicate if you want to use Moving Average to calculate forecast for this control key class, warehouse and key value.
- Forecast copy
- Indicate if you want to use Forecast Copy to calculate forecast for this control key class, warehouse and key value.
Enter parameters
Enter the parameters needed to calculate forecast according to the forecast method chosen above. You are required to complete certain fields below, depending on which forecast method you selected.
- Alpha value
- Mandatory entry. Enter the alpha value. The alpha must be in the range of 0.01 to 1.00.
- Auto alpha update
- If you set this field to YES, the system automatically updates the alpha value when the Inventory calculation is calculated. If you set to NO, the Alpha value entered in the previous field is used for every period.
- Minimum alpha
- Enter the minimum alpha. Mandatory entry if the Auto alpha update field is YES. The minimum alpha must be in the range of 0.01 to 1.00.
- Maximum alpha
- Enter the maximum alpha. Mandatory entry if the Auto alpha update field is YES. The maximum alpha must be greater than the minimum alpha. Each time the system calculates a new alpha value, it checks that it is greater than the minimum alpha and less than the maximum alpha.
- Markup/down %
- If the selected method is Forecast Copy, enter a percentage value for the markup or markdown calculation.
- No of periods MA
- The number of periods MA must be entered if Moving Average is selected as the method of forecast, or if the Forecast Copy method is selected and Auto markup/down is YES. This value represents the number of forecast periods on which to base the forecast calculation.
- Auto markup/down
- If the selected method is Forecast Copy, indicate if you want the markup or markdown percentage to be automatically calculated. The number of forecast periods on which to base the calculation is defined by the value in the No of periods MA field.
- Tracking limit
- Enter the tracking limit. It must be in the range of 0.01 to 1.00. This value is used in evaluating the forecast error and for updating the alpha value if the Auto alpha update field is YES.
- No of track errors
- If you entered a tracking limit in the Tracking limit field above, then you must enter the number of tracking errors permitted. It must be a value from 1 to 99. This number represents the number of consecutive calculations you will allow a forecast error to occur before the system prints an error line on the Inventory calculation error printout.
- Maximum deviation %
- Enter a percentage value for the allowed maximum deviation between the present period forecast value and the previous period forecast value. This value is used to determine if a forecast error has occurred during Forecast calculation. These errors are printed on the Inventory calculation error printout. This field is optional. However, if you do not enter a value, the system cannot alert you to deviations in forecast.
Work with forecast control codes, Copy (INVD01008)
- Control key class
- Displays the selected control key class with which you are working.
- Whs
- Displays the warehouse code(s), if defined for the key value(s) you selected to copy.
- Key value
- Displays the selected key value(s).
- New whs
- Enter a code to identify the new warehouse for which you are entering new key values.
- New key value
- Enter the new key value.