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Replenishment Calculation problems

  • December 30, 2024
  • 4 replies
  • 243 views

I am trying to setup and use the Calculate replenishment part of our system.  I run the calculations, and they do not appear to be correct.  I have an item that I sell 10-12 per week.  And the lead is 5.22 days.  The system is calculating my Safety Stock at 1.09 and the reorder point at 2.91 and max suggested at 2.91.  At this rate I would always be ordering for every order that I get.  I would always be out of stock.  I have read the help menu to try and understand why these calculations are off, and I am thinking it has something to do with the number of days I am trying to stock for.  But I do not know where my setup is incorrect.  Is there a good tutorial on how to set this part of the system up?  And how to setup the Replenishment parameters.  

 

Thank you,

Kevin

Best answer by HManmatharajan41

Hello!

quantity to process on the prepare replenishment screen calculates on base UOM:

https://help-2024r1.acumatica.com/(W(10))/Help?ScreenId=ShowWiki&pageid=6fd9f00f-9ed5-4f00-8bb2-9cdfee222074

4 replies

dgodsill7348
Jr Varsity I
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  • Jr Varsity I
  • December 30, 2024

The Max Qty is not calculated and needs to be set manually.  For example, when using Min/Max as a replenishment method the max is usually set to accommodate shelf space or tank aize.  For Fixed Reorder Qty the max might be reflective of an EOQ.


  • Author
  • Freshman I
  • December 30, 2024

I do not understand your reply.  See screen shot below that shows that it is calculating the Max Qty.  What good is the software if it is not automatically going to take into account the Amount of sales you have over a period of time and automatically calculate what you need to set as your order points.    

 


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Hello!

quantity to process on the prepare replenishment screen calculates on base UOM:

https://help-2024r1.acumatica.com/(W(10))/Help?ScreenId=ShowWiki&pageid=6fd9f00f-9ed5-4f00-8bb2-9cdfee222074


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  • Semi-Pro II
  • June 8, 2026

@kbuelow did you resolve this?  I’m curious about the same thing.  In your example above, based on the calculations that Acumatica uses, I would expect a re-order point calculation that goes roughly something like this (leaving safety stock out of the mix for simplicity):

11 items per week (average between 10 and 12) / 7 days in a week = 1.57 a day x 5.22 days of lead time

= 8.2 items per order.

But this does mean you are re-ordering every 5 days, and this aligns with a Just In Time philosophy, which means you are holding almost no stock.  JIT requires very predictable demand and perfectly reliable suppliers, rare for most businesses.

You can overcome this with safety stock but still, the results of the calculations as they stand would need to be modified one by one, so it’s not just a matter of calculating and implementing.  For each item you have to modify the values, and as you say, a parameter with number of days of stock to hold (meaning how often you want to re-order), would be useful.

Please let me know if/how you overcame this.