This page enables you to create and delete Days supply targets for inventory. These are the number of days for which a business wants to have sufficient stock on hand to meet demand.
Days of supply help maintain a balance between avoiding stockouts and minimizing excess inventory.
Steps
To create a new days of supply target policy:
- Select the Add Days Supply action button.
- In the dialog, enter a display name for the policy and select Submit. This adds an entry to the Days Supply Targets grid.
- Enter the number of days.
Once a new policy is created, sort the policies to maintain an ordered sequence. To do this, select the Sort Days Supply Targets action button.
To delete an existing days of supply target policy by following the below steps:
- Select the checkbox in the Delete? column, next to the Days Supply Target item that you want to delete.
- Select the Delete Days Supply Target action to delete the policy.
Additional information
Setting days supply to 11 in a weekly system will set the closing inventory to 100% of the forecast for the next period plus 3/7 of the following period. Open orders in both periods will be taken in full.
