The 7.8 Replenishment Parameters enhancement encompasses the parameter settings necessary to utilize many of the new features introduced in the AIM initiative. The Advanced Inventory Management (AIM) process introduces a new parameter setup, which defines the inventory and replenishment settings at the company, warehouse, vendor, and purchasing line levels and requires additional parameters to be established based on a hierarchy for applying the parameter settings. The hierarchy utilized by FACTS is, listed from least to most specific:
Company
Warehouse
Vendor
Purchasing Line
Item
Warehouse / Item
The parameters are stored in the Inventory Control Replenishment Parameters (ICREPL) table. The ICREPL fields control parameters affecting the replenishment algorithm for an item or items. The functions that the parameters serve can be summarized as implementing the Grant Howard Best Practices for Inventory Management approach. At the minimum, the Company level parameters must be established and reviewed, with their default values dictated by the AIM process.
You may decide to set up only the company level record for the majority of the parameters, and set only select parameters at other levels. Most parameters have a flag that turns them “on” or “off.” If you choose not to have any parameters at the vendor or purchasing line level, for example, do not create those Inventory Control Replenishment Parameter records. Some parameters are available at the company or company and warehouse levels only.
This function will also track usage and cost matrix settings used to adjust ordering controls when a product experiences low or exceptional usage. The new Replenishment Parameter Maintenance program presents the options in a logical, easily understood format where settings can be made at the company, warehouse, vendor and/or purchasing line level. This organizes all of the new setup options added to utilize the Replenishment Parameter enhancements into one, new program.