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Forecast and Forecast Consumption

  • 1.  Forecast and Forecast Consumption

    Posted Jul 20, 2017 05:08 PM

    We have a very simple business scenario for which we need to use MS Dynamics NAV and I'm looking for input on how others have dealt with the following:

    We receive a forecast from one of our customers which we'd like to get into NAV so that the planning engine recognizes the demand and will prompt us to purchase supply to satisfy the demand.  At a later date, prior to the date associated with the demand we entered into NAV, we will receive an actual PO from our customer which will result in the generation of an SO.  We'd like this SO to consume an equal amount of the demand we entered into the system using the forecast.    

     

    Any suggestions?

     



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    Robert Schneider
    Director of Operations
    Boa Technology Inc.
    Denver CO
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  • 2.  RE: Forecast and Forecast Consumption

    NAVUG ALL STAR
    Posted Jul 20, 2017 05:57 PM
    ​You might want to take a look at Lanham's Advanced Forecasting and Procurement (AFP) add-on.  AFP supports customer collaborative forecasts.


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    Lewis Rosenberg
    IT Manager
    Mars Fishcare
    Chalfont PA



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  • 3.  RE: Forecast and Forecast Consumption

    TOP CONTRIBUTOR
    Posted Jul 21, 2017 09:15 AM
    How do you know the two are associated?

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    Ron Ketterling
    President
    Business Automation Specialists of MN, Inc.
    Minneapolis MN
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    Academy - Online Interactive Learning from Experts


  • 4.  RE: Forecast and Forecast Consumption

    Posted Jul 21, 2017 10:27 AM
    ​Hi Robert,
    To really effectively answer the question, there are some questions that need to be asked, such as: How many items to forecast, for what time frame, how far into the future do you need to plan to buy raw material components, and how often does the customer forecast change?

    Is the customer buying a few items from you or dozens or hundreds?

    If a few items, you may want to look into creating a blanket sales order and manually managing quantities and dates.

    If it's too much maintenance for a blanket sales order, you could possibly use the functionality a Production Forecast to load the customer's specific demand.  But it would be important to make sure you are forecasting all demand, not just the specific customer.

    And there are other options such as mentioned in this thread.

    If the customer is ordering a family of products, you could possibly create an item and with a planning BOM associated to help drive the demand but reduce the amount of maintenance when there's a forecast change.

    In general, my advice is to try the simplest solution first (blanket sales orders) and see if it meets your needs, and if not, look to more advanced solutions.


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    Mike Louis
    Business Systems Analyst
    Cogentix Medical
    Minnetonka MN
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  • 5.  RE: Forecast and Forecast Consumption

    SILVER CONTRIBUTOR
    Posted Jul 21, 2017 10:31 AM
    Edited by Kate Pinyan Jul 21, 2017 10:35 AM
    ​Hello Robert,

    As Lewis mentioned, Lanham's AFP does allow for a customer collaborative forecast by item number. The collaborative forecast is combined with a statistical forecast to provide a complete forecast for that item. The system then recommends that you buy the item if the combined forecast is greater than the quantity on hand for that item taking into account lead time, review cycle, and safety stock days.

    If you think this would fit your needs, let me know and we can discuss this further, or we could show you a demo on how AFP works with customer collaborative information.

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    Kate Pinyan
    Marketing and Business Development
    Lanham Associates/Lanham Services
    Norcross GA
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    Academy - Online Interactive Learning from Experts


  • 6.  RE: Forecast and Forecast Consumption

    TOP CONTRIBUTOR
    Posted 27 days ago
    You don't need any add-ons for the scenario you described.  Import your customer's provided forecast into NAV, the system will build stock to match the forecasted demand.  As Sales Orders are generated it will consume out of stock.  Only when your sales exceed your forecast will additional supply orders be triggered.

    This is the standard Demand Planning and Forecast functionality in NAV/BC.

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    Ben Baxter
    Consultant
    Accent Software, Inc.
    carmel IN
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    Academy - Online Interactive Learning from Experts


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