Material Requirement Planning in Sage 300 ERP

A major pain point for any Distribution based Industry or Food Services Industry is to maintain a steady flow of Supply Chain without hampering costs. Among other factors required for doing this, one major factor is to be able to predict the requirement for materials on a day-to-day basis and plan for procurement accordingly.
Typically, a purchase manager is biased towards buying goods when rates are lower or when demand is less and supply is more. However, he/she also needs to keep an eye towards the projected sales and change in sale patterns due to various other factors affecting sales.
While historical data is not only way of predicting these, but it very well plays an important role. In Sage 300 ERP, User can store Material Requirements using Inventory Control module. There is a menu in inventory control module, which allows users to save Reorder Levels, using which users can define the minimum quantity to be maintained at a location, maximum quantity as a cap to be maintained, reorder quantity that is to be ordered once the minimum quantity is reached and projected sales, all of this period wise.
This way Users can store Minimum Stock Quantity and then whenever the minimum stock quantity is reached, user can access an option in Inventory control module to create Purchase Orders based on Reorder Levels defined.
Also Read: Yield and Waste Management in Sage 300 ERP
Users can define a report to display the quantity being requested at particular locations by taking the data on purchase requisition, the quantity on purchase orders raised in Sage 300; it can also be picked up from Sage 300 Inventory screens and similarly quantity on sales orders and committed quantity can be picked up and shown in report.
This forms a way to project the inventory requirement, in and out transactions that are expected during future periods and then reorder quantity that are to be exercised using the Create P/O from I/C and so on options can give the desired results for streamlining the inventory procurement and allocation method throughout the organization.
Hence, this would help Purchase Managers to take right procurement decisions.