<?xml version="1.0" encoding="utf-8"?>
<ManualTopic ID="/baanerp/cp/onlinemanual/000495" xml:lang="en">
   <Header>
      <Title>Replenishment methods (VMI)</Title>
      <Keyword type="header" order="d1e185842">
         <Level1>VMI</Level1>
         <Level2>replenishment</Level2>
      </Keyword>
      <Keyword type="header" order="d1e185847">
         <Level1>Replenishment</Level1>
         <Level2>VMI</Level2>
      </Keyword>
   </Header>
   <AimSection>
      <Paragraph>This topic describes how a <Link href="/baanerp/cp/glossary/glossary#000466" role="glossary">VMI supplier</Link> can replenish inventory at a customer. The
		replenishment plan is usually agreed between the supplier and the customer.</Paragraph>
   </AimSection>
   <GeneralSection>
      <SectionTitle>Planning methods and replenishment methods</SectionTitle>
      <List>
         <ListIntro>For the purpose of this description, the terms planning and
		  replenishment are defined as follows:</ListIntro>
         <ListItemHead>Planning</ListItemHead>
         <ListItem>Planning is the process of generating <Link href="/baanerp/cp/glossary/glossary#000050" role="glossary">planned orders</Link> based on the requirements of the customer,
		  intended to replenish the warehouse at the customer. This process drives the
		  generation of <Link href="/baanerp/cp/glossary/glossary#000047" role="glossary">planned production orders</Link>, <Link href="/baanerp/cp/glossary/glossary#000048" role="glossary">planned purchase orders</Link>, and <Link href="/baanerp/cp/glossary/glossary#000049" role="glossary">planned distribution orders</Link> used to build up inventory in
		  the supplying warehouse from which the supplier supplies the customer.</ListItem>
         <ListItemHead>Replenishment</ListItemHead>
         <ListItem>Replenishment is the process of transferring <Link href="/baanerp/cp/glossary/glossary#000049" role="glossary">planned distribution orders</Link> to the <Link href="/baanerp/cp/glossary/glossary#000027" role="glossary">execution level</Link> to start the actual delivery of items to
		  the warehouse at the customer's site. In case of <Link href="/baanerp/td/glossary/glossary#DirectDelive_td" role="glossary">direct delivery</Link>, you do not use a planned
		  distribution order but a <Link href="/baanerp/cp/glossary/glossary#000048" role="glossary">planned purchase order</Link>.</ListItem>
      </List>
      <Paragraph>If you select the same method for the planning and the
		replenishment, the replenishment closely follows the planning; all planned
		orders are transferred to the <Link href="/baanerp/cp/glossary/glossary#000027" role="glossary">execution level</Link> and executed without further delay.</Paragraph>
      <Important>
         <SectionTitle> Important!</SectionTitle>
         <Paragraph>If you use different methods for the planning and the
		  replenishment, some <Link href="/baanerp/cp/glossary/glossary#000050" role="glossary">planned orders</Link> are not immediately transferred and
		  executed. You can use that setting to build stock at your site as determined by
		  the planning method, but ship the items later, as determined by the
		  replenishment method.</Paragraph>
      </Important>
   </GeneralSection>
   <GeneralSection>
      <SectionTitle>Available methods</SectionTitle>
      <Paragraph>To specify the replenishment method, use the <Link href="/baanerp/tc/trm/tctrm1135m000#tctrm135.rpbo" role="formfield">Replenishment Based On</Link> field on the <GUIRef href="/baanerp/tc/trm/tctrm1620m000" role="session">Terms and Conditions Line (tctrm1620m000)</GUIRef> session's <GUIRef href="/baanerp/tc/trm/tctrm2151m000#tctrm110.plng" role="groupbox">Planning</GUIRef> tab.</Paragraph>
      <Paragraph>The following table describes the available settings.</Paragraph>
      <TABLE border="1" cellpadding="4" borderstyle="default"
             space-and-orientation="indented-estimated">
         <THEAD noTR="1">
            <TR no="1" isLast="true">
               <TD width="20%" valign="top" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/trm/tctrm1135m000#tctrm135.rpbo" role="manual">Replenishment Based On</GUIRef>
               </TD>
               <TD align="center" valign="top" width="55%" rowspan="1" colspan="1">Description</TD>
               <TD valign="top" rowspan="1" colspan="1">Further
				information</TD>
            </TR>
         </THEAD>
         <TBODY noTR="5">
            <TR no="1" isLast="false">
               <TD valign="top" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#total.forecast" role="option">Total Forecast</GUIRef>
               </TD>
               <TD valign="top" rowspan="1" colspan="1"> ERP Enterprise bases the replenishment on the total <Link href="/baanerp/cp/glossary/glossary#000456" role="glossary">forecast</Link>, received in messages from the customer.</TD>
               <TD valign="top" rowspan="1" colspan="1"/>
            </TR>
            <TR no="2" isLast="false">
               <TD valign="top" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#confd.forecast" role="option">Confirmed Forecast</GUIRef>
               </TD>
               <TD valign="top" rowspan="1" colspan="1">Similar to <GUIRef href="/baanerp/tc/domains/rpbo#total.forecast" role="option">Total Forecast</GUIRef>, but ERP Enterprise only takes the <Link href="/baanerp/cp/glossary/glossary#000458" role="glossary">confirmed part of the forecast</Link> into account.</TD>
               <TD valign="top" rowspan="1" colspan="1"/>
            </TR>
            <TR no="3" isLast="false">
               <TD valign="top" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#confd.supply" role="option">Confirmed Supply</GUIRef>
               </TD>
               <TD valign="top" rowspan="1" colspan="1">You determine a <Link href="/baanerp/cp/glossary/glossary#000461" role="glossary">confirmed supply</Link> that you communicate to your customer.
	 You can base the confirmed supply on the total forecast or the confirmed
	 forecast, and optionally adjust the confirmed supply manually. ERP Enterprise bases replenishment
	 on the confirmed-supply data.</TD>
               <TD valign="top" rowspan="1" colspan="1"> 
                  <Link href="/baanerp/cp/onlinemanual/000485" role="manual">VMI planning based on confirmed supply</Link>
               </TD>
            </TR>
            <TR no="4" isLast="false">
               <TD valign="top" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#inventory.level" role="option">Inventory Level</GUIRef>
               </TD>
               <TD valign="top" rowspan="1" colspan="1"> ERP Enterprise bases the replenishment on the agreed <Link href="/baanerp/tc/glossary/glossary#000512" role="glossary">minimum inventory levels</Link>.</TD>
               <TD valign="top" rowspan="1" colspan="1"> 
                  <Link href="/baanerp/cp/onlinemanual/000497" role="manual">Replenishment based on minimum inventory</Link>
               </TD>
            </TR>
            <TR no="5" isLast="true">
               <TD valign="top" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#manual" role="option">Manual</GUIRef>
               </TD>
               <TD valign="top" rowspan="1" colspan="1"> ERP Enterprise does not transfer any planned order. You make
		  deliveries manually, independently from any planned order. When a subsequent
		  planning run takes the actual deliveries into account, the existing planned
		  orders are not generated again.</TD>
               <TD valign="top" rowspan="1" colspan="1"> 
                  <Link href="/baanerp/cp/onlinemanual/000488" role="manual">To specify the minimum and maximum inventory</Link>
               </TD>
            </TR>
         </TBODY>
      </TABLE>
   </GeneralSection>
   <GeneralSection>
      <SectionTitle>Possible combinations of planning method and replenishment
		method</SectionTitle>
      <Paragraph>To specify this planning method, define an appropriate <Link href="/baanerp/tc/glossary/glossary#000500" role="glossary">terms and conditions agreement</Link> on the <GUIRef href="/baanerp/tc/trm/tctrm1620m000" role="session">Terms and Conditions Line (tctrm1620m000)</GUIRef> session's <GUIRef href="/baanerp/tc/trm/tctrm2151m000#tctrm110.plng" role="groupbox">Planning</GUIRef> tab.</Paragraph>
      <Note>
         <SectionTitle> Note</SectionTitle>
         <Paragraph>You must enter the <GUIRef href="/baanerp/tc/trm/tctrm1135m000#tctrm135.rpbo" role="manual">Replenishment Based On</GUIRef> field before you enter the <GUIRef href="/baanerp/tc/trm/tctrm1135m000#tctrm135.plbo" role="manual">Planning Based On</GUIRef> field.</Paragraph>
      </Note>
      <Paragraph>The following table displays all permitted combinations of
		planning method and replenishment method:</Paragraph>
      <TABLE border="1" cellpadding="4" space-and-orientation="portrait-custom" width="100%"
             borderstyle="default">
         <TBODY noTR="7">
            <TR no="1" isLast="false">
               <TD rowspan="2" colspan="2"/>
               <TD colspan="5" valign="top" align="center" rowspan="1"> 
                  <GUIRef href="/baanerp/tc/trm/tctrm1135m000#tctrm135.rpbo" role="manual">Replenishment Based On</GUIRef>
               </TD>
            </TR>
            <TR no="2" isLast="false">
               <TD valign="top" align="center" width="14%" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#total.forecast" role="option">Total Forecast</GUIRef>
               </TD>
               <TD valign="top" align="center" width="14%" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#confd.forecast" role="option">Confirmed Forecast</GUIRef>
               </TD>
               <TD valign="top" align="center" width="14%" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#confd.supply" role="option">Confirmed Supply</GUIRef>
               </TD>
               <TD valign="top" align="center" width="14%" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#inventory.level" role="option">Inventory Level</GUIRef>
               </TD>
               <TD valign="top" align="center" width="14%" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#manual" role="option">Manual</GUIRef>
               </TD>
            </TR>
            <TR no="3" isLast="false">
               <TD rowspan="5" valign="middle" colspan="1"> 
                  <GUIRef href="/baanerp/tc/trm/tctrm1135m000#tctrm135.plbo" role="manual">Planning Based On</GUIRef>
               </TD>
               <TD valign="middle" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#total.forecast" role="option">Total Forecast</GUIRef>
               </TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">A</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">B</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">D</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">E</TD>
            </TR>
            <TR no="4" isLast="false">
               <TD valign="middle" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#confd.forecast" role="option">Confirmed Forecast</GUIRef>
               </TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">A</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">D</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">E</TD>
            </TR>
            <TR no="5" isLast="false">
               <TD valign="middle" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#confd.supply" role="option">Confirmed Supply</GUIRef>
               </TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">A /
				C</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">D</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">E</TD>
            </TR>
            <TR no="6" isLast="false">
               <TD valign="middle" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#inventory.level" role="option">Inventory Level</GUIRef>
               </TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">A / D</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
            </TR>
            <TR no="7" isLast="true">
               <TD valign="middle" rowspan="1" colspan="1"> 
                  <GUIRef href="/baanerp/tc/domains/rpbo#manual" role="option">Manual</GUIRef>
               </TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">-</TD>
               <TD valign="middle" align="center" rowspan="1" colspan="1">F</TD>
            </TR>
         </TBODY>
      </TABLE>
      <Paragraph>Legend:</Paragraph>
      <TABLE cellpadding="6" borderstyle="default"
             space-and-orientation="indented-estimated">
         <TBODY noTR="7">
            <TR no="1" isLast="false">
               <TD valign="top" rowspan="1" colspan="1">A</TD>
               <TD valign="top" rowspan="1" colspan="1">=</TD>
               <TD valign="top" rowspan="1" colspan="1">The <GUIRef href="/baanerp/tc/trm/tctrm1135m000#tctrm135.plbo" role="manual">Planning Based On</GUIRef> field has the same value as the <GUIRef href="/baanerp/tc/trm/tctrm1135m000#tctrm135.rpbo" role="manual">Replenishment Based On</GUIRef> field. The replenishment
				closely follows the planning. All planned orders are transferred to the <Link href="/baanerp/cp/glossary/glossary#000027" role="glossary">execution level</Link> and executed without further
	 delay.</TD>
            </TR>
            <TR no="2" isLast="false">
               <TD valign="top" rowspan="1" colspan="1">B</TD>
               <TD valign="top" rowspan="1" colspan="1">=</TD>
               <TD valign="top" rowspan="1" colspan="1"> 
                  <Link href="/baanerp/cp/onlinemanual/000496" role="manual">Planning on total forecast, replenishment on confirmed forecast</Link>
               </TD>
            </TR>
            <TR no="3" isLast="false">
               <TD valign="top" rowspan="1" colspan="1">C</TD>
               <TD valign="top" rowspan="1" colspan="1">=</TD>
               <TD valign="top" rowspan="1" colspan="1">VMI planning and replenishment based on confirmed supply. For more
		  information, refer to <Link href="/baanerp/cp/onlinemanual/000485" role="manual">VMI planning based on confirmed supply</Link>.</TD>
            </TR>
            <TR no="4" isLast="false">
               <TD valign="top" rowspan="1" colspan="1">D</TD>
               <TD valign="top" rowspan="1" colspan="1">=</TD>
               <TD valign="top" rowspan="1" colspan="1">The execution of the
		  planned orders is delayed until the last moment. For more information, refer to <Link href="/baanerp/cp/onlinemanual/000497" role="manual">Replenishment based on minimum inventory</Link>.</TD>
            </TR>
            <TR no="5" isLast="false">
               <TD valign="top" rowspan="1" colspan="1">E</TD>
               <TD valign="top" rowspan="1" colspan="1">=</TD>
               <TD valign="top" rowspan="1" colspan="1"> 
                  <Link href="/baanerp/cp/onlinemanual/000498" role="manual">Manual replenishment</Link>
               </TD>
            </TR>
            <TR no="6" isLast="false">
               <TD valign="top" rowspan="1" colspan="1">F</TD>
               <TD valign="top" rowspan="1" colspan="1">=</TD>
               <TD valign="top" rowspan="1" colspan="1">No planning at all</TD>
            </TR>
            <TR no="7" isLast="true">
               <TD valign="top" rowspan="1" colspan="1">-</TD>
               <TD valign="top" rowspan="1" colspan="1">=</TD>
               <TD valign="top" rowspan="1" colspan="1">Combination not
		  permitted</TD>
            </TR>
         </TBODY>
      </TABLE>
   </GeneralSection>
   <GeneralSection ID="unequalMethods">
      <SectionTitle>Replenishment method different from planning
		method</SectionTitle>
      <List>
         <ListIntro>If you use different methods for the planning and the
		  replenishment, the <Link href="/baanerp/cp/glossary/glossary#000050" role="glossary">planned orders</Link> are divided in two groups:</ListIntro>
         <ListItemHead> 
            <Link href="/baanerp/cp/rrp/cprrp1100m000#cprrp100.ordr" role="formfield">Order Release</Link> = <GUIRef href="/baanerp/cp/domains/rrp.ordr#release" role="option">To be released</GUIRef>
         </ListItemHead>
         <ListItem> ERP Enterprise permits you to immediately transfer these planned orders to the <Link href="/baanerp/cp/glossary/glossary#000027" role="glossary">execution level</Link>.</ListItem>
         <ListItemHead> 
            <Link href="/baanerp/cp/rrp/cprrp1100m000#cprrp100.ordr" role="formfield">Order Release</Link> = <GUIRef href="/baanerp/cp/domains/rrp.ordr#no.release" role="option">Not to be released</GUIRef>
         </ListItemHead>
         <ListItem>Planned orders not immediately required for replenishment. ERP Enterprise prevents you from
		  transferring these planned orders to the execution level. If the situation
		  changes, a later planning run can replace these planned orders by planned
		  orders set to <GUIRef href="/baanerp/cp/domains/rrp.ordr#release" role="option">To be released</GUIRef>.</ListItem>
      </List>
      <Paragraph>In urgent cases, you can manually change the <GUIRef href="/baanerp/cp/rrp/cprrp1100m000#cprrp100.ordr" role="manual">Order Release</GUIRef> field from <GUIRef href="/baanerp/cp/domains/rrp.ordr#no.release" role="option">Not to be released</GUIRef> to <GUIRef href="/baanerp/cp/domains/rrp.ordr#release" role="option">To be released</GUIRef>.</Paragraph>
      <Paragraph>To view the value of the <GUIRef href="/baanerp/cp/rrp/cprrp1100m000#cprrp100.ordr" role="manual">Order Release</GUIRef> field for a planned item, use the the <GUIRef href="/baanerp/cp/rrp/cprrp1100m000" role="session">Planned Orders (cprrp1100m000)</GUIRef> session.</Paragraph>
   </GeneralSection>
   <RelatedTopics>
      <SectionTitle> Related topics</SectionTitle>
      <RelTopic>
         <Link href="/baanerp/cp/onlinemanual/000470" role="manual">Supply planning by supplier</Link>
      </RelTopic>
      <RelTopic>
         <Link href="/baanerp/cp/onlinemanual/000483" role="manual">Planning methods (VMI)</Link>
      </RelTopic>
      <RelTopic>
         <Link href="/baanerp/cp/onlinemanual/000496" role="manual">Planning on total forecast, replenishment on confirmed forecast</Link>
      </RelTopic>
      <RelTopic>
         <Link href="/baanerp/cp/onlinemanual/000497" role="manual">Replenishment based on minimum inventory</Link>
      </RelTopic>
      <RelTopic>
         <Link href="/baanerp/cp/onlinemanual/000498" role="manual">Manual replenishment</Link>
      </RelTopic>
   </RelatedTopics>
</ManualTopic>