Business Terms Dictionary

Planning Buffer

A Planning Buffer in DDMRP is a structured way to determine how much inventory should be strategically positioned to absorb variability in demand and supply. These buffers trigger regular replenishment orders based on the Net Flow Position (NFP), a key indicator of inventory planning status. The NFP’s level within the buffer determines when a replenishment order should be issued and the required quantity to maintain optimal stock levels. © Copyright 2025 Demand Driven Institute. Used with permission.

How does it relate with the On-Hand position?


Con frecuencia, el inventario físico se representa en búfer de planificación además de la Net Flow Position (NFP). Sin embargo, esto suele hacerse con el fin de mostrar a los usuarios que la PFN no indica realmente la cantidad de existencias disponibles. De su posición en el búfer de planificación no deben extraerse conclusiones sobre el estado de las existencias disponibles. Para ello, debe utilizarse el Búfer de ejecuciónmust be used instead.


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ForgeFlow Cloud ERP provides an accurate view of the Net Flow Position (NFP) within planning buffers, allowing stock managers to efficiently create replenishment orders based on the current NFP status. This ensures optimal flow protection in the supply chain and helps prevent stockouts or overstocking.
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