How are they established?
In traditional replenishment systems, the Reorder Points are typically calculated based on forecasted demand and lead time to establish the reordering rules. However, in DDMRP, replenishment is managed dynamically through buffer levels, making the static Reorder Point unnecessary and ensuring stock is adjusted based on actual demand and consumption.
Static Reorder Points can lead to stock imbalances due to inaccurate forecasts. ForgeFlow Cloud ERP’s DDMRP system eliminates the need for fixed reorder points by using dynamic buffers that adapt to real demand. This ensures timely replenishment without overstocking or shortages, keeping your supply chain agile and efficient.
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