Recurrency Planning is designed to optimize inventory management by streamlining replenishment strategies and helping businesses respond effectively to varying demand patterns. This module ensures stock levels are always aligned with customer needs, allowing users to move from manual guesswork to data-driven decision-making.
Key Features of Recurrency Planning
Tailored Recommendations for Diverse Demand Patterns
Recurrency Planning adapts its replenishment strategies based to demand patterns—whether smooth, erratic, or sporadic, etc. For items with sparse demand (six months or fewer of activity in the past year), Recurrency tailors recommendations using average monthly demand, historical usage, and lead times to ensure efficient and appropriate stock levels for every scenario.
Smart Inputs & Dynamic Forecasts
Recurrency eliminates the guesswork involved in inventory planning. By leveraging smart inputs and dynamic forecasts, Recurrency delivers replenishment recommendations finely tuned, automatically adjusting for changes in demand patterns, supplier lead times, and order cycles. This proactive, data-driven approach allows teams to focus on managing exceptions, freeing up time and reducing human error.
Data Refresh Frequency
The data in Recurrency Planning is refreshed regularly to ensure you always have the most current information for decision-making. These continuous updates allow businesses to respond quickly to changes in demand and other variables. Learn more about data refresh intervals in Recurrency.
Replenishment Methods
Recurrency Planning supports multiple replenishment strategies, ensuring you can effectively plan for specific scenarios:
Dynamic Minimum and Maximum (Min/Max): The primary method used to maintain optimal stock levels, dynamic Min/Max continuously adapts based on historical demand, safety stock, lead times, and Economic Order Quantity (EOQ). This minimizes stockouts while preventing overstocking, allowing for agile adjustments as trends change.
Order Point/Order Quantity (OP/OQ): Available for P21 users, OP/OQ triggers reorders when stock falls below a specific level (Order Point) and orders a fixed quantity (Order Quantity). This is typically used for supplier-driven purchase agreements or specific cases but is less flexible for day-to-day planning.
💡 OP/OQ is typically used for exceptions rather than standard planning, providing a structured approach for specific items.
Replenishment Recommendations Overview
Recurrency Planning simplifies inventory management by using tailored calculations that adapt to different scenarios.
For non-Sparse items, the system calculates the Minimum (and/or Order Point) based on forecasted demand, lead time, safety stock, and order cycle, focusing on replenishing the right amount at the right time. Maximum levels are calculated considering forecast, lead time, safety stock, and Economic Order Quantity (EOQ), which balances ordering efficiency with storage capacity and costs.
For sparse items, the system uses a different calculation, focusing on lead time, months of usage, and average demand, making sure low-demand items are still efficiently managed without overstocking or stockouts.
This flexible, data-driven approach reduces manual effort, allowing you to manage by exception while keeping inventory optimized.