Optimizing Ready Reserve Locations with Min-Max Replenishment

Optimizing Ready Reserve Locations with Min-Max Replenishment

Optimizing Ready Reserve Locations with Min-Max Replenishment Nilesh Mandani

This topic describes the replenishment strategies that are available for warehouses that use the functionality that is available in Warehouse management. The information in this topic doesn’t apply to the warehousing solution that is available in Inventory management.

The following replenishment strategies are available:

  • Wave demand replenishment – This strategy creates replenishment work for outbound orders or loads if inventory isn’t available when the wave creates work. For example, replenishment work can be created if the quantity that is required for a sales order isn’t available when a wave is processed.
  • Min/Max replenishment – This strategy uses minimum and maximum stocking limits to determine when locations should be replenished. The item and location criteria define the inventory that is evaluated for replenishment. Min/Max replenishment templates are the primary mechanism for maintaining optimal levels in picking locations. To help guarantee that enough pick face inventory is available to meet wave demand, you can use demand replenishment as a supplement between Min/Max replenishment cycles.
  • Load demand replenishment – This strategy sums the demand for several loads and creates the replenishment work that is required in order to stock the relevant picking locations. This strategy helps guarantee that the loads that are created can be picked in the warehouse after they are released.
  • Immediate replenishment – This strategy replenishes inventory before a wave is run if allocation fails for a location directive line that has a replenishment template.

Navigation: Warehouse management > Setup > Replenishment > Replenishment templates


1. Go to Warehouse management > Setup > Replenishment > Replenishment templates. The replenishment template is used to define the items and quantities, and the location to replenish.

2. On the Action Pane, click New.

3. In the Replenish template field, type a value. Give the template a name to indicate that it’s for min/max replenishment.

4. In the Description field, type a value.

5. Select the Allow wave demand to use unreserved quantities check box. If you select this option, it enables wave demand replenishment to consume quantities that are related to min/max replenishment. For example, this might be useful if the min/max replenishment work isn’t processed immediately, to avoid unnecessary demand replenishment work from being created.

6. In the Replenishment template details, click New.

7. In the Sequence number field, enter a number.

8. In the Description field, type a value.

9. In the list, mark the selected row.

10. In the Replenishment unit field, enter or select a value. For example, select pcs. This setting is mandatory. It allows you to specify a different unit of measurement for replenishment work compared to the unit specified for the minimum and maximum stock levels in this template.

11. In the Work template field, enter or select a value. Choose the work template that you created earlier.

12. In the Minimum quantity field, enter a number. Select the minimum quantity that should trigger the replenishment. For example, set this to 50. It is possible to leave this set to zero, if you’re replenishing a fixed location and the Replenish empty fixed locations option is set to ‘Yes’. We also recommend that you select the Replenish only fixed locations option for performance reasons.

13. In the Maximum quantity field, enter a number. For example, set this to 100.

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