Shrinkage Rate Does Not Apply to On-Hand Quantity (Doc ID 2360329.1)

Last updated on DECEMBER 03, 2019

Applies to:

Goal

We are using shrinkage rate for MRP. The Shrinkage Rate field in Organization Items is not working as expected. Shrinkage rate does not apply to on-hand quantity.
For example, we have a demand of 500 for Item A.Shrinkage rate of Item A is 0.01. After ran MRP,MRP created a planned order of 505.050505. We released the planned order to PR,auto-created PO from PR and received 505.050505 into stores.
Then we created a MDS of 500 again.MRP created a planned order of 499.948979. It seems MRP consider on-hand quantity of 5.050505 as supply to this demand. But it's not what we expected.We expect MRP to create a planned order of 505.050505 for the second 500 demand, otherwise it will result in short of supply.
Is there a way to solve this problem?
 

Solution

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