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Forecast/Planning Model 3 - Consumption (Planned Usage) Schedule, Version 1.0
a/k/a Supplier-Managed Inventory Forecast
Status:  Provisional Ratification by Committee November 2000.
Recast of Pre-2000 Version A Forecast Models (Balloted and Ratified by Membership, August 1997)

Process Activities

Special Notes:                   


Activity Diagram (See also Narrative):

Fcmodl2_activity.jpg (54815 bytes)


Narrative (see also Graphic):


Step Description
1. Buyer generates Supplier-Managed Inventory (SMI) data, including planned consumption (sales and/or usage, a/k/a gross requirements), available inventory levels, inventory receipts, and minimum and maximum inventory level targets. Buyer sends SMI data to seller.
2. Supplier receives Consumption Schedule sent by Buyer. Includes determining if data sent is in valid format and meets any syntax requirements. Seller nets forecast data to determine if changes from a previous plan are within acceptable tolerance for change, to determine whether replenishment is required during the current planning cycle, and to generate a plan for future replenishment.
3. If required by buyer, supplier generates a response to the Consumption Schedule. Response contents are per trading partner agreement.   Generally, a response is sent if change in planned consumption from previous iteration (usually previous week) is not within contracted acceptable tolerance for change (upside or downside), supplier creates an exception and reports this in the response.   The supplier's replenishment plan (planned shipments) is handled by the Shipment Plan Component (see Replenishment Scenario Matrix).
4. If a response to Consumption Schedule is received, buyer evaluates the response. If any adjustments are needed for the next re-generation of the forecast, they are fed into the 'Prepare for Next Interation of MRP' process.

Last updated 05 January 2003