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Replenishment Scenario 2 - Classic Material Release, Version 1.0 
Status:  Provisional Ratification by Committee November 2000.
Recast of Pre-2000 Version C Order Models (Balloted and Ratified by Membership, November 1996) and Version A Forecast Models and (Balloted and Ratified by Membership, August 1997)

Business Overview

Special Notes:

Prior to establishing forecasting process, buyer generates blanket PO for stated period (such as yearly). Blanket includes authorization and other terms. Buyer forecasts requirements (net of inventory), normally weekly. If replenishment is required, buyer issues weekly or daily, or JIT releases against the Blanket Order. Enables theoretical zero lead-time, zero inventory, and electronic Kanban strategies. Conducive to an environment where releases are more frequent than weekly.

There are many similarities between this business model and Replenishment Scenario 1. The major difference is that Material Release requires the establishment of the Blanket Purchase Order. Releases against a blanket order have less overhead associated with them than standalone (discrete) purchase orders.

See also Assumptions in the supporting documentation.

Overview (Use Case) Diagram    Narration

Replmodl2.jpg (58255 bytes)


Narration   Overview (Use Case) Diagram

To be developed

Last updated 24 February 2003