Reordering Requirements
This report can be used to analyse your purchasing requirements for the next few months, based on the average sales achieved in the past. It provides a preview of the quantities of Items that will be included in the Purchase Orders which will be created by the subsequent running of the
'Reordering Requirements' Maintenance function.
- Period
- Paste Special
Reporting Periods setting, System module
- The report shows the average sales per month for each Item and uses these figures to predict future sales and therefore to make purchasing suggestions. These average figures are calculated from the approved Invoices whose dates fall in the report period entered here.
- It is recommended that you take care to enter an appropriate period. For example, if the report period is a whole calendar year, several months of zero sales will be included in the calculation, so the averages will not be accurate.
- The period should be a number of complete months: it will be rounded up to the nearest number of whole months if this is not the case.
- No. of Months
- The report shows the average sales per month for each Item and uses these figures to predict sales for the next few months. It then suggests the quantity of each Item that should be purchased in order to satisfy these predicted sales. Specify here the number of months whose sales you want to be predicted. An entry must be made to this field otherwise no purchasing suggestions will be made.
- Item
- Paste Special
Item register
- Range Reporting Alpha
- Enter an Item Number or range of Item Numbers separated by a colon (:) to report on the predicted sales and purchasing requirements for those Items. Only Stocked Items in the range will be listed in the report.
- Item Group
- Paste Special
Item Group register, Sales Ledger
- Enter an Item Group Number to report on the predicted sales and purchasing requirements for Items in that Group. Only Stocked Items in the Group will be listed in the report.
The report contains eleven columns as follows:
- 1. Item Code
- Only Stocked Items are listed in the report.
- 2. In Stock
- The quantity in stock at the moment when the report is produced. This is not necessarily the figure at the end of the report period.
- 3. On Purchase Orders
- The unfulfilled quantity on Purchase Orders at the moment when the report is produced. This is not necessarily the figure at the end of the report period. Both approved and unapproved Purchase Orders are taken into consideration.
- 4. On Sales Orders
- The unfulfilled quantity on Sales Orders at the moment when the report is produced. This is not necessarily the figure at the end of the report period.
- 5. Theoretical Stock
- The stock level after the Purchase and Sales Orders in columns 3 and 4 have been fulfilled.
- 6. Sales
- The quantity sold during the report period, calculated from approved Invoices raised in that period.
- 7. Average Sales
- The average number sold per month. This is the figure in column 6 divided by the number of months in the report period. It is recommended that you do not use a calendar year as the report period: this will result in a distorted figure because the future months towards the end of the year will be treated as months with zero sales.
- 8. Predicted Sales
- The average sales figure from column 7 multiplied by the Number of Months entered in the 'Specify Reordering Requirements Report' window. This is therefore the predicted sales level for that number of months.
- 9. Item Minimum Level
- The minimum stock level from the Minimum Stock Levels setting in the Stock module or from the 'Stock' card of the Item record.
- 10. Min Order Quantity
- The minimum order quantity from the appropriate Default Purchase Item.
- 11. Suggested Order Quantity
- The proposed order quantity based on the predicted sales (column 8), the theoretical stock (column 5), the minimum stock level (column 9) and the minimum order quantity (column 10). This is the quantity that will be included on the Purchase Order created by the 'Reordering Requirements' Maintenance function.
