The Manual Estimate method is similar to the Average Usage method, except that the Average Daily Sales is not calculated but specified. The specified Average Daily Sales is used to predict the inventory need of the warehouse or store.
This method is very often used for new items which have no sales history. During the first weeks of sales, an estimate is used as forecast. As soon as there is enough sales history for the Average Usage method, Manual Estimate is replaced by Average Usage.
Manual Estimate setup
The following table describes a sequence of setup tasks with links to the topics that describe them. The tasks are listed in the order in which they are generally performed.
| To | See |
|---|---|
| Plan future demand peaks. | Planned Sales Demand |
| Learn more about the calculation process. | Calculation Process for Manual Estimate |
Fields for Manual Estimate calculation type
The Replenishment data is stored in the Item, Item Store, or Data Profile record. The image below shows the Replenishment data fields on the data source forms for records with the Calculation Method Manual Estimate.
See Replenishment Data Hierarchy for more information about Replenishment data.
Below is a list of common Replenishment Data fields that are described in the Common Replenishment Data Fields topic.
- Maximum Inventory
- Vendor No.
- Purchase Order Delivery
- Reorder Point
- Transfer Multiple
- Purchase Order Multiple
- Exclude from Replenishment
| Field | Description |
|---|---|
| Manual Estimated Daily Sale | The Manual Estimate method uses the Manual Estimated Daily Sale and the Stock Cover Days parameter to calculate the quantity needed. If the quantity on hand in the store or warehouse does not cover the estimated daily sale for the period, the system makes a suggestion. |
| Store Coverage Days Profile | This field tells the system how many days of sale the inventory at the store is supposed to cover with various factors like Location Closed Days, Inbound Location Handling Time, and Coverage Buffer Days to be considered in the stock coverage days calculation, and also to automatically adjust the coverage to reflect the days until the next replenishment calculation. This field is used for the replenishment calculation types Average Usage and Manual Estimate. For more information see Replen. Coverage Days Profile. Note: When the Store Coverage Days Profile is not defined, the system directly uses the value from the Store Stock Cover Reqd (Days) field. |
| Store Stock Cover Reqd (Days) | This field tells the system how many days of sale the inventory at the store is supposed to cover. The field is used for the replenishment calculation types Average Usage and Manual Estimate. Example: The system calculates that the average daily sales quantity is 5 and the Store Stock Cover Days is 10. Then the system suggested quantity will be 50. |
| Wareh Coverage Days Profile | This field tells the system how many days of sale the inventory at the warehouse is supposed to cover with various factors like Location Closed Days, Inbound Whse. Handling Time, and Coverage Buffer Days to be considered in stock coverage days calculation, and also to automatically adjust the coverage to reflect the days until the next replenishment calculation. This field is used for the replenishment calculation types Average Usage and Manual Estimate. For more information see Replen. Coverage Days Profile. Note: When the Wareh Coverage Days Profile is not defined, the system directly uses the value from the Wareh Stock Cover Reqd (Days) field. |
| Wareh Stock Cover Reqd (Days) | This field works the same way as Store Stock Cover Reqd (Days), but here the field tells the system how many days of sale the inventory at the warehouse is supposed to cover. |
See Also
Calculation Process for Manual Estimate
Calculation Type – Average Usage
Calculation Type – Stock Levels
Calculation Type – Like for Like