Order Policy

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Order Policy

A set of rules that govern how orders are recommended. The Order Policy is assigned to an Ordering Parameter, which is assigned to a part or SKU. There are three Order Policies used by Servigistics:

• Time-Phased ROP

• Trigger Point

• Time-Phased Safety Stock

The availability of these Order Policies is determined by the setting of the OP_TIME_PHASED_ROP_ENABLE global setting:

OP_TIME_PHASED_ROP_ENABLE Setting	Active Order Policy
true	Time-Phased ROP
false	• Time-Phased Safety Stock • Trigger Point

The following table summarizes the differences between the Order Policies.

	Time-Phased ROP	Trigger Point	Time-Phased Safety Stock
When is Need Evaluated	Order Date	Order Date	Available Date
What is Evaluated	Inventory Position <= ROP	Inventory Position <= ROP	Projected On Hand Inventory < SL
How Far Out is Need Evaluated	Through the value set by Days To Generate Orders	Through Horizon	Through Horizon
What Quantity is Ordered	If Order Size rules exist, order the largest amount allowed by sizing rule, up to the Stock Maximum, without going over the Stock Maximum. If Order Size rules do not exist, order up to the Stock Maximum	Up to Stock Max, then order sized	Multiples of EOQ to cover need, then order sized

Appears on these pages

• Interactive Planner Worksheet (Plan)

◦ Deployments Container

◦ Orders Container