In the Classification app every assortment contains a matrix of segments. Each of these segments contain groups of parts, defined by the 2 dimensions of the matrix. For example: cheap fast movers (A1 in default configuration) or expensive slow movers (C3 in default configuration).
For each segment you can assign settings. The default settings are based on the planning concepts that are associated to the different segments.
Settings
There are different setting groups that can be set, see below. All settings that are set per segment are applied on part level after pressing Save and calculate.
Setting groups:
- Stock availability
- Forecast
- Order quantity
- Lead time
- Export
In addition, you can change the planning concept that is associated to that segment by clicking on that segment and then change the planning concept.
Note that only admin users can configure a planning concept. You can contact Lanza support.
Stock availability
The stock availability target defines the risk of a stock-out and has a direct impact on the safety stock calculation. The higher this number the higher the safety stock. Typically you set higher targets for cheap fast movers than for expensive slow movers. Contact Lanza support for more in-depth coaching on availability setting.
Forecast
Forecast settings contains a hierarchy of settings.
- Select the forecast setting group in the dropdown
- Click on the segment you want to change settings for
Now the complete list of forecast settings appears.
- Planning method
- Reactive: forecasting based on historical demand
- Proactive: forecasting based on future demand information, e.g. soft reservations
- Mixed: combined reactive and proactive forecasting
- Manual: allows for a manual forecast and forecast error
- Reactive planning method
- Forecast method
- Smoothing factors
- Demand stream
- Initialisation period