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RTA generates requisitions only for stocked parts. By default, when parts are added to the system, they are flagged as stocked parts. Requisitions are created for stocked parts when the inventory level falls below the reorder point (as long as the parts aren't already on requisition or on order). For example, if a part has a reorder point of 1, a requisition is created as soon as the last part is used. If the reorder point is locked, we suggest setting the reorder point at a higher value to prevent running completely out of stock before reorders are placed. Be sure to also set the reorder point accordingly for parts that take longer to come in. If the reorder point isn't locked, the system automatically adjusts the reorder point and reorder quantity according to usage patterns and ship time so you'll have one less thing to worry about. The reorder point calculation is as follows:
(Ship days + 10 days) x Usage per Period
Days per Period
If the result is less than 1, the reorder point is set to 1. When the reorder point is set to 1, the part will be out of stock before more parts are requisitioned. The default reorder point can be set to a higher level in the "Reorder Point Settings" switch (SSM, Parts Parameters tab, switch 22).
The reorder quantity calculation is a bit more complex than the reorder point calculation and varies based on the reorder method you have selected.
Standard Reorder Method:
When the "Reorder Point Settings" option (SSM, Parts Parameters tab, switch 22) is configured for STANDARD reorder method, RTA uses a formula that takes the part price and usage into account The factor table and formula used is as follows:
Level | Price | Factor |
1 | 1.00 | 200 |
2 | 2.00 | 90 |
3 | 6.00 | 45 |
4 | 10.00 | 30 |
5 | 40.00 | 10 |
6 | 200.00 | 5 |
7 | 999.00 | 1 |
8 | 9999.00 | 0 |
(Factor x Usage per Period)
Days per Period
The factor for parts costing less than $1.00 is 200. The factor for parts costing between $1.00 and $2.00 is 90. The higher the part cost, the lower the reorder quantity. The pricing and factor values can be adjusted in the Parts Parameters (SSM, Parts Parameters tab, switch 11).
Calculated Reorder Method:
When the "Reorder Point Settings" option (SSM, Parts Parameters tab, switch 22) is configured for CALCULATED reorder method, RTA will requisition enough quantity to replenish the stock level back to the reorder point. The reorder quantity field is not used with this method. The reorder point is the target quantity that you'd like to keep in stock.
Min/Max Method:
When the "Reorder Point Settings" option (SSM, Parts Parameters tab, switch 22) is configured for MIN/MAX reorder method, RTA will requisition enough quantity to replenish the stock level back up the the max quantity specified.
Note: After setting the system to/from using the min/max method, you will need to run the "Change Reorder Method" utility (STPR). This will convert your existing reorder point and reorder quantity settings to minimum and maximum settings.
To set up a part record for reorders, do the following:
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- Select Parts > Purchase Orders > Create/Receive PO from the RTA main menu (PPC).
- Enter a PO number or press F1 to select a PO from the lookup list.
- Highlight the PO line to correct and then select Edit > Edit line from the menu or click on the Edit Line icon in the toolbar.
- Make changes to the order quantity and/or part price as needed. Refer to the table shown for instructions on how to make corrections.
- Receive the corrected PO line.
Problem | How to Correct in the PO Line |
Received parts at the wrong price | Receive two transactions: 1) Negate the original entry by inputting a negative order quantity at the original price (the wrong price). Receive the line. The PO line quantity and total should both be zero. 2) Reenter the order quantity with the correct price and receive the PO line. |
Received quantity is too high | Enter a negative order quantity to back out the overage and receive the PO line. |
Received quantity is too low | Either add another PO line for the additional quantity and receive it OR edit the original PO line by entering the additional order quantity and then receiving the line. |
Received partial order but forgot to put the remaining quantity on backorder | Enter the backorder quantity in the order field. When the backordered parts come in, receive the PO line in the usual manner. |
Received partial order and put the remaining quantity on backorder but it should've been cancelled | Change the order quantity to zero. It's not necessary to receive this change. Once the order quantity has been zeroed out, the PO line is closed (Completed should appear in the Flags column). |
| Received parts into the wrong stocking area | You can enter two transactions, similar to the process of correcting parts received at the wrong price. However, because this error does not adversely affect the PO or inventory value, we recommend using the move stock option in the Inventory [Adjustments] option to make this correction (PAI). |
NOTE: Deleting a purchase order does not undo the transactions already processed and received.
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