Inventory management and reorder points

Step-by-Step Breakdown

Detailed explanation of each automated stage in the workflow.

1. 1

   Trigger

   Inventory threshold breach detected

   SAP system detects that raw material or component inventory has fallen below the established reorder point. Real-time inventory tracking triggers automated review process.

   SAP
2. 2

   Action

   Analyze demand forecast data

   Oracle Manufacturing Cloud analyzes historical consumption patterns, current production schedules, and seasonal trends. System calculates projected demand for the next 30-90 days.

   Oracle Manufacturing Cloud
3. 3

   Action

   Check supplier availability and lead times

   System queries supplier portals and procurement databases to verify current lead times and availability. Updates reorder calculations based on supplier performance data.

   SAPOracle Manufacturing Cloud
4. 4

   Decision

   Evaluate urgency and approval requirements

   Workflow determines if this is a critical shortage requiring expedited ordering or standard replenishment. Routes high-value purchases through approval workflow while auto-approving routine orders.

   SAP
5. 5

   Action

   Generate optimized purchase requisition

   System creates purchase requisition with optimal order quantity based on EOQ calculations, supplier minimums, and storage constraints. Includes preferred supplier and delivery date requirements.

   SAPOracle Manufacturing Cloud
6. 6

   Action

   Update safety stock parameters

   Epicor system adjusts reorder points and safety stock levels based on recent demand variability and supplier performance. Machine learning algorithms optimize future threshold settings.

   Epicor
7. 7

   Output

   Send purchase order and alerts

   Approved purchase order is transmitted to supplier and procurement team receives notification. Production planning team is alerted to expected delivery timeline.

   SAPOracle Manufacturing Cloud

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