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Documentation for Streamline 4.x

User Guide

1. General Information

2. Starting Up

3. Connecting data

4. Demand and Sales Forecasting

5. Inventory Planning

6. Reference


6.9. Inventory Planning

The Inventory planning is used to generate inventory replenishment recommendations. It is represented by a read-only table and is calculated based on forecasts and a set of inventory parameters used as inputs.

The parameters and outcomes of the report are the following:

Parameters: On hand, To receive, Delivery date, To ship, Lead time, Order cycle, Min lot, Max lot, Rounding, Service level, Display qty, Shelf life, peridos, Shelf life exceeding, Safety stock.

Outcomes: Dys of supply, Safety stock, Reorder point, Max inventory, Gross margin, Turn-earn index, Current qty to order, Projected inventory levels, Purchase plan, Replenishment plan, Stockouts and Overstocks.

Description of the outcomes and parameters is given in the Table section.

Safety stock can be used as input for the report in case if you need to set it manually. All information entered into the software manually has higher priority over Streamline’s defaults and outcomes.

The report can be recalculated on demand when you click the Forecast button, or automatically, when you adjusting the forecast or changing the parameters of the report using the Export/Import parameters scenario.

To learn how you can change the parameters, refer to the Setting the replenishment parameters.


  • Settings button gives access to the report settings.
  • In transition details button shows the In transition details dialog.
  • Export report exports entire inventory report table to Excel.
  • Export parameters creates an Excel spreadsheet where inventory parameters can be edited.
  • Import parameters loads the spreadsheet created using the Export parameters button. You can optionally choose any other Excel file to load. To do this:
  1. Click on a little triangle near the button.
  2. Select the Choose file… command.

  1. Choose the file and click OK.

In transition details dialog

The dialog shows items' details that are in transition. It consists of two tabs, To receive and To ship.

  • To receive tab indicates purchase/transfer orders are being delivered currently and should be received.

  • Delivery date is the expected delivery date of the item.
  • Item code is the product identifier, also known as SKU.
  • Description is the description of the item imported from the data source.
  • Location is the destination site, the item should be delivered to.
  • Qty is the item amount in transition.
  • Open date is the date the purchase order was placed.
  • Supplier is the code of the supplier which is delivering the item.
  • Cost is the cost of the purchase order line imported from the data source.
  • Order number is the PO/TO order number imported from the data source.

Depending on the data source either Delivery date or Open date should be given. If neither date is given Streamline designates it as 'Now/unknown' and implies that the item will be delivered on the first day of the forecast.

  • To ship tab displays open sales orders or backorders that should be shipped to the customers.

  • Delivery date is the expected delivery date of the item to your customer.
  • Item code is the product identifier, also known as SKU.
  • Description is the description of the item imported from the data source.
  • Location is the site, the item should be shipped from.
  • Qty is the item amount that should be shipped.

Purchase orders preview dialog

In the dialog, you can:

  • sort the table by any column by clicking its header;
  • select which items to include in the purchase orders;
  • adjust the ordered quantity by editing the Qty column;
  • export selected purchase order lines to Excel by clicking the Export to XLSX or Export to CSV button; and
  • create purchase orders in your ERP or accounting system by clicking the Create button.

If you don’t use Streamline’s special data connections or create a project using the Database connection without exporting query configured, the Create button is inactive.

The Export to CSV button is specially designed to export very large tables.

Here is a list of all available columns that the dialog can display:

  • Supplier (if available) is the supplier code imported from the data source. In the case of the Database connection, the column shows the Supplier code.
  • Supplier's item code (if available) shows item codes in supplier's notation. This column is shown if the Supplier's item code is imported. The data from this column is used as the item codes in resultant purchase orders created by Streamline after you click the Create button.
  • Item code is the identifier of the product also known as SKU.
  • Description is the description of the item code.
  • Location (if available) is the destination site, the item should be delivered to.
  • Qty is the item’s amount that should be ordered. This column is editable.
  • Value is the item’s purchase value.
  • Order # is the ordinal number of a purchase order.
The Order # column has nothing in common with the purchase orders’ numbers in the connected system. It only shows some internal Streamline’s enumeration for purchase orders based on the [item; supplier] pairs. So that, if items have the same supplier (shown in the Supplier column), all of them get the same order number shown in the Order # column.
If you use one of the special data connections, Streamline creates a single purchase order in the system for all items having the same supplier in the Supplier column.
Some systems require providing a supplier code to create a new purchase order. If it is not set (the cell is empty in the Supplier column of this dialog), the PO won’t be created and, consequently, the item won’t be exported.


  • Category – item's category such as product group or sales point.
  • Item code – an identifier of a planning item also known as SKU.
  • Description – a description of the item.
  • Type - indicates the type of the item. It is shown if bill of materials was imported.
  • Finished - indicates finished products or goods.
  • Intermediate - indicates products that are made during the manufacturing process and are used to create finished products.
  • Material - indicates materials, the items that are used to build intermediate and finished products. They represent the lowest level of the bill tree.
  • On hand – the amount of inventory that is currently in stock. Color-coding of the column:
  • Red - the items with insufficient On hand inventory to cover lead-time demand. This is an irretrievable loss.
  • Light-green – the items with On hand quantity enough to satisfy the expected lead-time demand.
  • Dark-green – the items having On hand enough to cover the demand forecst during the (lead time + order cycle) period.
  • Days/Months of supply shows how many days/months of the future demand the (On hand - Pending sales orders) quantity can cover.
  • Pending sales orders is the quantity on open sales orders.
  • Qty to receive – the amount of inventory expected from your supplier.
  • Lead time is entered in days and represents the interval of time between when a replenishment order is placed and when it is received. It's also possible to change the default value of Lead time in the inventory report setting.
  • Order cycle represents how often the item is ordered from your supplier. It can be given in sales history periods (weeks or month), days, or lead times. If it is not given, a default value is used from the inventory report settings.
  • Min lot and Max lot represent optional constraints on how few or how many of this item can be purchased from your supplier. Zero value means that the parameter is not given.
  • Rounding allows Streamline to take into account how many items come packed in a carton, allowing the application to suggest exactly the right amount of the item to order.
  • Service level is the percentage of the time (in the long run) that the item is in stock, based on the forecast. It can be changed in the inventory report settings.
  • Safety stock is the safety stock for any location’s warehouse. Its level depends on the inventory replenishment strategy. Calculation of the Safety stock can be customized in the inventory report settings. Safety stock is an assessment of the reserve stock for:
  • Safety stock debt shows the quantity of material that is required to keep the Safety stocks of all finished products that use this material on the recommended level. It is calculated for all items that are used to create finished goods and is shown if bill of materials was imported.
  • Shelf life is the desired time the item can be in stock. After the time expires, some actions should be taken as clearance sale, return to the supplier and so on. The red cell background means that even if you order 1 unit of the item, it won't be sold with the probability of more than the shelf life exceeding percentage. Thus, the item won't be ordered. To make Streamline order this item, increase the shelf life or shelf life exceeding percentage.
  • Shelf life exceeding shows the average percentage of the item’s purchase quantity that we might have to: send to a clearance sale, return to the supplier and so on. If you just discard the expired product, the percentage should be very small. If you recycle them (e.g. roast the meat or make a clearance sale), the numbers may be larger.

Streamline implies that the product moves by the FIFO rule. So if you got some goods, a newly appeared lot will never sell until we sell the expiring ones. Streamline doesn’t take into account that some lots of goods are doomed and be discarded for sure.

  • Purchase price is the price you pay the supplier for the item, imported from Excel file or 3-rd party system. If base currency or currency of supplier is imported, the column shows it.
  • Note shows the annotation for the planning item.
  • Gross margin is a gross profit margin that is calculated based on the item balance value or item purchase price (is used as a fallback if item balance value is not given) and selling price over the last 12 months. The formula looks like:

Gross_margin = (1 - item_purchase_price * inflation_coefficient ^ sellout_time / aver_sales_price) * 100%


item_purchase_price - the item purcahse price per unit imported from the datasource;

aver_sales_price - the average selling price calculated over the last 12 months;

inflation_coefficient = 1 + interest_rate;

sellout_time = (lead_time + days_to_sell)/365.25;

interest_rate – the annual interest rate that is taken from the project settings;

days_to_sell – the Average days to sell value.

2017/10/02 12:02
  • Turn-earn index is an item gross margin accumulated over the last 12 months, and calculated as:

Turn-earn_index = gross_margin * inventory_turnover

  • Order now section gives recommendations of what and how much to order today.
  • Qty column shows the item amount that should be ordered. An example of the column calculation can be found on the example calculation page.
  • Excess order shows the excess part of the order that is gotten due to the constraints such as Min lot or Rounding. For example, if you round the suggested quantity of 127 by 10, resulting in 130, then, you will have 2.3% of excess that is calculated as (130 - 127) / 130 * 100%.
  • Value shows the purchase order item value in the base currency.
2017/07/28 08:45
  • Reorder point is the inventory level at which a replenishment order should be placed. This is the sum of the lead time demand and the safety stock.
  • Max inventory is the maximum inventory level for an item in the current period.

The Reorder point and Max inventory columns are visible when the Min/Max inventory replenishment strategy is applied.

  • Stockout is an expected inventory shortage. Red color of the cell in this column indicates a stockout. It can only happen when On Hand quantity does not cover the projected demand for the time period before the first delivery date:

Stockout = MAX(0, [Lead Time Demand - On Hand - In Transition + Pending sales orders]);

  • Overstock shows the item’s expected redundant quantity for the nearest (lead time + order cycle) period. The green color of the cell in this column indicates an overstock.

Overstock = MAX(0, MAX{0, On Hand - Pending sales orders - Demand from Now to PO Arrival} + In Transition - Demand[from PO arrival to Lead Time + Order Cycle] - Safety Stock)

In the case of a capacity limit (Max Lot Qty) that forces us to increase the first ordered, Overstock = 0.

  • Demand forecast section shows the expected future demand in every forecasting period within the forecast horizon.

The color-coding of this section:

  • Green color indicates the future periods which On hand + InTrn(LT+OC)PndSales(LT+OC) can cover.
  • Red color indicates the periods with stockouts.
  • Projected inventory levels section shows the expected future item quantity in stock at the end of each period. In order to calculate the levels, Streamline simulates future consumption and replenishment events.

The color-coding of this section:

  • Green color indicates the future periods which On hand + InTrn(LT+OC)PndSales(LT+OC) can cover.
  • Red color indicates the periods with stockouts.
  • Purchase plan or Replenishment plan (if the Distribution center is activated) section shows the item quantity to be ordered by the 1-st day of each period. It is calculated based on demand forecast and replenishment events. Empty cells in the purchase/replenishment plan mean that Streamline doesn't have sufficient information to make reliable recommendations for those periods.

The Demand forecast, Projected inventory levels and Purchase plan are invisible by default. Any of them can be shown using an option in the inventory report setting.

Next: Distribution Center

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inventory-report.txt · Last modified: 2019/04/15 11:35 by admin