What is green zone in SAP PP-DD - Demand-Driven Replenishment?

SAP Term: green zone

• Component: PP-DD

• Component Name: Demand-Driven Replenishment

• Description: The buffer zone denoting the lowest severity in the stock buffer. If the available stock lies within this zone, there should be sufficient stock available to meet the current demand and no further supply orders are created.

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• Key Concepts: 
  Green Zone is a term used in the SAP PP-DD Demand-Driven Replenishment component. It is a range of inventory levels that are considered to be optimal for a given product. The green zone is determined by the system based on the demand forecast and the replenishment parameters set by the user. 
  
  How to use it: 
  The green zone can be used to determine when to replenish inventory and how much inventory to order. The system will automatically generate replenishment orders when the inventory level falls below the lower limit of the green zone. The system will also generate replenishment orders when the inventory level rises above the upper limit of the green zone. 
  
  Tips & Tricks: 
  It is important to set the green zone parameters correctly in order to ensure that inventory levels are maintained at an optimal level. It is also important to monitor the inventory levels regularly and adjust the green zone parameters as needed. 
  
  Related Information: 
  For more information about SAP PP-DD Demand-Driven Replenishment, please refer to the official SAP documentation.