What is replenishment strategy in SAP PP-KAB - Kanban?

SAP Term: replenishment strategy

• Component: PP-KAB

• Component Name: Kanban

• Description: KANBAN Strategy that defines the way in which materials are replenished. There are three replenishment strategies in : In-house production External procurement Stock transfer

Smart SAP Assistant

• Key Concepts: 
  Replenishment strategy is a feature of the PP-KAB Kanban component in SAP. It is used to determine when and how much material should be replenished in a production process. The replenishment strategy is based on the current stock level and the demand for the material. It can be used to optimize inventory levels and reduce costs associated with overstocking or understocking.
  
  How to use it: 
  The replenishment strategy can be set up in the PP-KAB Kanban component of SAP. The user can define the parameters for the replenishment strategy, such as the minimum and maximum stock levels, the order quantity, and the lead time for delivery. The system will then automatically calculate when and how much material should be ordered based on these parameters.
  
  Tips & Tricks: 
  It is important to set up the replenishment strategy correctly in order to ensure that inventory levels are optimized and costs are minimized. It is also important to monitor the stock levels regularly to ensure that they are within the desired range.
  
  Related Information: 
  The PP-KAB Kanban component of SAP also includes features such as Kanban cards, which are used to track material movements, and Kanban rules, which are used to define how materials should be moved between locations.