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Component: SRD-MD-PRD
Component Name: FDN-Product Master
Description: A level to which the stock of a material at a customer is filled up by the replenishment process. The target stock can either be defined manually or calculated by a forecast.
Key Concepts: Target stock is a term used in SAP's Product Master component of the Supply Chain Management (SCM) module. It is the desired inventory level of a product that is maintained in order to meet customer demand. The target stock level is determined by the company's inventory policy and is used to ensure that there is enough stock available to meet customer orders. How to use it: In SAP, target stock can be set up in the Product Master component of the SCM module. The target stock level can be set for each product and can be adjusted as needed. The target stock level can also be set for different locations, allowing for different levels of inventory to be maintained at each location. Tips & Tricks: It is important to monitor the target stock levels regularly in order to ensure that they are accurate and up-to-date. This will help to ensure that there is enough inventory available to meet customer demand and prevent stockouts. Additionally, it is important to review the target stock levels periodically in order to ensure that they are still appropriate for the current market conditions. Related Information: Target stock is closely related to safety stock, which is an additional amount of inventory that is kept on hand in order to prevent stockouts due to unexpected demand or supply disruptions. Additionally, target stock is also related to reorder points, which are used to determine when an item needs to be reordered in order to maintain the desired inventory level.