Example: Use reduction keys

Applies To: Microsoft Dynamics AX 2012 R3, Microsoft Dynamics AX 2012 R2, Microsoft Dynamics AX 2012 Feature Pack, Microsoft Dynamics AX 2012

You can use a reduction key to define how to reduce forecast requirements. Here are some examples that show how to set up a reduction key, the different reduction key settings, and the results.

Example 1

Using the forecast reduction principle Percent - reduction key

This example shows how a reduction key reduces demand forecast requirements according to the percentages and periods that are defined by the reduction key. Set up the following lines in the Reduction keys form:

• Link the reduction key to the item's coverage group.

• Select Percent - reduction key in the Reduction principle field in the Master plans form.

• Create a demand forecast of 1000 pieces per month.

If you run forecast scheduling on January 1, the demand forecast requirements are consumed according to the percentages that are specified earlier in this section. The following requirement quantities are transferred to the master plan:

Example 2

Using the forecast reduction principle Transactions - reduction key

This example shows how actual orders, which occur during the periods that are defined by the reduction key, reduce demand forecast requirements.

• Select Transactions - reduction key in the Reduction principle field in the Master plans form.

• The following sales orders exist on January 1:

Using the same demand forecast of 1000 pieces per month, the following requirement quantities are transferred to the master plan:

See also

Reduction keys (form)

Create and use a reduction key