Formula to Calculate Quantity to Order

To help better understand the way Quantity To Order is calculated using the Rounding Value, below is an example. The Case Lot in the example is Yes. If the Case Lot is No, then only the Unit of Measure being Ordered is used in the calculation, and the Rounding Value is not needed.

Unit of Measure	Each	Sleeve	Case
Standard Pack	12	4	1
QOH	7	2	1
QOO	0	0	2
QBO	10	1	0
OL			4
SL			6

Rounding Value: 0.5 (Average Rounding)

(The Unit of Measure is broken down to the number of items in the largest unit. In this example the largest unit is Case. There are 48 EACHs in a Case (12x4) and 4 Sleeves in a Case.)

		Each		Sleeve		Case
Total QOH	=	(7/48)	+	(2/4)	+	1	=	.1458	+ .05	+ 1	= 1.6424
Total QOO	=	(0/48)	+	(0/4)	+	2	=	0	+ 0	+ 2	= 2
Total QBO	=	(10/48)	+	(1/4)	+	0	=	.2083	+ .25	+ 0	= .4583

Total Qty Avail=1.6458 + 2 - .4583=3.1875 + 0.5 (Rounding Value) = 3.6875

Total Qty Avail = 3 (ignoring anything to the right of the decimal)

If the Total Qty Avail (3) <= the OL (4) Than the SL (6) - Qty Avail (3) = QTO (3).