Limit by Month/Consume Closest Forecast

The Default Consume Forecast by Period Method is Limit by Ship-By Month, and the Consume Closest Forecast Demand to SO Line Ship-By Date option is selected.

You enter a sales order for 300 units to ship by 7/30/08.

The forecast that is closest to the sales order ship-by date within the same calendar month (the 7/30 forecast) is consumed first and moved to the sales order demand quantity.

The 7/30 open forecast quantity of 200 is insufficient to meet the sales order demand; 100 units remain. These units are consumed from the next closest date.

Because the 7/29 and 7/31 forecasts are equally close, the earlier forecast (7/29) is consumed. Only part of that open forecast quantity is consumed, and the 7/29 forecast is left with an open sales forecast quantity of 100.

Date	Open sales forecast	SO line demand
6/01/08 (out of limit)	200	0
6/10/08 (out of limit)	200	0
7/29/08	100	0
7/30/08	0	300
7/31/08	200	0
8/01/08 (out of limit)	200	0
8/02/08 (out of limit)	200	0
8/06/08 (out of limit)	200	0