This setting will use the specified value instead of the replenishment cycle value when determining how frequently to place orders.

The app automatically delays or reduces recommended orders if there are existing orders due to arrive within a certain number of days of the recommended receipt. This number of days is known as the “grace period”.

If this parameter is unticked, the grace period will equal the replenishment cycle for the item. If this parameter is checked, the grace period will be the specified number of days instead.

Longer grace periods can potentially lead to longer periods of low stock or no stock, but may be more realistic than expecting suppliers to deliver new orders before existing orders.

NOTE: This behavior only applies when the Projected Orders (‘Look forward’) module is enabled.

When an order quantity is recommended, it takes into account whether there are any open orders - but only if their due date falls within a lead time from today.

If the due date is outside the lead time, the app believes it can recover earlier and will suggest placing another order today.

However, let’s think about why an open purchase order placed in the past would be due to arrive longer than a lead time into the future. Possible reasons include unreliable suppliers, blanket orders or inaccurate lead times. Whatever the reason, the order recommended today will probably not arrive within a planning lead time from now i.e. before the next open purchase order is due.

This parameter basically tells the system how far beyond the lead time to consider open purchase orders in the projection calculation when suggesting the recommended order quantity today. If unspecified, it will default to the replenishment cycle value.

The parameter:

“How long to wait for existing orders to arrive before ordering more”

can be interpreted as:

“How long to wait for existing orders to fall within a planning lead time into the future before ordering more”