Maximo Open Forum

I've previously saw and participated in a post regarding how Maximo reorders using the EOQ rather than calculating min/max on order/reserve and what to actually re-order. I do understand that in some instances an EOQ is used to obtain best price and/or shipping. We're finding it difficult to determine how much to actually order because there's no min/max, we use reserves and Maximo doesn't calculate what to actually order based on these things but instead just orders EOQ. 
Has anyone come up with a method to quickly determine actual need? This is really time consuming requiring multiple reports and manual reviews before orders can be processed. It's my hope that IBM reconsiders the reorder process to, at the very least, offer options of ordering by EOQ or ordering based on min/max where on order and reserve quantities are taken into account with an actual quantity for order determined.

There are quite a few things to consider with regards to the EOQ for MRO. Some things to consider include the frequency of PMs requiring those parts, the number of CMs requiring the part, the lead time, the cost savings if purchasing in bulk, storage space, shelf-life, etc.  An analysis must be made regarding the effectiveness of the PM program which certainly impacts the calculations as well.  There are several other things to consider specific to your organization that may require additional guidance.

I've previously saw and participated in a post regarding how Maximo reorders using the EOQ rather than calculating min/max on order/reserve and what to actually re-order. I do understand that in some instances an EOQ is used to obtain best price and/or shipping. We're finding it difficult to determine how much to actually order because there's no min/max, we use reserves and Maximo doesn't calculate what to actually order based on these things but instead just orders EOQ. 
Has anyone come up with a method to quickly determine actual need? This is really time consuming requiring multiple reports and manual reviews before orders can be processed. It's my hope that IBM reconsiders the reorder process to, at the very least, offer options of ordering by EOQ or ordering based on min/max where on order and reserve quantities are taken into account with an actual quantity for order determined.

I've previously saw and participated in a post regarding how Maximo reorders using the EOQ rather than calculating min/max on order/reserve and what to actually re-order. I do understand that in some instances an EOQ is used to obtain best price and/or shipping. We're finding it difficult to determine how much to actually order because there's no min/max, we use reserves and Maximo doesn't calculate what to actually order based on these things but instead just orders EOQ. 
Has anyone come up with a method to quickly determine actual need? This is really time consuming requiring multiple reports and manual reviews before orders can be processed. It's my hope that IBM reconsiders the reorder process to, at the very least, offer options of ordering by EOQ or ordering based on min/max where on order and reserve quantities are taken into account with an actual quantity for order determined.

Might I also add that the reorder calculations matrix may also be applied to volumetric measures, so this is not specific to MRO parts.  It applies to raw materials as well.

I've previously saw and participated in a post regarding how Maximo reorders using the EOQ rather than calculating min/max on order/reserve and what to actually re-order. I do understand that in some instances an EOQ is used to obtain best price and/or shipping. We're finding it difficult to determine how much to actually order because there's no min/max, we use reserves and Maximo doesn't calculate what to actually order based on these things but instead just orders EOQ. 
Has anyone come up with a method to quickly determine actual need? This is really time consuming requiring multiple reports and manual reviews before orders can be processed. It's my hope that IBM reconsiders the reorder process to, at the very least, offer options of ordering by EOQ or ordering based on min/max where on order and reserve quantities are taken into account with an actual quantity for order determined.

Might I also add that the reorder calculations matrix may also be applied to volumetric measures, so this is not specific to MRO parts.  It applies to raw materials as well.

I've previously saw and participated in a post regarding how Maximo reorders using the EOQ rather than calculating min/max on order/reserve and what to actually re-order. I do understand that in some instances an EOQ is used to obtain best price and/or shipping. We're finding it difficult to determine how much to actually order because there's no min/max, we use reserves and Maximo doesn't calculate what to actually order based on these things but instead just orders EOQ. 
Has anyone come up with a method to quickly determine actual need? This is really time consuming requiring multiple reports and manual reviews before orders can be processed. It's my hope that IBM reconsiders the reorder process to, at the very least, offer options of ordering by EOQ or ordering based on min/max where on order and reserve quantities are taken into account with an actual quantity for order determined.

Gina,
I think this is an interesting discussion with you and Darrell, and agree the Maximo product could use some additional functionality to support the supply chain and warehouse management capabilities.  Do you have some specific functionality that we could suggest to IBM to improve?  Maybe we could get enough support to get the changes implemented sooner rather than later?

Appreciate your input, both of you!

Larry

Might I also add that the reorder calculations matrix may also be applied to volumetric measures, so this is not specific to MRO parts.  It applies to raw materials as well.

I've previously saw and participated in a post regarding how Maximo reorders using the EOQ rather than calculating min/max on order/reserve and what to actually re-order. I do understand that in some instances an EOQ is used to obtain best price and/or shipping. We're finding it difficult to determine how much to actually order because there's no min/max, we use reserves and Maximo doesn't calculate what to actually order based on these things but instead just orders EOQ. 
Has anyone come up with a method to quickly determine actual need? This is really time consuming requiring multiple reports and manual reviews before orders can be processed. It's my hope that IBM reconsiders the reorder process to, at the very least, offer options of ordering by EOQ or ordering based on min/max where on order and reserve quantities are taken into account with an actual quantity for order determined.

Gina,
I think this is an interesting discussion with you and Darrell, and agree the Maximo product could use some additional functionality to support the supply chain and warehouse management capabilities.  Do you have some specific functionality that we could suggest to IBM to improve?  Maybe we could get enough support to get the changes implemented sooner rather than later?

Appreciate your input, both of you!

Larry

Might I also add that the reorder calculations matrix may also be applied to volumetric measures, so this is not specific to MRO parts.  It applies to raw materials as well.

I've previously saw and participated in a post regarding how Maximo reorders using the EOQ rather than calculating min/max on order/reserve and what to actually re-order. I do understand that in some instances an EOQ is used to obtain best price and/or shipping. We're finding it difficult to determine how much to actually order because there's no min/max, we use reserves and Maximo doesn't calculate what to actually order based on these things but instead just orders EOQ. 
Has anyone come up with a method to quickly determine actual need? This is really time consuming requiring multiple reports and manual reviews before orders can be processed. It's my hope that IBM reconsiders the reorder process to, at the very least, offer options of ordering by EOQ or ordering based on min/max where on order and reserve quantities are taken into account with an actual quantity for order determined.

Hi Gina,

I've experimented with the database formulas from this post. It appears that you influence the reorder logic like this. Not sure how this would behave after upgrades. If IBM would refer in the reorder process using a formula like this, instead of Java class logic, customers could adapt to their needs. 
http://maximoquest.blogspot.com/2018/08/power-of-maximo-formulas-build-logic-wo.html

best regards, ruud

Gina,
I think this is an interesting discussion with you and Darrell, and agree the Maximo product could use some additional functionality to support the supply chain and warehouse management capabilities.  Do you have some specific functionality that we could suggest to IBM to improve?  Maybe we could get enough support to get the changes implemented sooner rather than later?

Appreciate your input, both of you!

Larry

Might I also add that the reorder calculations matrix may also be applied to volumetric measures, so this is not specific to MRO parts.  It applies to raw materials as well.

I've previously saw and participated in a post regarding how Maximo reorders using the EOQ rather than calculating min/max on order/reserve and what to actually re-order. I do understand that in some instances an EOQ is used to obtain best price and/or shipping. We're finding it difficult to determine how much to actually order because there's no min/max, we use reserves and Maximo doesn't calculate what to actually order based on these things but instead just orders EOQ. 
Has anyone come up with a method to quickly determine actual need? This is really time consuming requiring multiple reports and manual reviews before orders can be processed. It's my hope that IBM reconsiders the reorder process to, at the very least, offer options of ordering by EOQ or ordering based on min/max where on order and reserve quantities are taken into account with an actual quantity for order determined.

It appears as if there are additional things to consider that must be added to the calculation where data may or may not be included in the database.  For example, we have the reorder quantity, but does the order quantity factor the price break for MRO parts?  If not, should there be a distinction made?  Is the organization limited by space?  Are the reorder quantities truly based upon need, by the most reasonable price break, or by what one is able to store?  If in the case of MRO parts, is the PM generation and lead time aligned with the reorder and the individual lead time of the part to allow sufficient time for processing?  There still is a lot to be considered in the calculation, and in spite of all of our efforts to automate things, unfortunately, a significant amount of manual intervention is still necessary. 

Hi Gina,

I've experimented with the database formulas from this post. It appears that you influence the reorder logic like this. Not sure how this would behave after upgrades. If IBM would refer in the reorder process using a formula like this, instead of Java class logic, customers could adapt to their needs. 
http://maximoquest.blogspot.com/2018/08/power-of-maximo-formulas-build-logic-wo.html

best regards, ruud

Gina,
I think this is an interesting discussion with you and Darrell, and agree the Maximo product could use some additional functionality to support the supply chain and warehouse management capabilities.  Do you have some specific functionality that we could suggest to IBM to improve?  Maybe we could get enough support to get the changes implemented sooner rather than later?

Appreciate your input, both of you!

Larry

Might I also add that the reorder calculations matrix may also be applied to volumetric measures, so this is not specific to MRO parts.  It applies to raw materials as well.

I've previously saw and participated in a post regarding how Maximo reorders using the EOQ rather than calculating min/max on order/reserve and what to actually re-order. I do understand that in some instances an EOQ is used to obtain best price and/or shipping. We're finding it difficult to determine how much to actually order because there's no min/max, we use reserves and Maximo doesn't calculate what to actually order based on these things but instead just orders EOQ. 
Has anyone come up with a method to quickly determine actual need? This is really time consuming requiring multiple reports and manual reviews before orders can be processed. It's my hope that IBM reconsiders the reorder process to, at the very least, offer options of ordering by EOQ or ordering based on min/max where on order and reserve quantities are taken into account with an actual quantity for order determined.

Unless something has changed recently, the EOQ in Maximo is treated as an Order Multiple rather than just a Minimum Order Quantity.  I have submitted RFEs in the past requesting a separate Order Multiple field but have been shot down.  So if your EOQ is 1000 and you have Reservations for 1200, Maximo may order 2000.  Again, I haven't tested it recently but that's the way it used to work.

It appears as if there are additional things to consider that must be added to the calculation where data may or may not be included in the database.  For example, we have the reorder quantity, but does the order quantity factor the price break for MRO parts?  If not, should there be a distinction made?  Is the organization limited by space?  Are the reorder quantities truly based upon need, by the most reasonable price break, or by what one is able to store?  If in the case of MRO parts, is the PM generation and lead time aligned with the reorder and the individual lead time of the part to allow sufficient time for processing?  There still is a lot to be considered in the calculation, and in spite of all of our efforts to automate things, unfortunately, a significant amount of manual intervention is still necessary. 

Hi Gina,

I've experimented with the database formulas from this post. It appears that you influence the reorder logic like this. Not sure how this would behave after upgrades. If IBM would refer in the reorder process using a formula like this, instead of Java class logic, customers could adapt to their needs. 
http://maximoquest.blogspot.com/2018/08/power-of-maximo-formulas-build-logic-wo.html

best regards, ruud

Gina,
I think this is an interesting discussion with you and Darrell, and agree the Maximo product could use some additional functionality to support the supply chain and warehouse management capabilities.  Do you have some specific functionality that we could suggest to IBM to improve?  Maybe we could get enough support to get the changes implemented sooner rather than later?

Appreciate your input, both of you!

Larry

Might I also add that the reorder calculations matrix may also be applied to volumetric measures, so this is not specific to MRO parts.  It applies to raw materials as well.

I've previously saw and participated in a post regarding how Maximo reorders using the EOQ rather than calculating min/max on order/reserve and what to actually re-order. I do understand that in some instances an EOQ is used to obtain best price and/or shipping. We're finding it difficult to determine how much to actually order because there's no min/max, we use reserves and Maximo doesn't calculate what to actually order based on these things but instead just orders EOQ. 
Has anyone come up with a method to quickly determine actual need? This is really time consuming requiring multiple reports and manual reviews before orders can be processed. It's my hope that IBM reconsiders the reorder process to, at the very least, offer options of ordering by EOQ or ordering based on min/max where on order and reserve quantities are taken into account with an actual quantity for order determined.