12Manufacturing · ERP software

Material requirement planning against confirmed orders

Purchasing driven by what confirmed orders actually require rather than by reorder habit.

  • Demand from confirmed orders
  • BOM explosion
  • Net requirement calculation
  • Open PO netting
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The problem

Purchasing worked from reorder levels set years earlier. The result was simultaneous overstock of some materials and shortages of others when a large order landed.

What we built

We calculate requirements by exploding confirmed orders through the bill of materials, netting off current stock and open purchase orders, so the buying list reflects committed demand.

Modules delivered

  • Demand from confirmed orders
  • BOM explosion
  • Net requirement calculation
  • Open PO netting
  • Lead-time aware suggestions
  • Shortage report

What changed

What the delivered system does differently from the process it replaced.

  • The buying list is derived from committed demand
  • Existing stock and open orders are netted off
  • Shortages surface before the run rather than during it

Built with

The stack chosen for this build.

  • Go
  • PostgreSQL
  • REST API

Why this customer is not named

Most of our customers allow the work to be described but not their name published. Where a customer has given permission, their name and testimonial appear here.

Independent accounts of our work are published by customers themselves on our Facebook reviews page.

Multi-branch hardware store with shared stock and branch-level pricing A hardware chain running each branch on its own books, needing one stock position across all of them without losing branch-level pricing control.Hardware wholesaler handling the same item in multiple units of measure Cement, pipes and fittings bought by the tonne or bundle and sold by the bag or length, with stock and margin correct in both.Credit customers, limits and settlements for a building supplier A supplier selling to contractors on account, needing credit control the counter can enforce.Bill of materials and production runs for a food manufacturer Raw material issue, production batches and finished goods tracked against a recipe rather than estimated.

Does this look like your problem?

If any of this is familiar, the first step is the same one this project started with: a free requirement study that ends in a written scope and a fixed price.

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Material requirement planning against confirmed orders | Case Study | Sydon Tech