Microsoft Dynamics 365 Supply Chain Management — Question 25

You work for a distribution company that makes use of a Dynamics 365 Supply Chain Management system.
You are responsible for planning. When you notice that planned orders for a specific item is increasing, you plan to track the source of the planned orders and release them according to their demand.
You want to make sure that a unique planned purchase order is created by the master planning batch job for each new demand requirement for the item.
You configure the use of the Min/Max coverage code lot-sizing method.
Does the action achieve your objective?

Answer options

• A. Yes, it does
• B. No, it does not

Correct answer: B

Explanation

The Min/Max coverage code lot-sizing method does not create a separate planned purchase order for each new demand requirement; instead, it consolidates orders based on the minimum and maximum levels set. As a result, while it can help manage inventory levels, it does not ensure that each demand translates into a unique order, making option B the correct choice.