What is meant by Disposition?
The term "Disposition" refers to the planning and control of materials, resources, or products within a company. Disposition includes tasks such as demand planning, procurement planning, and inventory management to ensure that all necessary materials are available on time and that production runs smoothly. The goal is to provide the right quantities at the right time and place while optimizing inventory levels and costs.
Typical software functions in the area of "Disposition":
- Demand Planning: Calculation of material requirements based on production orders, sales forecasts, or other demand sources.
- Procurement Planning: Planning and generation of orders for required materials or products.
- Inventory Management: Monitoring and management of inventory levels to avoid overstocks and minimize shortages.
- Supplier Management: Management of supplier relationships, including order processing and delivery date monitoring.
- On-time Delivery: Monitoring delivery schedules and timely provision of materials or products.
- Automated Order Processes: Automation of ordering processes to reduce manual efforts and errors.
- Cost Optimization: Support for optimizing order quantities and inventory holding costs.
- Integration with ERP Systems: Seamless integration with other enterprise systems such as Enterprise Resource Planning (ERP) for comprehensive management and reporting.