The Microsoft Dynamics AX Safety Stock Journal: How To Create A New "Minimum" Value Based On Historic Consumption (Inventory Issues)

The Microsoft Dynamics AX safety stock journal provides useful issue history statistics for an item that helps calculate a new minimum inventory level based on reliable metrics. But even when the intent is not to calculate a new minimum, safety stock can provide a structure in which to regularly review issues related to item history and changing conditions.

This article will explore the setup of the safety stock journal as designed in either Dynamics AX 2012 R3 or the new AX. Screen shots used here are from AX 2012 R3.

In order to work with the safety stock journal, items need to have at least 3 months of historical data. With less, the calculation of new minimum is not considered meaningful.

Navigate to Master Planning>Area Page>Journals>Safety Stock and click on Safety Stock.  Don't click "new", better click "Create new" which puts you directly into the lines screen. If no default Journal name is available, right click on the Name column and select View Details to create a journal name. Now click on Lines.

We never create manual lines in a Safety stock journal. We let the system create lines. That is the first step.

STEP 1: The system checks history for each item in each site/warehouse and calculates the average issue quantity per month, including a standard deviation. Using lead time, it calculates the average issue during lead time. Then it calculates the dollar value of current minimum value for that item. (the title of the field is misleading. It has nothing to do with ...