Concept	General Description of Purchasing
1.	Resource Planning calculates how much to purchase.
2.	RP uses inventory investment/cost of operation/service level factors :
2.a	Safety Time : The minimum time supply that should always be on hand.
2.b	Replenishment frequency : The time supply that should be ordered.
2.c	Replenishment lead time : The time it takes from order to goods on the shelf.
3.	RP uses item restrictions :
3.a	Item Pack Size.
3.b	Item Master Carton.
4.	RP uses vendor / total order restrictions :
4.a	Overall order weight , cube , pallet count , value , or piece count.
4.b	Overall order frequency (Once a week , once a month, on demand).
4.c	Overall order receiving day (Monday , Tuesday ,etc.)
4.d	Overall order routing (Port , container assembly , master rail/truck route , etc.)
5.	RP uses gross margin factors :
5.a	Vendor price breaks based on various item and group of item order sizes.
5.b	Maximize gross margin return on inventory.
6.	RP considers warehouse concerns :
6.a	Frequency of delivery.
6.b	Maximum shelf size.
6.c	Maximum shelf life.