Replenishment Planning is based on the business rules you define for an item and warehouse and the interaction between them. When you use replenishment planning, it looks at these rules and the available stock and transfer orders or purchase order proposals are triggered based on the sourcing methods defined for an item-warehouse relation. Proposals when confirmed get converted into firm orders. Re-order point planning is available as a method of planning. Re-order point is set-up at the item-warehouse/store level.
