Choose the Period Coverage Code for Seasonal High-Cost Materials in Dynamics 365 SCM

Implement advanced master planning scenarios
Answer Correct answer: A — Per period coverage groups seasonal demand into planned orders and reduces inventory between periods.

A company configures master planning to order large and expensive aluminum sheets that are only available at certain times of the year. The warehouse manager reports that replenishment levels are too high, causing inventory value to be over budget. In addition, the aluminum sheets take up too much space on the shop floor. You need to configure the appropriate replenishment method. Which coverage dimension should you use?

  1. Per period Correct Answer
  2. Manual
  3. Min/Max
  4. Per requirement

Community Votes

A
75%
C
25%

75% of anonymous learners picked answer A. Votes are pick records left by other test-takers — they are not the verified answer.

Community Insight

The Per period coverage code consolidates demand within a defined period into a single planned order, which lowers inventory levels for seasonal or high-cost items compared with Min/Max or per-requirement.

For large, expensive, seasonally available aluminum sheets causing overstock, use the Per period coverage code so requirements are grouped into planned orders per period, reducing on-hand inventory between periods.

Do not use Min/Max (keeps a standing maximum that still allows overstock), Manual (no automatic planning), or Per requirement (creates one planned order per requirement, increasing order count and inventory). Per period is the fit for seasonal, high-cost items.

Community Discussion (3 comments)

CCexamn 👍 3 Selected: A
Period: Yes - since it will group requirements into the planned orders and thereby reduce levels. Secondly on-hand stock levels can be avoided in periods without the requirement. Min/Maks: Not good - Stock levels can be reduced but you would have to manually adjust min in the 2 different periods. Manual: No Requirement: No - would generate to one planned order per requirement and no inventory stock level.
MrLulex 👍 3
I would that A is correct because the Period coverage code is often used for non-predictable inventory draw, season-influenced products, or high-cost products. https://learn.microsoft.com/en-us/dynamics365/supply-chain/master-planning/planning-optimization/replenishment-methods-quantity-modification
MEK93 👍 1 Selected: C
I would rather say Min/Max would be the best approach because considering the need to control inventory levels and manage space efficiently while taking into account the specific availability of the aluminum sheets, Min/Max is the most appropriate coverage dimension. It allows setting a maximum limit to prevent overstocking while ensuring there is enough inventory to meet production needs without taking up too much space or exceeding budget constraints.

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Expert Analysis

Why the Answer Is Correct

The warehouse manager reports overstock and excess shop-floor space for large, expensive aluminum sheets available only seasonally. The Per period coverage code groups requirements that fall within a period into a single planned order and avoids carrying inventory in periods without demand. This directly reduces replenishment levels and space usage for seasonal, high-cost items.

Why the Other Options Are Wrong

  • Option B (Manual) requires manual creation of planned orders and provides no automatic consolidation or inventory control.
  • Option C (Min/Max) maintains a maximum inventory level; it can still leave overstock and requires manual adjustment across seasons.
  • Option D (Per requirement) generates one planned order per requirement, increasing order count and not reducing inventory between periods.

Community Comment Notes

Contributors highlighted that Period coverage is commonly used for seasonal or high-cost items because it groups demand into planned orders and avoids holding stock in off-peak periods.

Official Reference

Related Analysis

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