SyteLine: Managing Inventory Training Workbook

SyteLine January 19, 2015 Course code: 01_0010900_IEN0002_SYT

Legal notice Copyright © 2014 Infor. All rights reserved. Important Notices The material contained in this publication (including any supplementary information) constitutes and contains confidential and proprietary information of Infor. By gaining access to the attached, you acknowledge and agree that the material (including any modification, translation or adaptation of the material) and all copyright, trade secrets and all other right, title and interest therein, are the sole property of Infor and that you shall not gain right, title or interest in the material (including any modification, translation or adaptation of the material) by virtue of your review thereof other than the non-exclusive right to use the material solely in connection with and the furtherance of your license and use of software made available to your company from Infor pursuant to a separate agreement, the terms of which separate agreement shall govern your use of this material and all supplemental related materials ("Purpose"). In addition, by accessing the enclosed material, you acknowledge and agree that you are required to maintain such material in strict confidence and that your use of such material is limited to the Purpose described above. Although Infor has taken due care to ensure that the material included in this publication is accurate and complete, Infor cannot warrant that the information contained in this publication is complete, does not contain typographical or other errors, or will meet your specific requirements. As such, Infor does not assume and hereby disclaims all liability, consequential or otherwise, for any loss or damage to any person or entity which is caused by or relates to errors or omissions in this publication (including any supplementary information), whether such errors or omissions result from negligence, accident or any other cause. Without limitation, U.S. export control laws and other applicable export and import laws govern your use of this material and you will neither export or re-export, directly or indirectly, this material nor any related materials or supplemental information in violation of such laws, or use such materials for any purpose prohibited by such laws. Trademark Acknowledgements The word and design marks set forth herein are trademarks and/or registered trademarks of Infor and/or related affiliates and subsidiaries. All rights reserved. All other company, product, trade or service names referenced may be registered trademarks or trademarks of their respective owners.

Table of contents About this workbook ................................................................................................................................. iv Course overview ........................................................................................................................................ v Course description and agenda ............................................................................................................... vi SyteLine user interface ............................................................................................................................. xi Lesson 1: Inventory control parameters .................................................................................................. 1 Introduction ................................................................................................................................................ 2 Setting global inventory parameters .......................................................................................................... 3 Grouping by product codes ....................................................................................................................... 4 Adding warehouses/locations .................................................................................................................... 5 Setting up distribution accounts ................................................................................................................ 8 Adding compliance programs .................................................................................................................... 9 Check your understanding....................................................................................................................... 12 Lesson 2: Item records ............................................................................................................................. 14 Introduction .............................................................................................................................................. 15 Items form ................................................................................................................................................ 16 Reserving an item .................................................................................................................................... 25 Creating a non-inventory item ................................................................................................................. 27 Check your understanding....................................................................................................................... 29 Lesson 3: Inventory item tracking ........................................................................................................... 32 Introduction .............................................................................................................................................. 33 Setting lot tracking for an item ................................................................................................................. 43 Setting serial number tracking for an item ............................................................................................... 45 Setting other options for both lot and serial number tracking .................................................................. 47 Pre-assigning lot and serial numbers ...................................................................................................... 49 Tracking lot-controlled materials ............................................................................................................. 50 Tracking serial number-controlled materials ........................................................................................... 52 Issuing tracked items ............................................................................................................................... 54 Backflushing tracked items ...................................................................................................................... 56 Check your understanding....................................................................................................................... 62 Lesson 4: Inventory status monitoring ................................................................................................... 66 Introduction .............................................................................................................................................. 67 Using inventory forms and reports to monitor inventory status ............................................................... 68 Managing obsolete and slow-moving items ............................................................................................ 78 Monitoring data on the Inventory Control Home form ............................................................................. 79 Check your understanding....................................................................................................................... 88 Lesson 5: Inventory cycle counts ........................................................................................................... 91 Introduction .............................................................................................................................................. 93 Cycle count procedure............................................................................................................................. 94 Assigning ABC codes .............................................................................................................................. 95 Assigning count triggers .......................................................................................................................... 98 Defining count tolerances ...................................................................................................................... 101 Initiating a cycle count ........................................................................................................................... 102 Updating a cycle count .......................................................................................................................... 104 Generating a Cycle Count Variance report ........................................................................................... 105 Posting cycle counts .............................................................................................................................. 106 Purging cycle counts ............................................................................................................................. 108 Check your understanding..................................................................................................................... 112 Lesson 6: Physical inventory counts .................................................................................................... 114 Introduction ............................................................................................................................................ 115 Physical inventory procedure ................................................................................................................ 116 Freezing/unfreezing the inventory ......................................................................................................... 117 Setting tag/sheet controls ...................................................................................................................... 119 Syteline: Managing Inventory i © 2014 Infor Education

Loading physical inventory records ....................................................................................................... 122 Printing inventory sheets (or tags) ......................................................................................................... 124 Voiding/unvoiding inventory sheets (or tags) ........................................................................................ 127 Inputting/updating sheets ...................................................................................................................... 128 Approving physical inventory ................................................................................................................. 131 Creating Inventory Pre-Adjustment reports ........................................................................................... 132 Posting physical inventory counts ......................................................................................................... 134 Check your understanding..................................................................................................................... 138 Lesson 7: Inventory transactions .......................................................................................................... 140 Introduction ............................................................................................................................................ 141 Processing a miscellaneous issue ........................................................................................................ 143 Processing a miscellaneous receipt ...................................................................................................... 144 Processing a quantity move .................................................................................................................. 145 Processing a quantity adjustment ......................................................................................................... 147 Processing a job receipt ........................................................................................................................ 148 Check your understanding..................................................................................................................... 149 Lesson 8: Containers .............................................................................................................................. 150 Introduction ............................................................................................................................................ 151 Setting a container number prefix ......................................................................................................... 152 Creating a container .............................................................................................................................. 153 Adding items directly to, or removing items from, a container .............................................................. 154 Adding items at time of receipt .............................................................................................................. 155 Issuing a container ................................................................................................................................ 159 Moving containers ................................................................................................................................. 165 Limitations on using containers ............................................................................................................. 166 Check your understanding..................................................................................................................... 168 Lesson 9: Transfer orders ...................................................................................................................... 170 Introduction ............................................................................................................................................ 171 Setting transfer order parameters ......................................................................................................... 173 Setting up transit locations .................................................................................................................... 174 Creating transfer orders......................................................................................................................... 175 Printing the Transfer Order Ship Pick List ............................................................................................. 179 Shipping a transfer order ....................................................................................................................... 180 Printing the Transfer Ship Packing Slip ................................................................................................. 183 Recording a transfer order loss ............................................................................................................. 184 Receiving transfer orders ...................................................................................................................... 185 Using the Combined Transfer Order Ship/Receive activity ................................................................... 187 Using Transfer Orders Quick Entry ....................................................................................................... 188 Lesson 10: Surcharges - configuring factors, accounts, and tax records ....................................... 189 Understanding surcharges .................................................................................................................... 190 Implementing surcharges ...................................................................................................................... 191 Setting surcharge factors....................................................................................................................... 193 Specifying A/R surcharge accounts ...................................................................................................... 194 Specifying surcharge tax data ............................................................................................................... 197 Check your understanding..................................................................................................................... 198 Lesson 11: Surcharges - creating item contents, exchanges, prices, and references ................... 199 Creating item contents ........................................................................................................................... 200 Creating item content exchanges .......................................................................................................... 201 Creating item content prices .................................................................................................................. 203 Creating item content references .......................................................................................................... 205 Check your understanding..................................................................................................................... 211 Lesson 12: Surcharges - establishing surcharge rules ...................................................................... 213 Creating customer surcharge rules ....................................................................................................... 214 Creating vendor surcharge rules ........................................................................................................... 217 Surcharges on reports ........................................................................................................................... 219 Check your understanding..................................................................................................................... 223 ii

Course introduction © 2014 Infor Education

Course summary ..................................................................................................................................... 224 Course review ........................................................................................................................................ 225 Appendix A: Manufacturer part numbers ............................................................................................. 231 Using manufacturer part numbers ......................................................................................................... 232 Appendix B: Item and lot attributes ...................................................................................................... 235 Using item and lot attributes .................................................................................................................. 236 Appendix C: Inventory pieces................................................................................................................ 237 Tracking inventory pieces ...................................................................................................................... 238 Updating pieces at the time of receipt or issue ..................................................................................... 240 Appendix D: Inventory consigned to a customer ................................................................................ 242 The customer consignment process ..................................................................................................... 243 Setting up the customer consignment ................................................................................................... 244 Moving inventory to a consignment warehouse .................................................................................... 246 Recording customer usage.................................................................................................................... 247 Appendix E: Inventory consigned from a vendor ................................................................................ 248 The vendor consignment process ......................................................................................................... 249 Setting up the vendor consignment ....................................................................................................... 250 Receiving inventory in the consignment warehouse ............................................................................. 252 Recording usage of consigned quantities ............................................................................................. 253 Appendix F: Inventory reports and utilities.......................................................................................... 254 Inventory reports .................................................................................................................................... 255 Inventory utilities .................................................................................................................................... 258

Syteline: Managing Inventory iii © 2014 Infor Education

About this workbook Welcome to this Infor Education course! We hope you will find this learning experience enjoyable and instructive. This Training Workbook is designed to support the following forms of learning: • •

Classroom instructor-led training Virtual instructor-led training

This Training Workbook is not intended for self-study or as a product user guide.

Activity data You will be asked to complete some practice exercises during this course. Step-by-step instructions are provided in this guide to assist you with completing the exercises. Where necessary, data columns are included for your reference. Your instructor will provide more information on systems used in class, including server addresses, login IDs and passwords.

Reference materials SyteLine reference materials are available from the following locations: • •

SyteLine Help menu Infor Knowledgezone

Symbols used in this workbook

iv

Hands-on exercise (“Exercise”)

For your reference

Instructor demonstration (“Demo”)

Your notes

Can be used for either “Scenario” or “Discussion”

Question

Note

Answer

Course introduction © 2014 Infor Education

Course overview This course introduces the components, requirements, and procedures to manage inventory using the SyteLine application.

Course length 8 hours

Course goal Provide basic instruction on the inventory management functions in the SyteLine application.

Learning objectives Upon completion of this course, you will be able to: • • • • • • • • • • • • •

Describe the global inventory parameters that can be configured. Identify the inventory objects that support inventory management and list the setup steps for each. Describe the steps for creating or updating an inventory item. Identify and interpret the various screens used to monitor inventory status. Describe the methods to configure, activate, and use lot and serial number tracking for an item. List the steps for performing physical and cycle inventory counts. Explain the processes to perform miscellaneous inventory transactions. Describe the setup and use of containers. Explain the processes to create, ship, and receive items on transfer orders. Explain SyteLine’s surcharge functionality and identify how surcharges are calculated. Describe how to set parameters and accounts used with the surcharge functionality. Describe how to create item contents, item content exchanges, item content prices, and item content references. Describe how to create customer and vendor surcharge rules.

Audience • • • • •

Customer User Pre-Sales Consultant Business Consultant Technical Consultant Support

System requirements •

SyteLine Training Environment

Prerequisite knowledge To optimize your learning experience, Infor recommends that you have the following knowledge prior to attending this course: • Knowledge of SyteLine foundational concepts and how data is structured and organized in SyteLine • Ability to navigate the SyteLine user interface

Syteline: Managing Inventory v © 2014 Infor Education

Course description and agenda This course covers basic inventory management functions including creating and updating items, using lot and serial number tracking, performing physical and cycle inventory transactions, performing miscellaneous inventory transactions, creating, shipping, and receiving items on transfer orders, and using surcharges. This training is for version 9.00 and all previous versions. Pre-requisites: • SyteLine User Interface Part 1 – Finding and Working with Forms • SyteLine User Interface Part 2 – Finding and Displaying Records • SyteLine User Interface Part 3 – Adding, Editing, and Deleting Records • SyteLine User Interface Part 4 – Additional Record Management

Lesson

Lesson title

Course overview

Lesson 1

Inventory control parameters

Learning objectives •

Review course expectations.

Day 1

•

Describe the global inventory parameters that can be configured. Identify the inventory objects that support inventory management and list the setup steps for each.

Day 1

Describe the steps for creating a new inventory item. List the steps for reserving an item. Describe the steps for creating a new non-inventory item. Identify the fields to modify for updating item records.

Day 1

Describe the method to configure and activate serial number tracking for an item. Describe the method to configure and activate lot tracking for an item. Distinguish when lot and serial numbers can be assigned. Describe the use of lot and serial number prefixes. Identify the use of shelf life. Interpret the data on forms displaying the items tracked by lots. Interpret the data on forms displaying the items tracked by serial numbers. Describe the process for backflushing lot-tracked items.

Day 1

•

•

Lesson 2

Item records

• • • • • •

Lesson 3

Inventory item tracking

• • • • •

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Course introduction © 2014 Infor Education

Day

Lesson

Lesson title

Learning objectives • •

Lesson 4

Inventory status monitoring

• •

• • • Lesson 5

Inventory cycle counts

• •

• • • • Lesson 6

Physical inventory counts

• • • • • •

Lesson 7

Inventory transactions

• •

Day

Identify the purpose of and key fields on the Item/Warehouse and Time Phased Inventory Status forms. Assess Purchase Requirements, Inventory Aging, Inventory Balance and Material Transactions report data. Interpret data on the Material Transactions form. Identify and interpret the Inventory Control Home information for monitoring inventory status.

Day 1

Explain the use of ABC codes in setting cycle count triggers. Define count tolerances. List the steps for performing an inventory cycle count. Interpret the information on a Cycle Count Variance report. Describe the effect on inventory resulting from cycle count posting and purging.

Day 1

Describe the purpose of freezing and unfreezing the inventory. Identify and list the settings for tag/sheet controls. Explain the purpose and procedure for loading physical inventory records. Describe the process to print and reprint inventory sheets (or tags). Explain the reasons and steps to void sheets (or tags) and to unvoid sheets (or tags). List the steps to input/update sheets. Describe the processes for approval of the physical inventory and posting the physical inventory counts. Evaluate the Inventory Pre-Adjustment report.

Day 1

Describe the purpose and use of miscellaneous issues. Describe the purpose and use of miscellaneous receipts. List the steps for performing a quantity move and quantity adjustment. Describe the purpose and use of the job receipt.

Day 1

Syteline: Managing Inventory vii © 2014 Infor Education

Lesson

Lesson title

Learning objectives • •

Lesson 8

Containers

• • • • • • •

Lesson 9

Transfer order processing

• • • • • •

•

Lesson 10

Configuring accounts for surcharges

• • • •

Lesson 11

Creating item contents, exchanges, prices, and references

viii Course introduction © 2014 Infor Education

• • • •

Day

List the steps to create a new container. Describe the procedure to add items directly to or remove items from a container. Explain the method to add items to a container at time of receipt. Identify the key fields for processing transactions specific to containers. Describe the limitations of using containers.

Day 1

Identify the characteristics of a transfer order. Describe how to set transfer order parameters Describe how to specify transit locations. Describe how to create transfer orders, transfer order lines, and transfer order lines change logs. Describe how to print the Transfer Order Ship Pick List. Describe how to ship a transfer order. Describe how to print the Transfer Ship Packing Slip. Describe how to record a transfer order loss. Describe how to receive transfer orders. Describe how to use the Transfer Orders Quick Entry form to quickly create transfer orders.

Day 1

Explain SyteLine’s surcharge functionality. Explain how surcharges are calculated. Describe how to set surcharge accounts payable and accounts receivable parameters. Describe how to specify surcharge accounts. Describe how to specify surcharge tax code data.

Day 1

Describe how to create item contents. Describe how to create item content exchanges. Describe how to create item content prices. Describe how to create item content references.

Day 1

Lesson

Lesson title

Learning objectives •

Lesson 12

Establishing surcharge rules

Course summary

Appendix A

Appendix B

Manufacturer part numbers

Item and lot attributes

•

Describe how to create customer and vendor surcharge rules. Identify the reports that include surcharge information.

Day 1

•

Debrief course.

Day 1

•

Describe how to use manufacturer part numbers.

Day 1

•

Describe how to create item and lot attribute groups. Describe how to select attribute groups for items. Describe how to enter item and lot attributes.

Day 1

Describe how to create piece dimension groups and select piece dimension groups for items. Describe how to enter item pieces. Describe how to update pieces at the time of receipt or issue.

Day 1

Explain the customer consignment process. Describe how to set up a customer consignment. Explain how to move inventory to a consignment warehouse. Explain how to record customer usage of inventory consigned to a customer.

Day 1

Explain the vendor consignment process. Describe how to set up a vendor consignment. Describe how to receive inventory in a consignment warehouse. Describe how to record usage of inventory consigned from a vendor.

Day 1

List the inventory reports and utilities.

Day 1

• • •

Appendix C

Inventory pieces

• • •

Appendix D

Inventory consigned to a customer

• • • •

Appendix E

Inventory consigned from a vendor

• • •

Appendix F

Inventory reports and utilities

Day

•

Syteline: Managing Inventory ix © 2014 Infor Education

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Course introduction © 2014 Infor Education

SyteLine user interface SyteLine standard user interface elements include the top navigation pane menus and the main toolbar.

SyteLine navigation pane menus and main toolbar

Navigation pane menus You can browse all available folders through the navigation pane menus and submenus. Hovering your mouse over each of the navigation pane menus allows you to explore the submenus contained beneath.

Navigation pane menus and submenus You can pin submenus to the navigation pane. For example, if you know that you will be using the Customer Service submenus frequently, you can display the menus at the top level, by pinning them to the navigation pane.

Main toolbar The main toolbar contains icons that allow you to quickly complete commonly used tasks in SyteLine, such as saving data or closing a form. You can position your mouse pointer over an icon on the toolbar to reveal its description and functionality.

Keyboard shortcuts Some navigation pane submenus display available keyboard shortcuts that can be used to save multiple steps when completing certain tasks.

Keyboard shortcuts Syteline: Managing Inventory xi © 2014 Infor Education

The following table displays the available shortcut keys and their actions. Shortcut keys

Action

Navigating Forms Ctrl + F4

Close current form.

Ctrl + O

Open Select Form.

Ctrl + W

Open workspaces.

Ctrl + Tab

Switch view to next open form.

Navigating records Ctrl + Home

Move to first editable field of form.

Tab

Move to the next field.

Shift + Tab

Move to the previous field.

F8

Move to the next record.

F7

Move to the previous record.

Ctrl + F8

Switch the next collection on the form to become the current collection in a form that contains multiple collections.

Ctrl + 1

Hide/Show 1st Splitter Pane. Toggles the first splitter pane between being hidden from view and being shown. If the form contains a vertical splitter bar, the first splitter pane is the left pane. For a form that is split horizontally, the top pane is the first splitter pane. Alternatively, select System > View > Hide/Show 1st Splitter Pane.

Ctrl + 2

Hide/Show 2nd Splitter Pane. Toggles the second splitter pane between being hidden from view and being shown. On a form with a vertical splitter bar, the second splitter pane is the right pane. For a form that is split horizontally, the bottom pane is the second splitter pane. Alternatively, select System > View > Hide/Show 2nd Splitter Pane.

Editing records F2

Activate the drop-down list with an implied asterisk (i.e., wildcard) after the entered text in the field to then populate the list with data entries that begin with the entered text.

Ctrl + N

Add new record. Alternatively, select System > Actions > New. Note: The Actions menu is only available when a form is open.

Ctrl + A

Add value for current field. Alternatively, select System > Edit > Add.

Ctrl + C

Copy

xii Course introduction © 2014 Infor Education

Shortcut keys

Action

Editing records, continued Ctrl + X

Cut

Ctrl + V

Paste

Ctrl + Z

Undo. Alternatively, select System > Edit > Undo.

Ctrl + D

Delete record. Alternatively, select System > Actions > Delete. Note: The Actions menu is only available when a form is open.

Ctrl + F

Find value for current field. Alternatively, select System > Edit > Find Value for Current Field. Note: This is only accessible for certain field types, such as some drop-down lists.

Ctrl + L

Display details for current field drill down. Alternatively, select System > Edit > Details for Current Field. Note: This only works for certain field types, such as some drop-down lists.

Ctrl + S

Save changes. Alternatively, select System > Actions > Save. Note: The Actions menu is only available when a form is open.

Filtering records F3

F4

In Filter In Place mode, cancel the filter in place and return to the collection previously displayed. Alternatively, select System > Actions > Filter > Cancel in Place. • •

F5

• •

In Refresh/Run mode, begin filter in place (i.e., clear the collection and go back to Filter In Place mode). Alternatively, select System > Actions > Filter > Begin in Place. In Filter In Place mode, execute in place (i.e., run the filter). Alternatively, select System > Actions > Filter > Execute in Place. In Refresh/Run mode, refresh the current collection. Alternatively, select System > Actions > Refresh. In Filter In Place mode, clear the filter in place. Alternatively, select System > Actions > Filter > Clear in Place.

Ctrl + F5

In Refresh/Run mode, refresh the current record. Alternatively, select System > Actions > Refresh current.

Ctrl + F2

In Refresh/Run mode, repeat Find Value in Collection. Alternatively, select System > Edit > Repeat Find.

Ctrl + Q

In Refresh/Run or New mode, open associated query form to specify filter criteria. Alternatively, select System > Actions > Filter > By Query.

Syteline: Managing Inventory xiii © 2014 Infor Education

Other F1

Open field level help topic.

Ctrl + E

Toggle design mode on and off. Alternatively, select System > Edit > Design Mode.

Ctrl + P

Print

Field types The following tables display the field types available in SyteLine with a brief description: Field type

Description

Required, system-generated, and read-only fields • • •

Any field that is required will have a red star A system-generated field will have a green star A field with no border around the data is read-only

Standard GUI fields Check box indicating Yes or No Radio button to select one option from multiple choices Drop-down list to select one option from multiple choices

Forms and reports Basic SyteLine elements include forms and reports. Forms provide an organized view to the data stored in the database. Just about everything you do in SyteLine uses a form element. You use different types of forms depending on whether you need to add new information, modify existing information, or view the details of a specific record. •

Forms are made up of records that contain multiple fields of data. Records consist of a group of related pieces of information. Fields are the basic elements that display the related data pieces and are grouped together to make up a record.

•

When a form displays multiple records, it is referred to as a collection. A collection displays multiple records that have some commonality.

Reports are used to organize and present filtered collections of related data.

xiv Course introduction © 2014 Infor Education

Lesson 1: Inventory control parameters Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • •

Describe the global inventory parameters that can be configured. Identify the inventory objects that support inventory management and list the setup steps for each.

Topics • • • • • •

Introduction Setting global inventory parameters Grouping by product codes Adding warehouses/locations Setting up distribution accounts Adding compliance programs

© 2014 Infor Education

Syteline: Managing Inventory

1

Introduction There are many company business considerations to take into account when setting up inventory control and establishing the business rules for inventory management. Inventory requirements, policies and processes should be defined to address how the company conducts its inventory activities.

The following list contains a sampling of the many things that must be considered before setting up a company inventory management system: • • • • • • • • • •

Locations and numbers of sites and warehouses Material storage requirements and locations Implementation of physical and cycle inventory counts Lot and serial control requirements Inventory transaction processes Unplanned inventory transaction processes Purchase order policies Transfer procedures Inspection requirements and locations Compliance program requirements

We won’t define your company’s inventory management business rules in this lesson, but we will provide instruction on how to set various global inventory parameters. You will then know where to go later on to select the options most appropriate for your company.

Basic activities that control the flow of inventory • • • •

Materials are received into inventory. Stock is issued to fulfill work orders. Stock may also be transferred from one inventory location to another. Stock is counted periodically to ensure that inventory records are accurate.

The global parameters that are set up for inventory control how these activities function in SyteLine.

Basic flow of inventory

2 Lesson 1: Inventory control parameters

© 2014 Infor Education

Setting global inventory parameters Use the Inventory Parameters form to set parameters in your inventory system for use throughout the entire SyteLine system. Changing these parameters can affect the way SyteLine operates, and how it handles inventory.

To set global inventory parameters: 1. Open the Master Explorer > Modules > Codes > Parameters > Inventory Parameters form. 2. Using the field descriptions below as guidelines, set options and enter information as necessary on the General and Control tabs.

Inventory Parameters – General tab Setting

Description

Notes

On Hand Negative Flag

Select this check box to allow inventory transactions to take on-hand quantities below zero. Otherwise, inventory quantities will never be taken below zero.

When using the material backflush option, on-hand inventory must be able to go below zero.

Low-Level On Line

This option lets the system automatically recalculate low level codes of affected items when a change is made to a bill of material (BOM). Select this check box to indicate that this recalculation should take place. Otherwise, the system prevents it.

When making numerous changes to BOMs, it may be faster to turn this option off. When this check box is cleared, if the Current BOM changes, the Current Bill of Material Processor should be run; and if the Job BOM changes, the Job Bill of Material Processor should be run.

Default Whse

When you first set up your system, the installation process automatically creates a default warehouse called MAIN. Select a different warehouse in the list.to change the default.

Default Location

Select the location you want the system to provide whenever an Item/Location record is created.

Backflush Location

Select a location to identify the stock location from which all backflushed material will be withdrawn.

This is the last place the system looks for a backflush location in the hierarchy.

Inventory LCL % Inventory UCL %

The Inventory Upper Control Limit (UCL) and Inventory Lower Control Limit (LCL) fields, used to indicate trending, represent the percent deviation from average.

Deviation can indicate that a process is out of control, or trending toward a situation that is undesirable. Evaluation is made only against the total average cost.

© 2014 Infor Education

Syteline: Managing Inventory

3

Grouping by product codes Product codes allow you to group similar types of items for accounting, costing and planning purposes, and assign each group an identifying code. For example, office supplies may be placed under one product code, while raw material for manufacture would be placed under another.

There are system-wide parameters that affect all items. By using product codes, however, you can override the system-wide parameters for a smaller subset of items. Price markups, discounts, general ledger accounts, and exception message tolerance factors, used by Material Requirements Planning (MRP) and Advanced Planning System (APS), can all be set up by product code.

In addition, product codes can be used as selection criteria when generating many of the reports in the system.

To add a product code to the system: 1. Open the Master Explorer > Modules > Inventory > Files > Product Codes form. 2. Select System > Actions > New. 3. Type a new product code. 4. Type a product code description. 5. On the General tab, enter other product code information as needed. 6. Save the record.

The user must have authorization granted in order to create product codes.

________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________

4 Lesson 1: Inventory control parameters

© 2014 Infor Education

Adding warehouses/locations In the context of SyteLine, a warehouse is a location within a site that can contain on-hand inventory. Each site has at least one warehouse, designated as MAIN, which is created during system installation. In most cases, this also becomes the default, or primary, warehouse for the site, but you can change the default.

Many companies have more than one location in which to store inventory, so the system allows you to add warehouse locations to the list of warehouses available for various transactions. You can use the Warehouses form to add other warehouses to the system or to view and update existing warehouses.

Adding warehouses To add a warehouse to the system: 1. Open the Master Explorer > Modules > Inventory > Warehouses form. 2. Select System > Actions > New. 3. Type a four-character identifier for the new warehouse. 4. Type the full name of the warehouse. 5. On the General tab, enter the warehouse location information. 6. Enter other information and select options as needed. 7. Save the record.

Once you have your warehouses established in the system and before you can show inventory in those warehouses, you must establish item stockroom locations. Each warehouse can contain multiple item stockroom locations where you store inventory for lot-tracking and other audit trail purposes.

Site/Warehouses/Item Stockroom Locations example

© 2014 Infor Education

Syteline: Managing Inventory

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Adding item stockroom locations Use the Locations form to maintain the list of valid places for inventory. These locations are used when establishing inventory balances and processing inventory transactions. The system initially creates a location of Stock.

To add a location to the system: 1. Open the Master Explorer > Modules > Inventory > Locations form. 2. Select System > Actions > New. 3. Type the name of the new stock location. 4. Type a description of the location or the long name of the stock location. 5. Clear the Non-Nettable check box if the location's on-hand quantities should be included in the on-hand quantities on the Items form, or accept the default of selected. •

Non-nettable stock has the following restrictions: • You cannot ship from a non-nettable location. • You cannot withdraw from a non-nettable location • MRP and APS do not use the non-nettable quantity in calculating requirements.

6. Optionally select a Work Center for the location. 7. Select the type of location code you wish to add: • •

Stock: this is a stocking location. Transit: this is a transit location to be used during a transfer order. You can remove items from a transit location only by using a transfer order.

8. Save the record.

________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________

6 Lesson 1: Inventory control parameters

© 2014 Infor Education

Creating an item/warehouse record To maintain an item in inventory at more than one warehouse, you must create an item/warehouse record for each warehouse where an item may be stored.

When you create an inventory item, an item/warehouse record is automatically created using the default warehouse as designated on the Inventory Parameters form. You need to create additional item/warehouse records only if you plan to store the item in other warehouses.

Before you can create additional item/warehouse records, you must first create one or more additional warehouses using the Warehouses form (see Adding warehouses above).

Assign locations for inventory within a warehouse, using the Item Stockroom Locations form (see previous subtopic).

To create an item/warehouse record: 1. Open the Master Explorer > Modules > Inventory > Item/Warehouse form. 2. Click Filter In Place on the toolbar. 3. In the Item field, select the item for which to create a new warehouse location. 4. In the Warehouse field, select the warehouse in which to store the item. Note: Remember that, before you can select additional warehouses, you must first create them using the Warehouses form. 5.

Save the record.

________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________

© 2014 Infor Education

Syteline: Managing Inventory

7

Setting up distribution accounts Distribution accounts are a set of accounts grouped by warehouse and product code. The Distribution Accounts form allows the user to assign inventory related general ledger account numbers to various product code and warehouse combinations. The system will use these accounts to generate a default accounting distribution for shipping transactions.

The user can have the same product code in two different warehouses with two different sets of account numbers. If the warehouse field is left blank, the product code will be tied to all warehouses.

Distribution Accounts - Inventory • • • • •

Inventory Material Inventory Labor Inventory Fixed Overhead Inventory Variable Overhead Inventory Outside

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Adding compliance programs Compliance programs allow you to track hazardous, or restricted, materials through the system. Using the Compliance Programs form, you can define specific programs and assign low-level items to them. Use the Item Compliance Assignment utility to determine whether a manufactured item's BOM consists of compliant items.

To add a compliance program: 1. Open the Compliance Programs form by selecting System > Form > Open and typing “compliance” as the search term. Select and open the form from the search results. 2. Select System > Actions > New. 3. Specify a name and description for the new program. 4. Save the record. The system updates all item records to show this program, and all items are marked as compliant. The grid on the Compliance Programs form populates with all item records, and indicates the compliance status, if it has been changed, and the date of the change.

When a specification is changed, the new Item Compliance Assignment Utility form processes each item's indented BOM and sets the item to non-compliant if any item in its BOM is non-compliant.

HAZMAT compliance You can now define hazardous material (HAZMAT) compliance programs on the new Compliance Programs form. For each low-level item, you can now specify this information on the Items form: Compliance Program ID, Compliance Program Description, and Compliance Changed.

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Syteline: Managing Inventory

9

Demo: Initial inventory setup Your instructor will provide a demonstration for setting up initial inventory parameters. ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________

Exercise 1.1: Initial inventory setup In this exercise, you will practice setting up various initial inventory parameters.

Exercise steps Part 1: Inventory parameters 1. Select Master Explorer > Modules > Codes > Parameters > Inventory Parameters. The Inventory Parameters form opens. 2. Verify the On Hand Neg Flag check box is selected. 3. Verify the Default Whse is set to MAIN. 4. Verify the Default Location is set to STOCK. 5. Verify the Backflush Location is set to FLOOR. 6. Close the Inventory Parameters form. Part 2: Warehouse/Location, product code, and compliance program 1. Select Master Explorer > Modules > Inventory > Locations. The Locations form opens. 2. Click Create a new object in the current collection. 3. Type A1-S1 in the Location field 4. Type Aisle 1, Shelf 1 in the Description field. 5. Clear the Non-Nettable Stock check box, if selected. 6. Select the Stock option under Type to designate the location type. 7. Click Save modified data and close form (OK). Note: You will assign inventory items to this location in the next lesson. 8. Add a new product code by completing the following: a. Select Master Explorer > Modules > Inventory > Files > Product Codes. The Product Codes form opens. b. Click Filter In Place to turn off the filter-in-place mode.

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c.

Click Create a new object in the current collection.

d. Type FG-SHOW in the Product Code field. e. Type Finished Goods Showroom in the field below the Product Code field. f.

Click Save modified data and close form (OK).

9. View compliance programs: a. Select System > Form > Open and type “compliance” as the search term. b. Select and open the Compliance Programs form from the search results. c.

Click Filter In Place to turn off the filter-in-place mode.

d. Select the RoHS compliance program in the left pane. e. View the grid of items on the form. Find the items in the list that are non-compliant with the compliance program, as indicated by the check boxes in the first column. f.

Close the Compliance Programs form.

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Syteline: Managing Inventory 11

Check your understanding

Why would the On Hand Negative Flag field be activated?

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If you maintain an inventory item in more than one warehouse, what type of record must you create for each warehouse where that item is stored?

a) b) c) d)

Item Control Item/Warehouse Location Warehouse

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Syteline: Managing Inventory 13

Lesson 2: Item records Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • • • •

Describe the steps for creating a new inventory item. List the steps for reserving an item. Describe the steps for creating a new non-inventory item. Identify the fields to modify for updating item records.

Topics • • • • •

Introduction Items form Creating a new item Reserving an item Creating a non-inventory item

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Introduction In SyteLine, items are the key elements of inventory management. Items are based on four types of inventory: • • • •

Materials Fixtures Tools Other

Use the Items form to maintain a list of all items bought, manufactured, and/or sold. This form contains such values as description, unit of measure, and lead times for an item. Finished goods, sub-assemblies, raw materials, tooling, fixtures, and even outside services should have item records.

The item number is referenced throughout the system to identify the items being ordered, counted, planned, shipped, received, referenced, etc.

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Syteline: Managing Inventory 15

Items form The Items form contains a list of all items bought, manufactured, and/or sold. If an item is selected, the item data will display on the various tabs of the form.

Items form - General tab The General tab displays information of general interest for the selected item, such as item type, source, on-hand quantity, non-nettable quantity and product code. On the bottom panel of this tab are several quantity fields. The quantity displayed in each of these fields is described below.

Quantity on Hand This field maintains the total quantity of an item for all nettable stockroom locations. The Non-Nettable field on the Item Stockroom Locations form determines whether a location is nettable. You cannot update the on-hand quantity from this form. On-hand quantities can be adjusted through one of the following activities: • Quantity Adjustment • Quantity Move • Miscellaneous Receipt • Miscellaneous Issue • Job Receipt

Non-Nettable Stock The quantity in this field maintains the total quantity of an item at all Non-Nettable stockroom locations. Non-Nettable items are unavailable for general consumption. Items may only be removed from a nonnettable location through a stockroom move. Non-nettable stock has the following restrictions: • • •

You cannot ship from a non-nettable location. You cannot withdraw from a non-nettable location. MRP and APS do not use the non-nettable quantity in calculating requirements. Nettable stock locations are usually non-scrap. Non-nettable stock locations are usually those with scrap materials.

Safety Stock This field displays the minimum quantity of the item to always have on hand in inventory. This number is set for the item on the Item/Warehouse form.

Quantity Ordered The quantity in this field is incremented when the status of a purchase order line item is set to Ordered; it decrements when a purchase order line item's status is set to Filled, or when receiving transactions are performed against the line item.

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Quantity WIP This quantity in this field is incremented when a shop floor’s job status or production schedule is set to Released. It decrements when a shop floor’s job status or production schedule is set to Complete, or when pieces are completed and moved to inventory.

Allocated To Prod This field displays the quantity of an item currently assigned to a job or production schedule, but not yet issued. This amount is the difference between the required and issued quantities for all materials (except for items of the Other item type) in the material list of all jobs with a status of Released or Stopped, or when the status of a production schedule changes to Released. The Rebalance Item Qty Alloc to Prod and WIP utility recalculates this amount. When you release the job or production schedule, this quantity increases. When you issue an item to a job or production schedule the quantity decreases.

Allocated To Customer Orders This quantity in this field is incremented when a customer order line item status is set to Ordered. It decrements when a customer order line item status is set to Filled, or when customer order shipping transactions are performed against the line item.

Reserved For Customer Orders This quantity in this field is incremented when the item is reserved on a customer order. It decrements when the reserved customer order is shipped.

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Syteline: Managing Inventory 17

Items form – Header fields Field

Description

Notes

Item

Type a unique number, string of characters, or combination of characters and numbers to represent the vendor and part. If you set up an item prefix in the Inventory Parameters form, the system prefixes the item number with that prefix. The combined prefix and number cannot be longer than 10 characters.

If you do not enter a value, the system assigns the next unique numerical value automatically.

(Field under the Item field)

In the field below the item number, type the item description. The item description will appear on reports and transactions.

U/M

Select the unit of measure associated with the item from the drop-down list.

Type

Select an option to Indicate the general classification of the item. There are four choices: •

•

•

•

Source

Select an option to indicate the source of the item. There are three choices: • • •

Product Code

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Material: item that is either purchased or converted by manufacturing processes into components or finished products. Fixture: device that supports materials or tools during the machining process. Fixtures are normally not consumed by the manufacturing process. Tool: instrument used by a machine to perform an operation. It is possible for tools to be consumed in the manufacturing process. Other: item that does not fall under any other category. An “other” item may actually be nothing more than a description of a miscellaneous charge for a job.

Purchased Manufactured Transferred

Just because an item is manufactured doesn't mean that a purchase order cannot be created for it. Conversely, just because an item is purchased doesn't mean that a job order cannot be created for it.

Select the product code associated with the item

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Field

Description

Notes

ABC Code

Select the ABC code that represents the items category according to annual domestic currency usage. The system default is “C.”

Items with high unit cost and low annual usage could be classified the same as items with low unit cost and high annual usage.

ABC codes: • • •

Cost Type

A – Highest category (top 20%) B – Middle category (top 21 – 50%) C – lowest category (remaining items)

The default cost type entered on the Inventory Parameters form displays. If you want to override the default for the current item only, select one of the following: • •

Cost Method

A typical breakdown of the categories might reflect that 20% of the items would fall into the “A” classification (highest annual domestic currency usage), 30% in “B”, and 50% in “C” (lowest annual domestic currency usage).

Actual - to use one of the four actual costing methods Standard - to use one of the five standard costing methods

Select the cost flow method used for tracking and posting cost ledger transactions for the item. For the Actual Cost Type, options are: • • • •

Average LIFO FIFO Specific

For the Standard Cost Type, options are:

• • • • •

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Average LIFO FIFO Specific Standard

Syteline: Managing Inventory 19

Field

Description

Notes

Stocked

Select this check box if this item is normally kept in stock. Clear this check box if this item is not stocked and must be ordered or produced when needed. This setting helps determine the value of the Reference field for this item when referenced on other forms. When you enter a stocked item on a customer order line, job material record, or BOM, the system sets the Reference field to Inventory. Otherwise, the Source field on the Items form determines what the Reference field displays. The value of the Reference field on a customer order line, job material record, or BOM is derived from a combination of the item’s Source field and Stocked check box setting as follows: When Stocked check box selected = Yes

Clear this check box if you make the item to order and want to source-link demands to a specific supply. Some examples of source links include:

• • •

• • • •

A customer order to a specific purchase order A customer order to a specific job A job material to a specific purchase order A job to a sub-job

If Source = Purchased, then Reference field = Inventory If Source = Manufactured, Reference field = Inventory If Source = Transferred, Reference field = Inventory

When Stocked check box selected = No • • •

If Source = Purchased, then Reference field = Purchase Order or Requisition If Source = Manufactured, then Reference field = Job If Source = Transferred, then Reference field = Transfer

Items form – Controls tab The Controls tab contains various control settings for the selected item. In this lesson, only a few of these settings will be described. Other settings on this tab will be described later in this course.

Setting backflush and backflush location Backflushing is the deduction from inventory records of the component parts used in an assembly or subassembly by exploding the BOMs by the production count of assemblies produced.

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Making an item reservable Reservations allow you to allocate specific quantities of on-hand inventory for customer orders. Reserved quantities can only be issued to customer orders with reservations. They also affect planning. Before an item can be reserved, it must be made reservable on the Items form. If this inventory item can be reserved, select the Reservable check box on the Controls tab of the Items form.

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Syteline: Managing Inventory 21

Assigning item stockroom location When a new item is added to the SyteLine, the system automatically assigns a stock location entry for the default stock location as set in the Inventory Parameters form.

If an item can be stored at more than one location within the same warehouse, additional stock locations must be created for the warehouse. You learned how to do this in the previous lesson.

An inventory item can then be assigned to those stockroom locations using the Item Stockroom Locations form. This form identifies the valid stock locations where an item can be stored within a particular warehouse.

1.

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Demo: New inventory item Your instructor will provide a demonstration for adding a new inventory item, setting various parameters and assigning stockroom locations.

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Exercise 2.1: New inventory item

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In this exercise, you will practice adding new inventory items to the system; assigning the stockroom location to the items that you created in Lesson 1; activating backflushing for one of the items and specifying the backflush location; making one of the items reservable; and changing the compliance status for one of the items.

Exercise scenario: 1. The Material Manager at our company, Progressive Cycles, has informed you that a few new items need to be added to inventory. The parts are: Part #

Description

SL - 10000

Hardened Steel Lock

PH - 20000

Plastic Horn

6. Both items are materials and will be purchased and stocked. We don't need to worry about cost and price information now. That will be handled later. 7. Use the Purchased Parts product code for these items and a unit of measure of "each." 8. Activate backflushing for the PH-20000 item and set the backflush location to FLOOR. 9. Change the compliance of the PH-20000 to be non-compliant with the RoHS compliance program. 10. Make the SL-10000 item reservable. 11. Both items will be stored at Aisle 1, Shelf 1 in the MAIN warehouse. That location will be the primary stockroom location for both items.

Exercise steps 1. Select Master Explorer > Modules > Material > Inventory > Items. The Items form opens. 2. Click Filter-In-Place to turn off the filter in place mode. 3. Click Create a new object in the current collection. 4. Type SL-10000 in the Item field. 5. Type Hardened Steel Lock in the field below the item field (description). 6. Select the Stocked check box. 7. Select EA from the U/M drop-down list. 8. Select Material from the Type drop-down list. 9. Select Purchased from the Source drop-down list. 10. Select PP from the Product Code drop-down list. 11. Click Save. 12. Select the Controls tab. 13. Select the Reservable check box. 14. Click Save. 15. Repeat steps 3 through 11 above, but for this new item type PH-20000 in the Item field and Plastic Horn as the description. 16. Select the Controls tab. © 2014 Infor Education

Syteline: Managing Inventory 23

17. Select the Backflush check box. 18. Select FLOOR from the Backflush Location drop-down list. 19. Click Save. 20. Select the Compliance tab. 21. Clear the Compliant check box for the RoHS Compliance Program. 22. Click Save modified data and close form (OK). 23. Select Master Explorer > Modules > Material > Inventory > Item Stockroom Locations. The Item Stockroom Locations form opens. 24. Select the PH-20000 item from the Item drop-down list. 25. Click Filter-In-Place to turn off the filter in place mode. 26. Click Create a new object in the current collection. 27. Type 1 in the Rank field. 28. Select A1-S1 - Aisle 1, Shelf 1 from the Location drop-down list. 29. Clear the Non-Nettable check box. 30. Select the Permanent check box. 31. Click Save. 32. Repeat steps 24 through 30 for the SL-10000 item. 33. Click Save modified data and close form (OK).

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Reserving an item Setting up reservations is a two-step process: 1. Make the item reservable on the Items form. 2. Reserve quantities using one of the following methods: a. Reserve button (order header). b. Reserve Line button (order line). c. Reserve/Unreserve Inventory utility. d. Reservations for Order form in Customer Order folder (allows you to select lots and serial numbers) e. Reservations for Item form in Inventory folder (allows you to select lots and serial numbers)

You can use the following reports to see what’s available to be reserved and what’s been reserved. • • •

Available Inventory to Reserve report in Inventory folder Customer Orders for Reservable items report in Customer Order folder Reserved Inventory by Order report in Customer Order folder

Reserving inventory for an order/order line 1. Open the Master Explorer > Modules > Customer > Order Entry > Customer Orders form. 2. Select System > Add > New. 3. Enter necessary information in the Customer Order header and save the record. 4. Add lines for the order and save the records. 5. Reserving an item from Customer Order Lines form: a. Click Reserve Line. The system responds with a message indicating that automatic reservation will be performed. b. Click OK. The system responds with a message indicating that the reservation was successful. 6. Reserving items from Customer Orders form: a. Click Reserve. The system responds with a message indicating that automatic reservation will be performed. b. Click OK. The system responds with a message indicating that the reservation was successful and displays the number of lines that were processed (only lines containing items marked as Reservable are processed).

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Syteline: Managing Inventory 25

On the Reservations for Item form The Reservations for Item form allows the user to reserve an item on a customer order, view and update items that have already been reserved on a customer order, or delete reservations. When reserving an item using this form, you are required to enter the customer order number as well as the line/release number. If desired, items can be reserved through customer orders during order entry.

Available Inventory to Reserve report The Available Inventory to Reserve report lists by warehouse and item, the reservable on-hand quantities by location and lot. It also shows what quantities are currently on hand as well as those quantities that have already been reserved. •

Include Serial Numbers check box This check box provides the option to print serial numbers for the items on the report at their stockroom locations.

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Creating a non-inventory item A non-inventory item is a product that is purchased, sold, or used, but is not tracked. With this version of SyteLine, you now have greater control over non-inventoried items. You can specify information about these items on the Non-Inventory Items form. Use this form to create, update, and delete non-inventoried items. These items may be used on customer, and vendor orders, and can be shipped, received, invoiced, and vouchered. However, they must be manually maintained, and the only report that includes these items is the Sales Analysis report. The Material Transactions report now prints the item description for non-inventory items.

Non-inventory items can be used in many areas of the system, including customer and vendor orders, jobs, estimates, and service orders. A new Non-Inventory Items Query form was also added.

Note: You may enter a non-inventoried item number that is identical to an inventoried item number. However, only the inventoried item number will appear in drop-down menus. If the inventoried item is deleted, then the non-inventoried item will display in drop-down menus if that check box is selected.

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Demo: New non-inventory item Your instructor will demonstrate how to create a new non-inventoried item. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Syteline: Managing Inventory 27

Exercise 2.2: New non-inventory item In this exercise, you will create a new non-inventoried item.

Exercise steps 1. Select Master Explorer > Modules > Material > Inventory > Non-Inventory Items. The NonInventory Items form opens. 2. Click Filter-In-Place to turn off the filter in place mode. 3. Click Create a new object in the current collection. 4. Type FS-100 in the Item field. 5. Type Liquid Floor Sealer in the field below the item field (description). 6. Clear the Show in Drop-Down Lists check box. 7. Select Gallons (GA) from the U/M drop-down list. 8. Select Material from the Type drop-down list. 9. Click Save modified data and close form (OK).

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Check your understanding When should an item’s Stocked check box be selected? When should it be cleared? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

The Quantity on Hand field on the Items form contains the total quantity of the item for only the default warehouse and default item stockroom location. a) True b) False

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Syteline: Managing Inventory 29

In SyteLine, what is safety stock? a) b) c) d)

Minimum quantity of an item to always have on hand in inventory. Items required as part of a Safety Program. Items that require special handling. Items that are stored in a private stockroom location.

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List the four inventory item types. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Where do you specify that an item can be reserved? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

What would cause an item stockroom location to be deleted by the system from an item’s list of available storage locations? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Syteline: Managing Inventory 31

Lesson 3: Inventory item tracking Estimated time 1 hour

Learning objectives After completing this lesson, you will be able to: • • • • • • • •

Describe the method to configure and activate serial number tracking for an item. Describe the method to configure and activate lot tracking for an item. Distinguish when lot and serial numbers can be assigned. Describe the use of lot and serial number prefixes. Identify the use of shelf life. Interpret the data on forms displaying the items tracked by lots. Interpret the data on forms displaying the items tracked by serial numbers. Describe the process for backflushing lot-tracked items.

Topics • • • • • • • • •

Introduction Setting lot tracking for an item Setting serial number tracking for an item Setting other options for both lot and serial number tracking Pre-assigning lot and serial numbers Tracking lot-controlled materials Tracking serial number-controlled materials Issuing tracked items Backflushing tracked items

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Introduction A lot number is a unique identification number assigned to a particular quantity, i.e. “lot,” of material. A serial number is a unique identifier assigned to one unit of a material. Both lots and serial numbers are used to trace a part’s source and destination.

In this lesson, you’ll learn how to set up items to work with lot and serial numbers and view the numbers that exist in your system.

Assigning lots and serial numbers Lots and serial numbers in SyteLine can be created: • • •

Before receipt (called "pre-assignment") on purchase orders, job orders, and transfer orders At the time of receipt At any time using the Lots form

The following features are available for assignment of lots and serial numbers: • • • •

Manual or auto generation of numbers Intelligent prefixes Purge dates, based on a site’s retention days, that allow you to recycle numbers Numbers are unique numbers by item or site

Using lots and serial numbers The following features are available when using lots and serial numbers tracking: • • • •

Backflushing materials Reserving quantities for customer orders Expiring numbers on dates based on an item’s stated shelf life Tracing material source and destination

Viewing lots and serial numbers You can view lot and serial number data on these forms: • • •

Item Lot Locations Lots Serial Numbers

Setting inventory parameters on the Control tab Many of the fields on the Control tab are used as default values on the Items form. Setting

Description

Lot Tracking

Select this check box to cause the Lot Track field on the Items form (Control tab) to be selected by default when you add a new item.

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Notes

Syteline: Managing Inventory 33

Setting

Description

Notes

Generate Lot

Select this check box to automatically generate lot numbers.

If you select this check box, all lot numbers in the system will be expanded. The default setting is unselected.

Lot Prefix

Enter the default prefix to be used for all lot numbers. This number may be overridden by a setting a default prefix to use for a specific item (set on the Items form).

Generate Unique Lot Number

Select this check box to set lot number generation to be unique by site.

Remote Site Lot Processing

This setting determine how the system processes the From and To Lot fields for remote sites during inventory transactions. Options are: • • •

If unselected, lot numbers are unique by item.

Existing Lot - The Lot field allows users only to select from existing lots. Create Lot - The Lot field requires users to enter a new lot number that does not exist in the system. Both - The Lot field allows users to select an existing lot or enter a new lot number.

S/N Track

Select this check box to set the system to use serial tracking by default when adding new items.

Serial tracking allows you to track the serial numbers of items as the items move through the system through inventory, receiving, and shipping transactions. If the quantity in the Items form's On Hand field is greater than zero, you cannot update any Lot or Serial fields for the displayed item.

Expand S/N

Select this check box (the default) to allow serial numbers to expand to 30 characters when there is a character value in the serial number. Clear this check box to prevent expansion of serial numbers.

If you clear this check box, you have to manually create serial numbers.

Use Existing Serials

Select this check box to allow inventory transactions at a local site to use the existing serial numbers from the remote site.

This check box is enabled only when the transaction’s item is serial-tracked at the remote site and serial numbers are specified.

S/N Prefix

Type the default prefix to display in front of each serial number.

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Setting

Description

Notes

Generate Unique S/N

Select this check box to set serial number generation to be unique by site.

If this check box is not selected, serial numbers are unique by item.

Retention Days

Type the number of days to retain lots and serial numbers after they are created.

The lots and serial numbers will not purge automatically. You must run the Delete Lots or Delete Serials utility.

Setting up global lot attributes In the Inventory Parameters form – Control tab, determine how you want to set the following global parameters for lot number tracking that applies to all inventory items. Some of these values can be overridden for specific items or transactions. Using the field descriptions above as guidelines set the following parameters: 1. Lot Tracking 2. Issue By: • •

Location Lot

3. Preassign Lots 4. Generate Lot 5. Lot Prefix 6. Generate Unique Lot Number 7. Remote Site Lot Processing • • •

Existing Lot Create Lot Both

8. Backflush Lot Numbers

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Syteline: Managing Inventory 35

Setting up global serial number attributes In the Inventory Parameters form, determine how you want to set the following global parameters for serial number tracking that applies to all inventory items. Some of these values can be overridden for specific items or transactions. Using the field descriptions above as guidelines set the following parameters: 1. S/N Track 2. Expand S/N 3. Preassign Serials 4. Use Existing Serials 5. S/N Prefix 6. Generate Unique S/N 7. Backflush Serial Numbers

Specifying “intelligent” lot and serial number prefixes You can assign prefixes to lot and serial numbers that include any constant value you specify as well as variable information to include: • • • • • • • •

Date, source, and location can be built into the prefixes Day, month, year Reference type - character value based on transaction type Reference number – numeric value based on transaction type Reference line or suffix – numeric value based on line number in transaction Reference release – numeric value based on transaction release SyteLine Site ID Constant – value based on character you specify such as a hyphen (-)

A prefix can consist of numeric and non-numeric (letters and symbols) characters. However, the prefix should end with an alphabetic character to ensure that the system increments lot numbers correctly.

Once a prefix is added, it will not affect any existing lot or serial numbers.

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Defining an “intelligent” lot prefix To define an intelligent prefix to use with lot numbers: 7. Click Lot Definition on one of these forms: •

For a global lot prefix that applies to all items, click Lot Definition on the Inventory Parameters form.

•

For a lot prefix that applies to a specific item, click Lot Definition on the Items form. This prefix overrides any global lot prefix.

8. On the Prefix Definition form, add a line for each segment of the prefix. 9. To specify the segments of the prefix: •

Click in the Segment Value field and select from the list of placeholder options.

•

You can include as many segments as you need in the prefix. However, the lot number length is limited to 15 characters. If you specify a prefix that could be greater than or equal to the limit, you receive a warning.

•

To include a constant, for example a hyphen, specify Constant in the Segment Value field and then type the characters in the Segment Placeholder Value field.

•

To change the order of the segments, click Up or Down.

•

The full prefix (using placeholders) is displayed in the Prefix field.

10. Click OK to return to the previous form, where the prefix is displayed in the Lot Prefix field.

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Defining an “intelligent” serial number prefix To define an intelligent prefix to use with serial numbers: 1. Click S/N Definition on one of these forms: •

For a global serial number prefix that applies to all items, click S/N Definition on the Inventory Parameters form.

•

For a serial number prefix that applies to a specific item, click S/N Definition on the Items or Multi-Site Items form. This prefix overrides any global serial number prefix.

2. On the Prefix Definition form, add a line for each segment of the prefix. 3. To specify the segments of the prefix: •

Click in the Segment Value field and select from the list of placeholder options.

•

You can include as many segments as you need in the prefix. However, the serial number length is limited to 30 characters. If you specify a prefix that could be greater than or equal to the limit, you receive a warning.

•

To include a constant, for example a hyphen, specify Constant in the Segment Value field and then type the characters in the Segment Placeholder Value field.

•

To change the order of the segments, click Up and Down.

•

The full prefix (using placeholders) is displayed in the Prefix field.

4. Click OK to return to the previous form, where the prefix is displayed in the S/N Prefix field.

Setting up automatic lot and serial number generation The system can automatically generate a range of lot and serial numbers. If you specify a lot or serial number prefix, number generation begins with the next available number with that prefix. If you do not use a prefix, the system looks for the largest existing lot or serial number and adds 1 to it. Automatic lot number generation To activate automatic lot number generation: 1. Open the Master Explorer > Modules > Codes > Parameters > Inventory Parameters > Control tab. 2. Select the Generate Lot check box. 3. Select the Generate Unique Lot Number check box.

Automatic serial number generation The total serial number length (prefix plus number) is 30 characters if Expand S/N is selected. Otherwise, the total length can be anywhere from 1 to 30 characters.

To activate automatic serial number generation: 1. Open the Master Explorer > Modules > Codes > Parameters > Inventory Parameters > Control tab. 2. Select the Expand S/N check box. 3. Select the Generate Unique S/N check box. 38 Lesson 3: Inventory item tracking

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Setting retention days for lot and serial numbers (purge dates) You can recycle lot and serial numbers. You do this by specifying the number of retention days you’ll keep a number. If an item has zero inventory on hand after the retention days, you may purge the numbers. You will learn later how numbers are purged so that they can be reused.

Enter the number of days after they are created to purge lot and serial numbers. The system will use this field to calculate the purge date for lot and serial numbers. This is a global setting.

To activate automatic serial number generation: 1. Open the Master Explorer > Modules > Codes > Parameters > Inventory Parameters > Control tab. 2. Type the number of days to retain lot and serial numbers in the Retention Days field. 3. Save the record.

Demo: Lot and serial number attributes Your instructor will provide a demonstration for setting lot and serial number attributes. ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ _______________________________________________________________________

Exercise 3.1: Lot and serial number attributes In this exercise, you will activate lot and serial tracking by default, turn on the automatic generation of lot and serial numbers, and create lot and serial number prefixes.

Exercise steps 1. Select Master Explorer > Modules > Codes > Parameters > Inventory Parameters. The Inventory Parameters form opens. 2. Select the Control tab. 3. Set the lot and serial number tracking parameters by selecting or clearing the check boxes and options as indicated in the table below.

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Lot Numbers Check Box/Option

Setting

Serial Numbers Check Box/Option

Setting

Lot Tracking

Cleared

S/N Track

Cleared

Issue By

Lot

Expand S/N

Selected

Generate Lot

Selected

Use Existing Serials

Cleared

Generate Unique Lot Number

Selected

Generate Unique S/N

Selected

Remote Site Lot Processing

Both

Backflush Serial Numbers

Selected

Backflush Lot Numbers

Selected

4. Click Lot Definition. Use the Prefix Definition form to set the Lot Prefix to DDMMYYYY-: a. Add a line for each segment of the prefix on the Prefix Definition form: • • • • • • •

Click in the Segment Value field on line 1 and select DD from the drop-down list of placeholder options. Click in the Segment Value field on line 2 and select MM from the drop-down list of placeholder options. Click in the Segment Value field on line 3 and select YYYY from the drop-down list of placeholder options. Click in the Segment Value field on line 4 and select Constant from the drop-down list of placeholder options. Click in the Segment Placeholder Value field on line 4 and type a hyphen (-) character. Click in the Segment Value field on line 5. The form should look like the screen below when you have finished entering the segments of the prefix.

b. Click OK.

Notice the “-” character constant in this column.

Prefix Definition form 5. Click S/N Definition. Use the Prefix Definition form to set the S/N Prefix to DDMMYYYYRefType-RefNumber-. 40 Lesson 3: Inventory item tracking

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a. Add a line for each segment of the prefix on the Prefix Definition form: • • • • • • • • • • • • •

Click in the Segment Value field on line 1 and select DD from the drop-down list of placeholder options. Click in the Segment Value field on line 2 and select MM from the drop-down list of placeholder options. Click in the Segment Value field on line 3 and select YYYY from the drop-down list of placeholder options. Click in the Segment Value field on line 4 and select Constant from the drop-down list of placeholder options. Click in the Segment Placeholder Value field on line 4 and type a hyphen (-) character. Click in the Segment Value field on line 5 and select Ref Type from the drop-down list of placeholder options. Click in the Segment Value field on line 6 and select Constant from the drop-down list of placeholder options. Click in the Segment Placeholder Value field on line 6 and type a hyphen (-) character. Click in the Segment Value field on line 7 and select Ref Num from the drop-down list of placeholder options. Click in the Segment Value field on line 8 and select Constant from the drop-down list of placeholder options. Click in the Segment Placeholder Value field on line 8 and type a hyphen (-) character. Click in the Segment Value field on line 9. The form should look like the screen below when you have finished entering the segments of the prefix.

Notice the three “-” characters in this column.

Prefix Definition form

b. Click OK. 6. Click Save. A dialog box displays the message, “Inventory Parameters have changed. [Login] must be performed by all other users. 7. Click OK. A dialog box displays the message, “Product Configuration has been changed. [Login] should be performed.

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8. Click Done. 9. Click Save modified data and close form (OK).

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Setting lot tracking for an item Activating lot tracking To activate lot tracking for an item: 1. Open the Master Explorer > Modules > Material > Inventory > Items form. 2. Turn off the Filter In Place mode. 3. Locate and open the item record for which you are activating lot tracking. 4. Select the Controls tab. 5. Specify the item’s lot tracking settings, as described in the table below. 6. Save the record.

The user is not allowed to update lot fields if an item has a quantity on hand greater than zero.

Setting

Description

Notes

Lot Track

Select this check box to activate lot tracking for the item.

The default value for the Lot Track check box comes from the setting on the Inventory Parameters form. The user may change the default for any item.

Issue By

Select the radio button next to an Issue By option to identify the order in which the system will pull lot numbers from inventory.

The value defaults from the Issue By field on the Inventory Parameters form.

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•

Location: The order in which items are pulled from inventory is: • First by rank item location order • Then by alphabetical lot order

•

Lot: The order in which items are pulled from inventory is: • First by alphabetic lot order • Then by item rank location order

The user may change the default for any item.

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Setting

Description

Notes

Preassign Lots

This check box activates when you select the Lot Track check box. Select this check box to allow the assignment of lot numbers before the item is received or used in a job.

If you clear this field and preassigned lot numbers exist for the item, all pre-assigned lot numbers are deleted when you save your changes. The setting in this check box becomes the default setting for the same check box on the purchase order line/release, job order, or transfer order line item.

Lot Prefix

Specify a lot prefix for this inventory item. You can specify Lot Prefix for the item by typing a prefix into the field, or you can use “intelligent” lot numbers by clicking Lot Definition and using the utility to create a prefix.

The value for the Lot Prefix field for an item defaults to the global Lot Prefix value set on the Inventory Parameters form. This may be overwritten. If the global value was not set, the Lot Prefix field on the Items form will be blank.

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Setting serial number tracking for an item Serial number tracking allows you to track the serial numbers of items as the items move through the system through inventory, receiving, and shipping transactions.

Activating serial number tracking To activate serial number tracking for an item: 1. Open the Master Explorer > Modules > Material > Inventory > Items form. 2. Turn off the Filter In Place mode. 3. Locate and open the item record for which you are activating serial number tracking. 4. Select the Controls tab. 5. Specify the item’s serial number tracking settings, as described in the table below. 6. Save the record.

The user is not allowed to update serial number fields if an item has a quantity on hand greater than zero.

Setting

Description

Notes

S/N Track

Select this check box to activate serial number tracking for the item.

The default value for the S/N Track check box comes from the setting on the Inventory Parameters form. The user may change the default setting for any item.

Preassign Serials

This check box activates when you select the S/N Track check box. Select this check box to allow the assignment of serial numbers when a PO, transfer line or a job is created, instead of waiting until the order is received or the job has completed.

If you clear this check box and pre-assigned serial numbers exist for the item, all preassigned serial numbers are deleted when you save your changes. The setting in this check box becomes the default setting for the same check box on the purchase order line/release, job order, or transfer order line item.

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Setting

Description

Notes

S/N Prefix

Specify a serial number prefix for this inventory item. You can specify an S/N Prefix for the item by typing a prefix into the field, or you can use “intelligent” lot numbers by clicking S/N Definition and using the utility to create a prefix.

The value for the S/N Prefix field for an item defaults to the global S/N Prefix value set on the Inventory Parameters form. This may be overwritten. If the global value was not set, the S/N Prefix field on the Items form will be blank.

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Setting other options for both lot and serial number tracking Setting backflush and backflush location Backflushing is the deduction from inventory records of the component parts used in an assembly or subassembly by exploding the BOMs by the production count of assemblies produced. If this inventory item can be backflushed, select the Backflush check box and then a Backflush Location on the Controls tab of the Items form.

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Using shelf life Each lot and serial number can expire on a specified date, meaning the date that it is no longer suitable for use. You can manually enter the expiration date on the Lots or Serial Numbers forms or have the system generate it for you at the time of receipt. The system calculates the expiration date as follows: •

Expiration Date = S/N or Lot Creation Date + Shelf Life

How SyteLine uses expiration dates: •

SyteLine does NOT provide a utility to write off items that have expired. That must be processed manually.

•

On transactions requiring a material issue, the system will NOT default to any expired lot or serial number.

•

MRP considers lot expiration dates and will decrement projected on-hand quantities when lots expire.

To specify the shelf life for an item: 1. Open the Master Explorer > Modules > Material > Inventory > Items form. 2. Select the item record. 3. Select the Controls tab. 4. Type a value in days in the Shelf Life field for how long the lot can stay in inventory before it expires. The system will use the value in this field to calculate the expiration dates for lot and serial numbers. 5. Save the record.

If a lot or serial number has expired, it will not be accessed on generation. It can be manually selected, but a system message advises the user that the lot or serial number has expired.

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Pre-assigning lot and serial numbers Lots and serial numbers in SyteLine can be assigned before receipt (called "pre-assignment") of materials on purchase orders (PO), job orders, and transfer orders (TO).

In order for lot and serial numbers to be pre-assigned: •

The item must be lot or serial tracked.

•

The appropriate pre-assign field on the purchase order line/release, job order, or transfer order line item must be selected.

Preassign Lots check box This check box on the Items form – Controls tab is available when you select the Lot Track check box.

If selected it allows the assignment of lot numbers at the time a purchase order, a transfer line, or a job is created, instead of waiting until the order is received or the job has completed.

If you clear this check box and pre-assigned lots already exist, all pre-assigned lots are deleted when you save your changes.

The setting of the Preassign Lots check box on the Items form becomes the default setting of the Preassign Lots check box on the purchase order line/release, job order, or transfer order line item.

Preassign Serials check box This check box on the Items form – Controls tab is available when you select the S/N Track check box.

If selected it allows the assignment of serial numbers at the time a purchase order, a transfer line, or a job is created, instead of waiting until the order is received or the job has completed.

If you clear this check box and pre-assigned serial numbers already exist, all pre-assigned serial numbers are deleted when you save your changes.

The setting of the Preassign Serials check box on the Items form becomes the default setting of the Preassign Serials check box on the purchase order line/release, job order, or transfer order line item.

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Tracking lot-controlled materials You can trace lot numbers through multiple transactions or job levels. You can trace lots forward to determine the final item in which a lot-tracked item is included.

Lot tracking can be viewed on three different forms: 1. Lots form 2. Lot Traceability Report form 3. Item Lot Locations form Use of these forms is described below.

Using the Lots form From the Lots form a user can view an item and its associated lot number. Additionally, the user can determine the original received quantity, on-hand quantity, expiration date and other detailed information pertaining to the lot. The received quantity is only updated when the lot is initially created. It is manually updated from that point forward. To trace lots: 1. Open the Master Explorer > Modules > Material > Inventory > Lots form. 2. On the Lots form, locate the item and lot number to trace. 3. Select the Lot Trace tab. The tab displays a Lot Trace tree.

4. Click the plus sign to expand the information.

Using the Lot Traceability Report To trace lots: 1. Open the Master Explorer > Modules > Material > Inventory > Reports > Lot Traceability Report form. 2. On the Lot Traceability Report form, specify the range of items and lot numbers to include in the report. 3. In the Summary or Detail field, specify: •

Summary - to show only the immediate source transaction.

•

Detail - to show the detail of source jobs, where those jobs contain lot items that themselves have a source. Additional levels are indented on the report.

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4. Click Preview to display the report on the screen. 5. Click Print if you want a printout of the report.

Using the Item Lot Locations form The Item Lot Locations form shows all lot-tracked items and their locations. This form can be used to track the quantities of different lots in different locations as well as inform the user of the unit cost of the lot. You may not add lots/locations through this form. The system will create lots/locations when a transaction is complete. 1. Open the Master Explorer > Modules > Material > Inventory > Item Lot Locations form. 2. Filter by Warehouse and/or Item to display the lot/location information you need. 3. View the quantities for the selected lot. 4. View Costs and Containers information on the other tabs of the form.

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Tracking serial number-controlled materials You can track serial numbers used in jobs through multiple job levels. You can track in either direction: • •

Backward, to determine which serialized items make up a final serialized item Forward, to determine the final item in which a serialized item is included.

Notes •

In order to track serial numbers for an item in a job beyond the first level, the Preassign Serials option must be set for the item.

•

If a serial number has a source or destination that is a transfer order, then visibility of the serial number in this site ends at the transfer order. To further track the serial number, go to the transfer site and continue tracking there.

Serial number tracking can be viewed on two different forms: 1. Serial Numbers form 2. Item Serial Number Report form Use of these forms is described below.

Using the Serial Numbers form To track serial numbers: 1. Open the Master Explorer > Modules > Material > Inventory > Serial Numbers form. 2. Filter by Item and/or S/N to display the record to track. 3. Select the Serial Source tab to track the serial number backward or the Serial Destination tab to track it forward. 4. Click plus signs to expand the information. The tree initially shows the source transaction of the serial/item. If that transaction is a job, the tree includes additional nodes for any serial/item materials in that job, as well as nodes for the source of those serial/items. If there are transactions in any nodes that do not contain a serial number, but contain a lot number, the node shows the source information for the lot.

Using the Item Serial Number Report To track serial numbers: 1. Open the Master Explorer > Modules > Material > Inventory > Reports > Item Serial Number Report form. 2. On the Item Serial Numbers Report form, specify the range of items and/or serial numbers to include in the report. 3. In the Display Source field, specify: •

Summary, to show only the immediate source transaction.

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•

Detail, to show the detail of source jobs, where those jobs contain serialized items that themselves have a source. Additional levels are indented on the report.

4. In the Display Destination field, specify: • •

Summary, to show only the immediate destination transaction. Detail, to show the detail of destination jobs, where these jobs contain serialized items that themselves have a destination. Additional levels are indented.

5. Click Preview to display the report on the screen. 6. Click Print if you want a printout of the report.

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Issuing tracked items Use the Miscellaneous Issue form to issue items from a location for a reason other than for a job or a customer order.

The Miscellaneous Issue form allows users to withdraw inventory and charge its value to a selected general ledger account number. For example, miscellaneous issues could be used if stock, which has become obsolete, needs to be removed from available inventory. This inventory could be charged to an account from the Chart of Accounts.

Miscellaneous Issue For issuing lot or serial number tracked items, the system requires that you select the lot or serial number information for the materials being issued.

Selecting lots To issue a lot-tracked item: 1. Open the Master Explorer > Modules > Material > Inventory > Activities > Miscellaneous Issue form. 2. Select the item to be issued. 3. Type the quantity of the item that will be issued. 4. Select a reason code for the transaction from the drop-down list. This code will be referenced with all material transaction records created within the system. 5. Select the location from the drop-down list to specify the stockroom location. 6. The Location and Lot fields together define the source of the materials to issue. Select the lot number from which to issue material. The system requires this information only if Lot Tracking is enabled for the item. 7. If the item is serial number tracked, skip to step 8 under “Selecting serial numbers” below. Otherwise, click Process to complete the material issue.

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Selecting serial numbers To issue a serial number-tracked item: 1. Select the Serial Numbers tab. This tab is required for serial number tracked items and is only available if the item to be issued is serial number tracked. The user is prompted to select one serial number for each quantity being issued. 2. Type into the Generate Qty field the number of serial numbers you want to retrieve into the grid. The maximum it can retrieve is limited by the number of serial numbers you have for the item in the location (and lot, if the item is lot tracked) that you specified. 3. Turn off the Filter In Place mode. The list of available serial numbers for the item will appear in the grid. 4. Select the serial numbers of the items you want to issue. You can: •

Manually select the serial numbers by selecting the check boxes next to the serial numbers.

•

Use the Select Range and Deselect Range buttons and the Range Qty field. Remember that the range that will be selected begins with the grid record you have highlighted.

5. Once the Target Qty equals the Selected Qty, click Process to complete the issue transaction.

When using serial number tracking for the item, the Serial Numbers tab is enabled only after you enter the required fields on the detail tab.

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Backflushing tracked items You may backflush lot and serial number tracked items when posting Unposted Job Transactions, JIT Production, PS Complete, or PS Scrap. You may not backflush lot and serial number tracked items when using kits or posting material issues with the pick list. To backflush lot and serial number tracked items: 1. Ensure that the Backflush Lot Numbers and/or Backflush Serial Numbers fields on the Inventory Parameters form are selected. 2. Select the Backflush check box on the lot or serial number tracked Item record. 3. Make sure there are quantities of the item in the backflush location.

For details on how backflushing works, see the Bill of Material (BOM), Job Shop Manufacturing, or Repetitive Manufacturing guides. Here is an example of backflushing tracked items using the Unposted Job Transactions form.

Unposted Job Transactions form Open the Master Explorer > Modules > Manufacturing > Jobs > Activities > Unposted Job Transactions form. Backflush Lots tab This tab is enabled only if the Backflush Lot Numbers option is selected on the Inventory Parameters form, Control tab. The Backflush Lots tab allows you to select lot-tracked items for inclusion in a backflushing operation. To generate a list of potential lot-tracked items, click Generate Lots. Then, from the list that is returned, select the items to include in the backflush. IMPORTANT: The system will display lots to choose from only when you have quantities of the backflushed item on hand in the backflush location for that item.

Backflush Serials tab This tab is enabled only if the Backflush Serial Numbers option is selected on the Inventory Parameters form, Control tab. The Backflush Serials tab allows you to select serial-tracked items for inclusion in a backflushing operation. To generate a list of potential serial-tracked items, click Generate Serials. Then, from the list that is returned, select the items to include in the backflush. If the items are both lot-tracked and serial-tracked, the Backflush Serials tab will be disabled until you have selected lots to backflush.

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Demo: Item lot tracking Your instructor will provide a demonstration for setting up lot tracking for an item, using a Miscellaneous Receipt for adding a quantity to stock, and tracing a lot-tracked item. ________________________________________________________________________ ________________________________________________________________________

Exercise 3.2: Item lot tracking In this exercise you will set up lot tracking for an item, use a Miscellaneous Receipt for adding a quantity to stock, and trace a lot-tracked item. For this exercise you will: 1. Set up lot tracking for one of the items you created in the previous lesson, PH-20000. 2. Set up backflushing for this item. 3. Perform a miscellaneous receipt to add a quantity of this item to stock 4. View the Lots form to trace a lot-traced item.

Use these item controls settings for item PH-20000: • • •

Lot tracked only with lot number assigned at the time of receipt Backflushed at location A1S1 Shelf life of 90 days

Exercise steps 1. Select Master Explorer > Modules > Material > Inventory > Items. The Items form opens. 2. Select PH-20000 from the Item drop-down list. 3. Click Filter In Place to remove the filter. 4. Select the Controls tab. 5. Select the Lot Track check box. 6. Select the Issue By: Lot option. 7. Leave the Lot Prefix field as it was defined in the Inventory Parameters form. 8. Type 90 in the Shelf Life field. 9. Select the Backflush check box. 10. Select A1-S1 from the Backflush Location drop-down list. 11. Click Save modified data and close form (OK).

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12. Select Master Explorer > Modules > Material > Inventory > Activities > Miscellaneous Receipt. The Miscellaneous Receipt form opens. 13. Select PH-20000 from the Item drop-down list. 14. Type 50 in the Quantity field. 15. Type 0.50 in the Material Cost field. 16. Verify the Location is A1-S1. 17. Click the Lot drop-down list down arrow and select the automatically generated Lot Number that displays. 18. Tab out of the Lot field. A dialog box displays the message, “Lot that has [Item: PH-20000] and [Lot: 11092014-000001] does not exist. [Add] will be performed for Lot. 19. Click OK. 20. Select MMR from the Reason drop-down list. 21. Click Receive to complete the receipt. A dialog box displays the message, “[Miscellaneous Receipt] was successful. 22. Click OK. 23. Close the Miscellaneous Receipt form. 24. Select Master Explorer > Modules > Material > Inventory > Lots. The Lots form opens 25. Select item FA-20000 from the Item drop-down list. 26. Select 1 from the Lot drop-down list. 27. Click Filter In Place. Note: This is not the item you set up for lot tracking in this exercise. That item has only had the one transaction you performed. Viewing an item with more transaction history will give you a better understanding of how Lot Tracking appears. 28. Select the Lot Trace tab. The tab displays a Lot Trace tree. 29. Expand the Lot Trace tree by clicking the plus sign. 30. View the lot tracing for this item and lot. The transactions are listed in oldest-to-newest order. Note: If you want to view the Lot Trace for your item, PH-20000, open the item on the Lots form and view the Lot Trace tree. 31. Click the Lots form. ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________

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________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________

Demo: Item serial number tracking Your instructor will provide a demonstration for setting up serial number tracking for an item, using a Miscellaneous Receipt for adding a quantity to stock, and tracing a serial number-tracked item. ________________________________________________________________________ ________________________________________________________________________

Exercise 3.3: Item serial number tracking In this exercise you will set up serial number tracking for an item, use a Miscellaneous Receipt to add a quantity to stock, and trace a serial number-tracked item. For this exercise you will: 1. Set up serial number tracking for one of the items you created in the previous lesson, SL-10000. 2. Perform a miscellaneous receipt to add a quantity of this item to stock. 3. View the Serial Numbers form to trace a serial number-traced item.

Use these item controls settings for item SL-10000: • •

Both Lot and Serial Number tracked with numbers assigned at the time of receipt Shelf life of 90 days

Exercise steps 1. Select Master Explorer > Modules > Material > Inventory > Items. The Items form opens. 2. Click Filter In Place to turn off the filter-in-place mode. 3. Select item SL-10000 from the left pane to open the item. 4. Select the Controls tab. 5. Select the Lot Track check box. 6. Select the Issue By: Lot option. 7. Select the S/N Track check box. 8. Leave the S/N Prefix field as it was defined in the Inventory Parameters form. 9. Type 90 in the Shelf Life field. 10. Click Save modified data and close form (OK). © 2014 Infor Education

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11. Select Master Explorer > Modules > Material > Inventory > Activities > Miscellaneous Receipt. The Miscellaneous Receipt form opens. 12. Select SL-10000 from the Item drop-down list. 13. Type 50 in the Quantity field. 14. Type 2.00 in the Material Cost field. 15. Verify the Location is A1-S1. 16. Click the Lot drop-down list down arrow and select the automatically generated Lot Number that displays. 17. Tab out of the Lot field. A dialog box displays the message, “Lot that has [Item: SL-10000] and [Lot: 11092014-000002] does not exist. [Add] will be performed for Lot.” 18. Click OK 19. Select MMR from the Reason drop-down list. 20. Click Receive to complete the receipt. A dialog box displays the message, “Serial Tracked is Yes for Item that has [Item: SL-10000]. Selected Qty must be equal to Target Qty.” 21. Click OK. 22. Select the Serial Numbers tab. 23. Notice that the Target Qty is 50 and the Generate Qty is 50. You will need to create 50 serial numbers, one for each item received into stock. 24. Click Generate Serial to generate the 50 serial numbers. All the numbers are selected by default and Selected Qty is now 50. The Selected Qty must equal the Target Qty. 25. Click Receive to complete the receipt. A dialog box displays the message, “[Miscellaneous Receipt] was successful.” 26. Click OK. 27. Close the Miscellaneous Receipt form.. 28. Select Master Explorer > Modules > Material > Inventory > Serial Numbers. The Serial Numbers form opens. 29. Select item TC-11000 on the Serial Numbers form. Note: This is not the item you set up for serial number tracking in this exercise. That item has only had the one transaction you performed. Viewing an item with more transaction history will give you a better understanding of how Serial Number Tracking appears. 30. Click Filter In Place. 31. Press the Ctrl + 2 keys to display the entire grid for the serial numbers assigned to this item. Scroll right to view all of the information on the grid. 32. Press the Ctrl + 2 keys to change the display back to the original view. 33. Select one of the first few item/serial numbers in the list at the left. 34. Select the Serial Source tab to view the trace backwards. The tab displays a Serial Source tree. 35. Expand the Serial Source tree. 36. View the serial source transactions for this item and serial number. The transactions are listed in oldest-to-newest order. 37. Select the Serial Destination tab to view the trace forwards. The tab displays a Serial Destination tree. 38. Expand the Serial Destination tree. 60 Lesson 3: Inventory item tracking

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39. View the serial destination transactions for this item and serial number. The transactions are listed in oldest-to-newest order. 40. Close the Serial Numbers form.

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Check your understanding When are lot and serial numbers assigned?

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Do you have to assign serial and lot numbers manually?

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What does selection of the Expand S/N setting change in the system?

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True or false? If you specify lot and serial number prefixes in the Inventory Parameters form, you are not able to specify different lot or serial number prefixes at the item level. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

What is the setting where you can specify the number of days to retain lots and serial numbers after they are created? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ © 2014 Infor Education

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Can the same lot number be used for multiple items?

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What settings are required to backflush lot and serial tracked items?

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How does SyteLine calculate expiration dates for lot and serial numbers?

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What happens to existing pre-assigned lot or serial numbers if you clear the Preassign Lots or Preassign Serials check box for an item? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Lesson 4: Inventory status monitoring Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • • • •

Identify the purpose of and key fields on the Item/Warehouse and Time Phased Inventory Status forms. Assess Purchase Requirements, Inventory Aging, Inventory Balance and Material Transactions report data. Interpret data on the Material Transactions form. Identify and interpret the Inventory Control Home information for monitoring inventory status.

Topics • • • •

Introduction Using inventory forms and reports to monitor inventory status Managing obsolete and slow-moving items Monitoring data on the Inventory Control Home form

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Introduction SyteLine provides a number of reports and forms to view inventory levels and monitor status. You can see the full list of reports in Appendix B, Inventory Reports. In this lesson, the following reports and forms will be introduced: • • • • • • • •

Item/Warehouse form Time Phased Inventory Status form Purchase Requirements report Inventory Aging report Inventory Balance report Material Transactions report Material Transactions form Inventory Control Home form

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Using inventory forms and reports to monitor inventory status Item/Warehouse form On the Item/Warehouse form the user can see what inventory is available, what inventory is on order, reserved, allocated for orders and what inventory is expected from transfers, or is in work in process.

The Item/Warehouse form can be opened from the Master Explorer > Modules > Inventory menu.

Totals for each item are kept at the warehouse level, so it is possible to know what is stocked at each warehouse. The table below describes the various quantity fields.

Field

Description

Item On Hand

The total on hand for this item across all warehouses displays.

Warehouse On Hand

The total on hand for this item at the selected warehouse.

On Order

The total of Ordered - Received for this item on all PO lines or releases with status of "Ordered."

Alloc Order

The total of Qty. Ordered - Shipped for this item on all CO lines or releases with status of "Ordered."

Reserved

Total quantity on hand reserved at the warehouse.

On Transfer

The total of Quantity - Shipped for this item on all Transfer Order lines coming TO this warehouse where the transfer order has a status of "Ordered" or "Transit."

Alloc Transfers

The total of Quantity - Shipped for this item on all Transfer Order lines shipping FROM this warehouse where the transfer order has a status of "Ordered" or "Transit."

Qty WIP

The total amount of a particular item currently being manufactured displays. This quantity equals the difference between the quantity released and the quantity completed for all jobs and production schedule releases with a status of “Released” or “Stopped.”

Non-Nettable Stock

The total quantity of this item at all nonnettable stockroom locations for the current warehouse.

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Notes

When you release a job or a production schedule, this amount increases. When you complete a quantity and post the job or production schedule transaction, this amount decreases.

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Time Phased Inventory Status form The Time Phased Inventory Status form displays, by item, the on-hand quantity, and by date, the projected future on-hand requirement/receipt quantities, reference and customer/vendor name.

Planned replenishments generated by MRP or APS are NOT shown on this form.

The Projected On Hand field is calculated from the following: Order Type

Status

Customer Orders

Planned and Ordered status

Purchase Orders

Planned and Ordered status

Job Orders

Firm and Released status

Warehouse Transfer Orders

Ordered and Transit status

Production Schedules

Released status

For Customer Orders, the customer is displayed and for Purchase Orders, the vendor is displayed.

Time Phased Inventory Cross Reference Through the cross-reference function, the user has quick access to the following: • •

Customer Order Line/Releases Customer Order Blanket Line/Releases

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• • • • • • •

Purchase Order Line/Releases Purchase Order Blanket Line/Releases Job Orders Job Materials Warehouse Transfer Line Items Production Schedules Production Schedule Materials

To use the Time Phased Inventory Status form: 1. Open the Master Explorer > Modules > Inventory > Time Phased Inventory Status form. 2. Filter for and select an item. 3. View the data for the item in the grid. 4. To view the cross-referenced source for any entry: • •

Select a line entry in the grid. Click Source.

5. To select different warehouse to view inventory demands, select the System > Actions > Change Warehouse option.

Purchase Requirements report The Purchase Requirements report identifies requirements for purchased, manufactured and transferred items. Nettable on-hand inventory, allocations and outstanding replenishments are all considered when determining the net requirement for an item. Only those items with their on-hand quantities going below zero will appear on this report

An item displays on the report if the sum of its quantities on hand, on order, and in process (On Hand, On Order, and Qty WIP fields) minus its quantities allocated to both orders and jobs (Alloc Job and Alloc Ord) is less than its safety stock quantity.

The Purchase Requirements Report can be opened from the Master Explorer > Modules > Vendor > Purchase Orders > Reports menu.

There are many filters available on the form for you to use to tailor the report output to your needs. Click Preview to view the output to make sure the output is correct before printing the report.

This report lists two things for each item: • •

Requirements Replenishments

Requirements Requirements may be customer orders or Allocated To Prod. If the Plan Materials at Operation Start field is cleared, this form displays job material requirements based on the job's start date.

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If the Plan Materials at Operation Start field is selected, the operation's start date is used as the requirements date. Replenishments Replenishments may be purchase orders or work in process (WIP) (the item being manufactured). The report can be selected to show requirements, replenishments, neither, or both.

There are different fields on the report depending upon whether a CO, a job, a WIP, or a PO is being displayed. The primary and secondary vendors also display.

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Inventory Aging report The Inventory Aging report queries the item stockroom locations and item/warehouse records to determine the date of the last inventory receipt for a range of products. An inventory receipt could be from a purchase order receipt, completion of a job, or a customer order return.

The Inventory Aging report can be opened from the Master Explorer > Modules > Inventory > Reports menu.

You can display the results by warehouse, location, or by lot in groups of records displayed according to various time ranges (buckets), such as 30 days, 60 days, 90 days, or other ranges.

Aging for an item is determined by its latest transaction activity. Recent Purchase Order Receipt is an example of a transaction that affects an item’s aging. If an item’s latest activity consists of Move or Transfer types of transactions, the quantity is placed in the oldest aging bucket. The Inventory Aging report is designed to provide inventory aging information based on quantity only.

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Inventory Balance report For each item received and issued in a warehouse, the Inventory Balance report lists the quantity on hand, unit cost and total cost within a specified date range.

The Inventory Balance report can be opened from the Master Explorer > Modules > Inventory > Reports menu.

The Summary version of this report lists the item's quantity, unit cost, and amount for all warehouse item receipts and issues. The Detail version of this report lists the item's quantity, unit cost, and amount for receipts and issues, plus each receipt and issue transaction that occurred within the Transaction Date range.

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Material Transactions form The Material Transactions form lists all material transactions posted, such as Purchase Order Receipt, Miscellaneous Issue, Miscellaneous Receipt, Inventory Adjustment, Job Merge, Customer Order Shipment, and others. Some of the key fields are shown below. Field

Description The type of transaction. Types include:

Transaction Type

• • • • • • • • • • • • • • • • •

Adjustment Cycle Count Split/Merge/Create Scrap Finish Misc Issue Misc Receipt Issue/WIP Change Transfer Loss Stock Move Labor/Next Operation Other Cost Physical Inventory Receipt Ship Transfer Withdrawal/Return

Every material transaction has a business area associated with it. Types include:

Reference Type

• • • • • • • • • •

Project Inventory Job JIT Production Customer Order Purchase Order RMA Production Schedule Transfer Work Center

A value entered to track the movement of inventory on the Material Transaction report. The document number is stored on the material transaction record for the transaction. It is a 12- character, alphanumeric value. This number is used for auditing and tracking purposes. Document Number

You can assign a unique document number to track inventory movements on these forms: • • • •

Job Receipt Miscellaneous Issue Miscellaneous Receipt Quantity Adjustment

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Field

Description • • •

Quantity Move Job Receipt Error Processing Quantity Move Error Processing

Total Posted This field displays the total amount posted to the transaction's designated journal accounts. It may be either a positive or negative number. Whenever any function in the manufacturing modules sends transactions to one of the distribution journals, the system creates a material transaction, also known as a matltran record. Within that matltran record, the system stores the account and amount of each debit and credit sent to the journal. It also stores a unit cost for the transaction, which is calculated differently depending on the type of transaction and the item's cost type and method. Using the stored amounts that were sent to the journal, the Material Transactions form and report attempt to show the effect the transaction had on inventory value. This value is shown in the Total Posted column. While for most transactions, the Total Posted value reflects the transactions (unit cost * quantity), some situations cause a different calculation: • •

If the quantity of the transaction is greater than or equal to zero (move into inventory), the Total Posted column shows the total of the debits sent to the journal. If the quantity is less than zero (move out of inventory) the Total Posted column shows the total of the credits.

For transactions with two entries, one hitting inventory with an offset to another account, the Total Posted figure typically equals the (unit cost * quantity) for the transaction. For example, a job material issue will simply debit WIP and credit inventory. Total Posted will be the credit to inventory and should match the unit cost * quantity. However, this will often not be the case for transactions that affect multiple accounts. This most commonly occurs for a transaction that is a receipt into inventory and that generates inventory adjustments due to the nature of the item's existing inventory data. The system debits inventory, credits the appropriate account such as WIP (job finish) or vouchers payable (PO receipt), and then either debits or credits inventory adjustment. Other examples of situations that result in Total Posted not being equal to (unit cost * quantity) are listed below: •

• • • •

You move a quantity into inventory for an item that has a negative on-hand. Because the negative on-hand needs to be "backed out" of the inventory account at the cost at which it went negative, you will end up with a debit to inventory, credit to WIP, and a debit or credit to inventory adjustment. For a specific-costed item that is not lot tracked, you move pieces into a stock location that already has a quantity and cost. That move causes the system to revalue the existing inventory at that location at the new, incoming unit cost. An average-costed item has different inventory accounts in its stock locations in either the same or different warehouses. Each time you receive the item into inventory, the system revalues all inventory in all accounts using the new average cost. When you enter a run transaction against a job, the unit cost is zero but the Total Posted will be the total of the debits for the transaction. You make a change to the inventory cost data for an item. The quantity in the material transaction will be zero (because on hand did not change), but the Total Posted shows the total of the revaluation at the new cost.

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To use the Material Transactions form: 1. Open the Master Explorer > Modules > Inventory > Material Transactions form. 2. Filter the material transactions by making selections or typing information under the columns of the form. Click under the column heading in the first row to view either a drop-down list from which you can make a selection or a text field in which you can type a value to filter by.

Material Transactions form column headings

Click in this area to display the drop-down list of selection options for that column.

Material Transactions form (partial) 3. Use the horizontal scroll bar to view the entire form. 4. Select System > Actions > Get More Rows to display the next 200 rows at the bottom of the form. 5. Select System > Actions > To Form Dataview to display the material transactions in a format more like a spreadsheet. 6. Right-click the grid for additional actions.

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Material Transactions report The Material Transactions report lists all material transactions posted, such as Purchase Order Receipts, Miscellaneous Issues, Job Merges, Customer Order Shipments, etc. This report can involve a very large number of records that can take a long time to run. You should set appropriate filters and ranges to limit the number of records on the report to the smallest possible number. To set filters for this report: • • • •

On the Type tab, select the reference and transaction types to include in the report. On the Inventory tab, select the ranges of transaction detail and inventory information to include in the report. On the Orders tab, select the ranges of production, customer, materials, and vendor information to include in the report. On the SRO tab, select appropriate filters.

Some of the key fields on this report are listed in the table below. Field

Description

Type tab: Print Cost Detail

Select this field to print cost detail. Clear this field to omit cost detail from the printed report.

Inventory tab: Transaction Date, Range

Enter or select the first and last transaction dates to include or delete on the report or utility.

Inventory tab: Document Number

See Document Number above under the Material Transactions form.

Reporting on non-inventory items The Material Transactions report now prints the item description for non-inventory items. If a noninventory item is specified on a purchase order line, customer order line, job material, project resource, or RMA line, you can specify an item description.

Based on the type of item, the system determines which item description to use as follows: •

For an inventoried item, the item description is displayed. If the description is blank, the line item description is displayed.

•

For a tracked non-inventoried item, the non-inventory item description is displayed. If the description is blank, the Line Item description is displayed.

•

For a non-tracked, non-inventoried item, the Line Item description is displayed. For Customer Order Line/Release and Purchase Order Line/Release, if the description is blank, the History Line Item description is displayed, if available.

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Managing obsolete and slow-moving items On the Items form - Controls tab, you can flag some inventory as obsolete or slow-moving. This functionality lets you improve material movement and inventory level management by preventing or discouraging all processes that would add such items to inventory.

To identify and flag obsolete or slow-moving items: 1. Run the Item Not Used report to identify items for which no material transactions have been recorded for the date range you specify. The results of this report may help you identify items that should be flagged as Obsolete or Slow-Moving. 2. Open the Items form > Controls tab. 3. Run the Item Where Used report to determine where the items you plan to flag are currently used in the system. For all future transactions, the system will stop you from purchasing or manufacturing obsolete items, and will warn you when you purchase or manufacture a slowmoving item. However, it is up to you to discover and act upon all pre-existing transactions. 4. On the Items form, in the Item field, enter the item code for the item you wish to flag. The Description displays. 5. In the Material Status field, select Obsolete to flag the item as obsolete. Select Slow-Moving to flag the item as slow-moving. Accept the default of Active for all items which should be bought, sold, and made without restriction. •

Alternatively, you can change the status of a range of materials using the Change Item Status utility.

6. If the Backflush check box is selected for this item on the Items form - Controls tab, clear the check box. You should not backflush items that are obsolete or slow-moving. The system will not display warning or error messages if you do backflush these items.

Controls on obsolete and slow-moving inventory Once items have been flagged as obsolete, The system regulates their use by: • • • •

Preventing the manufacturing or purchasing of obsolete items Displaying warning before accepting obsolete items as returns Preventing the selling or transferring of obsolete items Limiting several system functions that build inventory from adding obsolete items

Once items have been flagged as slow moving, The system regulates their use by: • •

Displaying warnings before making or buying slow-moving items Displaying warnings before accepting slow-moving items as returns

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Monitoring data on the Inventory Control Home form The Inventory Control Home form collects and displays a wide variety of information from other parts of the system into one form, providing an inventory controller the information needed to monitor inventory control activities throughout the system. This form is not part of a permission group. To get access to this form, your system administrator must give you authorization for this form. The buttons that are displayed on the upper portion of this form can be used to quickly open complementary applications. If an application is not installed, its button is inactive. Buttons for complementary applications include: • • • • •

®

Word - opens Microsoft Word. ® Excel - opens Microsoft Excel. ® Outlook - opens Microsoft Outlook. Bing - opens your default internet browser and navigates to the Bing web page Infor Xtreme Support - opens your default internet browser and navigates to the Support web page.

Inventory Control Home tabs There are six tabs on the Inventory Control Home form: • • • • • •

Dashboard tab Navigator tab Tasks tab Flow tab Critical Numbers tab DataViews tab

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Dashboard tab The Dashboard tab on the Inventory Control Home form lists links to forms and activities you need to do your job as an inventory controller. The links are grouped into the following categories: Setup, Inventory Visibility, Activities, and Reporting and Analysis. There are also four charts and a grid on this tab.

Dashboard tab feature

Description Contains three links: Alerts, Tasks, and Inbox. You are redirected to the Tasks tab if you click any of the links.

My Stats

The Tasks tab shows tasks and inbox messages. The number of alerts on the Tasks tab is broken down by being either on the Items Below Safety Stock button or the Items Quarantined button Availability For Top 5 Highest Value Items chart - displays the availability of the five highest value items (cost * quantity on hand). Top 5 Shortage Amounts chart - displays the five item/warehouse combinations with the largest shortage amount (cost * shortage). Key Today chart – shows four pieces of information: 1. CO to Ship - the number of CO Line/Releases to ship as of the current day for all customer order items with a status of Planned or Ordered, the due date is on or before the current day, and the quantity shipped is less than the quantity ordered.

Charts

2. Shipped - the number of CO Line/Releases that have completely shipped today. This means a shipping transaction occurred today, and the line/release's quantity shipped is greater than or equal to the quantity ordered. 3. PO to Receive - the number of PO Line/Releases to receive as of today for all purchase order items with a status of Planned or Ordered, the due date is on or before the current date, and the quantity received is less than the quantity ordered. 4. Received - the number of PO Line/Releases that have been completely received today. This means a receiving transaction occurred today, and the line/release's quantity received is greater than or equal to the quantity ordered. Cycle Count Adjustments chart - shows the monetary amount of quantity adjustments, detailed for the current month and the three previous months. This data is pulled from material transactions for cycle count transactions. Each column is stacked with the "Up" value that sums the positive adjustments, and a "Down" value that sums the negative adjustments.

Grid

Top 5 Product Code Values - shows the top five values of product codes for the last four periods (including the current period).

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Navigator tab Multi-Site Group - This field allows you to view data in all shared Multi-Site groups including the group logged into by the user. This field is required, and the default value comes from the Multi-Site Group identified on the Users form for the logged-in user.

Source - Use the Purchased, Manufactured, and Transferred check boxes to limit the items that appear on each of the Navigator tabs. The selections you make are compared to the Source field on the Items form.

There are several sections on the Navigator tab that display different information about the status of the inventory.

Navigator tab section

Description

Hot List

Displays a list of items that may potentially have an issue with regard to demand vs. quantity on hand. When you click an item in the grid on the left, the planning detail for that item displays in the grid on the right. When calculating the outstanding demand for items, set the Cutoff Date to look at demand up to this date. The date defaults to the current date.

Transactions

Shows material transactions that are of interest to a production planner. Using the information on this tab, a production planner can track down material transactions that affect your day-to-day job. For example, you could use this tab to show if material that was earmarked to be issued to a specific job is no longer available. You can limit transactions that appear by narrowing it down to specific types with the check boxes at the top of the tab. The check boxes are: Adjustments, Misc Issues, Misc Receipts, Cycle Count, and All Types. When All Types is selected, all material transactions are shown, not just those of the types in the other check boxes.

Exceptions

Shows MRP and APS Planning exception messages for items with sources that match the options selected by the inventory controller. This information is similar to the information displayed on the Exceptions report. Select an item in the left grid to see information about that item in the right grid.

Inventory Value

Shows the account balance for the current accounting period plus the previous 3 periods for the inventory material account and unit code combination associated with each unique warehouse/product code combination.

Cycle Counting

Shows item warehouses that have had a cycle count triggered or have a cycle count currently under way. Use the Warehouse field to limit the records that display. Clear this field to display all warehouses.

Obsolete Item Candidates

Shows items that are candidates to be changed to obsolete or slow-moving. Use the Cutoff Date field to select the date to use as the cutoff. All transactions having dates prior to and including this cutoff date are displayed. Clear this field to display all transactions. Use the Included Types field to choose whether to display all types or only preselected types.

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Navigator tab section

Description

Transfers

Shows transfers for all warehouses, or a single warehouse. The left grid displays all items being transferred. The right grid displays all scheduled transfer shipments for the selected item and warehouse. Use the Warehouse field to limit the records that display. Clear this field to display all warehouses.

Expiring Lots / Serials

Shows lot and serial records that have an expiration date on or before the user-selected cutoff date. Use the Cutoff Date field to select the date to use as the cutoff. All transactions having dates prior to and including this cutoff date are displayed. Clear this field to display all transactions.

Item Quantities

Shows general quantity information that is useful to an inventory controller. The data is divided into three grids: Empty Stockroom Locations, NonNettable Inventory, and Negative On Hand Quantities.

Item Details

Shows inventory that is below the safety stock, as well as zero-cost items.

Standard Cost Analysis

Provides your production planner a view of standard cost items and their standard costs as compared to the current unit cost. Choose a planner code from the Planner Code drop-down list to limit the number of items that appear. Leave the Planner Code list blank to return all items.

Reservations

Shows key information from the Reservations For Item form.

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Tasks tab The Tasks tab contains three sections: 1. Alerts The buttons in this section have red numbers if the number is above zero. The number is green if it is zero. If you click Items Below Safety Stock, the Items form opens. If the number on the button is red, the Items form displays the number of items (the red number on the button) for which the on-hand quantity is below the safety stock level. If you click the Items Quarantined button, that also opens the Items form. If the number on the button is red, the Items form displays the number of items that have non-nettable quantity.

2. Tasks The tasks section lists the tasks assigned to the logged-in user.

3. Inbox The Inbox section lists the messages for the logged-in user. Double-click a field in the Inbox grid to view all emails that share that value. All Inbox fields can be filtered with the exception of Read and Expired.

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Flow tab The Flow tab graphically depicts the typical workflow for inventory control tasks. Common processes and tasks are arranged from left to right in logical sequences. The boxes on the tab are interactive: • •

Small boxes (form icons) – double-clicking a small form icon opens the form that is used for that part of the process. Large boxes - double-clicking the larger boxes will display a help window with information and instructions on completing the task.

Inventory Control Home – Flow tab

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Critical Numbers tab The Critical Numbers tab on the Inventory Control Home form shows critical numbers related to inventory. This tab is only enabled for users with a Workbench license. There are two sections on the Critical Numbers tab: 1. General - shows critical numbers based on general information. 2. Item Specific - shows critical numbers based on item specific information. You can filter by item.

Inventory Control Home – Critical Numbers tab, General Section

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Inventory Control Home – Critical Numbers tab, Item Specific Section DataViews tab The DataViews tab on the Inventory Control Home form shows critical numbers related to inventory. This tab is only enabled for users with a Workbench license.

Use the radio buttons to select the DataView to display: • • • •

Inventory Shipments Receipts Reservations

Select the source check boxes to further filter the data in the DataView: • • •

Purchased Manufactured Transferred

About DataViews With DataViews, you have the ability to view, parse, sort, group by, and filter data from the application within user-definable views and layouts. The DataView setup is similar to an Excel spreadsheet, displaying data in columns. As with form personalization, the DataView structure supports user, group, and site level layouts. If needed, you can export the DataView to a printer, XPS file, or Excel .xls file. Additionally, you can navigate to the related maintenance form by selecting Details on the right-click context menu.

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Check your understanding Inventory items can be designated as Active, Obsolete or Slow-Moving. What's the effect in the system if an item is marked as Obsolete or Slow-Moving? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

What does the Time Phased Inventory Status form show about an item?

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What is the purpose of the Item/Warehouse form?

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What replenishment information displays on the Item/Warehouse form?

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For which item sources can you run the Purchase Requirements report?

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How can you quickly view all of the items that have quantities on hand below the safety stock level? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Lesson 5: Inventory cycle counts Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • • • • •

Explain the use of ABC codes in setting cycle count triggers. Define count tolerances. List the steps for performing an inventory cycle count. Interpret the information on a Cycle Count Variance report. Describe the effect on inventory resulting from cycle count posting and purging.

Topics • • • • • • • • • •

Introduction Cycle count procedure Assigning ABC codes Assigning count triggers Defining count tolerances Initiating a cycle count Updating a cycle count Generating a Cycle Count Variance report Posting cycle counts Purging cycle counts

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There are two basic methods for counting inventory: cycle counts and physical inventories. A cycle count and a physical inventory are similar in that they both help you track your on-hand inventory. However, there are a few significant differences that you should be aware of when deciding which process to use. The following table summarizes the differences between these two methods:

A cycle count:

A physical inventory:

Does not require a warehouse inventory freeze.

Requires a warehouse inventory freeze.

Can be performed for individual items in inventory.

Requires that you do a count of all items in inventory.

Can be set up to be triggered in a variety of ways for a variety of reasons.

Can only be initiated in one way.

Allows other transactions to be conducted at the time the count is being performed.

Does not allow any other transactions to be conducted at the time the count is being performed.

In this lesson we will be learning about cycle counts. Cycle counts are ways to audit inventory throughout the year. A good cycle count program can improve inventory accuracy far above what’s possible with annual physical inventories.

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Introduction Cycle counting is a method for taking stock of what is in your inventory. Cycle counting is accomplished by taking periodic counts of what is actually in stockrooms. Periodic reconciliation of your inventory balances is important for the proper control of inventory levels. This control leads to improved customer service combined with an overall reduction of inventory. Accurate counts: • • •

Help you know precisely how much is in stock. Give you a better ability to promise quantities to customers. Help prevent keeping too much in stock.

If you record all receipts and disbursements, the physical count should match the On Hand field on the Items form. If the physical count does not match the On Hand field on the Items form, a portion of your system needs to correct its procedures for tracking inventory. It is possible to establish cycle counting data to allow more frequent counting of important items. Variance reports quickly help spot large discrepancies.

Counts are taken at regular intervals. Small subsets of the total inventory can be counted at different intervals. For instance, you might want to keep a closer watch on the level “A” items, so it might be necessary to count them every two months. But it might only be necessary to count level “C” items every twelve months.

During cycle counting, if the actual count in a specific location/lot is less than what the system has reserved in that location/lot, the system flags this as an exception and does not post. This occurs on the Variance report.

Cycle counting takes place for the current warehouse. Cycle counting can take place at the same time for multiple warehouses.

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Syteline: Managing Inventory 93

Cycle count procedure Follow these steps for performing cycle counts:

Setup Before you use cycle counting, you will want to set up the following. 1. If using ABC codes, assign them to items. 2. Set up count triggers for the items to be counted. This can be done using one of these methods: • • •

Set count trigger defaults on the Warehouses form. Set count triggers manually for each item on the Item/Warehouse form Set or update a range or group of items using the Cycle Count Setup form.

3. Define count tolerances on the Product Codes form.

Process 4. 5. 6. 7. 8. 9.

Generate count sheets (Cycle Count Generation). Count inventory (use sheets or tags printed by system). Enter count into system (Cycle Count Update). Report variances (Cycle Count Variance report). Post count (Cycle Count Posting). Purge unused count records (Cycle Count Purge).

The diagram below depicts the procedural steps for performing cycle counts. It will be used throughout this lesson as each step is described in more detail. The current step that is being described in the lesson will be shaded. That way, you will be able to tell where we are in the process in relation to the other steps.

Step 1 Assign ABC codes

Step 2 Set up count triggers

Step 6 Record count quantities

Step 3 Define count tolerances

Step 7 Create Cycle Count Variance report

Step 4 Generate count sheets

Step 8 Post cycle counts

Step 5 Count inventory

Step 9 Purge cycle counts

Cycle count procedure

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Assigning ABC codes Step 1 Assign ABC codes

Step 2 Set up count triggers

Step 6 Record count quantities

Step 3 Define count tolerances

Step 7 Create Cycle Count Variance report

Step 4 Generate count sheets

Step 8 Post cycle counts

Step 5 Count inventory

Step 9 Purge cycle counts

Cycle count procedure

In most of the organizations inventory is categorized according to the ABC Classification Method, which is based on the Pareto principle. Here the inventory is classified based on the value of the units. The principle applied here is based on 80/20 principles. Accordingly the classification can be established as: •

A category items comprise 20% of SKU and contribute to 80% of $ spend

•

B category items comprise 30% of SKU and contribute to 15% of $ spend

•

C category items comprise 50% of SKU and contribute to 5% of $ spend

The above is only an example and the actual numbers as well as percentages can vary.

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Syteline: Managing Inventory 95

ABC Analysis SyteLine provides a utility to let you automatically update each item with an ABC code.

To analyze and assign ABC codes to items: 1. Open the Master Explorer > Modules > Material > Inventory > Utilities > ABC Analysis form. 2. Select the Analysis Method from the drop-down list. Refer to the table below for more information. Options are: • • •

YTD Future Unit

3. Select the Sort By order from the drop-down list – Value or Units. 4. Type the numerical percentages for each ABC category in the Percentage fields. The percentages for the three fields must add up to 100%. Refer to the table below for more information. 5. Select the Preview radio button and then click Process. The items will be listed in the grid on the form with the old ABC code and the new ABC code based on your settings. 6. Once you determine that the settings are correct, select the Commit radio button and click Process to assign the new ABC codes to the items.

Methods for assignment of ABC codes: Method YTD

Sort Unit

Result Sort by sum of qty-sold-ytd + qty-used-ytd for each item (Quantity column). Quantity used year-to-date comes from the Used YTD field on the Sales tab of the Items form. Quantity sold year-to-date comes from the Sold YTD field on the Sales tab on the Items form. These values are updated as you process material issues to production and shipments to customers. Note: These values are NOT automatically set to zero at the beginning of each new year. To reset the fields, you must use the Set Item PTD/YTD Totals to Zero utility, which will reset the Sold YTD, Used YTD, Purchased YTD, Quantity Manufactured YTD and Sales YTD on the Items form to zero. This utility should be run after completing jobs, shipping orders and PO receipts for the previous year and prior to performing any of these transactions for the next year.

YTD

Value

Future

Unit

Sort by sum of (qty-sold-ytd + qty-used-ytd) * unit cost for each item (Ext Value column). Sort by sum of all MRP/APS requirements for each item (Quantity column). MRP/APS requirements can be seen on the Planning Summary and Planning Detail forms.

Future

Value

Unit

Unit

Unit

Value

Sort by sum of all MRP/APS requirements * unit cost for each item (Ext Value column). Sort by unit cost (Unit Cost column). Sort by unit cost times qty on hand (Ext Value column).

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The sorting is always in descending order and the percentages are applied top to bottom.

The Quantity field displays different things depending on the method you’re using. When using the Unit method, the field displays on-hand quantity. When using the YTD method, the field displays usage in past. When using the Future method, the field displays expected future usage.

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Assigning count triggers Step 1 Assign ABC codes

Step 2 Set up count triggers

Step 6 Record count quantities

Step 3 Define count tolerances

Step 7 Create Cycle Count Variance report

Step 4 Generate count sheets

Step 8 Post cycle counts

Step 5 Count inventory

Step 9 Purge cycle counts

Cycle count procedure

You can assign count triggers on the Item/Warehouse form in one of three ways: • • •

Accept the defaults from the Warehouses form. Manually update the fields on the Item/Warehouse form. Set or reset the fields on the Item/Warehouse form using the Cycle Count Setup utility.

Whatever method you use, the system uses the values on the Item/Warehouse form.

Defining warehouse default cycle count settings The Warehouses form allows the user to enter default cycle types as well as the default cycle frequency, if counting in days. If count types are entered on this form, they will provide a default for all items added to the system from that point forward.

1. Open the Master Explorer > Modules > Material > Inventory > Warehouses form. 2. Select the General tab. 3. Select the check box for the Cycle Type to specify how items should be cycle counted: •

Day Frequency - indicates items will be counted every number of days as specified in the Cycle Freq field.

•

Zero Quantity - indicates the item should be counted if its on-hand quantity has reached zero. This is to confirm the count equals zero.

•

Receipt - indicates the item should be counted if a receipt has been recorded against the item.

•

Issue - indicates the item should be counted if an issue has been recorded against the item.

4. Type the number of days in the Cycle Freq field to specify the frequency that cycle counts should be performed. This field is only used when the Day Frequency option has been selected as the Cycle Type. Note: This frequency is applied using a seven-day per week calendar. 5. Save the record. 98 Lesson 5: Inventory cycle counts

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Defining cycle count settings using the Cycle Count Setup utility By using this utility you are able to perform a mass change for all of the specified criteria. The user has the option of assigning count triggers by ABC code, item, product code, planner code, or warehouse. Once this activity is processed, the information will update the Item/Warehouse form for each individual item. 1. Open the Master Explorer > Modules > Material > Cycle Counts > Cycle Count Setup form. 2. Select the check box for the Cycle Type to specify how items should be cycle counted: •

Day Frequency - indicates items will be counted every number of days as specified in the Cycle Freq field.

•

Zero Quantity - indicates the item should be counted if its on-hand quantity has reached zero. This is to confirm the count equals zero.

•

Receipt - indicates the item should be counted if a receipt has been recorded against the item.

•

Issue - indicates the item should be counted if an issue has been recorded against the item.

3. Type the number of days in the Cycle Freq field to specify the frequency that cycle counts should be performed. This field is only used when the Day Frequency option has been selected as the Cycle Type. 4. Optionally select the date of the Last Count. 5. Select the ABC codes to include in the cycle count. 6. Select a range of items by Item ID, Product Code, Planner Code, or Warehouse. 7. Click Process. All affected Item/Warehouse records will be updated with the specified cycle count settings.

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Defining Item/Warehouse cycle count settings For an item to be able to be cycle counted, specific information must be set up at the inventory level. To set up this cycle count information: 1. Open the Master Explorer > Modules > Material > Inventory > Item/Warehouse form. 2. In the Item field, select the item for which you want to enter new cycle count information. 3. In the Warehouse field, select the warehouse for which you want to enter new cycle count information. 4. Click the Filter In Place button. 5. Enter the appropriate information in the following fields: •

Cycle Type – select check boxes to define which inventory activities trigger a cycle count to occur.

•

Cycle Freq – type a numeric value representing the number of days between each cycle count. This field is required only if you selected Day Frequency as the Cycle Type.

The system updates the following fields automatically: •

Count in Process – When selected, this field signifies that the item is currently being counted for inventory purposes. If this check box is selected, the item's inventory is unavailable for change until the cycle count is complete.

•

Cycle Trigger – The system updates this field when the defined action in the Cycle Type field takes place. When a cycle count for this item is completed, the system clears this setting.

•

Last Count – The system updates this field automatically and displays the last date that a cycle count was performed for this item. If you want to change the date that the next cycle count is to be done, you can change this field manually.

6. Save the record.

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Defining count tolerances Step 1 Assign ABC codes

Step 2 Set up count triggers

Step 6 Record count quantities

Step 3 Define count tolerances

Step 7 Create Cycle Count Variance report

Step 4 Generate count sheets

Step 8 Post cycle counts

Step 5 Count inventory

Step 9 Purge cycle counts

Cycle count procedure

To set the cycle count tolerance level for items grouped under a product code:

1. Open the Master Explorer > Modules > Inventory > Files > Product Codes form. 2. Select the product code to be modified. 3. On the General tab, type a tolerance percentage number into the Cycle Tolerance field. This field allows the user to establish a tolerance factor, by product code that will be utilized when the Cycle Count Variance report is printed. The tolerance is entered as a percentage of change, e.g. 5.000 = 5. If the actual count is within the tolerance percentage of the starting count, the system will not consider the difference as a variance and so will not be reported as an exception. 4. Save the record.

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Syteline: Managing Inventory 101

Initiating a cycle count Step 1 Assign ABC codes

Step 2 Set up count triggers

Step 6 Record count quantities

Step 3 Define count tolerances

Step 7 Create Cycle Count Variance report

Step 4 Generate count sheets

Step 8 Post cycle counts

Step 5 Count inventory

Step 9 Purge cycle counts

Cycle count procedure

Use the Cycle Count Generation activity to generate cycle count records for all items the system has triggered for cycle counting, based upon the Cycle Type settings from the Cycle Count Setup form.

The system generates a record for each location, lot, and serial number and assigns each record the status of Not Counted.

The cycle count generation process prints the Cycle Count Generation report, a worksheet which shows item/location counts and provides a place for you to pencil in the results of a manual count. You can sort the report by location or by item.

Initiate and conduct the cycle count 1. Generate count sheets. To create the actual printed forms on which your staff is to record the counted quantities: a. Open the Master Explorer > Modules > Material > Cycle Counts > Cycle Count Generation form. b. Fill in the fields necessary to describe the properties of the count sheets and to filter the items to include in the count. c.

Select other options as needed (see description below).

d. Click Process. 2. Distribute the count sheets and have your staff conduct the actual count of the designated items. 3. Collect the filled-in count sheets. Since this process generates cycle count records, you cannot reprint this report. If you need another copy, run the Cycle Count Sheet report.

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Cycle Count Generation form key field descriptions Cycle Count Generation will identify all items triggered for cycle counting and generate cycle count records. You can generate counts as often as you want. Use the following fields to filter and select the items included in each count: • • • • • • •

Cycle type Material Type ABC Code Item range Location Product Code Planner Code

This form controls the output of the cycle count sheets. Items can be selected by Cycle Type or any combination of the starting and ending criteria.

Overwrite Existing Records This check box option allows the user to run the count generation multiple times without deleting the count records from previous generations. If you select to overwrite existing records, the system will only overwrite the existing records for the items included in the current generation.

Display Cut - Off Qty This check box option indicates whether the current on-hand quantity of the items selected should be printed on the count sheets.

Print Barcode Format Selection of this check box indicates that the count sheets should be printed with the bar codes.

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Syteline: Managing Inventory 103

Updating a cycle count Step 1 Assign ABC codes

Step 2 Set up count triggers

Step 6 Record count quantities

Step 3 Define count tolerances

Step 7 Create Cycle Count Variance report

Step 4 Generate count sheets

Step 8 Post cycle counts

Step 5 Count inventory

Step 9 Purge cycle counts

Cycle count procedure

Record the cycle count quantities After the on-hand count of all the items included in the cycle count has been completed and you have collected the count sheets, you must record the quantities into the system.

To record the counted quantities from the count sheets into the system: 1. Open the Master Explorer > Modules > Material > Cycle Counts > Cycle Count Update form. A grid listing the items/locations included in the count is displayed showing a Status of Not Counted for each. There are columns in the grid to record the Counted Quantity, Lot, Serial Number and Document ID. 2. Type the counted quantity for each item into the Counted Qty field. Take care to record the quantity of an item for its correct location. You will not be prompted for a unit of measure. 3. If the item is lot-tracked, specify the lot. 4. If an Item Stockroom Location or Item Lot Location does not exist, create them. The system prompts you for these if they do not already exist. 5. Save the record. The status for each item in the cycle count will be updated. The Status value will be Not Counted, Counted, or Exception.

Although the default quantity shows as 0, the record will not change status to Counted until you enter the count, even if that count is 0.

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Generating a Cycle Count Variance report Step 1 Assign ABC codes

Step 2 Set up count triggers

Step 6 Record count quantities

Step 3 Define count tolerances

Step 7 Create Cycle Count Variance report

Step 4 Generate count sheets

Step 8 Post cycle counts

Step 5 Count inventory

Step 9 Purge cycle counts

Cycle count procedure

The Cycle Count Variance report shows the variance between the system's on-hand balance and the actual count entered. The report can indicate to you which items have a variance, and therefore require an investigation, such as initiating a recount or trying to figure out who is not entering transactions into the computer properly. It is recommended that you run the Cycle Count Variance report before posting the cycle counts. This report provides an accounting audit trail for any variances encountered from the original quantities. When generating the report you have the option to show only those items that have a variance. A variance occurs when: • • • •

The actual count was not within product code tolerance of the starting count The location On Hand is not the same as On Hand when the Cycle Count record was generated The item is not in Items The location for the item is not found

Three cycle count quantities There are three types of quantities in SyteLine. 1. Cut-off Quantity: the system-calculated quantity on hand at the time you run the Cycle Count Generation activity. 2. Count Quantity: the quantity on hand you manually enter into the Cycle Count Update form. 3. Current Quantity: the system-calculated quantity on hand taking into consideration any receipts, issues, or adjustments after you run the Cycle Count Generation activity. SyteLine calculates and post variances between the Current Quantity and Count Quantity.

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Syteline: Managing Inventory 105

Posting cycle counts Step 1 Assign ABC codes

Step 2 Set up count triggers

Step 6 Record count quantities

Step 3 Define count tolerances

Step 7 Create Cycle Count Variance report

Step 4 Generate count sheets

Step 8 Post cycle counts

Step 5 Count inventory

Step 9 Purge cycle counts

Cycle count procedure It is recommended that you run the Cycle Count Variance report before posting the cycle counts. This report provides an accounting audit trail for any count variances from the original quantities. Cycle count posting allows the user to post the cycle count quantities entered on the Cycle Count Update form. The posting routine automatically records the count quantity as the new stockroom on-hand quantity and writes the appropriate journal entries to the IC Dist Journal for the inventory adjustments.

Adjustments are made for variances between the Current Quantity and the Count Quantity.

To post the count quantities to the Quantity On-Hand field for each inventory item and to create entries in the IC Dist Journal for any adjustments: 1. Open the Master Explorer > Modules > Material > Cycle Counts > Cycle Count Posting form. 2. Select the Cycle Status of the items to post from the drop-down list: •

Counted: Executes the posting routine for items that have a status of Counted. All items receive a status of Counted once their count quantity has been entered and no exceptions have occurred.

•

Exception: Executes the posting routine for items that have a status of Exception. An Exception status occurs if the item is not on the Items form, if the stock location is not found for the item, if the current on hand does not match the on-hand quantity recorded at the beginning of the cycle count, or if someone has performed an inventory transaction against the item during the cycle count.

3. Select the warehouse for the posting from the drop-down list. 4. Select the date to be used for the posting. 5. Click Process. 6. After posting is complete, review any records that have a status of Exception. These are records that did not post due to errors.

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Posting cycle count records with status of Exception If the cycle count record status is changed to Exception from the cycle count posting process above, you can still post the record if the exception was caused from one of the following conditions: • •

Current location's on-hand quantity is now different from the on-hand quantity when the count started Quantity counted exceeds the location on-hand quantity plus the product code tolerance

To post exceptions that were caused due to one of these conditions, run the Cycle Count Posting utility again, but make sure to select Exception in Cycle Status field before clicking Process.

Cycle count records with a status of Exception due to reasons other than those described above will not post even when the Cycle Status field is set to Exception. You must correct the error condition in order to post those cycle count records.

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Syteline: Managing Inventory 107

Purging cycle counts Step 1 Assign ABC codes

Step 2 Set up count triggers

Step 6 Record count quantities

Step 3 Define count tolerances

Step 7 Create Cycle Count Variance report

Step 4 Generate count sheets

Step 8 Post cycle counts

Step 5 Count inventory

Step 9 Purge cycle counts

Cycle count procedure

The Cycle Count Purge activity allows the user to delete records from the cycle count process.

Use the Cycle Count Purge form to delete cycle count records for a given range and reset the Count in Process flag in the Item/Warehouse form.

You may use this utility to delete records associated with an obsolete item or location. This function may also be used to delete accidentally created records, or possibly those records with exceptions that you really do not need.

To purge cycle count records: 1. Open the Master Explorer > Modules > Material > Cycle Counts > Cycle Purge form. 2. Select the Cycle Status check boxes to indicate the status of the cycle count records to be purged. More than one status can be selected. 3. Select other options as needed to filter the cycle count records to purge. • • • • • •

ABC Code Item range Location Cycle Date Product Code Planner Code

4. Click Process.

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Demo: Cycle counting Your instructor will demonstrate the steps for performing an inventory cycle count. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 5.1: Cycle counting In this exercise, you will set up and perform an inventory cycle count for specified items. This exercise will demonstrate the cycle count functionality through the use of the items RF20000 and RF-30000. Perform the following tasks to complete this exercise: 1. Update the Cycle Type to R (Receipts) for the RF-20000 and RF-30000 items. Use the Item/Warehouse form for this update. 2. Perform a Miscellaneous Receipt against both items for a quantity of 10. Use the Reason Code of your choice and leave all other fields at the default values. Note: The Item/Warehouse forms should show Cycle Triggered = Yes. 3. Perform a cycle count for both items following the steps that were covered in this lesson. •

Count sheets should be generated for Cycle Type = R and the items RF-20000 and RF-30000.

•

During cycle count posting, if the status of any of the cycle count records was changed to Exception due to counted quantities not matching on-hand quantities plus the product code tolerance, run the Cycle Count Posting utility again but change the Cycle Status field to Exception before processing the posting.

4. After posting the cycle count, go back to the Item Stockroom Locations form to see the result of your count. The quantities on hand at each location should now represent the posted count quantities.

Exercise steps 1. Select Master Explorer > Modules > Material > Inventory > Item/Warehouse. The Item/Warehouse form opens. 2. Click Filter In Place to turn off the filter-in-place mode. 3. Select RF-20000 from the Item list in the left pane. 4. Select the Receipt check box in the Cycle Type panel of the General tab. 5. Click Save. © 2014 Infor Education

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6. Repeat steps 3 through 5 for item RF-30000. 7. Select Master Explorer > Modules > Material > Inventory > Activities > Miscellaneous Receipt. The Miscellaneous Receipt form opens. 8. Select RF-20000 from the Item drop-down list. 9. Type 10 in the Quantity field. 10. Select MMR from the Reason drop-down list. 11. Click Receive. A dialog box displays the message “[Miscellaneous Receipt] was successful. 12. Click OK. 13. Repeat steps 8 through 12 for item RF-30000. 14. Close the Miscellaneous Receipt form. 15. Click the Item/Warehouse tab to return to the Item/Warehouse form. 16. Click Refresh the current collection icon. 17. Select RF-20000 from the Item list in the left pane. 18. Verify that the Cycle Triggered check box in the Cycle Type panel of the General tab is selected. 19. Verify that the Cycle Triggered check box in the Cycle Type panel of the General tab is selected for item RF-30000. 20. Close the Item/Warehouse form. 21. Select Master Explorer > Modules > Material > Cycle Counts > Cycle Count Generation. The Cycle Count Generation form opens. 22. Clear the Day Frequency check box. 23. Clear the Zero Quantity check box. 24. Clear the Issue check box. 25. Select RF-20000 from the Starting Item drop-down list. 26. Select RF-30000 from the Ending Item drop-down list. 27. Click Process. A dialog box displays the message “[Cycle Count Generation (whse: MAIN)] will be performed”. 28. Click OK. A dialog box displays the message “7 Cycle Count(s) were processed”. 29. Click OK. A dialog box displays the message “Report Submitted”. 30. Click OK. 5. Note: This process would have sent the Cycle Count Sheets to the printer if one had been set up for this configuration. 31. Select Master Explorer > Modules > Material > Cycle Counts > Cycle Count Update. The Cycle Count Update form opens. 32. Type a [number value] in the Counted Qty field for each item/location to represent an actual count from the Cycle Count Sheets. Enter values as listed below: a. RF-20000/FLOOR

0

b. RF-20000/INS-1

5

c.

RF-20000/PUR-1

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e. RF-30000/FLOOR

0

f.

0

RF-30000/INS-1

g. RF-30000/PUR-1

6,288

33. Click Save modified data and close form (OK). 34. Close the Cycle Count Update tab. 35. Select Master Explorer > Modules > Material > Cycle Counts > Reports > Cycle Count Variance Report. The Cycle Count Variance Report form opens. 36. Select RF-20000 from the Starting Item drop-down list. 37. Select RF-30000 from the Ending Item drop-down list. 38. Click Preview. Review the report output in Report Viewer. You will see the variances between the system-calculated quantities and the count quantities. 39. Select Master Explorer > Modules > Material > Cycle Counts > Cycle Count Posting. The Cycle Count Posting form opens. 40. Verify that Counted is selected in the Cycle Status field 41. Click Process. A dialog box displays the message “5 Cycle Count(s) were posted”. 42. Click OK. 43. Select Exception from the Cycle Status drop-down list. 44. Click Process. A dialog box displays the message “2 Cycle Count(s) were posted”. 45. Click OK 46. Close the Cycle Count Posting tab.. 47. Select Master Explorer > Modules > Material > Inventory > Item Stockroom Locations. The Item Stockroom Locations form opens. 48. Select RF-30000 from the Item drop-down list. 49. Click Filter In Place. 50. Select each of the four records from the list in the left pane and view the value of the Location On Hand field. You should see that the quantities at each location were adjusted to match the actual count that was posted during the cycle count. The last three locations for the RF-30000 item should show the Location On Hand = 0. 51. Close the Item Stockroom Locations tab.

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Check your understanding What are the three different forms that can be used to set an item’s count triggers for cycle counting? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

List the steps for performing an inventory cycle count.

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When in the cycle count procedure, and for what reason, should you generate a Cycle Count Variance report? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

For what purpose would a cycle count with a Zero Quantity cycle type be performed?

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Lesson 6: Physical inventory counts Estimated time 1 hour

Learning objectives After completing this lesson, you will be able to: • • • • • • • •

Describe the purpose of freezing and unfreezing the inventory. Identify and list the settings for tag/sheet controls. Explain the purpose and procedure for loading physical inventory records. Describe the process to print and reprint inventory sheets (or tags). Explain the reasons and steps to void sheets (or tags) and to unvoid sheets (or tags). List the steps to input/update sheets. Describe the processes for approval of the physical inventory and posting the physical inventory counts. Evaluate the Inventory Pre-Adjustment report.

Topics • • • • • • • • • • •

Introduction Physical inventory procedure Freezing/unfreezing the inventory Setting tag/sheet controls Loading physical inventory records Printing inventory sheets (or tags) Voiding/unvoiding inventory sheets (or tags) Inputting/updating sheets Approving physical inventory Creating Inventory Pre-Adjustment reports Posting physical inventory counts

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Introduction A physical inventory is the process of manually counting all inventory for a specific warehouse or location. Upon completion of the actual physical inventory, all numbers are then recorded, and discrepancies are identified and explained. This process provides a factual valuation of inventory. When beginning to use the system, you might want to run the Rebalance Item Quantity On-Hand utility to ensure that all inventory transactions are being processed correctly, because an actual count of all items in inventory is necessary. This count is reconciled with the item location book count. If all receipts and disbursements are recorded properly, the physical count equals the book count. If not, some part of the system must correct its procedures for tracking inventory. Variance reports are available to help you quickly spot the variances, so that corrective actions can be determined. The physical inventory system helps take an actual count of the items on hand at each location by printing tags/sheets to record the on-hand count of each item in inventory. This count is then entered into the physical inventory system and later compared to the item location's on-hand quantity. After editing and approval, the actual counts are posted to the item location and to the Items record. This posting adjusts both the count and the value of the inventory. The physical inventory function is done at the warehouse level. Physical inventory can take place at the same time for multiple warehouses.

Physical inventory count procedure flow diagram

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Physical inventory procedure Follow these steps for performing a physical inventory count: 1. "Freeze" the inventory. 2. Set the control parameters for the inventory tags and/or sheets. 3. Load the physical inventory records. 4. Print inventory tags and/or sheets for your inventory staff to use. 5. Void/unvoid tags and/or sheets as necessary. 6. Record the counted quantities into the system: 7. Approve the physical inventory 8. Create a Pre-Adjustment report. 9. Post the inventory count quantities. 10. “Unfreeze” the inventory.

The diagram below depicts the procedural steps for performing physical inventory counts. It will be used throughout this lesson as each step is described in more detail. The current step that is being described in the lesson will be shaded. That way, you will be able to tell where we are in the process in relation to the other steps.

Step 1 Freeze the inventory

Step 6 Input/update tags/sheets

Step 2 Set tags/sheets parameters

Step 7 Approve physical inventory

Step 3 Load physical inventory records

Step 8 Create PreAdjustment report

Step 4 Print tags/sheets and conduct count

Step 9 Post physical inventory counts

Step 5 Void/unvoid tags/sheets

Step 10 Unfreeze the inventory

Physical inventory procedure

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Freezing/unfreezing the inventory Step 1 Freeze the inventory

Step 6 Input/update tags/sheets

Step 2 Set tags/sheets parameters

Step 7 Approve physical inventory

Step 3 Load physical inventory records

Step 8 Create PreAdjustment report

Step 4 Print tags/sheets and conduct count

Step 5 Void/unvoid tags/sheets

Step 9 Post physical inventory counts

Step 10 Unfreeze the inventory

Physical inventory procedure

Before a physical inventory can begin, the inventory status must be frozen. While performing the inventory, all inventory items for the selected warehouse are unavailable until the inventory is complete. Once you freeze inventory, you cannot unfreeze it until the physical inventory is complete for this warehouse. In other words, the freeze will remain in effect as long as the unposted physical inventory records exist.

Freezing the inventory To freeze the inventory: 1. Open the Master Explorer > Modules > Material > Physical Inventory > Activities > Freeze/Unfreeze Inventory form. 2. Select a warehouse from the drop-down list. Note: Make sure that you select the correct warehouse. 3. Select the Physical Inventory In Process check box. 4. Click Process. This prevents inventory transactions from taking place during physical inventory.

Unfreezing the inventory After the physical inventory has been completed, unfreeze the inventory: 1. Open the Master Explorer > Modules > Material > Physical Inventory > Activities > Freeze/Unfreeze Inventory form. 2. Select a warehouse from the drop-down list. 3. Clear the Physical Inventory In Process check box. 4. Click Process.

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Syteline: Managing Inventory 117

Demo: Freezing the inventory Your instructor will demonstrate how to freeze the inventory. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 6.1: Freezing the inventory In this exercise, you will freeze the inventory.

Exercise Steps 1. Select Master Explorer > Modules > Material > Physical Inventory > Activities > Freeze/Unfreeze Inventory. The Freeze/Unfreeze Inventory form opens. 2. If not already selected, select MAIN from the Warehouse drop-down list. 3. Select the Physical Inventory In Process check box. 4. Click Process. A dialog box displays the message “177 Item Warehouse(s) were processed”. 5. Click OK. 6. Close the Freeze/Unfreeze Inventory tab.

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Setting tag/sheet controls Step 1 Freeze the inventory

Step 6 Input/update tags/sheets

Step 2 Set tags/sheets parameters

Step 7 Approve physical inventory

Step 3 Load physical inventory records

Step 8 Create PreAdjustment report

Step 4 Print tags/sheets and conduct count

Step 9 Post physical inventory counts

Step 5 Void/unvoid tags/sheets

Step 10 Unfreeze the inventory

Physical inventory procedure Use the Set Tag/Sheet Controls form to set the Physical Inventory parameters used to monitor the physical inventory count process. These controls are set by warehouse.

To set the tag/sheet controls: 1. Open the Master Explorer > Modules > Material > Physical Inventory > Activities > Set Tag Sheet Controls form. 2. Select the warehouse in which the inventory is being performed. 3. Select options and type parameters into the fields on the form as needed. Refer to the table below for more information. 4. Save the record.

Tag/Sheet Controls Parameters

Description

Count Method

Select the count method to be used for this physical inventory. Your choices are: • Tags • Sheets • Both Selecting Both indicates you wish to use both sheets and tags. However, you may not print both sheets and tags for the same location/lot combination. If you do not select Both, you may only print sheets or tags for any location/lot combination.

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Tag/Sheet Controls Parameters

Description

Begin # and End # (for Tags and Sheets)

If you are using preprinted tags/sheets or are going to print blank sheets, type the beginning and ending tag/sheet numbers. To set the beginning and ending tag/sheet numbers, determine the approximate number of item/location/lot combinations. Overestimate this number to ensure enough tags/sheets print. You can void any extra tags/sheets after you take and enter the count. If you are going to let the system number your tags/sheets, simply type the first sheet/tag number and ignore the End # fields. The system will calculate the appropriate number of tags/sheets to print based on the physical inventory records loaded.

Last Tag Used and Last Sheet Used

The last number printed displays. It is automatically updated on printing.

Tag/Sheet Increment

Type the increment number to use when incrementing the tag/sheet numbers. If the tags/sheets are to be numbered 5, 10, 15, 20, and so forth, type 5 into this field. If the tags/sheets are to be numbered consecutively, type 1 into this field.

Material Types to Count

Select the check boxes for the types of material that will be counted during the physical inventory. Only item records of the selected material types are loaded into the Physical Inventory file.

Counter and Checker Number

This affects what will print on the tags/sheets and what you have to input when you update the account. • • •

Validate: Will require a counter and checker ID and match it against the employee record to ensure that the employee number entered is valid if you are using employee numbers when entering tag/sheet counts. Update: Will allow a counter and checker ID but the system will not validate employee ID against the Employees form. Skip: Will deactivate counter or checker fields on the update form.

______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Demo: Setting tag/sheet controls Your instructor will demonstrate how to set the sheet controls. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 6.2: Setting tag/sheet controls In this exercise, you will set the sheet controls.

Exercise Steps 1. Select Master Explorer > Modules > Material > Physical Inventory > Activities > Set Tag Sheet Controls. The Set Tag Sheet Controls form opens. 2. Select MAIN from the Warehouse list in the left pane. 3. Verify that the value in the Begin Sheet # field is 1. 4. Clear the Material check box. 5. Clear the Fixture check box. 6. Select Skip from the Counter Number drop-down list. 7. Select Skip from the Checker Number drop-down list. 8. Click Save modified data and close form (OK).

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Loading physical inventory records Step 1 Freeze the inventory

Step 6 Input/update tags/sheets

Step 2 Set tags/sheets parameters

Step 7 Approve physical inventory

Step 3 Load physical inventory records

Step 8 Create PreAdjustment report

Step 4 Print tags/sheets and conduct count

Step 9 Post physical inventory counts

Step 5 Void/unvoid tags/sheets

Step 10 Unfreeze the inventory

Physical inventory procedure

Use the Load Physical Inventory Records form to load all Items records into the Physical Inventory file based upon item/location/lot combinations. The Physical Inventory file is used to print the tags/sheets for counting and also to keep track of the counts entered during the physical inventory.

To load item records into the Physical Inventory file: 1. Open the Master Explorer > Modules > Material > Physical Inventory > Activities > Load Physical Inventory Records form. 2. Select the Warehouse from the drop-down list. 3. Select the Count Method from the drop-down list: • • •

Tags Sheets Both - Sheet number assignment occurs when the sheets are printed, not while loading sheets.

4. Select the List After Processing check box. 5. Select the Preview radio button 6. Click Process. 7. View the list of records to be loaded and make any changes needed to the options you selected. 8. Once you are satisfied that the correct set of records will be loaded, select the Commit radio button and click Process.

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Demo: Loading physical inventory records Your instructor will demonstrate how to load the physical inventory records. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 6.3: Loading physical inventory records In this exercise, you will load the physical inventory records.

Exercise Steps 1. Select Master Explorer > Modules > Material > Physical Inventory > Activities > Load Physical Inventory Records. The Load Physical Inventory Records form opens. 2. If not already selected, select MAIN from the Warehouse drop-down list. 3. Select Sheet from the Count Method drop-down list: 4. Select the List After Processing check box. 5. Select the Preview radio button 6. Click Process. A dialog box displays the message “11 Physical Inventory(s) were processed”. 7. Click OK. 9. The records to be loaded are listed in the grid. 8. Select the Commit radio button 9. Click Process. A dialog box displays the message “11 Physical Inventory(s) were created”. 10. Click OK. 11. Close the Load Physical Inventory Records tab.

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Printing inventory sheets (or tags) Step 1 Freeze the inventory

Step 6 Input/update tags/sheets

Step 2 Set tags/sheets parameters

Step 7 Approve physical inventory

Step 3 Load physical inventory records

Step 8 Create PreAdjustment report

Step 4 Print tags/sheets and conduct count

Step 5 Void/unvoid tags/sheets

Step 9 Post physical inventory counts

Step 10 Unfreeze the inventory

Physical inventory procedure Use the Print Inventory Tags or Print Inventory Sheets activity to print the tags/sheets used to record the actual inventory counts. You can print these sheets for a range of locations, lots, or sheet numbers and send them to a printer or to a file. Later on if tags and sheets have not been posted or approved, you can void/unvoid them.

To print inventory tags/sheets and conduct the inventory count: 1. Open the Master Explorer > Modules > Material > Physical Inventory > Activities > Print Inventory Tags or Print Inventory Sheets form. 2. Select options and type parameters into the fields on the form as needed. Refer to the table below for more information. 3. Click Process. 4. Once you know that the correct tags or sheets are printing, select the Commit radio button and click Process. 5. When prompted asking if the tag or sheets printed, click Yes or No. •

If you select "Yes," then you will not be able to reprint any tags or sheets. If you answer, "No," the physical inventory will not be updated and the records can be reprinted.

•

However, if you want to be able to reprint at any time, print to file instead of directly to the printer. In this situation, you print the file.

6. You are now ready to count inventory items. Distribute the tags or sheets and have the counters record the count quantities on them.

You must select the Commit radio button and click the Process button to verify the sheets or tags printed successfully. Only after you have committed the printing will you be able to input/update the count quantities.

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Print Inventory Tags/Sheets Options

Description

Print Blank Sheets

Select this check box to print only blank tags or sheets. You will then need to type the Starting and Ending Tag or Sheet numbers to print. Clear this check box to print only the loaded sheets.

Print Barcode Format

Select this check box to print the tags or sheets with barcodes.

Print Zero Qty On-Hand Items

Select this check box to include on-hand items with quantities of zero. Do not select this check box to exclude these items. Note: This option applies ONLY to the printing of sheets and tags. You still must enter a count for all items regardless of the quantity on hand.

Starting and Ending Location

Select the range of locations that you want to include for printing tags or sheets. Leave blank for all locations.

Starting and Ending Lot

Select the range of lots that you want to include for printing tags or sheets. Leave blank for all lots.

Starting and Ending Tag # or Sheet #

If you selected Print Blank Sheets, these fields are activated. Type in the tag or sheet number for the first and the last tag or sheet.

______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Demo: Printing inventory sheets (or tags) Your instructor will demonstrate print inventory sheets (or tags). ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 6.4: Printing inventory sheets (or tags) In this exercise, you will print the inventory sheets.

Exercise Steps 1. Select Master Explorer > Modules > Material > Physical Inventory > Activities > Print Inventory Sheets. The Print Inventory Sheets form opens 2. Select the Print Zero Qty On-Hand Items check box. 3. Click Process. A dialog box displays the message “Report Submitted”. 4. Click OK. 5. Select the Commit radio button. 6. Click Process. Click Process. A dialog box displays the message “Did [Print Inventory Sheets] complete successfully?”. 7. Click Yes. 8. Click Process. A dialog box displays the message “5 Sheet(s) were processed”. 9. Click OK 10. Close the Print Inventory Sheets tab.

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Voiding/unvoiding inventory sheets (or tags) Step 1 Freeze the inventory

Step 6 Input/update tags/sheets

Step 2 Set tags/sheets parameters

Step 7 Approve physical inventory

Step 3 Load physical inventory records

Step 8 Create PreAdjustment report

Step 4 Print tags/sheets and conduct count

Step 5 Void/unvoid tags/sheets

Step 9 Post physical inventory counts

Step 10 Unfreeze the inventory

Physical inventory procedure

Voiding inventory tags/sheets All tags or sheets that were established on the Set Tag Sheet Controls form must be accounted for. If there are tags or sheets for items that cannot be posted or approved, then they must be voided before you will be able to “unfreeze” the inventory. 1. Open the Master Explorer > Modules > Material > Physical Inventory > Activities > Void Inventory Tags Sheets form. 2. In the grid listing the tags or sheets, locate the tags or sheets that you want to void. 3. Select the check box under the Void column for the tags or sheets to void. 4. Click Process.

Note: If the Physical Inventory in Process field on the Freeze/Unfreeze form is not selected, a message displays indicating physical inventory is not in process.

Unvoiding inventory tags/sheets If you need to unvoid tags or sheets that were previously voided: 1. Open the Master Explorer > Modules > Material > Physical Inventory > Activities > Unvoid Inventory Tags Sheets form. 2. In the grid listing the voided tags or sheets, locate the ones that you want to unvoid. 3. Select the check box under the Unvoid column for the tags or sheets to unvoid. 4. Click Process.

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Inputting/updating sheets Step 1 Freeze the inventory

Step 6 Input/update tags/sheets

Step 2 Set tags/sheets parameters

Step 7 Approve physical inventory

Step 3 Load physical inventory records

Step 4 Print tags/sheets and conduct count

Step 8 Create PreAdjustment report

Step 9 Post physical inventory counts

Step 5 Void/unvoid tags/sheets

Step 10 Unfreeze the inventory

Physical inventory procedure

Once the inventory count is complete and the counted quantities entered on the tags or sheet, those quantities should be recorded in the system.

Use the Input/Update Tags or Input/Update Sheets form to enter the physical inventory counts into the system. This activity also allows you to enter the employee numbers of the employee who counted and the employee who checked the count.

To record the counted quantities into the system: 1. Open the Master Explorer > Modules > Material > Physical Inventory > Input/Update Tags or Input/Update Sheets form. 2. In the grid, enter the counted quantities for each item. 3. Select the Employee Counter and the Employee Checker from the drop-down lists for each item if necessary. These fields may or may not be required depending on the setup performed in Step 2 of the procedure. 4. If stock locations do not exist for inventory items, add them. 5. If you need to add an item that was not part of the Physical Inventory record or to enter a replacement tag/sheet number for an item/lot/location combination while the inventory is frozen: • • •

Select System > Actions > New. On the bottom line of the grid, select or type the information under each column as needed. The system will prompt you if you do not make a selection, make the wrong selection or type the wrong information for required fields.

6. Save the record.

Although the default quantity for an item shows as 0, the record will not change the status of that item to Counted until you enter the count, even if that count is 0.

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Count status The table below describes the various count statuses Status

Description

Uncounted

The default status for tags or sheets added through the Load Physical Inventory Records activity. A status of Uncounted applies to a record for which a sheet or tag has been created, but the stock/lot selection has not yet been counted.

Counted

After the stock/lot selection has been counted and the count has been entered through this form, the status will automatically change to Counted. Records with a status of Counted can be either approved or voided.

Approved

After the count has been approved by the Physical Inventory Supervisor through the Physical Inventory Approval activity, the status will change to Approved. (We recommend carefully reviewing the Inventory Pre-Adjustment Report before approving count quantities and currency variances.) Those tags or sheets with a status of Approved may not be updated but they may be posted.

Posted

Once records are approved, they can be posted through the Physical Inventory Count Posting activity, which generates any needed financial transactions for the adjustment of inventory and updates quantities on the Items form. These records may not be updated but may be purged.

Voided

Instead of approving or posting records, you also have the option to void records through the Void Tags/Sheets activity. The status of these records will automatically change to Voided. These records may not be updated but may be either unvoided or purged.

Not Printed

The default status for replacement tags or sheets. To add a replacement tag or sheet on the Input/Update Tags or Input/Update Sheets form, select Action>New. This status also applies to zero on-hand items if you selected not to print these items on the Print Inventory Sheets and Print Inventory Tags forms.

Replacement

This is the default status when you reprint a replacement tag or sheet using the Print Inventory Tags and Print Inventory Sheets forms.

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Syteline: Managing Inventory 129

Demo: Inputting/updating sheets Your instructor will demonstrate how to Input/update sheets. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 6.5: Inputting/updating sheets In this exercise, you will enter the physical inventory counts.

Exercise Steps 1. Select Master Explorer > Modules > Material > Physical Inventory > Input/Update Sheets. The Input/Update Sheets form opens. 2. Type a [number value] in the Count Qty field and press the key for each item/location to represent an actual count from the Count Sheets. Enter values as listed below: a. LB-34000/FLOOR

10

b. LB-45000/FLOOR

5

c.

DA-10000/STOCK

12

d. DY-10000/STOCK

17

e. LB-44000/ STOCK

0

f.

LB-46000/ STOCK

0

g. MD-10000/ STOCK

22

h. FS-22000/TLF-1

8

i.

LB-34000/ TLF-1

10

j.

LB-44000/ TLF-1

0

k.

LB-45000/ TLF-1

3

3. Select the Save modified data and close form OK button. 4. Run the Inventory Pre-Adjustment Report.

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Approving physical inventory Step 1 Freeze the inventory

Step 6 Input/update tags/sheets

Step 2 Set tags/sheets parameters

Step 7 Approve physical inventory

Step 3 Load physical inventory records

Step 8 Create PreAdjustment report

Step 4 Print tags/sheets and conduct count

Step 9 Post physical inventory counts

Step 5 Void/unvoid tags/sheets

Step 10 Unfreeze the inventory

Physical inventory procedure The approval of the physical inventory should not take place until the Physical Inventory Supervisor has examined the records and ensured the counts are correct.

Records that have had a count entered can be approved. After the approval is complete, the status of the records is changed to Approved. The next step for these records is posting.

Records that have not had a count entered cannot be approved. They may be updated, approved, and posted at a later date (allowing you to continue with the Physical Inventory). For an item in the inventory to be considered counted, it must have had a quantity of zero or more entered when recording count quantities. Any record with an unknown quantity is considered not counted.

To approve the physical inventory records: 1. Open the Master Explorer > Modules > Material > Physical Inventory > Activities > Physical Inventory Approval form. 2. Select the Warehouse from the drop-down list. 3. Select the Preview radio button and click Process. 4. Review the inventory items in the grid for accuracy. 5. When you are ready to approve the inventory records for posting, select the Commit radio button and click Process. 6. Click OK on the system notification informing you of the action. Voided records will not be approved. Only counted and replacement status records will be approved. Once a record is approved, it is not possible to update the record.

The Physical Inventory Report and/or Pre-adjustment Report provide the necessary information to decide whether the Physical Inventory file is accurate. Print and review these prior to the approval process to verify the count quantities and dollar variances.

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Creating Inventory Pre-Adjustment reports Step 1 Freeze the inventory

Step 6 Input/update tags/sheets

Step 2 Set tags/sheets parameters

Step 7 Approve physical inventory

Step 3 Load physical inventory records

Step 4 Print tags/sheets and conduct count

Step 8 Create PreAdjustment report

Step 9 Post physical inventory counts

Step 5 Void/unvoid tags/sheets

Step 10 Unfreeze the inventory

Physical inventory procedure

The Inventory Pre-Adjustment report shows all physical inventory records, the book quantity counted, the quantity on hand, the unit cost, the adjustment amount, and the account to adjust. A summary at the end of the report shows the number and percentage correct, incorrect, and not counted. It is recommended that the Physical Inventory Supervisor review this report before the Physical Inventory file is approved for posting, because it shows the financial impact of posting the physical inventory counts. The report automatically prints prior to posting the counts.

To generate the Inventory Pre-Adjustment report: 1. Open the Master Explorer > Modules > Material > Physical Inventory > Reports > Inventory PreAdjustment Report. 2. Select from the Cost/Quantity/Both drop-down list the type of variance record to include on the report. Options are as follows: •

Cost Variance - domestic currency amount of variance between the on-hand and the actual counts to use as the cutoff point. Records with variances below this amount do not print.

•

Quantity Variance – the percentage of variance between the on-hand and the actual counts to use as the cutoff point. Records with variances below this amount do not print.

•

Both

3. Optionally select a Product Code from the drop-down list to limit the items on the report. 4. Optionally type a Planner Code to limit the items on the report. 5. Click Preview to view the report on screen. 6. Click Print.

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Demo: Approving physical inventory Your instructor will demonstrate how to approve the physical inventory. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 6.6: Approving physical inventory In this exercise, you will approve the physical inventory.

Exercise Steps 1. Open the Master Explorer > Modules > Material > Physical Inventory > Activities > Physical Inventory Approval form. 2. If not already selected, select MAIN from the Warehouse drop-down list. 3. Select the Preview radio button 4. Click Process. Note: You should review the inventory items in the grid for accuracy. 5. Select the Commit radio button. 6. Click Process. Click Process. A dialog box displays the message “[Physical Inventory Approval] will be performed”. 7. Click OK. 8. Click Process. A dialog box displays the message “11 Physical Inventory(s) were processed”.. 9. Click OK. 10. Close the Physical Inventory Approval tab.

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Syteline: Managing Inventory 133

Posting physical inventory counts Step 1 Freeze the inventory

Step 6 Input/update tags/sheets

Step 2 Set tags/sheets parameters

Step 7 Approve physical inventory

Step 3 Load physical inventory records

Step 8 Create PreAdjustment report

Step 4 Print tags/sheets and conduct count

Step 9 Post physical inventory counts

Step 5 Void/unvoid tags/sheets

Step 10 Unfreeze the inventory

Physical inventory procedure The physical inventory posting process posts the recorded count quantities of all approved physical inventory counts to the Quantity On-Hand field for each inventory item, and it will also create entries to the journal for any adjustments. All inventory items must meet all of the requirements displayed on the form.

Physical Inventory Count Posting form – Posting requirements To post the physical inventory recorded count quantities: 1. Open the Master Explorer > Modules > Material > Physical Inventory > Activities > Physical Inventory Count Posting form. 2. Verify that you have the correct Warehouse selected. 3. To update the quantity on hand and create journal entries for adjustments, click Process. 4. The Inventory Pre-Adjustment Report form will open. Select your report options and click Preview to view the report on the screen or click Print. Before posting is initiated you must print this report. After printing, when you close the report form, the system will display a prompt asking if you want to return an "Ok response." If you click Yes, that means the variances are acceptable and the records will post. If you click No, the records will not post and you can investigate the counts further. 5. Close the Pre-Adjustment Report form to return to the Physical Inventory Count Posting form.

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6. Upon completion, review any records that remain either on the Input/Update Tag or on the Input/Update Sheet form. These indicate records that did not post due to errors. 7. Unfreeze the inventory.

The system does not allow you to post physical inventory records if the reserved quantity is greater than the physical count for that record. If this occurs, the system displays an error message during the posting process. You then have the option to continue with the physical inventory posting process or quit.

Remember to unfreeze the inventory after posting.

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Syteline: Managing Inventory 135

Demo: Posting physical inventory count Your instructor will demonstrate the steps for posting the physical inventory count and unfreezing the inventory. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 6.7: Posting physical inventory count In this exercise, you will post the physical inventory count and unfreeze the inventory.

Exercise Steps 1. Select Master Explorer > Modules > Material > Physical Inventory > Activities > Physical Inventory Count Posting. The Physical Inventory Count Posting form opens. 2. If not already selected, select MAIN from the Warehouse drop-down list. 3. Click Process. 4. The Inventory Pre-Adjustment Report (Modal) form opens. 5. Click Print. 6. Click Process. A dialog box displays the message “Report Submitted”. 7. Click OK. 8. Close the Inventory Pre-Adjustment Report (Modal) tab. 9. Click Process. A dialog box displays the message “Do you want to return an OK response to form Physical Inventory Count Posting?”. 10. Click Yes. 11. Click Process. A dialog box displays the message “11 Physical Inventory(s) were processed”. 12. Click OK. 13. Close the Physical Inventory Count Posting tab, 14. Select Master Explorer > Modules > Material > Physical Inventory > Activities > Freeze/Unfreeze Inventory. The Freeze/Unfreeze Inventory form opens. 15. If not already selected, select MAIN from the Warehouse drop-down list. 16. Clear the Physical Inventory In Process check box. 17. Click Process. A dialog box displays the message “177 Item Warehouse(s) were processed”. 18. Click OK. 19. Close the Freeze/Unfreeze Inventory tab. 20. Select Master Explorer > Modules > Material > Inventory > Reports > Material Transactions Report. The Material Transactions Report form opens

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21. Clear all of the check boxes in the Transaction Type panel except for the Physical Inventory check box. 22. Select the Print Cost check box under Print Options. 23. Click Preview. 24. Review the report output. Note: Do not be concerned with the quantity numbers on the report. Arbitrary quantities were posted for exercise purposes with performing an actual count. Close all forms.

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Check your understanding

Do you have to freeze the warehouse that a physical inventory is being performed against? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Can inventory transactions occur while a physical inventory is being performed? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Which report must be run prior to approving the count quantities? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Does posting the inventory count quantities automatically unfreeze the warehouse? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Lesson 7: Inventory transactions Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • • • •

Describe the purpose and use of miscellaneous issues. Describe the purpose and use of miscellaneous receipts. List the steps for performing a quantity move and quantity adjustment. Describe the purpose and use of the job receipt.

Topics • • • • • •

Introduction Processing a miscellaneous issue Processing a miscellaneous receipt Processing a quantity move Processing a quantity adjustment Processing a job receipt

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Introduction There are many transactions that affect inventory levels. The graphic below displays all the areas that affect inventory levels.

Transactions that affect inventory levels

The double-direction arrows represent the fact that each activity can create a receipt or issue. The table below lists all transactions and how they affect inventory.

Transaction

Increase (receipt)

Decrease (issue)

Purchase Order Receiving

Yes

Yes (returns)

Purchase Order Receiving List

Yes (auto receipt)

No

Pick List

No

Yes (auto issue)

Job Material Issue

Yes (negative issues)

Yes

Job Labor Transaction

Yes (auto job receipt)

Yes (backflushing)

Production Schedule Complete

Yes (auto finished-good receipt)

Yes (backflushing)

Production Schedule Scrap

No

Yes (backflushing)

Work Center Material

No

Yes

JIT Transaction

Yes (auto finished-good receipt)

Yes (backflushing)

Vendor

Job Shop Manufacturing

Repetitive Manufacturing

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Syteline: Managing Inventory 141

Transaction

Increase (receipt)

Decrease (issue)

Customer Order Shipment

Yes (return)

Yes

Pick List

No

Yes (auto ship)

Customer

Inventory Floorstock Replenishment Report

Yes (floorstock location)

Yes (stockroom location)

Job Receipt

Yes

No

Transaction

Increase (receipt)

Decrease (issue)

Misc. Issue

No

Yes

Misc. Receipt

Yes

No

Qty Move

Yes

Yes

Quantity Adjustment

Yes

Yes

Physical Inventory Posting

Yes

Yes

Cycle Count Posting

Yes

Yes

Combined Transfer Order Ship/Receive

Yes

Yes

Transfer Order Loss

No

Yes

Transfer Order Receive

Yes

No

Transfer Order Receiving List

Yes

No

Transfer Order Ship

Yes

Yes

Transfer Order Receiving List

Yes

No

Transfer Order Ship Pick List

No

Yes

Inventory Audit

Transfer Orders

In this lesson, you will learn how to perform the inventory transactions above. Other transactions are covered in other lessons of this course and in other SyteLine courses. When this lesson is complete, you should be familiar with: • • • • •

Miscellaneous issues: Withdraws from inventory for various reasons Miscellaneous receipts: Additions to your on-hand inventory Quantity move: Paperless transfers between stocking locations Quantity adjustment: On hand balance maintenance Job receipt: Materials moved from a job to inventory

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Processing a miscellaneous issue The Miscellaneous Issue form allows users to withdraw inventory and charge its value to a selected general ledger account number. For example, miscellaneous issues could be used if stock, which has become obsolete, needs to be removed from available inventory. This inventory could be charged to an account from the Chart of Accounts. Miscellaneous receipts and issues can be used to show the in-flow and issuance of the material from purchase orders, customer orders and jobs prior to the implementation of these modules. Once these modules have been implemented, users should use the material transactions associated with the particular module and no longer rely on miscellaneous receipts and issues.

Demo: Process a miscellaneous issue Your instructor will demonstrate how to process a miscellaneous issue. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 7.1: Process a miscellaneous issue In this exercise, the Engineering department is requesting ten feet of the ZAL-200, Aluminum Tubes for testing. You will perform a miscellaneous issue to record the issue of the item to them.

Exercise Steps 1. Select Master Explorer > Modules > Material > Inventory > Activities > Miscellaneous Issue. The Miscellaneous Issue form opens. 2. Select ZAL-200 from the Item drop-down list. 3. Type 10 in the Quantity field. 4. Select TES Testing from the Reason Code drop-down list. 5. Click Process. 6. A dialog box opens with the message, On Hand is 50.00000000 and will be 40.00000000 for Item Stockroom Location that has [Whse: MAIN] and [Item: ZAL-200] and [Location: FLOOR].” 7. Click OK. 8. A dialog box opens with the message, “[Miscellaneous Issue] was successful.” 9. Click OK. 10. Click Save modified data and close form (OK) to close the Miscellaneous Issue form.

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Processing a miscellaneous receipt The Miscellaneous Receipt form allows users to record the receipt of material that does not come from a purchase order or a job within the system. For example, a miscellaneous receipt could be performed if stock that was being used by a salesperson for sample purposes is returned.

Demo: Process a miscellaneous receipt Your instructor will demonstrate how to process a miscellaneous receipt. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 7.2: Process a miscellaneous receipt In this exercise, the Engineering department has returned the ten feet of aluminum tubes that were issued to them earlier for testing purposes; however, they are not damaged. You need to perform a miscellaneous receipt to record the return of the material.

Exercise Steps 1. Select Master Explorer > Modules > Material > Inventory > Activities > Miscellaneous Receipt. The Miscellaneous Receipt form opens. 2. Select ZAL-200 from the Item drop-down list. 3. Type 10 in the Quantity field. 4. Select MMR Miscellaneous Material Receipt from the Reason Code drop-down list. 5. Click Receive. 6. A dialog box opens with the message, “[Miscellaneous Receipt] was successful.” 7. Click OK. 8. Click Save modified data and close form (OK) to close the Miscellaneous Receipt form.

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Processing a quantity move The Quantity Move form is used to record the movement of material between stock locations. If an item is lot tracked it can be moved from one location to another. The item cannot be moved from one lot to another. An inventory cost transaction is generated if the inventory account of the From Location/Lot differs from the account of the To Location/Lot. The originating stockroom location must exist for this item. The To Location may be created at the time of entering transactions. Unless the On Hand Neg flag in the Inventory Parameters is selected, you cannot move more than is available in the From Location. If this flag is selected, a warning displays indicating that the On-Hand will be negative. Two material transactions with a type of Material are created by this move. One is for the move from the first location and one is for the move to the second location. The system will automatically move non-reserved quantities BEFORE moving quantities that are reserved for customer orders.

About the Post Zero Amount Transaction check box Under certain conditions, if you post a transaction that contains a zero cost amount, the posting fails and you receive an error message that the post was unsuccessful. To allow the system to post the transaction, select the Post Zero Amount Transaction check box.

Demo: Process a quantity move Your instructor will demonstrate how to process a quantity move. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 7.3: Process a quantity move In this exercise, 200 feet of the ZAL-200 aluminum tubes need to be moved from the Floor location to the Bike 10 location. You will process a move transaction to accomplish this.

Exercise Steps 1. Select Master Explorer > Modules > Material > Inventory > Activities > Quantity Move. The Quantity Move form opens. 2. Select ZAL-200 from the Item drop-down list. © 2014 Infor Education

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3. Type 200 in the Quantity field. 4. Select Floor from the From Location drop-down list. 5. Verify Bike 10 displays in the To Location field. 6. Click Process. 7. A dialog box opens with the message, On Hand is 0.00000000 and will be -200.00000000 for Item Stockroom Location that has [Whse: MAIN] and [Item: ZAL-200] and [Location: BIKE 10].” 8. Click OK. 9. A dialog box opens with the message, “[Quantity Move] was successful.” 10. Click OK. 11. Click Save modified data and close form (OK) to close the Quantity Move form. .

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Processing a quantity adjustment The Quantity Adjustment form allows the user to record new on-hand quantities for items in stock. For example, a stockroom manager does an actual count of a specific item and notices a discrepancy between what he/she counts and what is on hand. The difference between the old on-hand quantity and the new quantity is automatically posted as an Inventory Adjustment. The user cannot change the account number to be selected. The quantity entered in the Quantity field should be the actual quantity that is on hand.

Quantity adjustments may not be performed for lot or serial tracked items.

Demo: Process a quantity adjustment Your instructor will demonstrate how to process a quantity move. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 7.4: Process a quantity adjustment In this exercise, while moving the ZAL-200 from the Floor location to the Bike 10 location, the stockroom manager noticed that the remaining quantity on hand at the Floor location is only 195. You will process a quantity adjustment to correct the on-hand inventory error.

Exercise Steps 1. Select Master Explorer > Modules > Material > Inventory > Activities > Quantity Adjustment. The Quantity Adjustment form opens. 2. Select ZAL-200 from the Item drop-down list. 3. Type 195 in the Quantity field. 4. Select QUA Quantity Inspection from the Reason Code drop-down list. 5. Select Floor from the Location drop-down list. 6. Click Process. 7. A dialog box opens with the message, “[Process] was successful.” 8. Click OK. 9. Click Save modified data and close form (OK) to close the Quantity Adjustment form.

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Processing a job receipt Use the Job Receipt form to receive inventory into stock from a job. This function performs the same as a job labor transaction that moves a quantity of an item to a stockroom location. The Job Receipt form gives you greater control over the posting process, allowing you to review to ensure all materials and labor are posted correctly. Job labor transactions can move material to stock only if the Job Stock Transaction parameter is selected on the Shop Floor Control Parameters form. This function is normally used if the Shop Floor Control Parameters Job Stock Trx field is not activated. Otherwise, the user will enter the finished goods location on the Unposted Job Transactions form.

To received material from a job into stock: 1. Open the Master Explorer > Modules > Material > Inventory > Activities > Job Receipt form. 2. Filter for or select the job from the drop-down list. 3. Type the quantity of the item being received into stock. 4. If the item is lot tracked, select a Lot number from the drop-down list. 5. Click Process to complete the transaction.

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Check your understanding Which of the following transactions cannot be used for lot or serial tracked items?

a) b) c) d)

Miscellaneous Issue Miscellaneous Receipt Quantity Move Quantity Adjustment

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In a quantity move transaction, can lot-tracked items be moved from one location to another? From one lot to another? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Lesson 8: Containers Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • • • • •

List the steps to create a new container. Describe the procedure to add items directly to or remove items from a container. Explain the method to add items to a container at time of receipt. Identify the key fields for processing transactions specific to containers. Describe the limitations of using containers.

Topics • • • • • • • •

Introduction Setting a container number prefix Creating a container Adding items directly to, or removing items from, a container Adding items at time of receipt Issuing a container Moving containers Limitations on using containers

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Introduction A container in SyteLine can be any grouping of items within the same warehouse and stockroom location.

Incoming inventory can be added into a container. Internal inventory movement and outgoing inventory can be transacted at the container level. These transactions allow you to provide a container ID, and the system will perform all the single-level inventory transactions transparently, allowing inventory movement to be performed with a single transaction. This functionality greatly reduces the number of move and issue transactions that you perform.

Examples of containers include: • • • • •

Racks Bins Pallets Stack of barrels Shipping containers

Materials can be added to a container in two ways: • •

By adding quantities directly using the Containers form Through various receipt transactions

Materials can be removed from a container in two ways: • •

By removing or subtracting quantities directly using the Containers form Through various issue/move transactions

In this lesson, you will learn how to add quantities to a container and how to issue a container.

A number of situations where containers cannot be used are listed at the end of the lesson.

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Setting a container number prefix You are able to set a default prefix for all containers in the site.

To add a default container prefix to the system: 1. Open the Master Explorer > Modules > Codes > Parameters > Inventory Parameters form. 2. Select the Containers tab 3. Type a container prefix. Keep in mind that container numbers are 15 characters long, including the prefix. 4. Reuse Container Numbers check box: • •

Select the check box to keep a container for repeat use, e.g. after a container has been issued, it can be filled again with other items. Clear the check box to delete a container after it has been issued.

5. Save the record.

________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________ ________________________________________________________________________

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Creating a container Before items can be added to a container, the container must be created.

To create a container: 1. Open the Master Explorer > Modules > Material > Inventory > Containers form 2. Complete the fields on the form as described in the table below. 3. Save the record.

Field

Description

Container

Container numbers are 15 characters long, including the prefix.

Warehouse

Warehouse where this container resides. This cannot be a dedicated inventory warehouse.

Location

Containers are tied to a location. Only items in that location can be added to the container.

Usage Reference

The intended use for that container. A container with a reference of Inventory may be used in any type of container transaction. A container with a reference of a Project, Job, or Customer Order can only be used in a transaction of that type and for that specific project, job, or order.

Contained Quantity

Total amount of the item in this container.

Total Contained Quantity

Total amount of the item in all containers at this location.

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Notes

If you attempt to use it in another type of transaction or for another project, job, or order, the system will return an error. Despite this, the system does not default the container number when processing a transaction for the intended use. You must select the container manually.

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Adding items directly to, or removing items from, a container Adding and removing items using Containers form To add quantities to the container, add new rows to the grid and specify the quantity you want to add to the container as well as any lot or serial numbers. You can remove items from a container using one of these methods: • • •

Update Contained Quantity field Delete line Use Empty All Contents button

Container reports These reports help you see the contents of containers: • • •

Container Contents report Container By Location report Item Containers report

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Adding items at time of receipt You can specify a container to add items to when you perform these receipt transactions: • • • • • • •

PO receiving (can use Goods Receiving Note) Miscellaneous Receipt RMA return Job Stock Transaction Job Receipt PS Complete JIT Transaction

Miscellaneous receipt example All of the transaction forms above will have fields to specify to receive the items into a container and to specify which container to use. For example, here are the container fields on the Miscellaneous Receipt form.

To Container check box

Container field

Miscellaneous Receipt form

To Container Select this check box to add the quantity received to a container.

Container This field activates when the To Container check box is selected. It will default to a new container number, or you can select an existing container that resides at the location you’ve specified.

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Demo: Container items Your instructor will demonstrate the steps to add items to a container, both directly, and through a receipt transaction. ________________________________________________________________________ ________________________________________________________________________

Exercise 8.1: Container items In this exercise, you will add items to a container directly and through a receipt transaction.

Exercise steps Part 1: Set up a container prefix 1. Select Master Explorer > Modules > Codes > Parameters > Inventory Parameters. The Inventory Parameters form opens. a. Select the Containers tab. b. Type CNTR in the Container Prefix field. c.

Select the Reuse Container Numbers check box.

d. Click Save modified data and close form (OK). Part 2: Directly add quantities 1. Select Master Explorer > Modules > Material > Inventory > Activities > Miscellaneous Receipt. The Miscellaneous Receipt form opens. 2. Receive a quantity of 20 AL-10000 (lot-tracked item) into the Stock location. a. Select AL-10000 from the Item drop-down list. b. Type 20 in the Quantity field. c.

Select STOCK from the Location drop-down list and press twice. Note: The system will place a lot number in the Lot field. It is the next available lot number for the item.

d. Press again. A dialog box displays the message “Lot that has [Item: AL-10000] and [Lot: 10] does not exist. [Add] will be performed for Lot”. e. Click OK. f.

Select MMR from the Reason drop-down list.

g. Click Receive. A dialog box displays the message “[Miscellaneous Receipt] was successful”. h. Click OK. 3. Select Master Explorer > Modules > Material > Inventory > Containers form. The Containers form opens. 4. Create a new container in the Stock location.

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a. Click Filter In Place to turn off the filter In place mode. b. Click Create a new object in the current collection. c.

Leave the Container field blank and press .

d. Type Container #1 as the description. e. Select MAIN from the Warehouse drop-down list. f.

Select STOCK from the Location drop-down list.

g. Click Save.

5. Add the quantity you just received to the container and save. a. Click in the first row of the grid under the Item column. b. Select AL-10000 from the Item drop-down list and press . c.

Select the highest number from the Lot drop-down list and press .

d. Type 20 in the Contained Quantity field and press . e. Click Save. Part 3: Add at time of receipt 1. Select Master Explorer > Modules > Material > Inventory > Activities > Miscellaneous Receipt. The Miscellaneous Receipt form opens. 2. Select AL-10000 from the Item drop-down list. 3. Type 20 in the Quantity field. 4. Select STOCK from the Location drop-down list. 5. Select the To Container drop-down list. 6. Select CNTR00000000001 from the Container drop-down list and press . Note: The system will place a lot number in the Lot field. It is the next available lot number for the item. 7. Press the key again. A dialog box displays the message “Lot that has [Item: AL-10000] and [Lot: 11] does not exist. [Add] will be performed for Lot”. 8. Click OK. 9. Select MMR from the Reason drop-down list. 10. Click Receive. A dialog box displays the message “[Miscellaneous Receipt] was successful”. 11. Click OK. 12. Click the Container tab. 13. Click Refresh the current collection. 14. Select CNTR00000000001 from the list on the left side of the screen. 15. Verify that both lots of item AL-10000 that you added to the container appear in the grid. 16. Close all forms.

______________________________________________________________________ ______________________________________________________________________

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______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Issuing a container You can issue a container using these transactions: • • • • •

Order Shipping Job Material Transactions Project Resource Transactions Work Center Material Transactions Miscellaneous Issue You cannot issue part of a container; issue all of the contents or none of them. If you attempt to ship a customer order, and the container contents do not match the customer order lines, you will receive an error. If you attempt to issue materials to a project or job, and the container contents do not match the project resource or job BOM, you will receive a warning message.

Miscellaneous issue example All of the transaction forms above will have fields to specify to issue the items by container and to specify which container to use. For example, here are the container fields on the Miscellaneous Issue form.

Container field

By Container check box

Miscellaneous Issue form

By Container Select this check box to issue a whole container. On some of the forms you will need to put the form in filter mode to access the check box. Container This field activates only when you select the By Container check box. Select the container you want to issue.

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Transaction details Listed in the table below are other transaction-specific details for the use of containers for issue.

Transaction

Details for Container Use

Job Material Transaction

If the container has items that are not on the job BOM, the system will add a record to the job BOM and issue the contained items. If the items match, but the quantities do not, the system will issue the full quantity in the container.

Order Shipping

If the items in the container do not match those on the customer order, the system will NOT allow you to issue the container, but will return an error. To verify a container matches a customer order, use the Compare Container to Customer Order utility. To resolve the issue, open the container form to add and remove materials to make the container match. Quantity differences between the container and the order line are allowed, but it is highly recommended the container contents are reviewed prior to the shipping transaction.

Project Resource Transactions

If the items or quantities in the container do not match those on the project resource, the system will give the user a warning message. To verify a container matches a customer order, use the Compare Container to Project Resource utility. If the container has items not on the project task, the system will add a record to the Project Task and issue the contained items. If the items match, but the quantities do not, the system will issue the full quantity in the container. The Project Resource Transactions form will display the contents of the selected container on the Container Contents tab.

Work Center Material Transactions

The Work Center Material Transactions form will display the contents of the selected container on the Container Contents tab.

Miscellaneous Issue

The Miscellaneous Issue form will display the contents of the selected container on the Container Contents tab.

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Useful container utilities Compare Container to Customer Order utility This form compares order lines with a container's contents, and it consists of two read-only grids. One grid shows the order line items, and the other shows the container items.

Select the Customer Order number and Container to compare and then click the Process button. If an item is both on the order and in the container, the order quantity and the container quantity are displayed. Items in the container but not on the order are displayed after the order lines.

Compare Container to Project Resource utility This form compares Project Task Resources to a container's contents, and it consists of two read-only grids. One grid shows the project resource items, and the other shows the container items. Select the Project and Project Task and then the Container to compare and then click the Process button.

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Demo: Miscellaneous container transactions Your instructor will demonstrate the steps to issue a container, and ship a container through a customer order transaction. ________________________________________________________________________ ________________________________________________________________________

Exercise 8.2: Miscellaneous container transactions In this exercise, you will issue a container and ship a container through a customer order transaction.

Exercise steps Part 1: Miscellaneous issue a container 1. Select Master Explorer > Modules > Material > Inventory > Activities > Miscellaneous Issue. The Miscellaneous Issue form opens 2. Select the By Container check box. 3. Select CNTR00000000001 from the Container drop-down list. 4. Select the Container Contents tab and verify the quantities. Note: There should be 2 lots each with a quantity of 20. 5. Select the Detail tab. 6. Select TES Testing from the Reason drop-down list. A dialog box displays the message “Account that has [Account: (Blank)] does not exist. Inv Adjustment is (Blank) for Reason Code that has [Code: TES]”. 7. Click OK. 8. Select 59000 Inventory Adjustment from the Account drop-down list. 9. Click Process. A dialog box displays the message “[Miscellaneous Issue] was successful”. 10. Click OK. 11. Select Master Explorer > Modules > Material > Inventory > Containers. The Containers form opens. 12. Click Filter In Place to turn off the filter In place mode. 13. Select CNTR00000000001 from the list on the left side of the screen. 14. Verify that the container is empty.

Part 2: Ship a container 1. Create a new container for the MAIN warehouse, FIN-1 location: a. Click Create a new object in the current collection. b. Leave the Container field blank and press .

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c.

Type Container #2 as the description.

d. Select MAIN from the Warehouse drop-down list. e. Select FIN-1 from the Location drop-down list. f.

Click Save.

2. Open Customer Order Lines for order 141. Review the lines with an "Ordered" status. a. Select Master Explorer > Modules > Customer > Order Entry > Customer Order Lines. The Customer Order Lines form opens. b. Select 141 from the Order drop-down list. c.

Click Filter In Place to open the Customer Order Lines record for order 141.

d. View each of the two order lines by selecting them from the list on the left side of the screen and making note of the item and the quantity for each order line. e. Click the X on the tab to close the form. 3. Add the items and quantities for the order to the container. a. Make sure you are viewing the Containers form with the container record you just created still open. b. Click in the first row of the grid under the Item column. c.

Select FA-30000 from the Item drop-down list and press .

d. Type 25 in the Contained Quantity field and press . e. Select FA-10000 from the Item drop-down list and press . f.

Select the highest number from the Lot drop-down list and press .

g. Type 50 in the Contained Quantity field and press . h. Save the record. i.

Open the Master Explorer > Modules > Material > Inventory > Utilities > Compare Container to Customer Order utility.

j.

Select 141 from the Customer Order drop-down list.

k.

Select CNTR00000000002 from the Container drop-down list.

l.

Click Process.

m. Verify that the items and quantities for the order and the container match. 4. Ship order 141. a. Open the Master Explorer > Modules > Customer > Order Entry > Activities > Order Shipping form. b. Select order 141 from the Order drop-down list. c.

Click the Filter In Place button.

d. Select the By Container check box. e. Select CNTR00000000002 from the Container drop-down list. f.

Click the Filter In Place button.

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i.

Click the X on the tab to close the form.

5. Go back to the Containers tab and click the Refresh the current collection button in the toolbar. 6. Select CNTR00000000002 from the list on the left side of the screen. 7. Verify that the container is empty. 8. Close all forms.

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Moving containers You can move containers between locations within a warehouse and between warehouses within a site. You cannot move containers to other sites.

Warehouse to Warehouse Bulk Transfer utility When using this utility, every container in the From Warehouse and Location will be removed and added to the To Warehouse and Location.

Quantity Move activity You may select a specific container to move from one location in a warehouse to another location in the same warehouse by selecting the By Container check box and then selecting the container in the Container field.

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Limitations on using containers There are a number of situations where containers cannot be used.

Inventory control You may not use containers or container quantities in the following situations. • • • • •

Multi-Site Quantity Move Transfer Order Shipping by container Transfer Order Receiving into container Combined Transfer Order Ship/Receive using containers Cycle Count adjustments, Physical Inventory adjustments, and Quantity Adjustment transactions

The following cannot be added to containers: • • •

Non-inventory items Tax-free imported items Quantities in consignment (dedicated inventory) warehouses

Order entry and shipping You may not use containers or container quantities in the following situations. • • • • • • •

EDI Advanced Ship Notice by container Picking by container Packing by container Automatic shipping/issuing from container Reserving Containers or quantities in containers Bulk Container Shipping by Delivery Order Bulk Container Shipping by Shipping Processing Orders

Returning material to stock You cannot return materials to a container. This includes: • • • •

PO Returns Material Withdrawals Shipping Returns Negative RMA Returns

Production You may not use containers or container quantities in the following situations. • • • •

Backflushing Job pick list material issues Withdrawing finished goods from a container back to job Kit material backflushing

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Planning MRP and APS do not plan by container. Sourced supplies cannot be added to a container and then automatically issued: • • •

Automatic PO Line Ship/Issue by container Automatic Project Material Issue from container Automatic Issue to Parent Job from container

Other • • •

A container cannot be nested inside another container. Label printing does not include container information. Data collection transactions do not include container information.

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Check your understanding Can you have quantities in different locations in the same container? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

What are two ways to add contents to containers? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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What are two ways to remove contents from containers? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Can you issue part of a container? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Lesson 9: Transfer orders Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • • • • • • • • • •

Identify the characteristics of a transfer order. Describe how to set transfer order parameters Describe how to specify transit locations. Describe how to create transfer orders, transfer order lines, and transfer order lines change logs. Describe how to print the Transfer Order Ship Pick List. Describe how to ship a transfer order. Describe how to print the Transfer Ship Packing Slip. Describe how to record a transfer order loss. Describe how to receive transfer orders. Describe how to use the Transfer Orders Quick Entry form to quickly create transfer orders.

Topics • • • • • • • • • •

Introduction Setting transfer order parameters Specifying transit locations Creating transfer orders Printing the Transfer Order Ship Pick List Shipping a transfer order Printing the Transfer Ship Packing Slip Recording a transfer order loss Receiving transfer orders Using Transfer Orders Quick Entry

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Introduction A transfer order is typically used for moving items or materials between distribution centers, or for component and sub-assembly movement between plants that require a more formal multi-stage transaction. It does not require approval process or a requisition function. Transfer orders are characterized by: • • •

A transfer header and line items. A picking process. Separate entry of shipping and receiving transactions with provisions for recording loss, damage, rejects.

Transfer orders support the following: • • • • • • • • • • • • • • •

Visibility of in-transit inventory across the system including Transfer Order number, item, quantity in-transit, quantity to be shipped, date, shipment mode, freight cost, and value of shipment. Financial transactions Landed cost. All Landed Cost receipts must be vouchered before a transfer order can be closed. Cross-reference functionality. Picking List functionality. Packing Slip functionality. Bill of Lading functionality. Pro Forma Invoice functionality. Various costing and pricing methods. Automatic updating of inventory fields for Planned Transfer Orders. The ability to enter a transfer order without knowing the location or lot number. The location is not required until time of receipt. Likewise, if the receiving site enters the transfer order, it is not required to enter the from location of the items or materials being transferred. Maintenance of the Transfer order header data from the shipping site when it creates the transfer order. Partial shipping and receiving. Ability to track quantity differences, such as: loss, shrink, damage, rejects, and advance shipment. These will be tracked by Reason Codes. Data Collection for shipping and receiving transactions.

Transfer Orders do not support: • • • • • •

Change Order functionality. Configured Items. Discounts. Blanket Orders functionality. Progressive Billing. EDI functionality.

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The following table displays the steps to using a transfer order. Step

Description

1.

Set up transit location in the receiving warehouse

2.

Create transfer order header and lines

3.

Print pick list

4.

Ship

5.

Print packing slip

6.

Print receiving list

7.

Record transit loss

8.

Receive

9.

Close transfer order

Combined Transfer Order Ship/Receive

The Combined Transfer Order Ship/Receive can take the place of steps 4-8.

The following graphic displays the inventory flow.

Inventory flow

______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Setting transfer order parameters Use the Inventory Parameters and the Transfer Order Parameters forms to set transfer order parameters.

Inventory Parameters form On the Inventory Parameters form, select the Track Pick List Date check box if you want the system to track pick list dates for transfer line items and allow you an option when printing pick lists. When you select this check box, "*REPRINT*" will display next to items that have appeared on a previous transfer order pick list. Clear this check box if you do not want to see pick list dates for the transfer line items and do not want the system to maintain pick lists dates at the item level.

Transfer Order Parameters form Use the Transfer Order Parameters form to set parameters for transfer orders. Changing these parameters affects the way the transfers are handled. On this form, enter the default prefix to be used for warehouse transfer orders in the Transfer Prefix field. You can also enter three lines of text that can be printed on the packing slip.

You have the option to change the default at the time of entering a warehouse transfer..

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Setting up transit locations The item being transferred must have a transit location as an Item Stockroom Location in the receiving warehouse.

Demo: Verify a transit location Your instructor will demonstrate how to verify that a transit location for an item exists in the receiving warehouse. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 9.1: Verify a transit location In this exercise, the DIST warehouse needs 50 feet of ZAL-200, Aluminum, Tube, 1/8", 1" diameter. You will verify that a transit location for the item exists in the receiving warehouse.

Exercise Steps 1. Select Master Explorer > Modules > Material > Inventory > Item Stockroom Locations. The Item Stockroom Locations form opens in filter mode. 2. Select DIST Distribution Center from the Warehouse drop-down list. This is the receiving warehouse. 3. Select ZAL-200 from the Item drop-down list. 4. Click Filter In Place to run the filter. 5. Verify a transit location exists for ZAL-200 in the DIST warehouse. 6. Close the form.

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Creating transfer orders Use the Transfer Order form to move material between two warehouses. The Status field on this form identifies the current stage an order has reached in the transfer process. Valid selections include: • • •

Ordered - This status is used to reference requests for material transfers. Transit - This status is used to reference transfer orders that have been shipped but as of yet, not received and accepted. Complete - Orders with this status are considered closed. All items have been shipped, received and any losses posted.

In the Accumulated section on this form, the cost fields are updated in the normal course of processing transfer order landed costs. When completing a transfer order, the following must exist for the items being transferred: • • •

Item warehouse records in both warehouses. Item stockroom locations in both warehouses. Transit type location in the receiving warehouse.

Demo: Create a transfer order Your instructor will demonstrate how to create a transfer order. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 9.2: Create a transfer order In this exercise, you will create a new transfer order from the MAIN warehouse to the DIST warehouse.

Exercise Steps 1. Select Master Explorer > Modules > Material > Transfer Orders > Transfer Orders. The Transfer Orders form opens. 2. Click Filter In Place. 3. Click Create a new object in the current collection. 4. Select MAIN Progressive Cycles from the From Whse drop-down list. 5. Select DIST Distribution Center from the To Whse drop-down list. 6. Type 1 in the # Packages field. © 2014 Infor Education

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7. Type 12 in the Tot Weight field. 8. Select UPS United Parcel from the Ship Via field. 9. Click Save. Note: Do not close the Transfer Orders form.

Creating transfer order line items Use the Transfer Order Line Items form to enter specific materials or items that you want to move between warehouses and/or sites. You can only add a transfer order line item to a transfer order that has been saved. You enter transfer order line items to specify the details of the transfer. The Transfer Line Items form identifies the following: • • • • • • •

Line number Part number Quantity Unit of measure Line status Price code Unit cost

In addition, the following table identifies various other fields on the form and provides a brief description of each. Field

Description

Sched Ship Date & Sched Rcvd Date

The date the inventory is scheduled to be shipped and received. Enter the date for one of these fields, and the system will calculate the other date using the Dock-to-Stock time entered on the Planning tab on the Items form.

Transit Loc

The location where the inventory will be stored while in transit. You can also accept the default of Transit.

From Ref Type

The source of the order being shipped. The default is Inventory. Note: If this is a multi-site transfer order, you can update this field only at the From site.

To Ref Type

The destination for the order being received. The default is Inventory. Note: If this is a multi-site transfer order, you can update this field only at the To site.

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Demo: Create a transfer order line Your instructor will demonstrate how to create a transfer order line. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 9.3: Create a transfer order line In this exercise, you will create a line for 50 feet of ZAL-200, Aluminum, Tube, 1/8", 1" diameter. Send it to the TRANSIT location at the receiving warehouse.

Exercise Steps 1. Click Lines on the Transfer Orders form. The Transfer Order Line Items (Linked) form opens. 2. Click Create a new object in the current collection. 3. Select ZAL-200 from the Item drop-down list. 4. Type 50 in the Quantity field. 5. Click the calendar icon in the Sched Ship Date field. A calendar opens. 6. Select the current date. 7. Click the calendar icon in the Sched Rcvd Date field. A calendar opens. 8. Select the current date. 9. Verify that TRANSIT displays in the Transit Loc field. Note: If it does not display, select it from the drop-down list. 10. Click Save modified data and close form (OK) to close the Transfer Order Line Items (Linked) form. 11. Click Save modified data and close form (OK) to close the Transfer Orders form.

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Creating transfer order lines change logs When information related to a transfer order line is changed, a record of those changes is maintained in the Transfer Order Lines Change Log. The Transfer Order Lines Change Log provides a list of information related to a transfer order line. A transfer order line change log is created in the following situations: • •

• •

When you create a new transfer order line on the Transfer Order Line Items form. When you update this corresponding information on the Transfer Order Line Items form: • UM • Ordered Qty • Scheduled Ship Date • Scheduled Rcvd Date • Transit Location When you delete a transfer order line. When you create, update, or delete a transfer order line using the Transfer Orders Quick Entry utility.

A change log is not created when you update a transfer order status or line status.

The Transfer Order Line Items form and Transfer Orders Quick Entry utility now include the menu option List Change Log menu option when you right-click, which opens the change log as a linked child form.

Use the Delete Transfer Order Line Item Log Entries utility to delete log records within a specified date range. Optionally, create a log entry for each affected order line.

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Printing the Transfer Order Ship Pick List Use the Transfer Order Ship Pick List activity to print orders that need to be shipped and the locations from which they need to be pulled. All transfers within the specified range with a status of Ordered or Transit are listed. All transfers whose quantity requested is greater than the quantity shipped are displayed. In a multi-site environment, you must specify a From Site and a To Site on the Transfer Order form. The From Site supplies or ships to, the To Site. To maintain control of the inventory and the shipping process, the system only allows the From Site to run this report. On this form, selecting the Post Material Issues check box enables the system to automatically create all possible shipping transactions for this order. The items will be shipped to the transit location from the first location the system finds with available inventory. When this check box is cleared, the user performs manual shipping. The Reprint Pick List Items option works in conjunction with the Track Pick List Date field on the Inventory Parameters form. If the Track Pick List Date option is activated and this check box is selected, you will receive a banner reading *REPRINT* next to any item that appeared on a previous pick list.

Demo: Print a pick list Your instructor will demonstrate how to print a pick list. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 9.4: Print a pick list In this exercise, you will print a pick list.

Exercise Steps 1. Select Master Explorer > Modules > Material > Transfer Orders > Activities > Transfer Order Ship Pick List. The Transfer Order Ship Pick List form opens. 2. Type your transfer order in the Starting and Ending Transfer Order fields. 3. Select a Scheduled Ship Date range that includes the scheduled ship date for your transfer order line. 4. Verify the Post Material Issues check box is not selected. 5. Click Print. A dialog box opens with the message “Report Submitted”. 6. Click OK. 7. Click X on the Transfer Order Ship Pick List tab to close the form. © 2014 Infor Education

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Shipping a transfer order Use the Transfer Order Ship activity to notify the system that items or materials have been shipped to fulfill a transfer order line item. This activity should be performed when the Post Material Issue option on the Transfer Order Ship Pick List form is cleared. This function relieves inventory from the shipping warehouse and moves it to the transit location. Multiple shipments may be made against a transfer order line item. The Transfer Ship changes the status of the transfer line item to Transit, after which only reversing transactions can be entered. It is possible to back out returns or mis-shipments by entering a negative shipment quantity. The following table identifies various fields on the Transfer Order Ship form and provides a brief description of each. Field

Description

From Location

the location from which to ship the material. The number one rank location will default.

From Lot

If the item is lot tracked, a lot number must be specified.

Quantity

The quantity to ship will default from the Transfer Order Lines form. This quantity can be changed.

Transfer Item with Zero Cost

Select this check box if you want to ship items that have no cost. Select by line level.

Adding transfer ship lines Clicking the Add Line button on the Transfer Order Ship form opens the Add Transfer Ship Line form, where you can process multiple transfer order lines at one time. Additionally, you can split one line into multiple line parts, to allow one line to ship to, or receive from, different locations.

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Demo: Ship a transfer order Your instructor will demonstrate how to ship a transfer order. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 9.5: Ship a transfer order In this exercise, you will ship a transfer order.

Exercise Steps Part 1: Receive item so you can ship it 1. Select Master Explorer > Modules > Material > Inventory > Activities > Miscellaneous Receipt. The Miscellaneous Receipt form opens. 2. Select ZAL-200 from the Item drop-down list. 3. Type 100 in the Quantity field. 4. Select FLOOR from the Location drop-down list. 5. Select MMR from the Reason drop-down list. 6. Click Receive. A dialogue box opens with the message “One Miscellaneou[s] Receipt Transaction[s] were Posted” 7. Click OK 8. Close form

Part 2: Ship item 1. Select Master Explorer > Modules > Material >Transfer Orders > Activities > Transfer Order Ship. The Transfer Order Ship form opens. 2. Select the transfer order you just created from the Transfer drop-down list. 3. Verify that FLOOR displays in the From Location field. Note: If it does not display, select it from the drop-down list. 4. Click Ship. A dialog box opens with the message “1 Transfer Order Ship Transaction(s) were posted”. 5. Click OK. 6. Click Save modified data and close form (OK) on the toolbar.

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______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Printing the Transfer Ship Packing Slip The Transfer Ship Packing Slip prints a detailed listing of what is being transferred between warehouses or sites. You can preview the packing slip before printing it. Printing the Transfer Ship Packing Slip is optional--the system does not require you to do it. If you elect to print packing slips for a transfer order, you must have previously completed one of the following for that same transfer order: • •

Performed a transfer order ship, or Post material issues when running the Transfer Order Ship Pick List

Clicking the Process button on this form opens the Transfer Ship Packing Slip Selection form. You can update any relevant information on this form prior to clicking the Print button to print the packing slip.

Demo: Print a packing slip Your instructor will demonstrate how to print a packing slip for a transfer order. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 9.6: Print a packing slip In this exercise, you will print the packing slip for a transfer order.

Exercise Steps 1. Select Master Explorer> Modules > Material > Transfer Orders > Activities > Transfer Ship Packing Slip. The Transfer Ship Packing Slip form opens. 2. Click Process. The Transfer Ship Packing Slip Selection form opens. 3. Click Print. A dialog box opens with the message, “Report Submitted.” 4. Click OK. 5. Close the Transfer Ship Packing Slip form.

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Recording a transfer order loss Use the Transfer Order Loss activity to record that an item or material has been lost or damaged during shipment of a transfer order line item. On this form, the Reason Code field is used to enter a reason code for this transaction. This code will be referenced with all material transaction records created within the system.

Demo: Record a transfer order loss Your instructor will demonstrate how to record a transfer order loss. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 9.7: Record a transfer order loss In this exercise, you will record a transfer order loss of two feet of material.

Exercise Steps 1. Select Master Explorer> Modules > Material > Transfer Orders > Activities > Transfer Order Loss. The Transfer Order Loss form opens. 2. Select the transfer order you created from the Transfer drop-down list. 3. Type 2 in the Quantity field. 4. Select BIT Broken In Transit from the Reason Code drop-down list. 5. Select the Select checkbox. 6. Click the Process button. A dialogue box opens with the message, “1 Transfer Order Loss Transaction{s} were posted”. 7. Click OK. 8. Close the form.

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Receiving transfer orders There are three ways to receive a transfer order, including: • Using the Transfer Order Receiving List • Manually receiving transfer orders using the Transfer Order Receive form • Using the Combined Transfer Order Ship/Receive activity

Printing a Transfer Order Receiving List Report The Transfer Order Receiving List Report prints transfer orders that need to be received and indicates the location to which they need to be transferred. This list includes all transfers in the specified range that have a status of ordered or transit and that have a quantity shipped that is greater than the quantity received. On this form, selecting the Post Material Receipts check box enables the system to automatically perform the receiving transaction. Selecting this check box indicates the system should automatically perform the receiving transactions for all items on the order. The items will be received into the number one rank stock location of the receiving warehouse. Clearing this check box indicates the receiving transactions will be manually created.

Demo: Print a Transfer Order Receiving List Report Your instructor will demonstrate how to print a Transfer Order Receiving List Report. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 9.8: Print a Transfer Order Receiving List Report In this exercise, you will print a Transfer Order Receiving List Report.

Exercise Steps 1. Select Master Explorer> Modules > Material > Transfer Orders > Reports > Transfer Order Receiving List Report. The Transfer Order Receiving List Report opens. 2. Verify the Post Material Receipts check box is cleared. 3. Select the transfer order you created from the Receive for Transfer drop-down list. 4. Click Print. A dialog box opens with the message, “Report Submitted.” 5. Click OK. 6. Close the form.

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Manually receiving transfer orders using the Transfer Order Receive form The Transfer Order Receive form can be used when the Post Material Receipts check box is cleared on the Transfer Order Receiving List Report. This function relieves inventory from the transit location and moves it to the stock location of the receiving warehouse. On this form, the To Location field identifies the receiving location. The number one rank location will default. The Quantity field identifies the quantity to receive. If items were damaged in transit, they should not be included them in this quantity if a Transfer Order Loss will be performed.

Demo: Post a receipt for a transfer order Your instructor will demonstrate how to post a receipt for a transfer order. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 9.9: Post a receipt for a transfer order In this exercise, you will post a receipt for the transfer order.

Exercise Steps 1. Select Master Explorer> Modules > Material > Transfer Orders > Activities > Transfer Order Receive. The Transfer Order Receive form opens. 2. Select the transfer order you created from the Transfer drop-down list. 3. Select the Select checkbox. 4. Verify the quantity is 48 feet. 5. Select Stock from the To Location drop-down list. 6. Click the Receive button. A dialogue box opens with the message, “1 Transfer Order Receive Transaction(s) were posted.” 7. Click OK. 8. Close the form. 9. Open up the Transfer Order Line Items form and verify the receipt quantity there.

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Using the Combined Transfer Order Ship/Receive activity The Combined Transfer Order Ship/Receive activity allows you to perform both the shipping and receiving transaction simultaneously. This removes the need for separate shipping and receiving transactions in the case of a transfer within the plant. This procedure creates the journal entries for both the shipped and received inventory.

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Using Transfer Orders Quick Entry Use the Transfer Orders Quick Entry form to quickly create transfer orders. The Actions menu includes the following options: • • • •

Go To Demand Detail Chart APS - opens the Demand Detail Chart APS form. Allocate Landed Cost – refer to the Allocating Landed Cost topic in the SyteLine Help. List Transfers With Same From Whse - opens the Transfer Order Line Items form and filters the records to show only the orders where the From Whse field matches the From Whse on the Transfer Orders Quick Entry form. List Transfers With Same To Whse - opens the Transfer Order Line Items form and filters the records to show only the orders where the To Whse field matches the To Whse on the Transfer Orders Quick Entry form. The line records will not display all of the line detail fields you’ll find on the Transfer Order Line Items form.

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Lesson 10: Surcharges - configuring factors, accounts, and tax records Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • • • • •

Explain SyteLine’s surcharge functionality. Explain how surcharges are calculated. Describe how to set surcharge accounts payable and accounts receivable parameters. Describe how to specify surcharge accounts. Describe how to specify surcharge tax code data.

Topics • • • •

Understanding surcharges Setting surcharge parameters Specifying surcharge accounts Specifying surcharge tax data

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Understanding surcharges In any commodity industry, such as the steel industry, a company may have to pay vendors or invoice customers for surcharges. Because of commodity pricing, surcharges can change on a routine basis. SyteLine’s surcharge functionality allows you to create a more accurate item price by accounting for fluctuating commodity prices. Surcharges can be applied to: • • • •

Purchase orders Vouchers Customer orders Invoices

Calculating surcharges Surcharges are measured by making a comparison between actual and base pricing during the purchase or sale of items affected by commodity price fluctuations. The surcharge formula is as follows: Unit surcharge = (Actual price - Base Price) * Content Factor * Surcharge Factor In this formula, an estimate of commodity cost is built into the cost of the item, and is represented by the base price. The formula accounts for market fluctuation, and then applies a surcharge based on the amount of the commodity that is contained in the item, as well as a general surcharge factor. •

The actual price is the commodity price used to compare to the base price. This price is taken from the Item Content Prices form for the relevant commodities exchange; referred to as an item content exchange in SyteLine.

•

The base price is the prevailing domestic currency price for the item content using the unit of measure for exchange. This price is located on the Item Content References form for an item, or the Customer Contracts Prices or Vendor Contracts Prices form when it is specific to a customer or vendor contract price. The base price can also be unique for each customer order line or purchase order line.

•

The content factor is the amount of the commodity in the item. This is defined on the Item Content References form, and linked to the Items, Customer Contract Prices, Vendor Contract Prices, Customer Order Lines, or Purchase Order Lines forms.

•

The surcharge factor is the amount by which surcharges can be marked up (or down) for all customers or vendors. This is defined on the Accounts Receivable Parameters form. When surcharge amounts are formulated for purchase orders, this factor is taken from the Surcharge Factor field on the Accounts Payable Parameters form.

The Customer Surcharge Rules and Vendor Surcharge Rules forms define the rules used to determine the surcharge amounts and when they should be applied. Options include: •

Fixed: no surcharge is applied.

•

Single Date: the surcharge is calculated based on a specific date.

•

Averaged Dates: the surcharge is calculated based on the average of several dates. Price adjustment invoices are not included in the surcharge functionality. In addition, when using the Copy Orders and Estimates utility, values for item content references are not included in the copy.

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Implementing surcharges Before you can begin applying surcharges, you must configure the system. Follow steps A-D below.

A. Configure Surcharge Factors, A/R Surcharge Accounts, and Tax Records This step defines which GL accounts to use to capture surcharges and whether to include surcharges in tax calculations. 1. On the Chart of Accounts form, create a Surcharge and, if necessary, Surcharge in Process account. 2. On the Accounts Payable Parameters and Accounts Receivable Parameters forms, accept the default surcharge factor of 1.00, or specify a new factor. 3. Specify the necessary surcharge GL account(s) on the Accounts Receivable Parameters form. 4. (optional) Specify the necessary surcharge account(s) on the Distribution Accounts and End User Types forms. Accounts specified for an End User Type will take precedence over those specified for Distribution Accounts, which will take precedence over those set on the Accounts Receivable Parameters form. 5. On the Tax Systems form, specify the surcharge tax code label and description. 6. On the Tax Codes form, use the Include Surcharge field to specify the tax codes that will include surcharges when determining the basis for tax charges.

B. Create Item Contents, Exchanges, and Price Records This step creates the records that define your commodities that will have surcharges, the exchanges used to purchase the commodities, and the prices of the commodities. Then it flags surcharges to be used for a particular item. 1. On the Item Contents form, create records for each commodity for which you might apply surcharges. 2. On the Item Content Exchanges form, create a record for each commodities exchange service from which you might buy your item contents. 3. On the Item Content Prices form, create records to track the price fluctuations of each item content, and each exchange. 4. On the Items form, specify that an item contains some amount of item content by selecting the Includes Item Content field on the Sales tab.

C. Create Item Content References This step flags surcharges to be used for a particular item. 1. Click the Item Content button to open the Item Content References form. 2. Define the item content reference. This will apply to all uses of this item. 3. Specify the effective date, base price, and content factor for each item content contained within the referenced item. 4. (optional) To specify a unique reference for an individual customer contract, vendor contract, or order line, click the Item Content button on those forms. References created this way will take precedence over the references created for the item in general.

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D. Establish Surcharge Rules This step defines the rules for determining what the surcharge amounts should be and when they should be applied. 1. On the Customer Surcharge Rules and Vendor Surcharge Rules forms, create a record for each customer/exchange or vendor/exchange combination. 2. For each record, define the price method, offset intervals (where applicable), and start/end date times (where applicable).

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Setting surcharge factors The Accounts Payable Parameters and Accounts Receivable Parameters forms are used to set the surcharge factors. The Surcharge Factor fields for AP and AR default to 1.00, but can be updated to account for costs not directly linked to item content price fluctuations. Administrative costs, for example, could be represented by increasing this amount above 1.00. When the Surcharge Factor is set at 1.00, there is no markup.

Accounts payable parameters Use the Accounts Payable Parameters form to specify a surcharge factor that applies to all vendor surcharges.

Accounts receivable parameters Use the Accounts Receivable Parameters form to specify a surcharge factor that applies to all customer surcharges.

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Specifying A/R surcharge accounts When the system is looking for an account to use for surcharges and surcharges in process, it will look at these forms in the order shown below and use the first value it finds. 1. End User Types 2. Distribution Accounts 3. Accounts Receivable Parameters For example, if you don’t have a surcharge account specified on the End User Types form for a customer, the system will look for one on the Distribution Accounts form. If it doesn’t find one there, it will use the one on the Accounts Receivable Parameters form.

End-user types The End User Types form is used to classify customers and customer orders and to overwrite Sales, Sales Discounts, Accounts Receivable, and cost-of-goods (COGS) accounts based on the specified enduser type. Each customer and customer order may have an end-user type associated with it. Use this form to specify the Surcharge GL account used to record surcharges added to customer invoices and the Surcharge In Process GL account when using customer shipment approvals. The following table displays the surcharge-related fields on the End User Types form and provides a brief description of each. Tab

Field

Description

General

Surcharge

The account to which surcharge amounts are recorded during invoicing. Related unit codes 1-4 can also be specified.

General In Process

Surcharge In Process

The account to which surcharge in process amounts are recorded during shipment. This account must be specified when customer shipment approvals are in use. Related unit codes 1-4 can also be specified.

Distribution accounts Distribution accounts are a set of accounts grouped by warehouse and product code. Use the Distribution Accounts form to specify the Surcharge GL account used to record surcharges added to customer invoices and the Surcharge In Process GL account used when customer shipment approvals are in use. The following table displays the surcharge-related fields on the Distribution Accounts form and provides a brief description of each. Tab Sales

Field Surcharge

Description The account to which surcharge amounts are recorded during invoicing. Related unit codes 1-4 can also be specified.

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Tab Sales In Process

Field Surcharge In Process

Description The account to which surcharge in process amounts are recorded during shipment. This account must be specified when customer shipment approvals are in use. Related unit codes 1-4 can also be specified.

Accounts Receivable Parameters The following table displays the surcharge-related fields on the Accounts Receivable Parameters form and provides a brief description of each. Tab

Field

Description

General

Surcharge Factor

This field defaults to 1.00, but can be updated to account for costs not directly linked to item content price fluctuations. Administrative costs, for example, could be represented by increasing this amount above 1.00. When the Surcharge Factor is set at 1.00, there is no markup.

Accounts

Surcharge

The account to which surcharge amounts are recorded during invoicing. Related unit codes 1-4 can also be specified.

Accounts In Process

Surcharge in Process

The account to which surcharge in process amounts are recorded during shipment. This account must be specified when customer shipment approvals are in use. Related unit codes 1-4 can also be specified.

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Demo: Set accounts payable and accounts receivable surcharge parameters Your instructor will demonstrate how to set accounts payable and accounts receivable surcharge parameters. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 10.1: Set accounts payable and accounts receivable surcharge parameters In this exercise, you will set the surcharge factor on the Accounts Payable Parameters and Accounts Receivable Parameters forms.

Exercise steps 1. Select Master Explorer > Modules > Codes > Parameters > Accounts Payable Parameters. The Accounts Payable Parameters form opens with the General tab displayed. 2. Verify 1.0000 displays in the Surcharge Factor field. Note: If 1.0000 does not display, type it in the field. 3. Click x in the upper-right corner of the Accounts Payable Parameters tab to close it. 4. Select Master Explorer > Modules > Codes > Parameters > Accounts Receivable Parameters. The Accounts Receivable Parameters form opens. 5. Type 1.0200 in the Surcharge Factor field. 6. Click the Accounts tab. 7. Select 40600 Miscellaneous Revenue from the Surcharge drop-down list. 8. Click Save modified data and close form (OK) to close the Accounts Receivable Parameters form.

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Specifying surcharge tax data Use the Tax Codes form to specify which tax codes include surcharges. Use the Tax Systems form to specify the default tax code to use when determining tax charges related to surcharge amounts. The following table displays the surcharge-related fields on the Tax Codes and Tax Systems forms and provides a brief description of each. Form

Tab

Field

Description

Tax Codes

Header area

Include Surcharge

Indicates whether or not a tax code will include surcharges when determining the basis for tax charges.

Tax Systems

Tax Codes

Surcharge Tax Code

The default tax code used to determine tax charges that apply to surcharge amounts

Labels

Surcharge Tax Code Label

The label to identify the surcharge tax field

Surcharge Tax Code Description Label

A description of the surcharge tax code label

______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Check your understanding SyteLine’s surcharge functionality allows you to create a more accurate item price by accounting for fluctuating commodity prices. a) True b) False

Match each surcharge calculation variable with its corresponding description. The possible variables are: Content factor, Base price, Surcharge factor, and Actual price. Description

Surcharge calculation variable

The commodity price used to compare to the base price The amount of the commodity in the item The prevailing domestic currency price for the item content using the unit of measure for exchange The amount by which surcharges can be marked up (or down) for all customers or vendors

On the General tab of the Accounts Payable Parameters form, the Surcharge Factor field defaults to ____, but can be updated to account for costs not directly linked to item content price fluctuations. a) b) c) d)

0.00 1.00 2.00 10.0

Which of the following surcharge accounts can be specified on the Distribution Accounts and End User Types forms? Select all that apply. a) b) c) d)

Surcharge Surcharge In Process Sales In Process Surcharge Factor

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Lesson 11: Surcharges - creating item contents, exchanges, prices, and references Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • • • •

Describe how to create item contents. Describe how to create item content exchanges. Describe how to create item content prices. Describe how to create item content references.

Topics • • • •

Creating item contents Creating item content exchanges Creating item content prices Creating item content references

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Creating item contents Item content is the portion of an item that consists of a given commodity. The value is expressed as a percentage of the bulk commodity that, in part, constitutes a single unit of the item. Use the Item Contents form to create and manage the item components that will be used to calculate surcharges. The following table displays the fields on the Item Contents form and provides a brief description of each. Field

Description

Item Content

The name of the product, or commodity, such as, gold, silver, zinc, aluminum, or copper, tracked through an exchange, for which a surcharge can be charged.

Description

A description of the item content. For example, Zinc (66).

U/M

The unit of measure for the item content. This unit of measure is the basis for the unit cost of the commodity at the commodities exchange on the Item Content Prices form related to an item content exchange.

Demo: Create an item content record Your instructor will demonstrate how to create an item content record. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 11.1: Create an item content record In this exercise, you will create a new item content record for aluminum.

Exercise steps 1. Select Master Explorer > Modules > Codes > Item Contents. The Item Contents form opens. 2. Click Filter In Place to cancel Filter In Place mode. 3. Click Create a new object in the current collection. 4. Type ALUMINUM in the Item Content field. 5. Type Aluminum in the Description field. 6. Type TN in the U/M field. 7. Click Save modified data and close form (OK) to close the Item Contents form.

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Creating item content exchanges Use the Item Content Exchanges form to identify and manage the exchanges that track prices of commodities used to determine surcharge amounts. The following table displays the fields on the Item Content Exchanges form and provides a brief description of each. Field

Description

Exchange Name

The name of the commodities exchange that you will monitor, for example, APMEX

Description

A description for the commodities exchange, for example, American Precious Metals Exchange

Currency

The currency code used to establish prices for this exchange, for example, USD for United States dollar

Time Zone

The time zone used to establish prices for this exchange

Demo: Create an item content exchange record Your instructor will demonstrate how to create an item content exchange record. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 11.2: Create an item content exchange record In this exercise, you will create a new item content exchange record for the American Precious Metals Exchange (APMEX).

Exercise steps 1. Select Master Explorer > Modules > Codes > Item Content Exchanges. The Item Content Exchanges form opens. 2. Click Filter In Place to cancel Filter In Place mode. 3. Click Create a new object in the current collection. 4. Type APMEX in the Exchange Name field. 5. Type American Precious Metals Exchange in the Description field. © 2014 Infor Education

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6. Select USD US Dollar from the Currency drop-down list. 7. Select Eastern Standard Time from the Time Zone drop-down list. 8. Click Save modified data and close form (OK) to close the Item Content Exchanges form.

______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Creating item content prices An item content price is the market price of the item content, or commodity, at a specific date and time, at a specific commodities exchange. Use the Item Content Prices form to define and manage the relationship between each item content record and the various exchanges from which they can be purchased. To account for the price fluctuations seen with many commodities, you should consider entering updated item content prices each day before order invoicing or purchase order receiving occurs. The following table displays the fields on the Item Content Prices form and provides a brief description of each. Field

Description

Exchange Name

The name of the commodities exchange that you will monitor, for example, APMEX

Currency

The currency code used to establish prices for this exchange, for example, USD. Note: This value is taken from the Item Content Exchanges form.

Item Content

The name of the item content

Description

The description of the item content

U/M

The unit of measure for the item content

Exchange Price

The item content price, as reported by the selected exchange, in the designated unit of measure, in the currency designated for that exchange, for a specific date and time.

Exchange Date Time

The date and time the price was reported by the exchange. The time should be entered based on the exchange's time zone, not the local time zone.

Exchange Time Zone

The exchange's time zone

Dom Price

The exchange price, converted to domestic currency

Site Date Time

The exchange date and time, converted to the local site's time zone

Parms Time Zone

The time zone for the local SyteLine site

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Demo: Create an item content price Your instructor will demonstrate how to create an item content price. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 11.3: Create an item content price In this exercise, you will create a new item content price of $3,500 for copper in connection with the APMEX exchange.

Exercise steps 1. Select Master Explorer > Modules > Codes > Item Content Prices. The Item Content Prices form opens. 2. Click Filter In Place to cancel Filter In Place mode. 3. Click Create a new object in the current collection. 4. Select APMEX American Precious Metals Exchange from the Exchange Name drop-down list. 5. Select COPPER from the Item Content drop-down list. 6. Type 3500 in the Exchange Price field. 7. Click the calendar icon in the Exchange Date Time field. A calendar opens. 8. Select in the calendar. 9. Click Save modified data and close form (OK) to close the Item Content Prices form.

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Creating item content references Use the Items and Item Content References forms to indicate the percentage of the commodities (item contents) that are a part of a purchased or saleable item.

Setting up an item for surcharges Use the Items form to identify when an item includes item content and is subject to surcharges. Selecting the Includes Item Content check box on the Sales tab of the Items form indicates that the item is eligible to make references to item content. Each item that includes a commodity for which you want to charge or be charged a surcharge must be set up with item content references. There is no multilevel roll-up of commodities contained in items.

Defining item content references After the Includes Item Content check box is selected on the Items form, the Item Content button is activated. Clicking this button opens the Item Content References form, which is used to define a commodity’s content in an item. You can specify content references at different levels. Those at a higher level take precedence over anything specified at a lower level. For customer orders 1. Customer order lines, blanket releases, or estimate order lines 2. Customer contract prices 3. Items For purchase orders 1. Purchase order lines, blanket releases, or requisition lines 2. Vendor contract prices 3. Items For example, the content reference specified on a purchase order line takes precedence over anything you may have specified in the vendor contract or for the item. The following table displays the forms and provides a brief description of each. Form

Description

Customer Contract Prices

Use this form to specify item content used to determine surcharges associated with an item for a specific customer contract. The effective date of the item content will be controlled by the effective for the customer contract price.

Vendor Contract Prices

Use this form to specify item content used to determine surcharges associated with an item for a specific vendor contract. The effective date of the item content will be controlled by the effective for the vendor contract price.

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Form

Description

Customer Order Lines

Use this form to specify item content used to determine surcharges associated with an item for a specific customer order line. The effective date of the item content will be controlled by the due date of the customer order line. Note: Customer order blanket releases and estimate lines include the same functionality.

Purchase Order Lines

Use this form to specify item content used to determine surcharges associated with an item for a specific purchase order line. The effective date of the item content will be controlled by the due date of the purchase order line. Note: Purchase order blanket releases and purchase order requisition lines include the same functionality.

The only required set up for item content references is at the item level. This reference is sufficient for the determination of surcharge amounts. Item content references are optional at the contract and order line levels; however, references defined at the order line level override references at the customer and vendor contract levels and at the basic item level.

Each form includes an Item Content button that opens the Item Content References form where item contents can be referenced for the item. The Item Content button is activated when the Includes Item Content check box is selected on the Items form. The Item Content References form cannot be opened directly. Only those items flagged as having item content on the Items form will have the Item Content References form available via an Item Content button. When opening this form, the reference information displays only for the originating form. For example, if you open the Item Content References form from the Customer Contract Prices form, Customer Contract will display in the Reference field on the form. Refer to the following table for the possible values in the Reference field. The following table displays the fields on the Item Content References form and provides a brief description of each. Field

Description

Item Content

The name of the item content.

Effective Date

The date when the selected item content becomes active. Note: This field is disabled when the effective date is determined by a parent record, for example, a customer contract.

Description

description of the item content. This field is read-only.

U/M

The unit of measurement used for the item content. This field is read-only.

Item

The item for which the item content is designated. This field is read-only.

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Field

Description

Content Factor

The amount of the item content that is contained in one unit of the referenced item. Amounts should be in the item content's unit of measure. For example, if the copper item content’s unit of measure is ton, and one unit of item ABC contains 0.25 tons of Copper, enter .25 in the this field.

Base Price

The prevailing domestic currency price for the item content using the unit of measure for exchange. Any fluctuation in this price may be subject to a surcharge. The applicable reference type for the referenced item. This field is read-only. Possible values include:

Reference

• • • • • • •

Customer Contract Estimate Item Order Purchase Order Purchase Order Requisition Vendor Contract

Demo: Create an item that includes item contents Your instructor will demonstrate how to create an item that includes item contents. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 11.4: Create an item that includes item contents In this exercise, you will create a new item that includes item contents.

Exercise steps 1. Select Master Explorer > Modules > Material > Inventory > Items. The Items form opens. 2. Click Filter In Place to cancel Filter In Place mode. 3. Click Create a new object in the current collection. 4. Type HB-20000 in the Item field. 5. Type Copper-Plated Handlebars in the blank field below the Item field. 6. Select EA Each from the U/M drop-down list. Note: You can also type EA in this field. © 2014 Infor Education

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7. Select Purchased from the Source drop-down list. 8. Select PP Purchased Parts from the Product Code drop-down list. 9. Click Save. 10. Click the Sales tab. 11. Select the Includes Item Content check box. The Item Content button is activated. 12. Click Save. 13. Click the Item Content button. The Item Content References (Linked) form opens. 14. Select COPPER Copper from the Item Content drop-down list. 15. Type 0.00830 in the Content Factor field. 16. Type 2500.00 in the Base Price field. 17. Click Save modified data and close form (OK) to close the Item Content References form and return to the Items form. 18. Close the Items form.

______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Demo: Create a customer contract price item content reference Your instructor will demonstrate how to create a customer contract price item content reference. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 11.5: Create a customer contract price item content reference In this exercise, you will create a customer contract price item content reference.

Exercise steps 1. Select Master Explore > Modules > Customer > General > Customer Contracts. The Customer Contracts form opens. 2. Click Filter In Place to cancel Filter In Place mode. 3. Click Create a new object in the current collection. 4. Select 11 Kay’s Bike Shop from the Customer drop-down list. 5. Select HB-20000 Copper-Plated Handlebars from the Item drop-down list. 6. Click Save. 7. Click the Prices button. The Customer Contract Prices (Linked) form opens. 8. Type 1/1/ in the Effective Date field. 9. Type 1.00 in the first Break Qty field. 10. Select None from the Base Code drop-down list. 11. Select Amount from the Amount/Percent drop-down list. 12. Type 40.00000 in the first Value field. 13. Type 10.00 in the second Break Qty field. 14. Select None from the Base Code drop-down list. 15. Select Amount from the Amount/Percent drop-down list. 16. Type 35.00000 in the second Value field. 17. Click Save. 18. Click the Item Content button. The Item Content References (Linked) form opens. 19. Verify COPPER shows in the Item Content field. 20. Type 0.005 in the Content Factor field. 21. Type 3000.00 in the Base Price field. © 2014 Infor Education

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22. Notice Customer Contract displays in the Reference field and 11 displays as the customer number. 23. Click Save modified date and close form (OK) to close Item Content References (Linked) form. 24. Close all forms.

______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

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Check your understanding Item content refers to a commodity tracked through an exchange, for which a surcharge can be charged. a) True b) False

Use the Item Content Exchanges form to identify and manage the exchanges that track prices of commodities used to determine surcharge amounts. Which of the following are fields on the Item Content Exchanges form? Select all that apply. a) b) c) d)

Exchange Name Currency Time Zone Item Dimensions

Match each field on the Item Content Prices form with its corresponding description. The possible fields are: Site Date Time, Exchange Price, Parms Time Zone, and Dom Price. Description

Field

The item content price, as reported by the selected exchange, for a specific date and time The exchange price, converted to domestic currency The exchange date and time, converted to the local site's time zone The time zone for the local SyteLine site

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What levels will be overridden by item content references defined at the order line level? 1. __________________________________________________________________ 2. ___________________________________________________________________ 3. ___________________________________________________________________

Which of the following is the amount of item content that is contained in one unit of a referenced item? a) a) b) c)

Content factor Surcharge factor Item content factor Item factor

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Lesson 12: Surcharges - establishing surcharge rules Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • •

Describe how to create customer and vendor surcharge rules. Identify the reports that include surcharge information.

Topics • • •

Creating customer surcharge rules Creating vendor surcharge rules Surcharges on reports

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Creating customer surcharge rules Use the Customer Surcharge Rules form to define and maintain rules used to determine the actual surcharge price (which will be compared to the base price in the surcharge calculation) on invoices for a given customer. The following table displays the fields on the Customer Surcharge Rules form and provides a brief description of each. Field

Description

Customer

The customer number associated with the surcharge rule

Name

The name of the customer associated with the surcharge rule

Effect Date

The date the rule becomes active

Exchange Name

The name of the exchange that provides item content prices used to determine surcharge amounts

Rule Description

The description of the surcharge rule. Note: This description displays on external communication, such as order acknowledgement and invoice documents.

Price Method

The method by which surcharges are calculated. Selections include: • • •

Reference Day

Fixed: No surcharge is applied. Single Date: The surcharge is calculated based on a specific date, which is defined in the Reference Day field. Averaged Dates: The surcharge is calculated based on the average of several dates, which are defined on the Offset Interval, Offset Method, Start Date Time, and End Date Time fields.

The day when the surcharge amount is calculated. Valid selections are based on the price method selected. The following table displays the valid reference days to select based on the Price Method selection. Price Method

Valid reference days

Fixed

The Reference Day field is disabled. The selection in this field will default to Order Date when Fixed price method is selected.

Single Date

Dock date, Invoice Date, Day of Month, Order Date, or Specific Date

Averaged Dates

Dock Date, Invoice Date, Day of Month, Order Date, or Date Range

Note: “Dock date” is the PO receipt date. Offset Duration

The number of days before or after the Reference Day field. The selection in the Offset Method field determines whether this is the number of days before or

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Field

Description after.

Offset Interval

The basis period for the offset adjustment. This field is read-only and defaults to Day.

Offset Method

The direction of offset. Selections include: • • •

Start Date Time and End Date Time

No Offset Before Postpone

The date and time used when defining a date range. These fields are enabled only when the Reference Day is Date Range or Specific Date.

The following table displays examples of how various customer surcharge rules are formulated. Rule

Field settings

One day before order date

th

15 Day of Month

Average 3 Days before Dock Date

• • • • •

Price Method = Single Date Reference Day = Order Date Offset Duration = 1 Offset Interval = Day Offset Method = Before

• • • • •

Price Method = Single Date Reference Day = Day of Month Offset Duration = 15 Offset Interval = Day Offset Method = No Offset

• • • • •

Price Method = Averaged Dates Reference Day = Dock Date Offset Duration = 3 Offset Interval = Day Offset Method = Before

Demo: Create a customer surcharge rule Your instructor will demonstrate how to create a customer surcharge rule. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ © 2014 Infor Education

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Exercise 12.1: Create a customer surcharge rule In this exercise, you will create a customer surcharge rule so that the surcharge for Kay’s Bike Shop will be formulated based on the exchange price the day before the customer order is created.

Exercise steps 1. Select Master Explorer > Modules > Customer > General > Customer Surcharge Rules. The Customer Surcharge Rules form opens. 2. Click Filter In Place. 3. Click Create a New Object in the Current Collection. 4. Select 11 Kay’s Bike Shop from the Customer drop-down list. 5. Type 1/1/ in the Effect Date field. 6. Select APMEX from the Exchange Name drop-down list. 7. Type One day before order date in the Rule Description field. 8. Select Single Date from the Price Method drop-down list. Note: Order Date automatically displays in the Reference Day field. 9. Type 1 in the Offset Duration field. 10. Select Before from the Offset Method drop-down list. 11. Click Save modified data and close form (OK) to close the Customer Surcharge Rules form.

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Creating vendor surcharge rules Use the Vendor Surcharge Rules form to define and maintain rules used to determine surcharge amounts included with voucher costs from a given vendor. The following table displays the fields on the Vendor Surcharge Rules form and provides a brief description of each. Field

Description

Vendor

The vendor number associated with the surcharge rule

Name

The name of the vendor associated with the surcharge rule

Effective Date

The date the rule becomes active

Exchange Name

The name of the exchange that provides item content prices used to determine surcharge amounts

Rule Description

The description of the surcharge rule. Note: This description displays on external communication, such as order acknowledgement and invoice documents.

Price Method

The method by which surcharges are calculated. Selections include: • • •

Reference Day

Fixed: No surcharge is applied. Single Date: The surcharge is calculated based on a specific date, which is defined in the Reference Day field. Averaged Dates: The surcharge is calculated based on the average of several dates, which are defined on the Offset Interval, Offset Method, Start Date Time, and End Date Time fields.

The day when the surcharge amount is calculated. Valid selections are based on the price method chosen. The following table displays the valid reference days to select based on the Price Method selection. Price Method

Valid reference days

Fixed

The Reference Day field is disabled. The selection in this field will default to Order Date when Fixed price method is selected.

Single Date

Dock date, Invoice Date, Day of Month, Order Date, or Specific Date

Averaged Dates

Dock Date, Invoice Date, Day of Month, Order Date, or Date Range

Note: dock date is the PO receipt date Offset Duration

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The number of days before or after the Reference Day field. The selection in the Offset Method field determines whether this is the number of days before or after. Syteline: Managing Inventory 217

Field

Description

Offset Interval

The basis period for the offset adjustment. This field is read-only and defaults to Day.

Offset Method

The direction of offset. Selections include: • • •

Start Date Time and End Date Time

No Offset Before Postpone

The date and time used when defining a date range. These fields are enabled only when the Reference Day field is Date Range or Specific Date.

The same examples provided for customer surcharge rules apply for vendor surcharge rules.

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Surcharges on reports Surcharge information is included on the following reports: • • • • • • • • • •

Purchase Order Laser Purchase Requisition Purchase Order Requisition Estimate Response Order Verification Consolidated Invoicing Draft Consolidated Invoicing Laser Order Invoicing/Credit Memo Draft Order Invoicing/Credit Memo Laser Order Invoicing/Credit Memo To Be Printed

Order Verification Report The Order Verification Report includes a section that displays all item contents for a line item. This report also displays the amount of the surcharge included in the total pricing.

Demo: Create a customer order and view surcharge data on the Order Verification Report Your instructor will demonstrate how to create a customer order and view surcharge data on the Order Verification Report. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 12.2: Create a customer order and view surcharge data on the Order Verification Report In this exercise, you will create a new order for Kay’s Bike Shop for 50 copper-plated handlebars. You will then run the Order Verification Report to view the item content and surcharge rule information, as well as the surcharge total for the order.

Exercise steps 1. Select Master Explorer > Modules > Customer > Order Entry > Customer Orders. The Customer Orders form opens. 2. Click Filter In Place. 3. Click Create a new object in the current collection. © 2014 Infor Education

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4. Select 11 Kay’s Bike Shop from the Customer drop-down list. 5. Click Save. 6. Write down the order number that displays in the Order field. _____________ 7. Click the Lines button. The Customer Order Lines (Linked) form opens. 8. Select HB-20000 Copper-Plated Handlebars from the Item drop-down list. 9. Type 50 in the Qty Ordered field. 10. Click Save modified data and close form (OK) to close the Customer Order Lines (Linked) form and return to the Customer Orders form. 11. Click the Order Verification Report button. 12. Click Preview. The Report Viewer opens. Notice the copper item content and the customer surcharge rule information displays, as well as the total of the surcharge in the Surcharge field. 13. Click the x in the Report Viewer tab to close the Report Viewer. 14. Click the x in the Order Verification Report tab to close the Order Verification Report. 15. Close the Customer Orders form.

______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Purchase Order Report The Purchase Order Report includes a section that displays all item contents for a line item.

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Order Invoicing/Credit Memo form When generating invoices, surcharge entries will be created for all items that have item content. According to the hierarchy used when formulating surcharges (order line, contract price, or default item content as defined on the Items form) SyteLine decides which level will determine the item content of the item. If surcharge rules are being used, they will determine the surcharge amount by comparing the actual price to the base price for item content.

Demo: Generate an invoice and view surcharge data Your instructor will demonstrate how to generate an invoice and view surcharge data. ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________

Exercise 12.3: Generate an invoice and view surcharge data In this exercise, you will ship a customer order and generate an invoice for the 50 copperplated handlebars for Kay’s Bike Shop. Because the market value of copper varies, the surcharge for copper will be calculated when you complete the order invoicing.

Exercise steps 1. Select Master Explorer > Modules > Customer > Order Entry > Activities > Order Shipping. The Order Shipping form opens. 2. Select from the Order drop-down list. 3. Select the On Hand Negative check box. 4. Select the Select check box for the line item listed in the grid. 5. Type 50 in the Quantity field for the line item. 6. Click the Process button. A dialog box displays the message “On Hand is 0.00000000 and will be -50.00000000 for Item Stockroom Location that has [Whse: MAIN] and [Item: HB-20000] and [Location: STOCK]”. 7. Click OK. A dialog box the message “1 Shipping Transaction(s) were posted”. 8. Close the Order Shipping form. 9. Select Master Explorer > Modules > Customer > Order Entry > Activities > Order Invoicing/Credit Memo. The Order Invoicing/Credit Memo form opens allowing you to generate an invoice for the Kay’s Bike Shop customer order. 10. Verify Invoice is selected from the Invoices or Credit Memo field. Note: If it is not selected, select it. 11. Select 11 Kay’s Bike Shop from the Starting Customer drop-down list. The Ending Customer field is automatically populated with the same customer. © 2014 Infor Education

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12. Click Process to generate the invoice. A dialog box displays the message “[Print Order Invoicing/Credit Memo] will be performed”. 13. Click OK. A dialog box displays the message “Report Submitted”. 14. Click OK. 10. Click the A/R Invoices button. The Invoices, Debit and Credit Memos form opens allowing you to verify invoice data. 15. Select 11 Kay’s Bike Shop from the Customer drop-down list. 16. Click Filter In Place to cancel Filter In Place mode. 17. Click the Distribution button. The Invoices, Debit and Credit Memos G/L Distribution (Linked) form opens. On this form, surcharges are grouped by the surcharge account to create separate accounting entries for each invoice. After posting the invoices, the accumulated surcharge amount will be updated on the Amounts tab of the Customer Orders form. 18. Click Save modified data and close form (OK) to close the Invoices, Debit and Credit Memos G/L Distribution (Linked) form. 19. Click the Invoice Posting button on the Invoices, Debit and Credit Memos form. The Invoice Posting form opens with the Print option selected. 20. Click the Process button. A dialog box displays the message “[Invoice Transaction Report] will be printed”. 21. Click OK. A dialog box displays the message “Report Submitted”. 22. Click OK to print the Invoice batch report. 23. Select the Commit option. 24. Click the Process button. A dialog box displays the message “[Invoice Posting] will be performed”. 25. Click OK. A dialog box displays the message “1 A/R Invoice(s) were posted”. 26. Click OK. 27. Close the Invoice Posting form. 28. Close the Invoices, Debit and Credit Memos form. 29. Close the Order/Invoicing Credit Memo form.

______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ _____________________________________________________________________

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Check your understanding On the Customer Surcharge Rules and Vendor Surcharge Rules forms, which of the following Price Method selections indicates no surcharge should be applied? a) b) c) d)

Single Date Averaged Dates Fixed Dock Date

Which part of the surcharge calculation do the Single Date and Average Dates price methods affect? a) b) c) d)

Actual Price Base Price Content Factor Surcharge Factor

Which of the following forms and reports include surcharge information? Select all that apply. a) b) c) d) e)

© 2014 Infor Education

Purchase Order Estimate Response Order Verification Consolidated Invoicing Order Invoicing/Credit Memo

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Course summary Estimated time 30 minutes

Course objectives Now that you have completed this course, you should be able to: • • • • • • • • • • • • •

Describe the global inventory parameters that can be configured. Identify the inventory objects that support inventory management and list the setup steps for each. Describe the steps for creating or updating an inventory item. Identify and interpret the various screens used to monitor inventory status. Describe the methods to configure, activate, and use lot and serial number tracking for an item. List the steps for performing physical and cycle inventory counts. Explain the processes to perform miscellaneous inventory transactions. Describe the setup and use of containers. Explain the processes to create, ship, and receive items on transfer orders. Explain SyteLine’s surcharge functionality and identify how surcharges are calculated. Set parameters and accounts used with the surcharge functionality. Describe how to create item contents, item content exchanges, item content prices, and item content references. Create customer and vendor surcharge rules.

Topics •

Course review

224 Course summary

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Course review For what activity must the On Hand Negative Flag setting be activated on the Inventory Parameters form? a) b) c) d)

Backflushing material Processing a transfer order ship Performing an inventory cycle count Processing a quantity adjustment

If you maintain an inventory item in more than one warehouse, what type of record must you create for each warehouse where that item is stored? a) b) c) d)

Item Control Item/Warehouse Location Warehouse

How are product codes used in SyteLine? a) b) c) d)

To group items by vendor To group items by stockroom location To group similar types of items for accounting, costing and planning purposes To group similar types of items by type of customer

What does the Quantity On Hand field on the Items form represent? a) Total quantity of an item in the default stockroom location in the default warehouse b) Total quantity of an item in all nettable and non-nettable stockroom locations in all of the warehouses where it is stored c) Total quantity of an item for all stockroom locations plus the quantity of the item currently in the production stage of a job d) Total quantity of an item for all nettable stockroom locations

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In SyteLine, what is safety stock? a) b) c) d)

Minimum quantity of an item to always have on hand in inventory Minimum quantity of an items required as part of a Safety Program Items that require special handling Items that are stored in a private stockroom location

List the four inventory item types. 1. _______________________________________ 2. _______________________________________ 3. _______________________________________ 4. _______________________________________

For serial number-tracked items to be pre-assigned on purchase, job or transfer orders, what other setting is required? a) Preassign Serials check box on PO line release, Job Order, or Transfer Order line item must be selected b) Preassign Serials check box on the Items form Controls tab must be selected c) Backflush check box must be selected and a Backflush Location selected for the item d) Serial Number Prefix must be set

Expiration dates in SyteLine are calculated using the formula: Expiration Date = S/N or Lot Creation Date + _______. a) b) c) d)

Current Date Projected Job Completion Date Retention Days Shelf Life

226 Course summary

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If an inventory item is going to be stored in more than one location in the same warehouse, what form should be used to assign the additional locations to the item? a) b) c) d)

Items Item Stockroom Locations Item/Warehouse Locations

Indicate the order of the steps for performing an inventory cycle count by placing the number of the step (1 through 9) to the right of each one. Create Cycle Count Variance report Post cycle counts Count the inventory items Assign ABC codes to items Purge cycle counts (optional) Generate count sheets Define count tolerances Record count quantities Set up count triggers

____ ____ ____ ____ ____ ____ ____ ____ ____

What is the first step in the procedure to conduct a physical inventory count? a) b) c) d)

Freeze the inventory. Set the tag/sheet controls. Load the physical inventory records. Print the tags or sheets for recording item counts.

Which of the following transactions cannot be used for lot- or serial-tracked items? a) b) c) d)

Miscellaneous Issue Miscellaneous Receipt Quantity Move Quantity Adjustment

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Which of the following statements regarding containers is true? a) Part of a container’s contents can be issued at different times. b) Containers may include non-inventory items. c) Containers can be moved between locations within a warehouse and between warehouses within a site. d) After a container is issued, issue transactions must be created for each of the contained items.

Which activity should be used for moving larger volumes of items or materials between warehouses or sites? a) b) c) d)

Transfer Order Quantity Move Miscellaneous Issue Quantity Adjustment

What type of location must exist at the receiving warehouse of a transfer order for each item shipped? a) b) c) d)

Receiving Temporary Transfer Transit

If a material on a transfer order is lost in transit, how do you record the loss? a) b) c) d)

By submitting an Item Lost ticket to the sender By adding a Transfer Order Loss Line to the transaction By clearing the check box next to the item on the Transfer Order Receive form By reducing the Quantity Received number for the item on the Transfer Order Receive form

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Surcharges can be applied to which of the following? Select all that apply. a) b) c) d)

Purchase orders Vouchers Customer orders Invoices

Surcharges are measured by making a comparison between actual and base pricing during the purchase or sale of items affected by commodity price fluctuations. Which of the following formulas does SyteLine use to calculate surcharges? a) Unit surcharge = (Base price - Actual Price) * Content Factor * Surcharge Factor b) Unit surcharge = (Base price * Actual Price) * Content Factor - Surcharge Factor c) Unit surcharge = (Actual price - Base Price) * Content Factor * Surcharge Factor d) Unit surcharge = (Actual price * Base Price) * Content Factor - Surcharge Factor

On the Accounts Receivable Parameters form, the ___________ field allows you to specify the account to which surcharge in process amounts are recorded during shipment. a) b) c) d)

Surcharge Surcharge Factor Surcharge In Process Accounts In Process

Which of the following forms do you use to specify the default tax code to use when determining tax charges related to surcharge amounts? a) b) c) d)

Tax Codes Tax Systems Tax Parameters Tax Jurisdiction

Which of the following are examples of item content? Select all that apply. a) b) c) d) © 2014 Infor Education

Gold Silver Zinc Copper Syteline: Managing Inventory 229

On the Item Content Prices form, the Exchange Date Time is the date and time the price was reported by the exchange. The time should be entered based on the local time zone, not the exchange's time zone. a) True b) False

The Item Content button becomes active on the Items form when doing which of the following? a) b) c) d)

Entering a value in the Content Factor field Selecting the Includes Item Content check box Selecting an item from the Item Content drop-down list Clicking the Sales tab

Use the Item Content References form to define the relationship between item content and an item. Item content references can be defined for which of the following? Select all that apply. a) b) c) d)

Customer and vendor contract prices Customer order lines and customer order blanket releases Estimate lines Purchase order lines and purchase order requisitions

Which of the following are valid Offset Method selections on the Customer Surcharge Rules and Vendor Surcharge Rules forms? Select all that apply. a) b) c) d)

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No Offset Interval Before Postpone

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Appendix A: Manufacturer part numbers Estimated time 15 minutes

Learning objectives After completing this lesson, you will be able to: •

Describe how to use manufacturer part numbers.

Topics •

Using manufacturer part numbers

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Using manufacturer part numbers Vendors can supply similar components from different manufacturers. However, only one specific component offered by one manufacturer may actually meet the exact specifications for a given assembly. Using a manufacturer’s part number, you can specify the manufacturer and part number you want a vendor to supply on your purchase order lines. If you are acting as a supplier of components to your customers, you can enter the exact manufacturer and manufacturer’s part number that a customer wants on customer order lines. This functionality extends to BOMs. You can specify the manufacturer and manufacturer’s part number to be used in a BOM on the material record. Records that use manufacturer parts include: • • • •

Purchase orders Purchase order requisitions Customer orders BOMs

Other forms that display manufacturer part numbers include: • • • •

Material Planner Workbench Order Shipping Purchase Order Receiving Lots

The following steps indicate how to set up a manufacturer’s part number: 1. 2. 3. 4.

Enter the item on the Items form Enter the manufacturer on the Manufacturers form Enter the manufacturer’s ID for the item on the Manufacturer Items form Link the item record with the manufacturer’s item on the Item Manufacturers form

After you have set up a manufacturer’s part number, you can select the manufacturer and part on a purchase order line, customer order line, or BOM. Manufacturer items are cross-referenced to item records, but not to vendor or customer contracts for items.

Entering a manufacturer on the Manufacturers form The Manufacturers form allows you to create and maintain manufacturers. These manufacturers can be cross-referenced with existing SyteLine items on the Item Manufacturers form, and then applied to purchase orders.

Entering the manufacturer’s ID on the Manufacturer Items form The Manufacturer Items form allows you to create and maintain manufacturer item numbers. These manufacturer items can be cross-referenced with existing SyteLine items on the Item Manufacturers form, and then applied to purchase orders.

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Linking the item record with the manufacturer’s item on the Item Manufacturers form Use the Item Manufacturers form to create and maintain a cross-reference between manufacturer item records and SyteLine item records. The following table displays the fields on the Item Manufacturers form and provides a brief description of each. Field

Description

Item

The item ID

Approved

When selected, this field allows the current manufacturer item to be selected on various customer, vendor, and job records, such as purchase order lines, customer order lines, and BOM records.

Manufacturer

The manufacturer of the item

Manufacturer Item

The manufacturer item number to associate with the item

Ref Type

Defines the manufacturer items available to select on the various customer order, purchase order, and BOM forms. Ref Types include: •

Global – This can be selected on customer order, purchase order, and various BOM forms. • Customer – This can be selected on the customer order lines or releases forms only for the customer specified by the Ref Num. After a customer reference is created for an item, the customer order lines or releases forms will only display manufacturer parts for that customer. You will not be able to select manufacturer parts with a type of Global for that customer. • Production – This can be selected on BOM material records only. After a production reference is set up for an item, the various BOM Material forms will only display manufacturer parts for that item that have a Ref Type of Production. You will not be able to select manufacturer parts with a type of Global for that item. • Vendor – This can be selected on the purchase order lines or releases forms only for the vendor specified by the Ref Num. After a vendor reference is created for an item, the purchase order lines or releases forms will only display manufacturer parts for that vendor. You will not be able to select manufacturer parts with a type of Global for that vendor. Note: If no records exist for a particular vendor or customer, the Global list will be displayed. If records do exist, only the records for that vendor or customer will display. If no production records exist for an item, the Global list will be displayed on the various BOM forms. If a production record exists, then the Global list will not display. Ref Num

The customer or vendor number to associate with the selected record. This field is required only if the associated Ref Type is Customer or Vendor.

Rank

The rank for this item. This field determines the order the manufacturer parts will display in drop-down lists on the various customer order, purchase order, and BOM

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Field

Description forms. Click the Ranks button and use the up and down buttons to change the rankings. When changing the rank on one row, or adding a new row, SyteLine automatically adjusts the rank numbers for the other rows. To help determine rankings for vendors, the On Time Delivery tab of the Vendors and Multi-Site Vendors forms provides information about how often a selected vendor delivers purchase order lines on time.

One example of using manufacturer part numbers is on the Purchase Order Lines form. On this form, specify the following: • •

Manufacturer – The manufacturer to associate with the order line. If the vendor on this order has been specified as a Ref Num on the Item Manufacturer form, only those records for this vendor will display. Otherwise, the Global list will display. Manufacturer Item – The manufacturer item number to associate with the order line. The list is ordered by rank. If the vendor on this order has been specified as a Ref Num on the Item Manufacturer form, only those records for this vendor will display. Otherwise, the Global list will display.

The selections in these fields automatically populate the Item field. When using manufacturer part numbers, values must be entered in both the Manufacturer and Manufacturer Item fields.

Unapproved item manufacturer records are excluded from the list of manufacturer items.

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Appendix B: Item and lot attributes Estimated time 15 minutes

Learning objectives After completing this lesson, you will be able to: • • •

Describe how to create item and lot attribute groups. Describe how to select attribute groups for items. Describe how to enter item and lot attributes.

Topics •

Using item and lot attributes

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Using item and lot attributes SyteLine allows you to track additional information about items and lots not captured by the standard fields on the Items and Lots forms. You can track up to 21 user-defined fields for an item or family of items using item attributes and lot attributes. The following steps outline the process for tracking additional attributes for an item: 1. Create an attribute group in the Item Attributes form or Lot Attributes form. 2. Select the attribute group for the item on the Attribute Setup tab of the Items form. 3. Enter the attribute values for new items on the Items form and for new lots on the Lots form. Attributes can be used in queries on the Items and Lots forms using the Attributes tab of the Query form.

Creating item and lot attribute groups Use the Item Attributes form to define item attribute labels in an attribute group. You can use up to ten string fields, ten numeric fields, and one check box field. These labels display on the Items form. Use the Lot Attributes form to define lot attribute labels in an attribute group. You can use up to 10 string fields, 10 numeric fields, and 1 check box field. These labels display on the Lots form.

Selecting attribute groups for an item On the Attributes Setup tab of the Items form, select the item attribute group or lot attribute group to use for that item. • •

When selecting an item attribute group, the Attributes tab on the Items form will activate. When selecting a lot attribute group, the Attributes tab on the Lots form will activate. When the item attribute group or lot attribute group is changed and saved, the corresponding attribute records will be deleted.

Entering item and lot attributes When creating a new item, type the attribute values on the Attributes tab of the Items form. This tab is disabled unless an item attribute group is selected for the item. When creating a new lot, type the attribute values on the Attributes tab of the Lots form. This tab is disabled unless a Lot Attribute group was selected for this item.

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Appendix C: Inventory pieces Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • • •

Describe how to create piece dimension groups and select piece dimension groups for items. Describe how to enter item pieces. Describe how to update pieces at the time of receipt or issue.

Topics • •

Tracking inventory pieces Updating pieces at the time of receipt or issue

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Tracking inventory pieces SyteLine allows you to track a total quantity of an item by its unit of measure. However, that doesn’t show you the size of the pieces you have in stock. For example, you may stock pipe by the linear foot and have 1,000 feet on hand, but that 1,000 feet may be subdivided into 50 ten-foot lengths and 25 twenty-foot lengths. You can track how the material is subdivided using SyteLine’s item pieces functionality. Every SyteLine transaction that impacts the on-hand quantity of parts with piece inventory will allow you to enter additions or subtractions from the number of pieces of the item for specified dimensions. The following steps identify how to track pieces: 1. 2. 3. 4.

Create a piece dimension group on the Pieces Dimensions form. Select the piece dimension group on the Items form. Click the Pieces button on the Items form and enter the pieces on hand. Continue to update the pieces used or created when performing any issue or receipt transaction, such as miscellaneous issues, purchase order receipts, or customer shipments.

When tracking pieces, the following limitations are applicable: • • •

An item cannot use both serial number tracking and piece tracking. SyteLine does not reconcile piece inventory to the total on-hand quantities; you must manually validate that the pieces and on-hand quantities match. APS and MRP do not plan to the piece level.

Creating piece dimension groups Use the Pieces Dimensions form to define piece dimension labels to use for the pieces of a specific item or family of items. You can use up to 10 string fields, 10 numeric fields, and one check box field. These labels display on the Item Pieces form.

Selecting piece dimension groups for items Use the Attributes Setup tab on the Items for to select piece dimension groups for items. On this form, select the Enable Pieces Inventory check box and then select the piece dimension group to use for the item. The following table displays the fields used for piece dimension groups on the Attributes Setup tab of the Items form and provides a brief description of each. Field Enable Pieces Inventory

Description When selected, this check box enables piece tracking for the item. When the check box is cleared, the Pieces button and the Pieces Dimension Group drop-down list on the Items form will be disabled. If pieces for this item exist, the check box will be disabled. To turn off pieces for the item, open the Pieces form and delete all pieces for the item. Note: An item cannot have both piece inventory and serial number tracking. • •

Piece Dimension Group

If the S/N Track check box on the Items Control tab is selected, the Piece Inventory check box will be disabled. If the Piece Inventory check box is selected, the S/N Track check box on the Items Control tab will be disabled.

The dimension group used to track the pieces for this item.

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Entering item pieces Click the Pieces button on the Items form to open the Item Pieces form and use the form to enter the location and quantity of pieces. Enter a new record for each dimension combination. For example, a total of 650 feet of pipe can be subdivided into the following pieces: • • •

15 seven-foot pieces 3 fifteen-foot pieces 50 ten-foot pieces

For these pieces, one for each length should be created. To create a piece record: 1. Enter the location and quantity of the pieces. 2. Save the record. 3. Enter the dimensions of that quantity.

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Updating pieces at the time of receipt or issue When receiving or issuing quantities of an item for which pieces are being tracked, you will want to update piece information. You do not need to open the Item Pieces form to do this. Instead, a Pieces tab on the receipt or issue transaction form will activate, showing all the pieces for the item. Update piece information on that tab by doing the following: • •

For receipts, add new piece records. For issues, make piece adjustments. SyteLine does not validate piece inventory with the total on-hand quantity; you must manually ensure the pieces and total on-hand quantities match. For example, if too many pieces are entered or two pieces with the same item, warehouse, lot, location, and dimensions are created, SyteLine will not display an error or combine the records. It is up to the user to decide how best to manage their items and prevent duplicate records.

Pieces tab A Pieces tab is located on all receipt and issue forms, such as the Miscellaneous Receipt form. This tab is activated when an item has piece tracking enabled. It displays the existing pieces in the warehouse, lot, and location specified on the transaction. Any new piece records created by the transaction will use the warehouse, lot, and location specified. The following table displays the fields on the Pieces tab and provides a brief description of each. Field Current Piece Count

Description The total piece count for the current item, warehouse, location, and lot (if the item is lot tracked). • •

Adjustment

The amount by which SyteLine should increase or decrease the number of pieces displayed in the Current Piece Count field. Use positive numbers to increase the count and negative numbers to decrease it. • •

Dimension fields

For new piece records, type the quantity. For existing piece records, this field is read-only.

For existing piece records, type the quantity. For new piece records, this field is read-only.

Displays all the dimensions in the group this item uses. • •

240 Appendix C: Inventory pieces

For new piece records, type the piece dimensions. For existing piece records, these fields are read-only.

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The following diagram illustrates the process for recording piece information on receipt and issue transactions.

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Appendix D: Inventory consigned to a customer Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • • • •

Explain the customer consignment process. Describe how to set up a customer consignment. Explain how to move inventory to a consignment warehouse. Explain how to record customer usage of inventory consigned to a customer.

Topics • • • •

The customer consignment process Setting up the customer consignment Moving inventory to a consignment warehouse Recording customer usage

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The customer consignment process Inventory consigned to a customer is inventory that is physically moved to a customer's warehouse. The inventory is still tracked in SyteLine and is stored in a warehouse record specific to the customer’s ship-to number. The inventory is sold to the customer at the time the customer uses it, and can also be invoiced at that time. The following forms support this feature: • • • • •

Inventory Consigned to Customer Inventory Consigned to Customer Report Inventory Consigned to Customer Usage Report Warehouses - Dedicated Inventory, Consignment Type, Customer, and Ship To fields Item/Warehouse - Consignment Type, Customer, and Ship-To fields

The following steps outline the customer consignment process: 1. Set up the customer consignment 2. Move the inventory to the consignment warehouse 3. Record customer usage

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Setting up the customer consignment Setting up the customer consignment involves the following processes: • • •

Creating a warehouse that will hold the inventory consigned to the customer Creating an item/warehouse record in the customer warehouse for each item that will be consigned to the customer Creating a transit location in the consignment warehouse for each item that will be shipped to the warehouse using transfer orders

Creating a warehouse Use the Warehouses form to create a warehouse that will hold the inventory consigned to the customer. On this form, set the Consignment Type to Customer and specify the customer and ship-to location. Note: Assigning the ship-to location here will update the customer ship-to record. The following table displays the customer consignment fields on the Warehouses form and provides a brief description of each. Field

Description

Dedicated Inventory

Identifies if the warehouse is a dedicated inventory warehouse. This check box is only enabled when the Consignment Type is set to None. If the Consignment Type is set to Customer, this check box is automatically selected and cannot be cleared.

Consignment Type

The type of consignment inventory the warehouse stores. Selections include: • None • Customer • Vendor When a new warehouse is created, this field defaults to None. Selecting the Customer option assigns the inventory to a customer.

Customer

The customer whose inventory is being consigned.

Creating an item/warehouse Use the Item/Warehouse form to create an item/warehouse record in the customer warehouse for each item that will be consigned to the customer. The following table displays the customer consignment fields on the Item/Warehouse form and provides a brief description of each. Field Dedicated Inventory

Description Identifies if the item/warehouse is a dedicated inventory item/warehouse. This check box is only enabled when the Consignment Type is set to None. If the Consignment Type is set to Customer, this check box is automatically selected and cannot be cleared.

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Field Consignment Type

Description The type of consignment inventory the warehouse stores. Selections include: • None • Customer • Vendor When a new warehouse is created, this field defaults to None.

Customer

The customer whose inventory is being consigned.

Min Consignment Qty

The minimum consignment quantity for each item.

Max Consignment Qty

The maximum consignment quantity for each item. The maximum level will be used on the Inventory Consigned to Customer Report.

Creating a transit location Use the Customer Ship-Tos form to create a transit location in the consignment warehouse for each item that will be shipped to the warehouse using transfer orders.

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Moving inventory to a consignment warehouse Moving the inventory to the consignment warehouse involves: •

Viewing the Inventory Consigned to Customer report to view a suggested replenishment quantity. The following calculation is used to determine the suggested replenishment quantity: Suggested Replenishment Qty = Max Consignment Quantity - Pending Qty - On Hand Qty

•

Transferring inventory to a warehouse using transfer orders or the Multi-Site Quantity Move utility.

Viewing the Inventory Consigned to Customer report The Inventory Consigned to Customer report allows for: • •

Viewing the current status of consigned inventory at a customer’s ship-to consignment warehouse. Entering a quantity of inventory used by the customer and creating a customer order line. All fields on this form are read-only, with the exception of the Quantity Used field.

The following table displays the tabs on the Inventory Consigned to Customer report and provides a brief description of each. Tab

Description

Item

Displays on-hand information for each item in the consignment warehouse. Enter the quantity used by the customer and create the customer order. The pending quantity to be received to the consignment warehouse (via transfer orders) also displays and is calculated by subtracting the quantity received from the quantity required.

Consignment Transfers Consignment Orders

Provides a view of planned transfer orders that will replenish the customer ship-to's consignment warehouse. Displays inventory that the customer has used, and which is eligible for shipping and invoice transactions.

Transferring inventory to a warehouse Use the Transfer Orders Quick Entry form to quickly create transfer orders to transfer inventory to a warehouse. Transfer orders are used to move items or materials between warehouses and/or sites. You can use the Inventory Consigned to Customer report to plan transfer orders from warehouses to customers. The Multi-Site Quantity Move utility can also be used to move inventory to and from a consignment warehouse.

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Recording customer usage Recording customer usage involves: • •

Printing the Inventory Consigned to Customer Usage Report and sending the report to the customer to enable them to report their usage. Creating a customer order for that quantity after the customer notifies you that they have consumed inventory from your consignment warehouse. A customer order is necessary for every order of goods or services sold by a company to a customer. To create a customer order, open the Inventory Consigned to Customer form and either: • Enter the quantity used and click the Create Order button to create a new order. • Click the CO Quick Entry button and manually create a new order or line. • If the customer is on credit hold, a red X displays next to the Customer number. • If the customer is not on credit hold, a green check displays.

All consignment customer orders must have the Consignment check box selected. • •

Shipping the Customer Order line Invoicing the customer.

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Appendix E: Inventory consigned from a vendor Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: • • • •

Explain the vendor consignment process. Describe how to set up a vendor consignment. Describe how to receive inventory in a consignment warehouse Describe how to record usage of inventory consigned from a vendor.

Topics • • • •

The vendor consignment process Setting up the vendor consignment Receiving inventory in the consignment warehouse Recording usage of consigned quantities

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The vendor consignment process Inventory consigned from a vendor is inventory a vendor physically moves to your warehouse. The inventory is held in a SyteLine warehouse assigned to that vendor. When a consignment warehouse is designated for a selected vendor; the warehouse for that vendor displays on the Vendors form. The inventory is held at zero cost, to be used later as a job material, work center material, a project resource, or with a customer order or transfer order. The inventory is considered purchased when consumed, and the inventory must then be received, vouchered, and paid for based on that usage. The following forms support this feature: • Inventory Consigned From Vendor Summary • Inventory Consigned From Vendor Usage • Inventory Consigned From Vendor Receipt • Inventory Consigned From Vendor Usage Report • Inventory Parameters - Cost Items at Warehouse field • Warehouses - Dedicated Inventory, Consignment Type, Vendor and Vendor Location fields • Vendors - Warehouse and Consignment Warehouse fields • Multi-Site Vendors - Warehouse and Consignment Warehouse fields • Item/Warehouse - Consignment Type, Vendor, Vendor Location, Min Consignment Qty and Max Consignment Qty fields The following steps outline the vendor consignment process: 1. Set up the vendor consignment 2. Receive inventory in the consignment warehouse 3. Record usage of consigned quantities

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Setting up the vendor consignment Setting up the vendor consignment involves the following processes: • • • • •

Setting inventory parameters Creating a warehouse Creating an item/warehouse Verifying the cost of the consigned items at the consigned warehouse is $0.00 Setting up miscellaneous receipt reason codes and miscellaneous issue reason codes for consignment receipts and usage

Setting inventory parameters On the Inventory Parameters form, select the Cost Item at Warehouse check box to track the cost of items at the item warehouse level instead of the item level. This setting is required in order to store vendor consigned inventory at zero cost in the consignment warehouse, but at the normal cost in the other warehouses. This selection has the following implications: • • • • •

Multi-site will no longer be needed to track different costs for a single item. Only one BOM is supported per item. Therefore, the Current Operations and Current Materials forms are associated with the default warehouse only. Manufactured items, which accumulate costs from their subcomponents, will gather those costs from the default warehouse only, regardless of the item manufactured items' location. The Item Costs form will no longer be accessible. The Item Warehouse Costs form can be used instead. Existing LIFO/FIFO stacks will be proportionally divided out based on item/warehouse quantities. After selecting this check box and saving the record, the check box cannot be cleared. If you mistakenly select this check box, cancel the changes and reload the form, or close the form without saving changes.

Creating a warehouse Use the Warehouses form to create a warehouse that will hold the inventory consigned from the vendor. The following table displays the vendor consignment fields on the Warehouses form and provides a brief description of each. Field

Description

Dedicated Inventory

Identifies if the warehouse is a dedicated inventory warehouse. This check box is only enabled when the Consignment Type is set to None. When the Consignment Type is set to Vendor, this check box is disabled in its current state.

Consignment Type

The type of consignment inventory the warehouse stores. Selections include: • None • Customer • Vendor When a new warehouse is created, this field defaults to None. Selecting the

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Field

Description Vendor option assigns the inventory to a vendor.

Vendor

The vendor whose inventory is being consigned.

Vendor Location

The location from which vendor inventory stored in a consignment warehouse will be transferred when it is consumed.

Creating an item/warehouse Use the Item/Warehouse form to create an item/warehouse record in the vendor warehouse for each item that will be consigned from the vendor. The following table displays the vendor consignment fields on the Item/Warehouse form and provides a brief description of each. Field Dedicated Inventory

Consignment Type

Description Identifies if the warehouse is a dedicated inventory warehouse. This check box is only enabled when the Consignment Type is set to None. When the Consignment Type is set to Vendor, this check box is disabled in its current state, either selected or cleared. The type of consignment inventory the warehouse stores. Selections include: • None • Customer • Vendor When a new warehouse is created, this field defaults to None. Selecting the Vendor option assigns the inventory to a vendor.

Vendor

The vendor whose inventory is being consigned.

Vendor Location

The location from which vendor inventory stored in a consignment warehouse will be transferred when it is consumed.

Replenishment Orders PO

The replenishment purchase order number

Min Consignment Qty

The minimum consignment quantity for each item

Max Consignment Qty

The maximum consignment quantity for each item

Verifying the cost of the consigned items On the Item Warehouse Costs form, verify the cost of the consigned items at the consigned warehouse is $0.00. Because the Cost Item at Warehouse check box was selected on the Inventory Parameters form, a zero cost for each vendor consigned item/warehouse can be maintained. © 2014 Infor Education

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Receiving inventory in the consignment warehouse Receiving inventory in the consignment warehouse involves: •

Viewing the Inventory Consigned From Vendor Summary form to display receipts, usage, and a suggested replenishment quantity by item. The suggested replenishment quantity calculation is as follows: The Suggested Replenishment = Max Consignment Quantity - On Hand Quantity.

• •

Using the report or some other method to communicate to the vendor the shipments needed for the consigned items. Using the Inventory Consigned From Vendor Receipts form to record the receipt into inventory when receiving quantities from the vendor. This form to can also be used to record returns of quantities to vendors.

Viewing the Inventory Consigned From Vendor Summary form This read-only form displays information about the inventory content and activity in a vendor consignment warehouse. The following tabs are included on this form: • • •

Items – this tab provides a view of the on-hand information of each item in the consignment warehouse. Receipts – this tab provides a view of the delivery and return transactions made in the vendor consignment warehouse. These receipts are created on the Inventory Consigned from Vendor Receipts form. Purchases – this tab provides a view of vendor consignment inventory that has been issued from the vendor consignment warehouse. These transactions are created on the Inventory Consigned From Vendor Usage form.

Viewing the Inventory Consigned From Vendor Receipts form This form allows you to receive and return consignment inventory from vendors. This form to can also be used to record returns of quantities to vendors.

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Recording usage of consigned quantities Recording usage of consigned quantities involves the following processes. •

•

To use consigned inventory, use the Inventory Consigned From Vendor Usage form to move the inventory from the consignment warehouse to a non-consignment warehouse and location. This form allows you to use, and thus purchase, items owned by a vendor but stored in one of your warehouses. When a consignment warehouse is selected, the available items display, and can then be assigned to another warehouse, to be used and purchased from the vendor. When processing usage, a line or release will be created for the amount on the default replenishment order specified for the item on the Item/Warehouses form and will display a status of filled. • When processing the usage quantity, SyteLine creates a new purchase order line or release on the default replenishment PO specified for the item. The line will have a status of filled. Send the purchase order and voucher payment as is done for non-consignment purchase orders. • Issue the material as normally completed for job orders, transfer orders, projects, customer orders, and so on. The on-hand quantity, receipts, and purchases for all consigned items at a warehouse can be viewed on the Inventory Consigned From Vendor Summary form.

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Appendix F: Inventory reports and utilities Estimated time 30 minutes

Learning objectives After completing this lesson, you will be able to: •

List the inventory reports and utilities.

Topics • •

Inventory reports Inventory utilities

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Inventory reports The Inventory Report folder includes a variety of reports for user analysis. The reports can be viewed in a browser, printed, or sent to a file. The following table displays the inventory reports and provides a brief description of each. Report

Description

CO Transactions By Lot

This report displays information about customer order shipments/returns for a selected range of lot numbers.

Customer Order Kit Pick List

This report prints a pick list for customer order lines for a kit. If any customer order line item for a kit matches the selection criteria, the materials from the kit's standard BOM are extracted and printed on the pick list. If one of the kit components is a phantom item, its current BOM is extracted and printed instead of the phantom component.

Inventory Aging

This report queries the item stockroom locations and item/warehouse records to determine the date of the last inventory receipt for a range of products. An inventory receipt could be from a purchase order receipt, completion of a job, or a customer order return. Results can be displayed by warehouse, location, or by lot in groups of records displayed according to various time ranges, such as 30 days, 60 days, or 90 days. Note: This report is designed to provide inventory aging information based on quantity only.

Inventory Balance

This report displays quantities, unit costs, and details of all material transactions that impact any of the five inventory accounts. The summary version of this report lists quantity and amount balances included in the date range. The detail version of this report lists each material transaction included in the date range. Costs on this report are based on calculations from available historical data. Rounding of these historical costs may result in costs that cannot be tied directly to other GL and inventory reports. Where useful, these costs have been included as a rough approximation. When tracking costing at the item/warehouse level, the standard unit cost for standard costed items uses a weighted average across all warehouses included in the report. Note: Depending on the type of costing method you are using, some filtering options on this report will not useful in every situation, Specifically, you should be aware of the costing limitations regarding the warehouse and location ranges.

Inventory Below Safety Stock

This report displays each item record that has an on-hand quantity below the specified safety stock quantity for the item.

Inventory Cost

This report displays a breakdown of material, labor, fixed overhead, variable overhead, and outside service costs for items.

Item By Location

Displays a breakdown by location of all items. This report can be sorted by item number or stock location.

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Report

Description

Item Cost By Product Code

This report displays price and cost information for each item selected. Total price and total cost are also displayed for each product code.

Item Costing

This report displays the prices, costs, total cost, margins and gross margin of items in inventory.

Item Detail

This report displays detailed item information using almost all the default fields from the Items form.

Item Not Used

This report lists items for which no material transactions have been recorded in the date range selected.

Item Quantities By ABC Code

This report displays the items sorted by ABC code. On-hand quantities, onorder, work-in-process, allocated-to-order, and allocated to jobs also display.

Item Serial Number

This report displays all the components contributing to a parent and their related serial numbers and lot numbers.

Item Where Used

This report lists all BOMs, customer orders, manufacturing orders, purchase orders, RMA and replacement orders, estimates, and project control estimates associated with the items meeting the selection criteria you specify.

Job Material Pick List

This report prints a pick list for kit job materials. If any job material record matches the selection criteria, and has a reference type of Job and a blank reference number, and the item of the material is a kit, then the materials are extracted and printed on the pick list. If any of the components is a phantom item, the activity extracts all of its job material records from its current BOM.

Lot Traceability

This report displays all of the details for the life of a lot.

Material Transactions

This report displays all inventory transactions by the selected sort method. This report prints the item description for non-inventory items. Note: Previously, only descriptions for items defined in the Items form were included on the report. If a non-inventory item is specified on a purchase order line, customer order line, job material, project resource, or RMA line, you can specify an item description. SyteLine determines the item description to use based on the type of item: • • •

For an inventoried item, the item description is displayed. If the description is blank, the line item description is displayed. For a tracked non-inventoried item, the non-inventory item description is displayed. If the description is blank, the line item description is displayed. For a non-tracked, non-inventoried item, the line item description is displayed. For customer order line/releases and purchase order

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Report

Description line/releases, if the description is blank, the history line item description is displayed, if available.

Multi-Site Bill of Material Builder

This report copies an item’s BOM from one site to other sites. This requires a replication rule between the sites using the Multi-Site BOM Builder replication category. The builder copies current and single-level BOMs.

Projected Inventory

This report gathers planning detail data for a range of items, and then evaluates projected item quantities for out-of-tolerance conditions based on monthly buckets. Error conditions include: • • • •

Item stock falls below zero or safety stock Obsolete or slow moving items have outstanding demand or supply Exceeds upper-control limit Exceeds lower-control limit

Project Resource Kit Pick List

This report prints a pick list for project resources that are kits. If any project resources for a kit match your selection criteria, the material from the kit's standard BOM are extracted and printed on the pick list. If one of the kit components is a phantom item, its current BOM is extracted and printed in place of the phantom component

Resource Sequence Sort Setup

This report includes predefined sort criteria to use on the Resource Sequencing form. The Resource Sequencing form now includes Select and Frozen fields, and Freeze, Unfreeze, and Sort buttons.

Single Level Lot Source

This report displays information on how the lot was manufactured. This report is designed mainly for items produced using jobs.

Single Level Lot Where Used

This report displays information on all the jobs that have used a particular lot of an item. If a lot has not been issued to any jobs, it will not display on this report. This report is used in association with jobs.

Total Inventory Value By Account

This report displays all items sorted by account number. The cost for labor, material, fixed overhead, variable overhead. and outside services display for each item.

Transactions Summary

This report summarizes the EDI transactions selected using the report options, displaying how many records exist per transaction and how many records have been loaded/entered for each transaction.

Transactions By Serial Number

This report lists all transactions that occurred for a given serial number. This report can be produced for a range of serial numbers, items, and lots.

Transfer Order Kit Pick List

This report prints a pick list for transfer order lines for a kit. If any transfer order line item for a kit matches the selection criteria, the materials from the kit's standard BOM are extracted and printed on the pick list. If one of the kit components is a phantom item, its current BOM is extracted and printed instead of the phantom component.

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Inventory utilities The Inventory Utilities folder contains a variety of utilities for database management. The following table displays the inventory utilities and provides a brief description of each. Utility

Description

ABC Analysis

This utility allows updates to the ABC code for each item, based on either unit volume or total cost.

BOM Bulk Import

This utility processes all XML files within the BOM Bulk Import directory. Each XML document contains the current BOM for a single item, so the BOM contained in the XML document is loaded into the current routing/BOM for the top-level item in the BOM XML. This utility now processes manufacturer and manufacturer item data. Multilevel BOMs can now be imported and exported and you can update the U/M or operation number for imported materials. To support these new features, the following fields were added: • •

The Manufacturer Tag Name and Item Manufacturer Tag Name fields were added on the BOM Bulk Import Parameters form. The Item Manufacturer and Manufacturer fields were added as options in the Table Group list on the BOM Bulk Import Mappings form. If either of these options is selected, the Table Name and Column Name fields contain new choices.

Change Cost Rates

This utility applies new cost rates to a range of jobs, current item BOMs, estimate jobs, and production schedules.

Change Item Price

This utility changes the unit price of an item on the Items and/or Customer Item Cross Reference forms.

Change Item Status

This utility changes the material status for an item or range of items.

Delete Item Stockroom Locations

This utility deletes all the item stockroom locations within the specified range. The item stockroom locations will be deleted only if the quantity on hand at that location is zero.

Delete Lots

This utility deletes lots based on the lot retention date and only if the lot is empty. Only lots which have a quantity equal to zero and a purge date less than the current date (the date the utility is run) will be deleted.

Delete Material Transactions

This utility deletes material transactions. This is the only area where you can delete material transactions. These transactions have no effect on any other part of SyteLine ERP.

Delete Serials

This utility deletes serial master and serial tracking records based on the serial number retention date. Only serial numbers that are out of inventory or not used and have a purge date less than or equal to today (the date the utility is run) will be deleted.

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Utility Delete Tax Free Exports

Description This utility deletes all tax-free exports and associated records within the entered export document ID range. You can also leave the export document ID range blank and the utility will delete all tax-free exports and associated records. The utility deletes only tax-free exports that have: • Zero on-hand quantities; and • An issue date on or before the selected cutoff date. However, if the Export Document ID field is blank on the Tax Free Exports form, the utility will not delete the associated records. You will need to enter a value for the Export Document ID before these records can be deleted.

Delete Tax Free Imports

This utility deletes all tax-free imports and associated records within the import document ID range. The utility deletes only tax-free imports that have: • •

Zero on hand quantities; and An import date that is on or before the selected cutoff date.

Items Initialization

This utility allows beginning balances to be entered for item fields that are not easily accessible.

Item Stockroom Mass Item Creation

This utility mass-creates item stockroom location records for a specified range of items in a warehouse.

Lead Time Processor

This utility calculates the fixed and variable lead times for manufactured items using the current routing and BOM.

Manual LIFO/FIFO Adjustment

This utility changes cost records for items that have a LIFO or FIFO cost method. Typically, these records are automatically maintained as transactions are entered, recording the movement of the items into and out of stock. You should only use this utility in extraordinary circumstances, specifically, when the LIFO/FIFO stack has become corrupted or a reversal transaction did not have the desired effect. The lines in the grid represent the point in time when a quantity of an item was moved into inventory at a specified unit cost. The date and time are important only to organize the entries in the correct sequence; the exact value is not critical.

Rebalance Item Allocated To Prod And WIP

This utility sets the Items Alloc to Order and WIP field quantities using Released and Stopped jobs.

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Utility

Description

Rebalance Item Allocated to Transfer

This utility rebalances the On Transfer and the Alloc Transfers fields on the Item/Warehouse form. The following process occurs: 1. The On Transfer and Alloc Transfer fields for all item warehouses are set to zero. 2. SyteLine checks each transfer line item with a status of Ordered or Transit. 3. The Alloc Transfers field for the From Warehouse is incremented by the quantity requested minus quantity shipped. 4. The system increments the On Transfer field for the To Warehouse by the quantity requested minus quantity received plus the quantity lost.

Rebalance Item Quantity On Hand

This utility sets the On Hand field on the Items form to the sum of its location's quantities.

Rebalance Item Quantity Reserved

This utility rebalances the quantity reserved fields for customer order lines/releases, item warehouses, stockroom locations, and lot/locations for lot

Set Default Warehouse

This utility assigns a default warehouse to customers, vendors, or users.

Set Item/Warehouse PTD And YTD to Zero

This utility zeroes the Period To Date and Year to Date Sales fields on the Items form.

Tax Free Imported Materials Process

This utility searches current BOMs to find parent items that contain tax-free imported materials. This utility then enables lot tracking for the parent items that contain tax-free imported materials. The utility starts searching at the material item level and ends at parent items.

Transfer Orders Quick Entry

This utility quickly creates transfer orders used to move items or materials between warehouses and/or sites. This utility includes an Actions menu and a List Change Log menu option available when right-clicking, which launches the change log as a linked child form.

Delete Transfer Order Line Item Log Entries

This utility deletes log records within a specified data range and optionally, creates an initial log entry for each item after deletion.

Warehouse To Warehouse Bulk Transfer

This utility moves all items at a warehouse/location to another warehouse/location.

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