Products and production

Each product has a SKU, description, item type (finished good, sub-assembly, raw, component, consumable or spare), unit of measure, standard cost, unit price, lead time, reorder point, safety stock, lot and serial control, category and primary and alternate suppliers. The item master adds physical and handling attributes: weight and dimensions, hazmat class and UN number, storage temperature, shelf life, ABC class, country of origin and HS code. Categories are hierarchical. Units of measure carry conversion factors to a base unit.

Production orders cover items made in-house. Raised from a replenishment suggestion, each has a quantity ordered and completed, planned start and end, the warehouse and an external reference to your production system. Orders move from Planned through Released and In Progress to Completed and Closed, or Cancelled.

• Product first. Every plan, order, receipt and shipment points to one product record.
• Handling attributes on the item master. Storage, hazmat and shelf-life rules travel with the product.
• Production from replenishment. Made-in-house items get production orders from the same plan that drives purchasing.

Agree SKU conventions and item types. Agree reorder points, safety stock and lead times per product and warehouse. Agree which items are lot or serial controlled and their storage temperature. Agree units of measure and conversions. Decide which items are made in-house and how production orders link to your production system.

A compounded resin blend is made in-house from the purchased resin. Its product record says finished good, KG, lead time five days, safety stock 2,000 kg, lot controlled, ambient storage, ABC class A. The March MRP run suggests a production order for 6,000 kg, needed by March 15.

The planner actions it; the production order is Planned for March 8 to 12 at Dallas and Released on March 7. The plant reports 3,000 kg completed on March 10 and 6,000 kg on March 12. The order is Completed, then Closed once the output is received into stock.

• Production Schedule — Planned, released and in-progress production orders with planned start and end and quantities.
• Replenishment Suggestions — Suggestions that raise production orders for made-in-house items.

• Forecast to replenishment: Raise production orders from the plan.

Review the data model before loading products.