RE: sale of held inventories

Version 6.0.04

We have re-manufactured components that we sometimes sell for older
discountinued models for parts. We created a different item number,
12345.800, compiled from the original item number, 12345, with the extension
(.800) added to it. The extension signifies it is a re-manufactured or
repaired item.  These items can then be managed separately for planning in
the facility planning record and 'turned off' for planning purposes (we set
the demand codes to forecast only). This allows us to ship them if they are
placed on order but not drive any needs for them since the inventory can not
be planned for.  The different item number also allows for different list
pricing and inventory valuation (which makes the accountants happy).

Beth A. Norris
Production Control Manager
Fawn Engineering Corp.
Des Moines, IA
bnorris@wittern.com

-----Original Message-----
From: Damon, Mitch [mailto:MDamon@agrilinkfoods.com]
Sent: Tuesday, April 02, 2002 4:03 PM
To: APICS Process Industries SIG list; AAA- Certified in Production and
Inventory Management; AAA-BPCS users listserve
Subject: sale of held inventories


We are using BPCS 6.04 as our ERP system and have an issue with sales of
inventories that are distressed.  Inventory that is not generally salable
are placed in warehouses that are defined as non-nettable and are then not
visible to the MRP calculation.  When this inventory is sold to a salvage
house the demand then shows up as a demand in MRP even though there is
enough inventory to cover the order already in the warehouse.  I would
appreciate hearing from anyone that has experience setting up order types or
warehouse definitions that would avert this effect using this ERP system.
Thanks In Advance.

Mitch Damon, CPIM
Planning Systems Manager
Agrilink Foods, Rochester NY
(585) 383-1070 ext. 250

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