Re: PO with shop order

We are also 405 CD, where some production needs to go to outside vendors, or
to a different facility.
We use discrete items which do not mix PO and SO.
We use JIT600 for our labor reporting, which handles inventory updates, and
has SFC600 embedded. We developed our routings before BPCS offered notes,
so our additional descriptions are mainly non-reporting operations which
give instructions to factory workers. So we modified CST270 to eliminate
non-reporting operations from the statistics, to make it more readable.

However, if you look in BPCSDOC there are step-by-step instructions for what
you want, which perhaps could be better written, and include multiple ways
of getting the job done. See SSARUN01 and SSARUN06.

I skimmed over info there, and here sharing what you might study for
starters. We do not use lot control. There may be things you use, which we
do not, which means you will need to go beyond my outline.

Your engineering routings must define, as outside operations, what is to be
done by the outside vendors. The item will need to be setup on a cost per
piece basis. This is done via SFC100.

You might consider including alternate methods. We have found that the most
efficient and cost-effective way of getting parts can depend on quantity
needed. With high quantity, it is usually better we make it ourselves.
With low quantities, outside vendor preferred. So instead of flip flopping
engineering data, or releasing then modifying shop orders, alternate methods
can be designated.

The shop orders will get purchase orders embedded, where their "outside
operation" flag needs to be set to "Y". The shop order number and operation
are entered on the purchase order.

After the embedded purchase orders are created, you use the purchasing
system to manage some of the PO activity, such as scheduling delivery and
inspection, but you will need a unique transaction effect setup by INV150 to
avoid updating inventory from PO delivery, since it is quantity complete on
the outside operation, which generates the inventory.

You cannot purge, or delete, the shop orders until after the purchase order
activity has also been satisfied.

An alternative to the above is to do something similar to what we do, where
the outside operations are at the level of discrete item defined, where you
make some item in-house, then send it out to outside vendor for their work,
then bring it back with a different item #, then continue on with in house
production. Use BOM to define this.

If you want the PO in SO approach, then do as stated earlier, except you
issue materials, to a non-nettable non-allocatable warehouse which
represents what went to the vendor(s), when the components are shipped to
the vendor, and you may also want to have separate transaction effect for
this, to differentiate from shipments associated with CO or RO. When the
vendor returns the completed work, you relieve the component inventory via
multiple-issue backflush.

-
Al Mac
-----Original Message-----
From: bpcs-l-bounces@xxxxxxxxxxxx [mailto:bpcs-l-bounces@xxxxxxxxxxxx] On
Behalf Of Tiago Martins
Sent: Thursday, February 23, 2012 5:47 PM
To: bpcs-l@xxxxxxxxxxxx
Subject: [BPCS-L] PO with shop order

Hi,
Can we create a PO purchase order with shop order on v4.05?
Some help would be appreciated.
Thanks
TM