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Order Life Cycle

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Any order whether it is sales order, procurement order or work order goes through different stages from planning, scheduling and execution. Even after execution, these orders have to be retained for analysis and to find out what went wrong so that corrective action can be taken. During planning, the status of all the orders is taken into consideration. Let us go over this cycle with an example:

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  • Current date is 01/01/03 and total working time per day is 10 hours
  • An order is received for Item A for 10 units with a due date of 10/1/03. This is entered into the system in the Sales Order screen.
  • Finite capacity plan is run from the workflow which will generate a sales order plan.
Item Req.Qty Routing Order Id Order Type Planned Qty Bucket Date
Item A 10 Route 1 WO1 WO 10 8/1/2004
Item B 10 Procure PO1 PO 10 6/1/2004
  • On 06/01/03, when the procurement is shipped from the supplier, the status of the procurement order is changed from Open to Shipped. Now the quantity locked is turned true, as this quantity cannot be changed.
  • On 08/01/03, when the procurement is received, the status of the procurement order is changed from Shipped to Closed. This will move the order to inventory and the procurement order is stored in history. Now when the plan is run, the sales order plan will show the following:
Item Req.Qty Routing Order Id Order Type Planned Qty Bucket Date
Item A 10 Route 1 WO1 WO 10 8/1/2004
Item B 10 Procure PO1 OH 10 6/1/2004
  • From inventory, Item B is issued for the production of Item A. This will cause the inventory of Item B to go down. When the quantity is issued, the pegging between the inventory and WO1 is locked. Also, the quantity of WO1 is locked. Now the status of WO1 is changed from Unreleased to released.
  • On 09/01/03, the work order operation plan is updated for the first operation with quantity completed. If there is still a remaining quantity, then when the plan is run, it will plan for the remaining quantity as well. Now the WO1 is in wip.
  • On 10/01/03, the work order is completed. The status of the work order is changed from Unreleased to Closed. This will move the order to inventory and the work order is stored in history. Now when the plan is run, the sales order plan will show the following:
Item Req.Qty Routing Order Id Order Type Planned Qty Bucket Date
Item A 10 Route 1 WO1 OH 10 8/1/2004
  • After shipping the quantity to fulfil the sales order, the status of the sales order is changed to Closed. This will move the sales order to history and will no longer be planned.