Okay. Let’s be honest, understanding the status in Manufacturing Orders can get a little confusing. Do you understand what these are and when to use them? If not, this might help. If you missed Part 1 – Costing and Inventory Control, Part 2 – Controlling Inventory Quantities using Microsoft Dynamics GP Manufacturing or Part 3 - Controlling Manufacturing Production with Bill of Materials and Routings feel free to catch up.
Back to topic, statuses of Manufacturing Orders or MO.
- Quote/Estimate (this can be set from the Sales Order)
- Open (this can be set from the Sales Order)
- On Hold
- Partially Received
Where do you start? Before materials can be issued to the manufacturing floor for production, the Manufacturing Order must be in a status of Released. Once it has been decided that the Manufacturing Order is going to be built, material inventory can be allocated specifically for that Manufacturing Order or it can be issued to the manufacturing floor. If the Manufacturing Order gets canceled, the unused materials can either be put back into the warehouse for other orders or they can be unallocated.
Make sense so far?
Changes to items? No problem. If changes need to be made to the items that need to be sent to the production floor for a particular order, this can easily be accomplished via the Picklist process. Once materials are issued to the Manufacturing Order, those materials are removed from their inventory storage location (site) and transferred into a Work In Process (WIP) site. (Also during this process you can see if you have material shortages or select serial or lot numbers for the component items.)
Once the Manufacturing Order is either Partially or Fully Received, the related costs are removed from Work In Process and used to make up the cost of the finished good.
Tip: If your processes are not very complex or require little build time, Microsoft Dynamics GP Manufacturing has the capability of putting items into Work in Progress (WIP) and then recording the production that has already happened, with just a couple of mouse clicks.
When you create a MO through SOP there is an automatic link between the line item and the MO that is generated. Through SOP you must backorder (B/O) the part or MO will not see a need to be created. The part must be a Made to Order part from the Item Card.
Build and link parts: From the MO window, you can build apart and then you can link it to a back order (B/O) or SOP (Sales Order Process) so that they tie together. Once you have stock, the SOP will automatically go from a B/O state to the parts being allocated. You must then fulfill the SOP in order to process it throughout the system. You can enter shipping information, BOL (Bill of Lading), freight charges from that box and it will populate the SOP for you.
Let Stoneridge Software help you improve your Manufacturing Resource Planning (MRP).