Case Study: Low Carb Dilemma Files

1.  Low Carb Dilemma

2.  Enter New Material Master Records

3.  Create New Vendor

4.  Create Purchasing Info Records

5.  Purchase Splenda and Soy Protein

6.  Create Production Data

7.  Set up sales views and prices

8.  Create Sales order

9.  Process Production orders

II. Enter New Material Master Records (Raw Material (Soy Protein) & Splenda), Semi-finished Goods (NRG-C Dough), and Finished Goods (NRG-C)

1.  Create Material Master Data for Raw Materials (Raw Material (Soy Protein) & Splenda)

Logistics> Materials management > Material Master > Material > Create (special) > Raw Material

Material: ##R430, Retail, Select views (Basic data 1, Purchasing, General Plant Data/ Storage 1, Accounting 1, Costing 1)

Organizational levels: ##PT- Plant

Basic Data 1: ## Soy Protein, LB, Manu (Raw material and semi-finished Goods)

Purchasing: ##B for Bulk Grains

Accounting 1: Valuation class- 3000 (Valuation for Raw material), Moving Average Price: 0.50

Costing 1: Check both - With Qty structure, Material Origin

Similarly create raw material Splenda

Purchasing Group ##S, Valuation class – 3000, Moving Average Price – 20.00, Check both - With Qty structure, Material Origin.

2.  Create Material master data for the semi-finished Product ## NRG-C Dough

Logistics> Materials management > Material Master > Material > Create (special) > Semi finished product

Material: ##S220, Retail, Select views (Basic data 1, Purchasing, General Plant Data/ Storage 1, Accounting 1, Costing 1)

Organizational levels: ##PT- Plant

Basic Data 1: ## Dough NRG-C, LB, Manu (Raw material and semi-finished Goods)

Accounting 1: Valuation class- 7900 (Valuation for Raw material), Price Control S, Standard Price: 0.63

Costing 1: Check both - With Qty structure, Material Origin

3.  Create Material master data for the finished Product ## NRG-C

Logistics> Materials management > Material Master > Material > Create (special) > Finished product

Material: ##F120, Retail, Select views (Basic data 1, Purchasing, General Plant Data/ Storage 1, Accounting 1, Costing 1) Need for Sales view – Extend the material master record afterwards

Organizational levels: ##PT- Plant

Basic Data 1: ## NRG-C, LB, SALES(Finished Goods), Gross Weight 80, Net Weight – 72 LB

Ø  Additional Data – 1 Pallet = 15 Cases

Accounting 1: Valuation class- 7920 (Valuation for Finished Goods), , Standard Price: 255.40

Costing 1: Check both - With Qty structure, Material Origin

III.  Create New Vendor

1.  Create Vendor Master Centrally

Logistics> Materials Management > Purchasing> Master Data > Vendor> Central > Create

Company code: 01FS, Purchasing Organization:##PR, Account Group: KRED

Title: Company, Name: ## Adrian Additives, Search term ½: ##, Street/ House Number: 1390 Arrowhead Road, Postal Code: 49221, City- Adrian, Country: US, Region- MI., Tax Jurisdiction Code-

Create Vendor: Accounting Information Accounting:

Reconciliation Account: 300000

Create Vendor: Payment transactions Accounting

Payment Terms (0001)

Create Vendor: Purchasing Data

USD, 0001 (Terms of Payment)

Save.

Vendor created for company code, purch org.

IV.  Create Purchasing Info Records

Logistics> Materials Management> Purchasing> Master Data > Info record> Create

Search find the vendor ## Grand Rapids Grains

##R430 – Material; ##PR- Purchasing org: ##PT- Plant

Pld dely time: 10; Purch Group: ##B, Standard qty: 5000; Net Price: 0.50

Save.

Repeat the same for Vendor ##Adrian Addtives and the material ## Splenda

Search find the vendor ## Adrian Addtives

##R440 – Material (Splenda); ##PR- Purchasing org: ##PT- Plant

Pld dely time: 5; Purch Group: ##S, Standard qty: 1000; Net Price: 20.00

V.  Purchase Splenda and Soy Protein

1.  Create Purchase Orders

Logistics> Materials Management > Purchasing> Purchase Order> Create > Vendor Unknown

Order type: NB; ##B- Purchasing Group; Plant: ##PT, Storage Location- 100

Material- ##R430 – 5000 (Qty); ##R440 – 1000 Qty.

Select All > Assign Supply Source> Select All > Generate Purchase Order

Double click: ## Grand Rapids Grains

Click: Open Request ions; Adopt; Conditions Tab: $2500

Save.

Double click: ## Adrian Additives and create a purchase order for Splenda

Search for Purchase docs per Vendor

Click: Open Request ions; Adopt; Conditions Tab: $2500

Save.

4.  Record a goods Receipt

Logistics> Materials management> Inventory Management> Goods Movement > Goods Receipt> For Purchase Order> GR for Purchase Order

Search for Purchase docs per Vendor

Double click the first P.O. for Soy Protein

Check the OK box to confirm the receipt

Save.

Repeat the receiving process for Splenda

5.  Verify Material Receipt

Material: ##R430; Plant: ##PT - 5000(Unrestricted use)

##R440 – Material (Splenda)- 1000 (Unrestricted use)

$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$

VI.  Create Production data

1.  Define MRP views for Raw materials (Soy Protein and Splenda)

2.  Create MRP and Work Scheduling views for Semi-Finished Materials (Dough for NRG-C bar)

3.  Create MRP and Work Scheduling views for Finished Goods (NRG-C bar)

4.  Create New Bill of Material for NRG-C Bar (NRG-C Dough – 500 lbs for 7 cases of Dough)

5.  Create BOM for NRG-C Dough (Soy Protein(instead of Oats and Wheat Germ ) & Splenda (replacing honey))

6.  Create the NRG-C Routing

7.  Create the Dough NRG-C Routing

VII.  Setup Sales views and Prices

1.  Create Sales views for Finished Products (NRG-C bar) (Wholesale & Direct)

2.  Create Material Prices (315 USD)

3.  Create a Sales Order

4.  Review Sales Order in Stock/ Requirements List

5.  Run MRP to create Production Orders

VIII.  Process Production Orders

1.  Purchase Required Raw material

2.  Create Purchase Order from Requisition

3.  Record Goods Receipt

4.  Verify Material Receipt

5.  Create Production Order for Dough NRG-C

6.  Goods Issue

7.  Enter Confirmation of Production

8.  Enter Goods Receipt from Production

9.  Create Production Order for NRG-C Bars