project manufacturing overview - oracle · project number structure: • user defined by company...
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Project Manufacturing Overview
The following is intended to outline our general product direction. It is intended for information
purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any
material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any
features or functionality described for Oracle’s products remains at the sole discretion of Oracle.
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Project Manufacturing Agenda
• Project Manufacturing Overview • JD Edwards EnterpriseOne Implementation • Project Manufacturing Details • Engineer to Order verses Project Manufacturing • Closing – Key Points
A manufacturing methodology in which orders and inventory
associated to a demand order is tracked through a unique
Production Number
5 Copyright © 2011, Oracle and/or its affiliates. All rights reserved.
Why Project Manufacturing?
Industry Initiatives: • Enable visibility and tracking of the customer order throughout the manufacturing process
• Ability to respond quickly to customer changes
•Separation of inventory by customer demand
Business Goals: • Improves visibility to the shop floor
• Improve customer satisfaction
•Simple allocation for critical customers
6 Copyright © 2011, Oracle and/or its affiliates. All rights reserved.
Why Project Manufacturing?
Types of Industries: • Fabrication Manufacturers
• Government/Military Suppliers
•Customer Centric Distributors
Business Processes: • Repetitive Projects
• Ability to move orders/projects around on the shop floor
• Ability to separate inventory based on customer
Enables companies to define and track customer demand from sales order entry through material management through shop floor activities and final shipment
Project Manufacturing Solution:
Integrated Solution
Project Manufacturing references supported in all manufacturing activities
Mfg
Suppliers
Subcontractors
Work Order Processing
Configure to Order
Planning Shop Floor
Mixed Mode Manufacturing
Sales Orders
Forecasts
Purchase Orders
Ownership Tracking Via Project Manufacturing Inventory
Operations Transfers
Adjustments Issues
Work Orders
Material Issues Completions
MRP
Purchase Orders
PO Distributions Receipts
Requisitions
Demand Orders
Sales Order Line Transfer Orders ATO/PTO/MTO
Forecasts
Project Manufacturing Workbench
Work Orders (WIP)
Procurement Planning
Sales Orders
Forecasts Inventory
Project Manufacturing - Based Supply Chain Hard Pegging
Project1
Project3
Project2
Customers All activities tied to a PRODUCTION NUMBER Improves overall visibility in the supply chain
Suppliers / Subcontractors
Project Manufacturing - Based Supply Chain Soft Pegging
Project1
Project3
Project2
Customers All activities tied to a PRODUCTION NUMBER Improves overall visibility in the supply chain
Suppliers / Subcontractors
Production Number Controlled Item 3
Production Number Controlled Item 2
You can decide at which level activities are tied to a PRODUCTION NUMBER – common components can be shared to improve efficiencies
Suppliers / Subcontractors
Customer 3
Customer 1
Customer 2
Production Number Controlled Item 1
New Applications for Project Manufacturing
P34401 – Production Number Master
P34403 – Production Number Workbench
P34402 – Production Number Structure Definition
P34404 – Production Number Reassignment
Used to generate Production Numbers for use with
production controlled items
Used to review all supply and demand for a specific Production Number
Used to define the structure of Production Numbers when
creating/generating new Production Numbers
Used to reassign work orders, purchase orders, and inventory for production controlled items
that do not have associated demand
Project Manufacturing Implementation
Requirements Planning
(System 34)
Production Controlled Items Create Demand
Production Controlled Items MRP Processing
Production Controlled Items Work Order and Purchase Order Processing
Purchase Order Processing
18 Copyright © 2011, Oracle and/or its affiliates. All rights reserved.
Sample of Project Mfg Number Structure
2 0
Company 1 Example
Last 2 digit of Year
Production Key Next Number
1 1 2 3 4 5 3 7 8 6
Company 2 Example
Last 2 digits of the Year
2 Digit Month
Sales Region
Project Number Structure: • User Defined by Company • Multiple Types per Company • Alpha Numeric • 30 Characters • Separator Optional 2 - 1 3 - 0 A - N 1 1 1 1
Production Key Next Number
2 Digit Month
Company 3 Example
4 Digit Year Customer Number
0 2 2 4 / 0 / 0 2 1 2 1 2
Production Key Next Number
1 4 2 / 2 1 0 2 0
Item Number
Item Definition – Item Master & Item Branch Setup of Production Number Control
Check box to allow Production Numbers to be assigned to this Item’s Demand Orders
Item Master record must be checked in order to check the box in the Item Branch.
Item Definition Inventory Adjustments
Tank, Wine, 8'H X 4'D, SS
120000
Tank, Top Assembly, 4'
Diameter (SA) 120010
Man-Way, 24" Non-Pressure,
SS (P) 120001
Lifting Lug, 800Gal, SS (P)
120002
Man-Way, 18" Pressurized,
SS (P) 120020
Bottom Man-Way Assembly,
4' Diameter (SA) 120030
Man-Way, 18" Non-Pressure,
SS (P) 120040
Bottom Drain, 4" SS (P) 120003
Racking Port, 2" SS (P) 120004
Stand, 4' Diameter, SS (P)
120005
Example – BOM Structure Definition
Non-Production Number Controlled Items
Production Number
Controlled Items
Production Number Controlled Item
Non-Production Number Controlled Item
P34401 – Production Number Master
Used to generate Production Numbers for use with
production controlled items
P34402 – Production Number Structure Definition
Used to define the structure of Production Numbers when
creating/generating new Production Numbers
Production Structure Definition Define a New Production Number Type
Production Structure Definition Define a New Production Number Type
Define the Segments
Select Company
Select Production Number Type – User Defined Value
Define the Separator Value
30 Character Maximum
Production Structure Definition Define a New Production Number Type
Define the segments
Production Number Master Manual Production Number Creation
Add a Production Number
Production Number Master Manual Production Number Creation - Required Fields
Enter Company
Enter Production Number Type
Enter Item Number
Defaults to System Date
Creates based on Definition
Can also be generated
Production Number Master Manual Production Number Creation - Required Fields
Required Field due to Definition
Required Field due to Definition
Production Number Master Manual Production Number Creation – Error Handling
Customer Number is Required
Because of the Production Number Type Definition
Production Number Master Manual Production Number Creation
New Production Number created Based on Definition
P4210
Sales Order Entry New Processing Options
Note: P42101 calls a version of P4210 so no additional processing option in
P42101 is needed.
Sales Order Entry New Grid Column
Sales Order Entry How to enter a Production Number
1) Select from Production Number Visual Assist
Sales Order Entry How to enter a Production Number
2) Select Row Exit to Generate a new Production Number based on Production Number Type value in Processing Options
Sales Order Entry How to enter a Production Number
3) Manually Enter a Production Number
4) Automatically generated on Row is Exited and Changed processing if Production Number Generation Processing Option is set to ‘1’
R3460
Forecast Entry New Processing Options
New Processing Option Tab
Forecast Entry New Grid Column
Forecast Entry How to enter a Production Number
1) Select from Production Number Visual Assist
Forecast Entry How to enter a Production Number
2) Select Row Exit to Generate a new Production Number based on Production Number Type value in Processing Options
Forecast Entry How to enter a Production Number
3) Manually Enter a Production Number
4) Automatically generated on Row is Exited and Changed processing if Production Number Generation Processing Option is set to ‘1’
R3482/R3483
Material Requirements Planning Processing Options
New Option for Existing Processing Option. Note:
Option 1 (ETO) and Option 2 (Project Mfg) are mutually
exclusive
Planning Messages New Field
Pegging Inquiry Soft/Hard Pegging Example
Component 120010 for end item 120000 has the following orders associated to a particular Production Number
Pegging Inquiry Soft/Hard Pegging Example
Component 120030 for end item 120000 has no orders associated to a particular Production Number
Tank, Wine, 8'H X 4'D, SS
120000
Tank, Top Assembly, 4'
Diameter (SA) 120010
Man-Way, 24" Non-Pressure,
SS (P) 120001
Lifting Lug, 800Gal, SS (P)
120002
Man-Way, 18" Pressurized,
SS (P) 120020
Bottom Man-Way Assembly,
4' Diameter (SA) 120030
Man-Way, 18" Non-Pressure,
SS (P) 120040
Bottom Drain, 4" SS (P) 120003
Racking Port, 2" SS (P) 120004
Stand, 4' Diameter, SS (P)
120005
Example – BOM Structure Definition
Production Number Controlled Item
Non-Production Number Controlled Item
Non-Production Number Controlled
Therefore Production Numbers are Not Associated
Production Number Controlled Therefore Production Numbers
are Associated
Pegging Inquiry Soft/Hard Pegging Example
Production Number Controlled
Non-Production Number Controlled
Tank, Wine, 8'H X 4'D, SS
120000
Tank, Top Assembly, 4'
Diameter (SA) 120010
Man-Way, 24" Non-Pressure,
SS (P) 120001
Lifting Lug, 800Gal, SS (P)
120002
Man-Way, 18" Pressurized,
SS (P) 120020
Bottom Man-Way Assembly,
4' Diameter (SA) 120030
Man-Way, 18" Non-Pressure,
SS (P) 120040
Bottom Drain, 4" SS (P) 120003
Racking Port, 2" SS (P) 120004
Stand, 4' Diameter, SS (P)
120005
Example – BOM Structure Definition
Production Number Controlled Item
Non-Production Number Controlled Item
Non-Production Number Controlled
Production Number Controlled
but item is a lower level of a non-Production Controlled Item
Work Order Entry New Field
Work Order Entry New Field
1) Propagated from Planning Messages 2) Manually Entered
Work Order Entry New Field
3) Select from visual assist
Work Order Entry New Field
No Generation of Production Number. Production Numbers are only generated for Demand Orders not Supply Orders.
Definitions
1. Generic inventory: Items that are not production number controlled and, therefore, are not
associated with a production number
2. Inactive production numbers These are production numbers that have the Production Number Status
set to Inactive in the Production Number Master program
3. Orphaned production numbers These are production number that are no longer associated with a
demand order
4. Production number with the farthest end item demand date The demand date of a production controlled item that is farthest in the
future.
Work Order Inventory Issues New Processing Option
Processing Option used for interactive Backflush processing only.
If Blank is selected and there is insufficient inventory for the Production Number the program will use the following order for Inventory Issue Blind Processing: 1. Generic inventory 2. Inactive production numbers 3. Orphaned production numbers 4. Production number with the farthest end
item demand date
Work Order Inventory Issues New Grid Field
Work Order Inventory Issues New Header Field
Work Order Inventory Issues Inventory Consumption
Generic Inventory
Orphaned Production Number Inventory
Work Order Inventory Issues New Row Exit to Production Number Specific Location
Work Order Inventory Issues New Production Number On Hand Form – P42054
Work Order Completion New Processing Option
Work Order Completion New Processing Option for Reversals
If Blank is selected and there is insufficient inventory for the Production Number the program will use the following order for REVERSING THE COMPLETION: 1. Generic inventory 2. Inactive production numbers 3. Orphaned production numbers 4. Production number with the farthest end
item demand date
Processing Option used for Completions reversal only.
Work Order Completions New Grid Field
Work Order Completions New Grid Field
Work Order Completions New Grid Field
Work Order Completions New Form Exit
Work Order Completions New Form Exit
Work Order Completions Production Number as Lot Number
Work Order Completions Production Number as Lot Number
Purchase Order Entry New Field
Can be selected from visual assist or typed in but no Generate Production Number row exit
PO Receipt Entry P4312 New Grid Field
P34403 – Production Number Workbench
Used to review all supply and demand for a specific Production Number
P34404 – Production Number Reassignment
Used to reassign work orders, purchase orders, and inventory for production controlled items
that do not have associated demand
Production Number Workbench Overview
Create Work Orders
Create Purchase Orders
Reassign Production Numbers
Inquire on Supply & Demand
Production Number Workbench Sub-Forms
Review Purchase Orders
Review Work Orders
Review Sales Orders
Review Forecasts
Review Inventory
Production Number Workbench Forecast Sub-Form
Only one demand record per production number
Production Number Workbench Sales Order Sub-Form
Production Number Workbench Work Order Sub-Form
Production Number Workbench Purchase Order Sub-Form
Production Number Workbench Purchase Order and Inventory Sub-Forms
Received against Production Number
Inventory based on Production Number
Production Number Reassignment
Production Number Reassignment
Canceled Forecast – inventory will be relieved from this
production number
Production Number that will receive the
inventory
Production Number Reassignment
Production Number Reassignment
Production Number Reassignment
How to Position: ETO verses Project Mfg
Leverage Projects created in ETO Create Lightweight Projects in SCM
Cost by Project Cost as Usual
Comparison ITEMS JDE E1 ETO Project Manufacturing
1 Purpose of functionality Engineering. WBS. Plan/Actual cost management
Process visibility through Production Number
2 Target industry Custom made Fabrication/Mass-Produced
3 Scope of production method ETO MTO, ATO, MTS
4 Frequency of sales order Almost one time only Repetitive
5 Production volume Low High
6 Total throughput time Few months to 1year One day to one month
7 Which number to peg all orders? Project Number Production Number
8 Which order can be pegged? SO, WO, PO Forecast, SO, WO, PO
9 How to peg the number to all orders?
Auto-assign Project number through PRP
Auto-assign Production Number to orders through
MRP
10
Can Inventory be reserved for project?
Only through Financial Commitments Production Number
11 Order progress is visible? N/A Project Mfg Workbench
How to Position: Differences between ETO and Project Mfg
Closing - Key Points
What is Project Manufacturing? A manufacturing methodology in which orders and inventory
associated to a customer order is tracked through a unique Production Number
What is the Goal for Project Manufacturing? Improve customer satisfaction by providing visibility to the
customer’s demand throughout the manufacturing process to ensure on-time, high quality delivery of product
What Business Process does Project Manufacturing Solve? Enables companies to define and track customer demand
from sales order entry through material management through shop floor activities and final shipment
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