We are testing out MRP for a couple of product lines.
I came across a purchased part where it seems that MRP is ignoring a pending PO receipt.
This parts demand comes from jobs that have is listed as a job material.
I am seeing this “issue” in Time Phase. In this screenshot ( http://screencast.com/t/ObHsdrMq0 ), you can see that it is generating suggestions for the warehouse due to the unfirm jobs for other part numbers.
There is a pending PO receipt on 10/13 for 2,000, which would be plenty to address all other future demand but MRP is generating PO suggestions for each job that comes are the PO receipt.
In the end, we would have an on hand balance that equally the PO receipt.
This part has no minimum on hand or safety stock or any other planning parameters for that matter.
Any ideas on what’s going on here or if I’m missing something?
Thank you Chia.
At this time, I’m not concerned with the individual PO suggestions for each job.
I’m trying to understand why the PO receipt for 2,000 seems to be ignored.
Yes. The screenshot that I linked to is what I’m seeing in Time Phase. I forgot to specify that. It was when reviewing Time Phase that it lead me to see the “issue”.
I reviewed the PO and neither of these boxes are checked. It is a very standard PO that is for 2,000 of these parts that are to be received into stock.
The first suggestion on 10/5 shows that your PO will arrive too late to satisfy those timely, so it creates another suggestion. The other suggestions tell me that maybe those jobs are set up as “Make Direct” (tied to a sales order) and can ignore any purchase orders.
I have seen that happen.
Does your New PO Suggestions show multiple suggestions for the part?
Thanks all for the feedback and questions.
The PO looks good. The Lock Qty and Lock Date fields are NOT checked.
To that point though, wouldn’t that only prevent MRP from suggesting expedites and moves for that particular PO? I wouldn’t expect that MRP would “ignore” the pending receipt.
This part number, 10909-001, is a material on a job for part number 15724-003 and those jobs are “make to stock” for the same warehouse as the warehouse suggestions you see in the Time Phase screenshot and the PO is also for the same warehouse.
I’m going to try running MRP again to see if anything changes.
The Field Help for this Make Direct checkbox says:
Make Direct
When selected, this check box indicates that this material will be manufactured for this job. You can then select a site from the site field; this site will be responsible for manufacturing the part for this job material.
The Make Direct check box will be automatically selected if the part exists in your part master file and this record has its Non-Stock Item check box selected. This indicates that these parts are normally not stored within inventory.
Note that when you select this check box, the Warehouse field and the Purchase Direct check box will not be available. Likewise, if the Miscellaneous Charge check box is selected, the Make Direct option will not be available.
The Help is a bit confusing but this is what it means:
The checkbox refers to a manufactured part that is a material on the job which comes from inventory and is setup as a “Non-Stock” part. The checkbox does not refer to a purchased material for the job.
The Purchase Direct checkbox is for material that is being purchased directly for the job. All parts that are not in the part master are purchased direct.
Thanks all for the help and suggestions.
I reran MRP and the results make much more sense now.
I’m seeing expedite and reduce PO suggestions and end up with a on hand balance of zero.
I’m not sure what happened the first MRP run but all looks good now.
So I thought more about this. Were the jobs “firmed up” before you ran MRP for the second time? That is why I was asking what your PO Suggestions were showing, not Time Phase. You shouldn’t get a PO suggestion generated by MRP until the job(s) is actually firmed.
