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Managing PO's and Availability

  • 1.  Managing PO's and Availability

    SILVER CONTRIBUTOR
    Posted Dec 05, 2019 03:15 PM
    Hi All,

    We're currently in the implementation phase of NAV and I was curious how different companies manage their PO's and availability.  Essentially, we handle a lot of finished materials that are in and out the door.  We'll bring in trucks and receive them then pick for shipping the next day.  With that being said, it can be difficult to manage inventory.  We are constantly making quantity changes to our PO's that are coming the following week that effect availability in our peak season.

    I'm just curious if there's anyone out there who deals with a similar scenario and how they manage it within NAV.

    Our idea is to treat a PO blanket order like a work space with multiple PO dates.  Then, manage our availability from the Purchase Line Details fact box.  Then, we'd issue the individual PO's from the blanket once we've massaged the quantities.  It's not ideal, but it's our current solution without having to do a mod in NAV.

    Bradley

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    Bradley Schacht
    Clesen Wholesale
    Evanston IL
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    Academy - Online Interactive Learning from Experts


  • 2.  RE: Managing PO's and Availability

    Posted Dec 06, 2019 10:44 AM
    Hi Bradley,

    Our inventory does not turn around a quickly as you have described, but we do have campaigns when products are coming in and going out relatively quickly. We have opted never to use blanket POs. A good bit of our inventory involves print material, which means that we often have overages and some shortages. When a shipment is received that has an overage, we reopen the PO and add a line(s) for the items with overages and release the PO again so that the warehouse can receive them. If there is a shortage in the receiving, our standard practice is to cancel any backorder. Thus, as soon as the PO is received in NAV, we can cancel the line on the PO so that the remaining quantities are removed. Using this process, our availability remains accurate.

    We do use bins in our warehouse. However, to manage those times of high volume and quick turnaround, we receive those items into a production area which we have entered as bin PROD. We receive and pick directly from PROD. Once the campaign is over, we do internal movements to transfer the remaining quantities to numbered bins in the warehouse.

    I hope this information is helpful.

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    Ken Elliott
    Director, Financial Operations
    Billy Graham Evangelistic Association
    Charlotte NC
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    Academy - Online Interactive Learning from Experts


  • 3.  RE: Managing PO's and Availability

    SILVER CONTRIBUTOR
    Posted Dec 06, 2019 01:31 PM
    Hi Ken,

    This is helpful from a receiving standpoint.  We deal with overages and shortages as well and run a similar business process.  We plan to use bins too.

    How do you manage your availability prior to receiving?  Are you utilizing the requisition worksheet to know how much to order?  What's your process when creating purchase orders and choosing your quantities based on future availability?

    Bradley

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    Bradley Schacht
    Clesen Wholesale
    Evanston IL
    ------------------------------

    Academy - Online Interactive Learning from Experts


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