New support for serial number registration in production

The hotfix in Microsoft Knowledge Base (KB) article 3093049, which is planned for release in mid-October, enables scenarios where registration of a component’s serial number can be postponed until the time of consumption in production. Here is one of the customer scenarios we have been looking at:

Most of the components we use for our machine assemblies are delivered from vendors. These components are typically received on pallets packed in a quantity of for example 200 pieces. Each component has a unique engraved serial number, but we don’t need to register the serial numbers at product receipt. We just register the receipt of the pallet, so that we don’t have to spend time breaking up the pallet and registering each serial number individually. The serial number also isn’t registered when the warehouse worker picks the component for the production order. However, when the assembly worker mounts the component in the assembly, she reads the engraved serial number on the component and updates it in the system. By registering the serial number at the time of consumption, we can print a list that shows exactly which component serial numbers were used in a given assembly. Then, if we receive a complaint, and the issue that is reported can be tracked to a specific component, we can communicate the serial number back to the vendor. In a worst-case scenario, if the issue is systematic (for example, a batch of bad-quality rubber sealing has been used in the component), the vendor will track all the components that are affected and communicate the serial numbers affected back to us. Because we can track the serial number that is used in a given assembly, we can now identify all the assemblies that are affected and take the necessary measures.

This scenario is now supported in Dynamics AX and can be demonstrated by using a simple bill of materials (BOM) that is named Assembly and a serial-controlled item that is named Component.

In the warehouse, the component is tracked only by location and license plate. The serial number of the individual components on the license plate aren’t known at this point.

A production order is released for the assembly, and warehouse work is created to pick up the component.

The warehouse work is processed without specifying the serial number of the picked component.

 

The production order is started, and the production picking list journal is created.

The picking list journal can’t be posted unless a serial number is specified. Any attempt to do so will cause the following error message:

This message indicates that a serial number must be registered before the picking list journal can be posted. The new Register serial numbers menu item that has been added to the Inventory Action Pane button can be used to resolve this error.

 

The journal can now be posted, and the serial number is updated on the issue transaction for the production material line.

The bill of serial for the assembly can now be printed from the tracing tool.

A new field Register serials before consumption has been added to the Tracking dimension groups form to enable this scenario. This field works together with the Capture serial field for the values Picking and Packing. For example, when Picking is selected in the Capture serial field, the serial number also needs to be provided at the time of picking. Also notice that the field Active in sales process, in the grid for the dimensions, should be left un-checked.

Order picking from license plate locations

The hotfix in Microsoft Knowledge Base (KB) article 3093049, that is planned to be released mid-October, enables order picking from license plate locations for raw material picking. This hotfix also introduces a policy that controls the status of the material line after raw material picking has been completed.

Order picking from license plate locations

For raw material picking, there are two picking principles: order picking and staging. The term order picking is used when the ordered quantity is being picked, whereas the term staging is used when the full quantity on the picked license plate is being moved. Up to now, only staging from license plate locations has been possible. However, this hotfix now makes it possible to configure which of the two principles should be used for raw material picking. This policy is controlled at the item level, where a new Material picking in license plate locations field has been added on the Warehouse management FastTab.

 

 

By default, when a new product is created, the value of this field is set to Order picking. When you apply this hotfix on a customer installation, it’s important to change the value of this field to Staging for the items that are picked. Typically, these are the items that have been stored at the license plate locations. 

Controlling the status on the material line after material put

A new Status after material put field has been added to the Inventory and warehouse management parameters.

The value of this field controls the status of the inventory transactions for the production material line after warehouse work for raw material picking has been completed. Up to now, the status has always been Picked.

 

The Picked status deducts physical on-hand inventory. However, feedback indicated that users expect to see the physical on-hand material at the input location after the warehouse work has been completed but not yet consumed by the production order. Therefore, it’s now possible to switch the Issue status between Picked and Reserved physical.

 

When you select Reserved physical, the material appears as physical on-hand (but reserved) inventory at the input location after warehouse work has been completed. 

 

 

 

Overproduction in Microsoft Dynamics AX 2012

 

With the introduction of the new warehouse management capabilities in Microsoft Dynamics AX 2012 R3, it is possible to Report as finished a production or batch order from a handheld device. The only disadvantage of using this capability is that you can’t overproduce. The user will be blocked by the error: Quantity reported as finished exceed the quantity started, and have no option to override the setting.

With Hotfix KB 3034999, we leverage the quantity validation parameters, originally built for the Manufacturing execution module, so the user can now report overproduction from a handheld device.

Overproduction is the term used in Microsoft Dynamics AX 2012 for reporting a production or batch order as finished when the quantity produced is greater than originally planned. This is a common scenario in the process industry and can be caused by many factors, for example, potency and yield.

When you produce more items than planned for a production or batch order, you will get the following blocking error: Quantity reported as finished exceeds the quantity started.

In order to allow for overproduction, you have to select the parameter Accept error in the Report as finished parameters. This will bypass the quantity validation check and then allow for overproduction.

For companies that use the Manufacturing execution module in Dynamics AX2012, there is a more advanced support for overproduction. In this module, you can set up a quantity validation based on different criteria. For example, you can accept overproduction in percent based on the planned quantity, the started quantity, or the quantity reported on the previous operation.

 

To show an example of how overproduction is reported, I have changed the demo script for CU8 “SCM Demo Script – Batch orders and WMS integration” (Attached). I have changed the section:

DEMO: REPORT THE PRODUCTS AS FINISHED AND MOVE THEM TO LOCATION FOR FINISHED PRODUCTS

The following diagram shows the complete logic. The logic was originally only applicable for reporting overproduction from the job registration form in the Manufacturing execution module, but is now applicable for the scenario where the user needs to report overproduction from a handheld device. 

 

SCM Demo Script – Batch orders and WMS integration – Overproduction.pdf