Microsoft Dynamics AX Production floor app is available in the Microsoft Windows App store

Along with Microsoft Dynamics AX 2012 R3, Microsoft has released the Windows 8 Production floor app that works with the product. This app is compatible only with installations of Microsoft Dynamics AX 2012 R3 or later.

With the Production floor app, you have a mobile, actionable overview of the production jobs that need your attention today. You can quickly perform daily production tasks such as starting jobs, reporting jobs as finished, and registering breaks and absence. Large font sizes and input controls improve readability and make the app easy to use while you’re on-the-go.

Want to try it out? You can download the app from the Microsoft Windows App store  http://apps.microsoft.com/windows/en-us/app/cc07f817-e74c-48aa-86ad-1c0345fff989 and run it in a demonstration mode that lets you explore the features without a connection to Microsoft Dynamics AX.

 
 

What's new in Microsoft Dynamics AX 2012 R2 – Batch order sequencing

Many process industries are faced with a need to sequence the production of their products by using multiple levels of complexity. Production is sequenced based on a particular criteria that is assigned the highest priority. Production within that sequence is then further sequenced based on additional criteria that are assigned appropriate priorities. For example, a paint facility is configured so that production is first sorted by color and then by package size. This enables the cleanup time between colors to be reduced. However, there is a change to the packaging line equipment. Then the container configuration has a higher priority than the cleanup time that is required for color changes.

 

The batch order sequencing feature enables a production planner to sequence products on a bottleneck resource in the production facility. You can define sequences and sequence groups. The sequences can be characteristics of items that are used to identify how to sequence the items in production. Sequence groups define how certain sequences are prioritized. You can assign sequences to items and assign sequence groups to bottleneck resources. When you apply a sequencing principle to the MRP, the expected results are calculated.

What's new in Microsoft Dynamics AX 2012 R2 – Lot inheritance

Process industries often produce items for which certain characteristics, or attributes, of the ingredients need to be transferred or inherited to the manufactured items. These manufactured items may be finished goods and/or co-products. In many cases, only certain characteristics need to be inherited since these characteristics may become diluted when mixed with other ingredients. In some cases, the characteristic may represent an important attribute that needs to be tracked to the end items due to regulatory or other reasons.

Lot Inheritance enables users to configure items in a manner in which the product characteristics and shelf life information of the finished products can be updated by using the ingredients of the formula that is used to produce that item. For shelf life information, this enables users to define items so that the inventory batch that has the earliest shelf life dates updates the finished products, and the shelf life dates of the finished products are inherited from the inventory batch. For product characteristics, this enables users to define batch attributes for both the finished items and their ingredients, and then select the ingredients that pass their characteristics or attribute values to the finished good items. Users can also select to update co-products by using the same information for shelf life and product characteristics on a formula-by-formula basis.

 

 

 

 

 

What's new in Microsoft Dynamics AX 2012 R2 – Attribute based pricing and batch balancing

In Microsoft Dynamics AX 2012 R2 we introduce the batch balancing and attribute based pricing features that are used with potency management. Batch balancing feature enables you to modify a production formula by selecting the inventory batches of the active ingredients based on their current potency. Attribute based pricing is applied to the pricing of a potency item.

As the potency of an active ingredient can differ per batch, the quantities of active, compensating, and filler ingredients for a batch order need to be balanced to accommodate the amount of material that is required for production. This also means that after a batch order is created for a formula that includes an active ingredient, the picking list journal cannot be automatically created and posted. The batches of inventory that are selected for the required active ingredient must be picked before the batch order can proceed. This is performed by using the batch balancing function of the batch order. After inventory is reserved for the active ingredients, the balanced quantity for the compensating ingredients can be calculated. To determine the balanced quantity of the compensating ingredient, the following formula is used:

 

These calculations are part of the batch balancing function in Microsoft Dynamics AX 2012 R2 .

 

Attribute based pricing is applied to the pricing of a potency item which is an item that has a concentration of an active ingredient. This potency, or concentration, of active ingredient can be used to affect the amount of material that is required in production or the amount that is paid to a vendor based on the concentration level.

To calculate batch attribute pricing, take the purchase price and divide it by the batch attribute target to get a price per unit at 100% concentration. Then multiply by the batch attribute actual value. For example, a potency item has a price of $55.00 per lb. at a standard/target potency of 40%. If a batch of inventory of this item is received, and it is determined to have an actual potency of 46%, the price per lb. is (($55.00/40) * 46) $63.25. This is a higher price than the standard price that is paid for this material, because the active ingredient concentration of the material is higher and therefore, you use less than the normal quantity in production.

 

 

What's new in Microsoft Dynamics AX 2012 R2 – Potency management

With this blog entry, I would like you to familiarize you with the concepts that we have introduced in Microsoft Dynamics AX 2012 R2 to support potency management.

Potency management lets users define products as having a concentration of an active ingredient. The concentration of active ingredient can be used to affect the amount of material that is required in production or the amount that should be paid to a vendor based on the
concentration level.

 Potency management

Process industries often have formulas that contain one or more active ingredients. For each active ingredient there may be one or more compensating ingredients. These compensating ingredients for a single active ingredient may have different effects based on the difference in the concentration level of the reserved inventory batch and the standard level of concentration for that particular active ingredient. In some cases, the requirement of compensating ingredient may increase to offset the increase in the concentration level of the active ingredient. In other cases, the requirement of compensating ingredient may decrease to offset the increase in the concentration level of the active ingredient. These are known as complimentary and opposing effects.

 

A complimentary effect occurs when the concentration level of the reserved batch for the active ingredient increases and therefore, less of the active ingredient is required and less of the compensating ingredient is required. A complimentary effect
also occurs when the concentration level of the reserved batch for the active ingredient decreases, and more of the compensating ingredient is required. In ice cream manufacturing for example, a formula for ice cream may contain milk that has a potency of 2% milk fat as an active ingredient, and milk powder as a compensating ingredient. If milk that has 4% milk fat is used for that production batch instead, then less milk powder, which compensates for the milk fat, is required.

An opposing effect occurs when the concentration level of the reserved batch for the active ingredient increases, and therefore more of the active ingredient is required and more of the compensating ingredient is required. An opposing effect also occurs when the concentration level of the reserved batch for the active ingredient decreases and less of the compensating ingredient is required.  In food production for example, a formula for potato chips may contain potatoes that have a certain level of moisture,  as the active ingredient. The compensating ingredient is the oil that is used to fry the potato chips. When the moisture content in the potato chips rises, then more oil is required to boil off the excess moisture. If the potatoes are drier, then less oil is needed.

There can be one or more formula ingredients that are configured as filler ingredients. Filler ingredients are used to fill up or ”top off” the batch quantity to achieve a required amount. Due to the nature of active ingredients and the required amount of compensating ingredients that result from the principle factor, the total amount of the active and compensating ingredients may be less than the estimated quantity totals. When this situation occurs, an adjustment is made to the quantities of filler ingredients to achieve the required quantity of the formula item. When more than one filler ingredient exists in the formula, then the adjustment amount is applied to the filler ingredients based on their relationship to each other.