Intercompany Order Processing

Transcription

1 Intercompany Order Processing

2 Introductions Brian Clark Joined Logan Consulting in 1997 Equity Partner in the Firm QAD implementation experience since 1997 Manufacturing and Distribution Focus

3 Why Interco? International Transactions require an armslength transaction. Allows variability between sites for item numbers. Some intercompany transactions are revenue generating transaction funds change hands.

4 Intercompany vs. DRP Release management similar to customer/supplier process. Control the pricing/costing element more precisely. Scales to multiple domains/databases more easily than DRP.

5 Interco vs. EMT Interco EMT Customer Buy Site Customer Customer Sell Site

6 Example Selling Site Site: US01 Customer: IC1000 Manufactured Parts Sold to many customers Buying Site Site: US02 Supplier: IC5000 FG0074 I0002 I0007 I0002 I0007 I0042 COMP1 COMP2 COMP3 Purchased Parts Schedule Based

7 Interco Setup Buying Site Create Intercompany Supplier Records Create Supplier Intercompany Price List Supplier Schedules created with ERS activated. Selling Site Create Intercompany Customer Records Enable Self- Billing for each Intercompany customer. Create Customer Intercompany Price List Customer Schedules created.

8 Interco Setup Buying Site Selling Site Create Intercompany Supplier Records Create Intercompany Customer Records Enable Self- Billing for each Intercompany customer. - Credit Terms considerations. - Business Relation/Address conventions. - Supplier/Customer Type or simplified screens. - Automation not likely required.

9 Customer Data

10 Supplier Data

11 Interco Setup Buying Site Selling Site Create Supplier Intercompany Price List Create Customer Intercompany Price List - Determine intercompany pricing policy. - Synchronization is critical, consider automation. - Discrete orders require different support.

12 Price Lists Scheduled Orders

13 Interco Setup Buying Site Selling Site Supplier Schedules created with ERS activated. Customer Schedules created. - Opportunities for 862 & 830 data exchange. - Monitor using appropriate browses/custom reports. - Again, synchronization is critical. - Automation more complicated, but possible. - Netting logic and CUM adjusts possible. - Item Replacement possible.

14 Customer/Supplier Schedule

15 Processing Orders Buying Site Run MRP to create Planned Purchase Orders Run Supplier Shipping Schedule Export (35.4.8) Update from MRP to 830/862 Releases. Material arrives at purchasing site. ASN imported into receiving site as a PO Shipper. Purchasing site processes PO Shipper Receipt. Run ERS Processor to generate supplier invoices Supplier Payment Selection Create Supplier Payment Selection Execute (Generates 820) Supplier Payment Selection Confirm EDI EDI 830/862 transmitted to shipping site. EDI 856 transmitted to receiving site. EDI 820 imported generates Self-Bills Selling Site Process 830 / 862 against Customer Scheduled Order (EDI). Run Required Ship Schedule Update to generate RSS. Pick/Ship process results in shipper. Confirm Shipper and capture Self- Billing information. Shipment ASN Export (35.4.1) Material leaves selling site. Self-Bill Created for matching invoice or adjustment Customer Invoice Paid. AR Cleared Self-Bill Confirm

16 Processing Orders Buying Site EDI Selling Site Run MRP to create Planned Purchase Orders Process 830 / 862 against Customer Scheduled Order (EDI). Run Supplier Shipping Schedule Export (35.4.8) EDI 830/862 transmitted to shipping site. Update from MRP to 830/862 Releases. Run Required Ship Schedule Update to generate RSS. - Planning and Shipping Schedules align. - RSS allows merging per netting logic. - Standard EDI process on both sides. - Critical to keep orders in alignment. - Similar process can be handled for discretes.

17 FG Forecast

18 FG Demand

19 MRP Detail

20 Update Schedules from MRP

21 PO_BUYER

22 Supplier Schedule Release

23 Customer Schedule Release

24 Processing Orders Buying Site EDI Selling Site Material arrives at purchasing site. ASN imported into receiving site as a PO Shipper. Pick/Ship process results in shipper. Confirm Shipper and capture Self- Billing information. EDI 856 transmitted to receiving site. Purchasing site processes PO Shipper Receipt. Run ERS Processor to generate supplier invoices Shipment ASN Export (35.4.1) Material leaves selling site. - Pick/Ship process similar to normal orders. - ASN Export triggers PO Shipper import. - ERS creates payable records automatically. - Consider ASN container/lot contents. - Discrepancy resolution still an issue.

25 Shipper Workbench

26 Shipper Confirm

27 ASN/PO Shipper

28 PO Shipper Maintenance

29 PO Shipper Confirm

30 ERS Processor

31 six_ref Browse

32 Processing Payments Buying Site EDI Selling Site Supplier Payment Selection Create Self-Bill Created for matching invoice or adjustment Supplier Payment Selection Execute (Generates 820) EDI 820 imported generates Self-Bills Customer Invoice Paid. AR Cleared Supplier Payment Selection Confirm Self-Bill Confirm - Timing of payment drives the workload. - Selection Execute creates the electronic payment file (EE). - Import of 820 creates the Self-Bill, does not confirm it. - Reconciliation still a month end event, but with more helpful information. - Likely need a browse for intransit PO Shippers for reversing journal entry.

33 Supplier Dashboard

34 Supplier Payment Selection

35 Payment Confirm

36 Supplier Payment Execute

37 Supplier Dashboard

38 Customer Dashboard

39 Self-Bill Maintenance

40 Self-Bill Confirm

41 Customer Dashboard

42 QAD Modules QAD Version EE and SE differ from a banking transaction standpoint. Bank Driver approach (820) will be optimal for EE. SE will likely require some development to achieve 820 automation. Release Management Release Management not required for this process, but offers ideal forecast and shipment requirement capability. Spot orders can be handled by discrete orders. Self-Billing/ ERS Released in QAD SE version 9.0. Could require some patching in earlier versions of QAD. Good way to begin using Evaluated Receipts Settlement for the first time. Shippers vs. Standard Shipping Required for ASN s and PO Shipper import. Difficult to implement shipment/payment benefits without the use of Shippers. ecommerce Without ecommerce, the interfacing would need to be custom extracts/uploads.

43 Automation Buying Site Run MRP to create Planned Purchase Orders Run Supplier Shipping Schedule Export (35.4.8) Update from MRP to 830/862 Releases. Material arrives at purchasing site. ASN imported into receiving site as a PO Shipper. Purchasing site processes PO Shipper Receipt. Run ERS Processor to generate supplier invoices Supplier Payment Selection Create Supplier Payment Selection Execute (Generates 820) Supplier Payment Selection Confirm EDI EDI 830/862 transmitted to shipping site. EDI 856 transmitted to receiving site. EDI 820 imported generates Self-Bills Selling Site Process 830 / 862 against Customer Scheduled Order (EDI). Run Required Ship Schedule Update to generate RSS. Pick/Ship process results in shipper. Confirm Shipper and capture Self- Billing information. Shipment ASN Export (35.4.1) Material leaves selling site. Self-Bill Created for matching invoice or adjustment Customer Invoice Paid. AR Cleared Self-Bill Confirm

44 Thank You!