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Dynamics 365 Community / Forums / Small and medium business | Business Central, N... / Automatically create p...
Small and medium business | Business Central, N...
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Automatically create production order and transfer to other location based on bin min quantity

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Posted on by Dominik9 4
We have several warehouse location codes that sometimes contain the same items and need to have a certain minimum quantity of these items.
For example, item XY is stored in location 1 with a quantity of 800. The minimum quantity in this location is 500, so no replenishment is required.
The same item is also stored in location 2 with a quantity of 200 and the min quantity in this location is 400, so we need to produce and transfer at least 200 pieces.
The item is only produced at location 1. When we need to replenish the stock in location 2, it should create a production order in location 1 for a certain quantity and then create a transfer to move the produced parts to the bin in location 2 without touching the stock (800 pieces) in location 1.
 
How can I achieve this behaviour?
  • Suggested answer
    Jun Wang Profile Picture
    Jun Wang 7,443 Super User 2024 Season 2 on at
    Automatically create production order and transfer to other location based on bin min quantity
    I won't say it is not possible to change the logic, but don't believe there is one by changing the setting out of box. Maybe other experts have more lights to shine on this. 
     
    Jun Wang
  • Dominik9 Profile Picture
    Dominik9 4 on at
    Automatically create production order and transfer to other location based on bin min quantity
    And there is no possibility to change that behaviour?
  • Suggested answer
    Jun Wang Profile Picture
    Jun Wang 7,443 Super User 2024 Season 2 on at
    Automatically create production order and transfer to other location based on bin min quantity
    when you set up the replenish for item on location 2 to be transfer from location 1, BC doesn't care your concern and will transfer whatever location 2 needs from location 1. This will take from the 800 from location 1. 
     
    If you reserve the 800 from location 1 to an outbound order like SO, then BC won't consider the 800 as available and will create a production order in location 1, then transfer to location 2.
     
    Jun Wang
  • Dominik9 Profile Picture
    Dominik9 4 on at
    Automatically create production order and transfer to other location based on bin min quantity
    Thanks for your answer Ben.
     
    Sadly this takes the Quantity of 200 from the inventory in Loc 1 which is exactly what I want to avoid.
    BC should basically always create a new production order to replenish the stock in Loc 2.
    Since the item is exclusively produced in Loc 1 I imagine that I need some kind of stock for the recently produced items at Loc 1 and afterwards transfer the produced item from this stock to my Loc 2.
  • Suggested answer
    Ben Baxter Profile Picture
    Ben Baxter 4,915 Super User 2024 Season 2 on at
    Automatically create production order and transfer to other location based on bin min quantity
    You are very close, but not 100% accurate on the creation of the Production Order.
     
    On the SKU for the Location 2 Item, the Replenishment System will be Transfer.  You will need to define a Transfer Route from Location 1 to Location 2.  The Reordering Policy will determine how much quantity is on the Transfer Order.
     
    In your example, a Fixed Reorder Policy with a Reorder Quantity of 400 and a Reorder Quantity of 200 would likely generate a Transfer for 400 (200 to get to 400 and another 200 to get beyond your Reorder point).  OR You could also use a Max. Quantity policy with Reorder Point of 400 and a Max. Quantity greater than 400, which often leads to variable quantities, so use the Order Modifier to make it divisible by your Economic Order Quantity.
     
    Now that you have a Transfer Order from Location 1 to Location 2, you need to define the Replenishment System as Prod. Order (based on your question) for Location 1 SKU.  Then define what your Reordering Policy will be, which will determine the WHEN and HOW MUCH will be Produced.
     
    In your example above, you would have been able to Transfer 200 units from Loc 1 to Loc 2 without crossing your min. quantity (a.k.a. Reorder Point) at Location 1, therefore there would be no suggestion at Location 1 for a Production Order.
     
    I would strongly encourage you to reach out to your BC partner to discuss this further.  There is a lot of flexibility within the MRP settings, so ensuring you get the parameters set correctly will help greatly with User adoption.
     
    If this helped resolve your question, please mark it as a Verified Answer so other forum users can find the answer quickly.
     
    Best Regards,
    Ben Baxter
    Accent Software Inc.

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