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Microsoft Dynamics GP (Archived)

How to allocate PO for raw materials to MO for made item?

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Hello! We are using GP for Make to Order items only. I've gone through the manuals but cannot figure out how to link POs for raw materials to an MO for a made item. My process so far:

- create sales order, backorder items (since they're all made to order)

- create MO during sales order entry

- regen MRP

- use Purchase Request Resolution to create raw material POs

- receive material against the open PO

When I check my MO, it shows a shortage of material AND shows that I have raw material on hand, but 0 allocated. 

How will I know whether it is okay to start work on my MO unless I know that all of the raw materials have been received? We manufacture a lot of different finished goods with similar materials.

Thank you!

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  • Frank Hamelly | MVP, MCP, CSA Profile Picture
    46,625 Super User 2025 Season 2 on at

    Sounds like you might be the defacto production planner Alicia :)  That's typically a planning function - to track material requirements, stock on hand, and incoming material to plan MO releases.

  • Community Member Profile Picture
    on at

    If you're using WIP, you can use the Manufacturing Component Transaction Entry screen to allocate items. Go To it from the MO transaction.

    If you're using backflush, you can click on "Build Picklist". That should re-allocate component items.

    I would consider selecting, "Allocate Inventory when MO Status becomes Released" in Manufacturing Orders Preference Defaults.

  • Community Member Profile Picture
    on at

    Alicia we have the same problem.  What we've done is put a note on the PO to the vendor to reference the MO on the packing slip.  When our warehouse guys receive goods with an MO referenced, they notify planning to allocate/issue them as appropriate.  It's manual, subject to error, and time consuming but it works.  I'd love it if GP could order parts directly to an MO.  Alas, it does not.

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