Master Planner Working Examples for BOM- Phantom
The BOM- Phantom item itself never gets manufactured, which means we don’t need PWO for it and never spend production time on it. While the components of a BOM-Phantom will display on the Master Planner, and the rules for their replenishment order action messages will be according to their item master information, majority of the situations are “Create PO”.
There is a BOM-Phantom item called “Tool Kit”. Let’s have a look of the item master details and BOM details first.
The Estimated Production Time= 0, because once the components are received, the tool kits can be packed/shipped immediately. Qty on Hand= 0. Coverage Code= Requirement. For BOM- Phantom items, we recommend to set “Requirement” as Coverage Code, because normally we only purchase components of a BOM Phantom item when we get sales orders requesting them. Now that the Coverage Code is Requirement, ascent will ignore Min on Hand and Standard Order qty.
Now, let’s have a look of the BOM details.
BOM for Tool Kit contains 4 components: 2 Snap-off knife, 3 Screwdriver, 1 13-ounce hammer and 1 16-foot tape ruler. All these qty will be used by Master Planner for calculating how much should be on the PO to satisfy the SO. Please also pay attention to the Q. oh, which is the current Qty on Hand for each component. Coverage Code for all these components are also “Requirement”.
Let’s create a SO. In the header of SO, set the ship date to 9/10/2013. That will also be the estimated ship dates for all components, since there is neither Lead Time for SO shipment nor Estimated Production Time.
Then add sales order lines for Tool Kit. In the Qty Needed field, type 1000. Now that there is 0 on hand, 1000 will be the requested qty.
Now, you can go to check what Master Planner suggested. In the Master Planner Home Page, you will get:
Delivery Date for all 4 components are 9/10/2013 which is also the estimated ship date.
Before we check the Requested Date calculation, keep in mind that every component has its own individual PO lead time. Please have a look at the following screenshots.
Based on the components’ PO lead time, we can quickly figure out that Requested Date for Snap-Off knife = 9/10/2013 – 10 days= 8/31/2013. Same calculation method is used for the other three components’ Requested Date. Then we got the accurate Requested Date for all 4 components, which are the latest date to purchase orders to the vendor, otherwise, we will miss the delivery date. Certainly, we can create a PO earlier than the Requested Date.
Our Qty Needed for Tool Kit was 1000. After simple calculations, we got what we needed to order for components:
Snap-off knife=2000, Screwdriver=3000, 13-Ounce hammer=1000, 16-Foot Tape Ruler=1000. MINUS the current qty on hand for all components, we got the Req. Quantity, which were shown in Master Planner: Snap-off knife=1900, Screwdriver=2800, 13-Ounce hammer=800, 16-Foot Tape Ruler=998.
Then please click the “Create PO” link. Now that the default vendor of all components in this particular example is the same vendor, Master Planner will generate one single PO for all the purchasing requirements.