Best Practices: Order Management When Shipping and Invoicing on Separate Dates
In the manufacturing sector, efficiently managing work orders and sales orders is crucial for maintaining smooth operations and achieving business success. A common challenge faced by many manufacturers is closing work orders linked to Build Sales Orders, particularly when shipments and invoicing do not occur simultaneously. This issue can complicate inventory management and disrupt workflow.
Cetec ERP offers two strategic approaches to improve your work order management:
Option 1: Transition to “Stock” Transaction Codes
One effective method to enhance your workflow is transitioning from “build” to “stock” transaction codes.
Treat the work order as an internal “build to stock” job. Once production is complete, receive the finished goods into stock as you would with any other item. Generate an internal receipt upon completion and store the finished goods in a designated bin location.
By adopting this approach, you create a clear distinction between inventory management and sales order fulfillment, making it easier to manage shipments and invoicing according to your operational needs.
Cetec ERP allows you to default “transaction codes” (i.e., build vs. stock) on a system-wide or part-level basis. This flexibility means you can set defaults via part data import if needed, which can be particularly useful if certain parts require specific handling.
Generally speaking, the “build to stock” method aligns with traditional manufacturing practices, especially as companies scale and standardize their production processes. It also offers the benefit of flexibility for overbuilding if necessary. Cetec ERP’s general recommendation is to choose the method that most closely matches your current process in the existing system to preserve continuity, if possible.
Option 2: Utilize the “ordlineStatus” Table for Work Order Tracking
Another powerful method is leveraging the “ordlineStatus” table to track the status of work orders. Here’s how this can benefit your manufacturing process:
-
Monitor Work Locations: Assign specific work locations to track the progress of work orders on the shop floor. For example, once production is complete, move the work order to a location such as “pending shipping.” This allows for better tracking and visibility.
-
Enhanced Reporting Capabilities: Use work locations to filter production order reports. This feature enables you to track the status and location of each work order more effectively, providing valuable insights into your production process.
-
Incorporate a Bonus Column: Add a line-level bonus column for “order bin location” to record where each work order is stored. This feature helps you locate and manage inventory more efficiently, ensuring easy access to completed goods.
By implementing these tracking methods, you gain detailed visibility into your production process, making it easier to manage and oversee work orders throughout their lifecycle.
Cetec ERP is designed with flexibility in mind, offering solutions that can be tailored to meet your specific manufacturing needs. Whether you choose to adjust transaction codes or utilize detailed status tracking, Cetec ERP provides the tools necessary to optimize your workflows. By integrating these strategies into your operations, you can significantly enhance your ability to manage work orders, shipping, and invoicing.