Shipping Inventory

This chapter provides an overview of the shipping business process and discusses how to:

• Using the Shipping/Issues component.

• Ship from the Fulfillment Workbench.

• Ship with the fulfillment engine process pages.

• Ship using the fulfillment engine enterprise integration points (EIPs).

• Deplete inventory balances.

• Ship and invoice orders automatically.

• View shipment backlogs.

Understanding the Shipping Business Process

Once you have completed the picking stage of order fulfillment, and (optionally) the packing stage, then you can move forward to the shipping stage. Keep in mind that you only need to complete the shipping stage if it is required by your environment. If you do not require a separate shipping step, then use the auto-processing options or direct processing to ship and deplete orders from any previous fulfillment state.

In the shipping business process, you:

1. Move demand lines from the unfulfilled, releasable, released, or confirmed state to the shipped state to confirm orders for shipment by assigning demand lines to a shipping ID, entering or changing shipping information, generating backorders, and creating the necessary shipping documents.

2. Move demand lines from the shipped state to the depleted state by running the Deplete On Hand Qty process directly or from another process or page.

   The depleted state indicates that you have physically shipped the orders and the system adjusts on-hand inventory quantity balances to reflect the shipment.

To move orders to the shipped and depleted states, you can use any of the following methods:

• Shipping/Issues component: Use this online component to manually assign demand lines to shipping IDs, enter or change shipping information, and set the demand lines to the shipped state.

  When you save the Shipping/Issues component, your entries are applied directly to the inventory demand tables. Any needed backorders are created at save time. Also, you can launch the Deplete On Hand Qty process from this component to set the demand lines to the depleted state. When a shipment is canceled, this component can also be used to unship demand lines, that have not yet been depleted.

• Ship and Invoice process page: Use this process page to select demand lines that have been picked, process them to the depleted state, and create invoices in PeopleSoft Billing for the shipped stock.

  This process is only available for intercompany transfers and sales orders from PeopleSoft Order Management.

• Fulfillment Workbench: Use this online component to enter requests to move the selected demand lines from one fulfillment state to another; for example, to move demand lines from the confirmed state to the shipped or depleted states, or to move demand lines in the shipped state to the depleted state. On the Fulfillment Workbench, you can enter or change shipping information for the demand lines.

  The fulfillment transaction requests generated by the Fulfillment Workbench are placed in the staging tables where they are processed by the Fulfillment Requests process and applied to the inventory demand tables. If the auto-process options is turned on for the Fulfillment Workbench, then the fulfillment request is kicked off automatically without going to the Fulfillment Requests process page.

• Front End Shipping Request process page Use this process page to move the selected demand lines from the unfulfilled and releasable states to the shipped state. This process page enables you to enter or change shipping information before confirming the orders for shipment. In addition, you can use the auto-processing option to process the demand lines passed the shipped state to the depleted state.

• Shipping Request process page Use this process page to move the selected demand lines from the unfulfilled, releasable, released, and confirmed states to the shipped state. The process page enables you to enter or change shipping information before confirming the orders for shipment. In addition, you can use the auto-processing option to process the demand lines passed the shipped state to the depleted state.

• Inventory Front End Shipping EIP: Use this service operation to move the selected demand lines from the unfulfilled and releasable states to the shipped state. This service operation enables you to enter or change shipping information before confirming the orders for shipment. In addition, you can use this EIP to create a new material stock request in the shipped state or to create new demand lines for an existing MSR in the shipped state.

• Inventory Shipping EIP: Use this service operation to move the selected demand lines from the unfulfilled, releasable, released, and confirmed states to the shipped state. This service operation enables you to enter or change shipping information before confirming the orders for shipment. In addition, you can use this EIP to create a new material stock request in the shipped state or to create new demand lines for an existing MSR in the shipped state.

Note. Both the process pages and the EIPs are useful when dealing with a large number of orders. The fulfillment transaction requests generated by the process pages are applied directly to the inventory demand tables, the staging tables are not used. The fulfillment transaction requests generated by the EIPs are processed into PeopleSoft using the PeopleSoft Integration Broker and then placed in the staging tables where they are processed by the Fulfillment Requests process and applied to the inventory demand tables.

Occasionally, an order or demand line is not eligible for shipping. Depending upon the situation, the system responds in one of these ways:

• Creates a backorder or cancels the demand line if a demand line is short shipped.

  The create or cancel backorder decision is based on the backorder rule for shipping or the Cancel Backorder check box on the demand line.

• Excludes the order from the search results of the pages and processes, if:

  • All order lines have been canceled.

  • All order lines have been shipped.

  • All order lines are on hold.

  • (Shipping/Issues component only) The order does not allow partial shipments and not all order lines have been selected.

  • (Shipping/Issues component only) The order is a single shipment order and not all order lines are being shipped together.

• Issues an error message when you attempt to ship the order from the Shipping/Issues component, if:

  • All scheduled and earliest allowable shipment dates are in the future and you have selected the Verify Ship Date and Verify Ship Time check boxes on the Setup Fulfillment component.

    If the Ship Prior to Schedule Date check box is selected on the order, then the early ship date and early ship time would also be used to determine when shipping was allowed.

  • The order is for a product kit but does not contain a complete kit.

  • The order is packed into a shipping container and not all lines in the shipping container have been included in the shipping ID.

Printing Shipping Documents

PeopleSoft Inventory gives you the ability to add the Shipping ID to a demand line in any fulfillment state except for Pending or Cancelled. This enables you to print shipping documents at any time in the fulfillment cycle, including prior to shipment. You can review your shipping documents before the material actually leaves your premises.

See Generating Shipping Documents Before Shipment.

See Also

Packing Orders for Shipment

Understanding How Orders Are Submitted For Billing

Applying Freight Charges During Shipment

The delivery management and freight calculation features in PeopleSoft Inventory enable you to group items for shipment and apply freight charges. Freight charges can be applied on the Shipping/Issues component or in the shipping processes. The freight feature applies only to sales orders and quotes from PeopleSoft Order Management.

Freight charges can be applied to an order using:

• Integration to Third-Party Freight Provider: Using PeopleSoft EIPs you can send delivery IDs to a third-party freight provider and receive back freight charges into PeopleSoft. There are multiple ways to configure this interface.

• Internal PeopleSoft Freight Calculation Using arbitration plans, freight rules, and freight breaks within PeopleSoft Order Management, you can design PeopleSoft to calculate and apply the freight costs to sales orders.

• Manual Entry of Freight Costs Using the Freight Amount field located on several pages and process pages within PeopleSoft Inventory, you can manually enter freight changes for sales orders.

See Setting Up Delivery Management and Freight Calculations.

Single-Shipment Order Processing

To ensure that an entire order ships at one time, use the single-shipment order restriction feature provided by PeopleSoft Inventory and PeopleSoft Order Management. This feature, which is available only for sales orders generated in PeopleSoft Order Management, enables you to group order lines and schedules into a logical unit that must ship together using the same shipping ID.

Identify single-shipment orders during order entry by selecting the Single Ship Flag option on the Order Entry Form-Order Header page. (You establish default values on the Buying Agreement Header - Terms page or on the General Information - Sold To Options page, but PeopleSoft Inventory uses the value specified on the order header.) Once an order is identified for single shipment, all lines and schedules for the order must have the same scheduled shipment and arrival dates, inventory business unit, carrier, ship via, and freight terms. If you change any of these attributes, you must change them for all lines in the order.

After order entry, your ability to change the single ship flag is determined by the settings for the Single Shipment Flag (SINGLE_SHIP_FLAG) on the Demand Change Configuration page or the Setup Fulfillment-Demand Change Configuration page. Any changes affects all lines associated with the order. The rules for changing the Single Ship Flag are:

• In the Order Entry Form component, you can make this change only at the header level, not at the line or schedule level.

• You can always deactivate the option.

  All lines become available to be shipped separately.

• You can activate the option as long as no lines or schedules associated with the order have been shipped.

  PeopleSoft Inventory ensures that the order does not ship until all lines are picked and assigned to the same shipping ID. If all lines have already been confirmed, the system also updates the order's fulfillment status, indicating that it is ready for shipment.

You can continue to reserve quantities for individual order schedules associated with a single-shipment order, but you cannot ship the schedules until the entire order is ready for shipping. Similarly, you can add order lines to a shipping ID on an individual basis, but you cannot identify any of them as Shipped until all lines have been included in the shipping ID. When shipping a single-shipment order using the auto-processing options, PeopleSoft Inventory processes the order only when all lines have been picked, confirmed, and assigned to the same shipping ID.

If you unship one line of a single-shipment restricted order, you must unship all lines associated with the order. You can cancel individual order lines at any time before the order has been shipped. When you cancel the last remaining line, either on the Cancel/Hold Stock Request page or in the Order Entry Form component, the order's fulfillment status changes to Canceled.

See Also

Changing Orders Using the Maintain Stock Request Component

Short Shipment

In most cases, you ship the same amount that you picked. Occasionally, however, you may need to short ship, or ship less than the picked quantity. There are a variety of reasons for short shipping: for example, your truck is not large enough to transport an entire shipment and you want to reassign some of the stock to a different shipping ID, or a customer changes an order at the last minute.

Note. You can only short ship if you have selected the Partial Qtys Can Ship (partial quantities can ship) option for the demand line.

You can record the short shipment in several places:

• To enter the quantity shipped for a specific demand line, use the Shipping/Issues - Order Details page.

  The system automatically applies this quantity to the picked lines in sequential order until the demand has been fulfilled, then returns the under-shipped quantity to the storage location from which it was picked.

• If the demand line contains a lot- or serial-controlled item, or if you want to control how the extra stock is handled, use the Shipping/Issues - Picking Feedback page.

• To record a short shipment on a fulfillment engine shipping transaction request, create a detail segment containing the exception quantity.

  Use the Demand Lines link on the Fulfillment Workbench component to create a short shipment exception on either the Front End Shipping Request or Shipping Request transactions. In addition, you can identify which pick to short ship by specifying the location/lot/serial information on the LLS segment.

PeopleSoft Inventory offers two options for handling the under-shipped stock that was previously picked from a storage location. The stock is either putaway or scrapped based on your entry in the Short Ship Opt field. This field is located on the Shipping/Issues- Picking Feedback page and on the Fulfillment Workbench. The short ship options are:

• Scrap the stock.

  The Deplete On Hand Qty (Depletion) process depletes the entire picked quantity and then creates a scrap adjustment transaction for the difference.

• Return the stock to the storage location from which it was picked.

  The system either puts the stock away automatically or stages it for putaway, depending upon the putaway option selected on the Setup Fulfillment page. If you put the extra stock away, the Deplete On Hand Qty (Depletion) process depletes only the shipped quantity. You can also put the stock into a different storage location by staging the quantity and then using the Review Plan page to select a new location. The Complete Putaway process then adjusts the business unit and storage location quantities as necessary to account for the return of the short-shipped stock.

  Note. When you use the Review Plan or Stockroom Feedback component to put stock away into a storage location other than the one from which it was picked, the system inserts a Transfer transaction (060) into the Transaction History table (TRANSACTION_INV). No transaction occurs if the stock is put into its original location.

If stock has been placed into a shipping container or assigned to a shipping serial ID, you must release the association before short shipping the order line.

Once you have short shipped a demand line, the unshipped quantity creates a backordered demand line or a canceled demand line based on the Backorder Rule for shipping. If no rule exists, then the system looks to the Cancel Backorder option on the demand line. You can override the Cancel Backorder option on the Shipping/Issues - Order Details page.

See Also

Monitoring Inventory Quantity Balances

Packing Orders for Shipment

Financial Sanctions Screening

Financial Sanctions Screening (FSS) in the Order to Cash business process is performed by validating customer names and addresses with a variety of national and international security lists. For U.S. based companies and their foreign subsidiaries, a federal regulation from the Office of Foreign Assets Control (OFAC) requires that customers be validated against a Specially Designated Nationals (SDN) list. You can use the Screen For Denied Parties process (SCM_FSS) to screen material stock requests with a request type of:

• External Order.

• Interunit Transfer for VMI transactions only.

The Screen For Denied Parties process does not validate material stock requests with the request types of Internal Issue, Vendor Returns, or Interunit Transfer not related to VMI transaction.

In order to screen material stock requests, you must complete the following setup steps:

1. Select the value of Enable at Business Unit or Enable at Install for the Order to Cash field on the Financial Sanctions Options page within the Installation Options-Overall component.

2. If the value of Enable at Business Unit was selected on the Installation Options component above, then you must enable financial sanctions screening for each inventory business unit by selecting the Screen Customer Stock Requests check box on the Inventory Definition - Business Unit Options page.

3. Define one or more hold codes to be used by the financial sanctions screening feature using the Hold Codes page.

4. Add a default hold code to the Installation Options-Inventory page.

   This hold code is automatically applied to any material stock request that fails to pass the Screen For Denied Parties process. The default hold code must be entered here in order for material stock requests to be screened.

To screen material stock requests for denied parties:

1. Before shipping, run the Screen For Denied Parties process (SCM_FSS).

   This run control is located in the Inventory, Order Management, and Billing menus. The Screen For Denied Parties process can review external material stock requests and VMI interunit transfers. If the customer on the stock request does not pass the screening, then the default hold code is automatically applied to the stock request. A hold code prevents a stock request from shipping.

2. Use the Financial Sanctions inquiry component to review the stock requests put on hold.

   The Screen For Denied Parties process only identifies potential matches to the SDN list. You must review the matches and verify with OFAC. You can use the Cancel/Hold Stock Requests page to add or remove hold codes.

See Also

Validating Financial Sanctions

Activating Optional Business Unit Features

Defining Hold Codes

Canceling or Holding Orders Within PeopleSoft Inventory

Setting Financial Sanctions Options

Setting Up Inventory Installation Options

Understanding Shipping Rules

The following rules are applied when shipping with the fulfillment engine:

• When shipping a product kit from PeopleSoft Order Management, the system builds a shipment for the maximum number of kits that can be shipped based on components previously picked or based on short shipments entered.

  If there are not enough required components to make up a whole kit, then the system ships as many complete kits as possible. The remaining quantities that could not be shipped are putaway or scrapped based on the value in the Short Ship Opt field. When this situation arises in a Front-End Ship transaction, no putaway occurs since the items were never picked.

• Items that have been pre-allocated or lot-allocated can be shipped from an Unfulfilled or Releasable state but only from the allocated material storage location for the allocated quantity.

• You cannot overpick when shipping from an Unfulfilled or Releasable state.

• When shipping from an Unfulfilled or Releasable state the negative inventory rules are followed when determining whether or not items can be picked from the designated storage location.

  If negative inventory is not allowed then the transaction is rejected. If negative inventory is allowed then the balance at the location will be driven negative.

• Backorders or cancel backorders are created based on the Backorder Rule for shipping on the demand line.

  If no rule exists, the Cancel Backorder check box on the demand line is used.

• Holds on any sales orders are checked based on your setup in the Order Management Definition-Holds Processing page.

• When detail segments on a shipping transaction reference a specific demand line, the quantity and UOM provided on the transaction will be used in place of the values that currently exist in the system for that demand line.

  However, if the UOM on the transaction is not a valid shipping UOM, then the ordering UOM is used as the shipping UOM

  Another exception to this rule is when using the exclude option. Demand lines being excluded are always excluded completely so the quantity and UOM fields are never used in this situation.

  A detail level entry is referencing a specific demand line if one of four combinations of selection criteria is entered. The four combinations are the full demand key, pick batch ID and pick batch line number, external reference ID and external line number, as well as the TMS reference ID and TMS reference line number.

• Except for pre-allocated or lot-allocated demand lines, if the item being shipped is lot-controlled, serial-controlled, staged date controlled or in a storage container, then you must provide an LLS segment (location, lot, serial) on the shipping request identifying the items to be picked from an Unfulfilled or Releasable state.

  When shipping from a confirmed state the LLS segment would only be needed to identify items to be included or excluded when short shipping previously picked items. In either case, if you enter a serial ID then you do not need to enter additional LLS data. Otherwise, if a serial ID is not entered, then all information must be entered to fully identify the item.

• When shipping items in shipping containers either the demand lines being shipped or specific shipping containers containing these demand lines can be entered at the group or detail level.

  The fulfillment engine enforces the following rules when working with shipping containers:

  • All demand lines within a shipping container must be shipped on a single shipping transaction.

    If group or detail information identifying demand lines within a shipping container are entered on the transaction then all demand lines within a container must be referenced by selection criteria. If any demand lines are missing from the request then the transaction is rejected.

  • When a shipping container is referenced on a shipping request for a partially packed demand line and no reference to the unpacked portion is provided, then a short shipping situation is assumed.

    The packed quantity is shipped and the remaining quantity is putaway or scrapped. The unpacked quantity can be included in the shipment by referencing the demand line in selection criteria at a group or detail level. While the shipping container ID is considered group-level information, it never references unpacked quantities. All other group selection criteria reference both packed and unpacked quantities.

  • If a partially packed demand line is referenced as a short shipment exception on a detail segment then it is assumed that the shorted quantity is taken out of the unpacked portion of the quantities picked.

    Packed quantities can never be shipped short. They must first be removed from the container.

  • When a single demand line is packed in multiple containers then all containers must be referenced on the shipping transaction.

    This reference can be made by including each of the shipping container IDs on the transaction or by including other selection criteria that references the demand line.

• The planned release quantity is used for shipping.

  The planned release quantity is determined as follows when shipping from a Releasable state:

  1. The reserve quantity for soft-reserved items.

  2. The promised quantity for ATP items.

  3. For non-soft reserved, non-ATP items, the override quantity is used if entered on the Shortage Workbench.

     If no override quantity exists, then the planned release quantity is the requested quantity less the backorder quantity.

  When shipping from an Unfulfilled state, the planned release quantity is quantity requested less the quantity backordered.

• If partial quantity approvals are required before a Releasable demand line can be picked then approval must be given using the Shortage Workbench before it can be shipped on a shipping request.

• The fulfillment engine assigns a shipping ID to every demand line that is shipped.

  All demand lines shipped on a single transaction are assigned the next system generated shipping ID, unless they already contain a shipping ID or unless a shipping ID is provided as an override on the transaction. If the demand line already has a shipping ID assigned then that shipping ID is used as long as an override shipping ID is not included on the shipping transaction. If a override shipping ID is included on the transaction, then it is used for all demand lines in the shipment.

• Demand lines in a Releasable state can be shipped regardless of the Pick Lines Awaiting Upload setting on the Setup Fulfillment-Transportation Interface component.

• When using a transaction request to ship, if the selection criteria specifies demand lines, then you must include the business unit on the level above; the header or group level of the transaction request.

  In addition, if the selection criteria includes just a business unit with no lower level detail, then the transaction is rejected.

• If any error is found on a Front-End Ship transaction request or run control request with demand lines in the from states of Unfulfilled or Releasable then the full request is rejected in error.

  For other shipping transactions, the pass-through options are used to determine at what level to reject for shipments from other states. However, if pass-through is Line and one line fails, but that line is in a kit or container, then the whole kit or container will be rejected. Any other demand lines in the selection criteria would continue.

• If you are shipping from an Unfulfilled or Releasable state, you cannot pick inventory from a material storage location that is using the capacity-checking feature.

• For ship serial items, the system can assign the ship serial ID on the Shipping/Issues component, the Fulfillment Workbench, the Inventory Front End Shipping EIP, or the Inventory Shipping EIP.

  To use the Front End Shipping process page or the Shipping process page, you must have ship serials defined for the demand line before processing.

Common Elements Used in This Chapter

Using the Shipping/Issues Component

Use the Shipping/Issues component to manually assign demand lines to shipping IDs, enter or change shipping information, and set the demand lines to the shipped state. If a shipment is canceled, this component can also be used to unship demand lines, that have not yet been depleted. When you save the Shipping/Issues component, your entries are applied directly to the inventory demand tables. In addition, the Shipping/Issues component will:

• Assign a unique shipping ID to each shipment that you confirm in this component.

  When you add a new shipment, you can either enter a shipping ID or accept the default assignment of NEXT. If you accept NEXT, PeopleSoft Inventory automatically generates a new shipping ID.

• (optional) Create delivery IDs when the delivery management feature is enabled. Deliveries are optional; however, a single delivery is always created for each shipping ID in order to hold any manual freight charges and miscellaneous charges that the user enters.

• (optional) Perform a manifest freight action when using the auto-process freight option.

• Create any backorders or cancel backorders based on the Backorder Rule for shipping on the demand line.

  If no rule exists, the Cancel Backorder check box on the demand line is used.

• (optional) Check for order holds on any sales orders based on your setup in the Order Management Definition-Holds Processing page.

• (optional) Launch the Deplete On Hand Qty process from this component to set the demand lines to the depleted state.

  The Auto Process at Save check box on the Fulfillment Engine Options page (business unit or setID level) determines if the Deplete On Hand Qty process is launched when you save this component; otherwise, you can use the Run Process link on component.

  Note. If the Deplete On Hand Qty process is defined to launch the direct invoicing job or the auto-putaway job, then the Auto Process at Save option launches these jobs from the Shipping/Issues component.

• (Optional) Produce warnings at shipping time if the information on the previously printed shipping documents does not match the current shipping information.

  Using the Message Dashboard functionality, the system compares a number of fields based on the specific shipping document. The comparison includes; item ID, quantity shipped, ship ID and line, carrier ID, ship via, ship to customer and address, export flag, and scheduled shipment date and time. For the Shipping/Issues Component, an online warning displays in addition to a warning in the Message Dashboard. The system can be set up to generate an email or worklist from the Message Dashboard.

  See Generating Shipping Documents Before Shipment.

• (Optional) For the selected demand lines, change the value in the Defer Depletions field based on your entry in the Defer Depletions on Shipment field on the Shipping/Issues - Order Summary page. For more information in the Defer Depletions feature, go to the "Shipping Inventory" chapter, "Delaying the Billing and Costing of Inventory Shipments" section.

  See Delaying the Billing and Costing of Inventory Shipments.

Common Elements Used in This Section

Pages Used to Update the Shipping/Issues Component

Confirming Orders for Shipment

Access the Shipping/Issues - Order Summary page (Inventory, Fulfill Stock Orders, Shipping, Shipping/Issues, Order Summary).

(print icon)

Click the Print icon to print the Shipping Document report for the shipment.

Delivery/Freight Controls group box

See Understanding PeopleSoft Delivery Management and Freight Calculations.

Shipping Fields

Order Summary group box

Links on the Shipping/Issues-Order Summary Page

See Also

Understanding PeopleSoft Delivery Management and Freight Calculations

Packing Orders for Shipment

Creating Shipping Documentation

Transferring Stock Between Business Units

Setting Up Transportation Lead Times and Internal Freight Charges

Understanding How Orders Are Submitted For Billing

Understanding the Direct Invoicing Jobs

Selecting Orders to Ship

Access the Shipping/Issues - Shipping Order Selection page (Click the Search link on the Shipping/Issues - Order Summary page).

For more field descriptions on these search criteria, see the Common Elements Used in This Chapter section.

See Common Elements Used in This Chapter.

Note. This page uses a special processing mechanism called smart prompting. When you click the prompt button next to a field, the system transfers you to a smart prompting page. Unlike most PeopleSoft search pages, this prompting page takes into account any other search fields that you have already entered on the Shipping/Issues - Shipping Order Selection page and only displays orders consistent with the entered values. For example, suppose that you have specified a particular load ID and you are now searching for a valid order number, the prompting page displays only the orders assigned to that load ID. Click the prompt button for all fields to ensure that you do not enter conflicting search criteria.

Overriding Order Shipment Defaults

Access the Shipping/Issues - Order Defaults page (Click the Order Defaults icon on the Shipping/Issues - Order Summary page).

Use this page to override shipment field values for the demand lines included in an order. This page provides an efficient method of changing information for multiple demand lines at once.

For more field descriptions on these search criteria, see the Common Elements Used in This Chapter section.

See Common Elements Used in This Chapter.

Note. If the order is designated as a single-shipment restricted order, the system automatically populates all fields on this page with the appropriate values.

See Also

Single-Shipment Order Processing

Marking Demand Lines for Shipment

Access the Shipping/Issues - Ship Details Summary page (Click the Ship Detail Summary icon on the Shipping/Issues - Order Summary page).

Use this page to mark individual demand lines for shipment. For orders containing many demand lines, this page enables you to ship specific demand line instead of the entire order.

For more field descriptions, see Common Elements Used in This Chapter.

See Common Elements Used in This Chapter.

Adding Shipping Containers

Access the Shipping/Issues - Ship Containers page (Click the Choose Container link on the Shipping/Issues - Order Summary page or on the Shipping/Issues - Shipping Order Selection page).

As you select shipping containers, PeopleSoft Inventory automatically adds all orders in the shipping container hierarchy to the shipping ID. When you save the Shipping/Issues component, the system validates all included shipping containers to ensure proper shipping. These validations include:

• The sum of the shipped quantities from the demand lines included in this shipping ID must be equal to the packed quantity for the selected shipping containers.

• All demand lines associated with the shipping containers must be identified with the same information as the shipping containers.

  For example, suppose that only the Include in Ship ID check box is selected for the shipping container, all demand lines in the shipping container hierarchy must also have only this check box selected. If any of the demand lines differ, the system issues an error message.

If errors are found during the validation, an error message and a suggested resolution appear. Once you resolve the errors, you can repeat the validation by saving the Shipping/Issues component again.

Note. You cannot save or ship the current shipping ID until you resolve all errors in the shipping container information.

For more field descriptions, see Common Elements Used in This Section.

See Common Elements Used in This Section.

See Also

Packing Orders for Shipment

Defining Default Pro Numbers and Shipping Dates

Access the Shipping/Issues - Ship Line Defaults page (Click the Default Shipment Fields link on the Shipping/Issues - Order Summary page).

Pro Number

Any demand line added to the shipping ID that has not already been assigned a pro number inherits this value. You can modify the pro number for an order on the Shipping/Issues - Order Summary page or for an individual line on the Shipping/Issues - Order Details page.

Ship Date and Ship Time

The default values are the current date and time. Any new demand lines added to the shipping ID and identified as shipped inherit these values. If the Verify Ship Date and Verify Ship Time check boxes have been selected on the Setup Fulfillment component, then the system does not allow you to ship until the scheduled shipment date and time on the order are less than or equal to the current date and time. If the Ship Prior to Schedule Date check box is selected on the order, then the early ship date and early ship time would also be used to determine when shipping was allowed.

Note. The defaults that you define here apply only to newly added orders in the shipping ID; the values for already included or shipped orders do not change.

Entering Miscellaneous Charges

Access the Shipping/Issues - Shipping Miscellaneous Charges page (Click the Miscellaneous Charges icon on the Shipping/Issues - Order Summary page).

The description that you enter here appears as a bill line on the PeopleSoft Billing invoice.

See Also

Billing Orders

Modifying Line-Level Quantity and Transportation Information

Access the Shipping Issues - Order Details page (Click the Shipping Detail button on the Shipping/Issues - Ship Details Summary page).

Note. Under certain circumstances, such as if the order line is part of a kit component or a single-shipment restricted order, has already been depleted, or has already been selected for Intrastat processing, most fields are display only. In such cases, a message indicating why certain fields are not available appears at the top of the page.

For more field descriptions, see Common Elements Used in This Chapter.

See Common Elements Used in This Chapter.

The Intrastat Interunit Returns and Replacement fields are only available for Intrastat interunit transfers. If both the source and destination business units are members of the European Union and require Intrastat reporting, identify the interunit receipt as a replacement or a return. Your selections populate the Receipt Line page when the destination business unit receives the transfer order.

Note. If you have set up ad hoc replenishment for the business unit or for the item, the online shipping process creates an ad hoc replenishment request when a backorder occurs. If the business unit requires closure-calendar validation and processing for receiving activities, as defined on the Closure Calendar page, and if the calculated required date for the requisition falls on a closure date, the system selects the first valid previous date for the required date. It then takes this new required date and adds the number of replenishment lead days to arrive at the expected date. If this calculation encounters a closure date, the system selects the first valid future date for the expected date. Therefore, the lead days include only open business days.

See Also

Setting Up and Running Intrastat Reports

Establishing Operation Closure Dates

Changing Route Assignments

Single-Shipment Order Processing

Entering Picking Information

Access the Shipping/Issues - Picking Feedback page (Click the Picking Details link on the Shipping/Issues - Order Details page).

Pick Line Action

Select a pick line action. The options are: Shipped: Identifies the order line as shipped and populates the quantity shipped with the quantity picked. You cannot modify picking information for lines identified as shipped. This field is for display only. Unconfirm: Cancels the confirmed status for the order line. When you select this option, PeopleSoft Inventory unpicks the order line but does not remove it from the pick batch. Therefore, you can still go back to the Picking Feedback page and enter picking information. Use the Unconfirm field for situations in which you must enter feedback not available in the Shipping/Issues component, such as selecting substitute items. Remove: Select to unpick the order line. This action removes the line from the pick batch and moves it back to the Releasable state, making it available to print on another order release request. When moving a demand line back to the Releaseable state the allocation is lost. To keep the allocation, use the Undo Fulfillment Request process page with the Keep All Allocations check box selected.

Note. The Unconfirm and Remove options are only available for demand lines that have not been depleted or identified as shipped. In addition, if stock has been assigned to a shipping container or a ship serial ID, you must cancel this association before unpicking the demand line.

Picking Location Information Group Box

In the Picking Location Information group box, the system displays either the material storage location and associated location unit of measure or the container ID selected by the picking plan.

If you actually picked the stock from a different location, delete the old picking line and enter a new line. PeopleSoft Inventory returns the stock to the original storage location and removes it from the new one. If you want to enter a new location for an order line that does not permit overpicking, you must either set the quantity picked to 0 or delete the current row and insert a new one.

Note. The business unit's default display options determine how many storage location levels appear for new rows. If you are entering a storage location that requires additional levels, enter the storage area, then refresh the page to display the remaining levels for that area.

Note. If you have set up ad hoc replenishment for the business unit or for the item, the online shipping process creates an ad hoc replenishment request when a backorder occurs. If the business unit requires closure calendar validation and processing for receiving activities, as defined on the Closure Calendar page, and if the calculated required date for the requisition falls on a closure date, the system selects the first valid previous date for the required date. It then takes this new required date and adds the number of replenishment lead days to arrive at the expected date. If this calculation encounters a closure date, the system selects the first valid future date for the expected date. Therefore, the lead days include only open business days.

See Also

Single-Shipment Order Processing

Fulfillment Process Exceptions

Entering Picking Feedback Online

Working with Shipping Containers and Shipping Serial IDs Using an Electronic Data Collection System

Defining PeopleSoft Inventory Business Unit Display Options

Overpicking

Searching for Material Storage Locations

Viewing and Entering Product Kit Information

Access the Shipping Issues - Kit Definition page (Click the Product Kit Detail link on the Shipping/Issues - Order Details page).

Note. Changing either the shipped quantity or the picked quantity for any demand line that is part of a kit automatically updates all other component demand lines and all quantity information on this page. In addition, changing the picked quantity prompts the system to recalculate the maximum kit quantity. If you short ship a kit, saving the Shipping/Issues component prompts the system to update the kit definition and reduce the maximum kit quantity to the quantity actually shipped.

See Also

Defining Product Kits

Generating Shipping Serial IDs

Access the Shipping/Issues - Ship Serial page (Click the Enter Serial IDs link on the Shipping/Issues - Order Details page).

Generating Shipping Serial IDs Automatically

Access the Shipping/Issues - Rapid Serial Numbers page (Click the Rapid Data Entry button on the Shipping/Issues - Ship Serial page).

Changing Load Assignment Options

Access the Shipping/Issues-Load Assignment Options page (Click the Assign Load link on the Shipping/Issues - Order Summary page).

Modify load information for a shipping ID.

Shipping from the Fulfillment Workbench

The Fulfillment Workbench is an online component that enables you to enter requests to move material stock orders and sales orders from one fulfillment status to another. Requests are placed in staging tables and then processed by the fulfillment engine using the Fulfillment Request process. Using the Fulfillment Workbench, you can skip the intermediate fulfillment steps and place an order directly in the state that you need. You can ship orders from an:

• Unfulfilled state.

• Releasable state.

• Released state.

• Picked confirmed state.

This section discusses how to use the Fulfillment Workbench to ship inventory. The Fulfillment Workbench also provides many other options, depending on the template ID, including the ability to:

• Override picking storage locations and shipping options on the order header.

• Override processing defaults.

• Search and process a group while including or excluding certain orders or demand lines.

• Submit a request with or without viewing the orders included for processing.

  When viewing the orders in the processing queue, you can add or delete individual lines and even delete the queue and start over.

• View orders packed in containers separately from unpacked orders.

• Override the ship quantity at the demand line level or even lower at the LLS level, if there is more than one lot/location/serial for a particular demand line.

• Identify lot, serial, or staged date information to be included or excluded in a shipment.

Pages Used to Ship from the Fulfillment Workbench

Using the Fulfillment Workbench Page to Ship

Access the Fulfill Workbench page (Inventory, Fulfill Stock Orders, Fulfillment Workbench).

Note. The exact fields and field values available on this page are determined by the template ID.

Selection Criteria

Use the Selection Criteria group box to enter the search criteria to retrieve demand lines for processing. These search criteria fields include both group level fields (for example, load ID or pick batch ID) and order level fields (for example, order number). The actual search criteria fields that appear are determined by the template ID, as well as the entries in the Action and Search By fields.

For more field descriptions on these search criteria, see the Common Elements Used in This Chapter section.

See Common Elements Used in This Chapter.

Other Options

See Using the Fulfillment Workbench.

Shipping with the Fulfillment Engine Process Pages

The fulfillment engine can be used to ship stock using two run requests:

• Front End Shipping Requests process page.

• Shipping Requests process page.

The Front End Shipping Requests process (IN_FUL_SHF) and the Shipping Requests process (IN_FUL_SHP) submit requests to the fulfillment engine to move the demand lines of a material stock request or sales order from an earlier state to the shipped state. If auto-processing is enabled, both of these processes could move the demand lines further downstream to the depleted state. The two shipping requests are very similar with the difference being the from states that can be selected when identifying demand lines to ship. The front-end shipping request can only ship from theunfulfilled or releasable state while the shipping request can ship from the unfulfilled, releasable, released, or confirmed state. Both process pages:

• Generate fulfillment transaction requests are applied directly to the inventory demand tables; the staging tables are not used.

  Like all run controls, these processes can be scheduled to run one time or on a recurring basis. Any errors in the requests are placed in the message log for viewing. If the demand lines are not placed in the desired state, it is important to read the message log even if the process shows success.

• Use the fulfillment engine processing default structure.

  These processing defaults are defined at the setID and business unit level and influence how the Front End Shipping Requests process page and the Shipping Requests process page handle shipping requests.

The different request types are available to give the implementation team of PeopleSoft Inventory the options for developing procedures that do not require users to make day-to-day decisions as to which from state should be allowed. These decisions are usually procedural in nature and do not differ in day-to-day processing.

For example, a site that is performing the multi-step fulfillment process would reserve an order, release the order to picking, enter picking feedback, confirm and then create a shipping request to ship the order. In this situation, the Shipping Request process could be used to actually ship, or even deplete, the transaction. The implementation team of the system would set up a default from state of confirmed for the Shipping Request process page at the setID level, using the Fulfillment Engine Options component, or at the PeopleSoft Inventory business unit level, using the Setup Fulfillment - Fulfillment Engine Options page. Also, the Allow State Overrides check box should be clear to make sure that users could not accidentally ship backordered demand lines sitting in a unfulfilled or releasable status that had not been picked and prepared for shipping. When users create shipping requests they are expecting to ship only from a confirmed state and since that is what the default is set to, then they do not have to worry about this setting when entering a shipping request.

In addition, a site that is not performing the multi-step fulfillment process and wishes to complete shipping after a soft reserve of the item, could use the Front End Shipping Requests process to ship or deplete the demand lines from the releasable state. In this situation, because the order is always shipped from a releasable state, then a default from state of releasable is set on the Front-end Shipping Requests row at the setID level, using the Fulfillment Engine Options component, or at the PeopleSoft Inventory business unit level, using the Setup Fulfillment - Fulfillment Engine Options page. This enables users to work with their procedures without being concerned about erroneously shipping orders that are not available for shipment.

In either example mentioned above, users (when authorized) can ship orders coming from any state using the Fulfillment Workbench component. For example, on a ten line order, two lines are backordered and sitting in a unfulfilled state. The other eight lines are picked, confirmed and ready for shipping. If quantity for the other two lines shows up before the shipment goes out the door, all ten lines can be shipped on the same shipment without having to run through the multi-step fulfillment process for the two backordered lines. An authorized user can go into the Fulfillment Workbench and create a transaction for the order shipping from any of the four states (unfulfilled, releasable, released, and confirmed); shipping the eight confirmed lines, as well as the two backordered lines sitting in a unfulfilled status.

If this same functionality is needed from the run request pages, then the Allow State Overrides check box can be selected enabling users to override the from state on the run request.

Verifying Shipping Documents

Both the Front End Shipping Requests process page and the Shipping Requests process page can compare current shipping information to any previously printed shipping documents for the Ship IDs being processed. The system compares item ID, quantity shipped, ship ID and line, carrier ID, ship via, ship to customer and address, export flag, and scheduled shipment date and time. If differences are found between the current information and the information printed on the shipping documents, then the system can launch a warning using the Message Dashboard functionality. In addition, a message is placed in the message log of the Process Monitor.

See Generating Shipping Documents Before Shipment.

Pages Used to Ship with Fulfillment Engine

See Also

Setting Up the Fulfillment Engine Processing Options

Using Fulfillment Engine Front-End Shipping

Access the Front End Shipping Requests page (Inventory, Fulfill Stock Orders, Shipping, Front-end Shipping Requests).

Use this process page to submit requests to the fulfillment engine to move the demand lines of a material stock request or sales order from an unfulfilled or releasable state to a shipped state. If auto-processing is enabled, this process could move the demand lines further downstream to the depleted state.

For the field descriptions on these search criteria, see the Common Elements Used in This Chapter section.

See Common Elements Used in This Chapter.

For the field descriptions on the Override group box and the Freight Controls group box, see the Using Fulfillment Engine Shipping Requests section below.

Using Fulfillment Engine Shipping Requests

Access the Shipping Requests page (Inventory, Fulfill Stock Orders, Shipping, Shipping Requests).

Use this process page to submit requests to the fulfillment engine to move the demand lines of a material stock request or sales order from an unfulfilled, releasable, released, or confirmed state to a shipped state. If auto-processing is enabled, this process could move the demand lines further downstream to the depleted state.

For the field descriptions on these search criteria, see the Common Elements Used in This Chapter section.

See Common Elements Used in This Chapter.

Overrides group box

The Front End Shipping Requests process and the Shipping Requests process move demand lines from an earlier state to the shipped state; therefore, it may be necessary to enter shipping overrides for demand lines selected by the process. The overrides are applied to all demand lines in the request. The following overrides and related options are available for these process pages:

Freight Controls group box

Shipping Using the Fulfillment Engine EIPs

Third-party systems can use the following inbound EIPs to send PeopleSoft fulfillment transaction requests that create or ship orders using the fulfillment engine:

• INVENTORY_FRONT_END_SHIPPING: This service operation creates a request to move existing material stock requests and sales orders from an Unfulfilled or Releasable state to a Shipped state. In addition, this service operation can be used to create new material stock requests or new demand lines for existing stock requests in the Shipped state.

• INVENTORY_SHIPPING: This service operation creates a request to move material stock orders and sales orders from an Unfulfilled, Releasable, or Confirmed state to a Shipped state. In addition, this service operation can be used to create new material stock requests or new demand lines for existing stock requests in the Shipped state.

These EIPs are especially useful when dealing with a large number of orders. PeopleSoft delivers these asynchronous service operations that enable you to post data to the Integration Broker and receive a response indicating the data has been received. These requests are placed in staging tables and then processed by the fulfillment engine using the Fulfillment Requests process.

See Also

Processing Inbound EIPs for the Fulfillment Engine

Creating Orders Using Data From a Third-Party System

Depleting Inventory Balances

The Deplete On Hand Quantity (Depletion) process completes the final step in order fulfillment by depleting the Inventory business unit for the shipped stock and marking the demand lines as depleted. Once this process has been run, the demand lines cannot by unshipped. The Deplete On Hand Quantity process only selects demand lines:

• In the fufillment state of shipped.

• With a value of N in the Defer Depletions field.

• With a delivery ID assigned and the status of the delivery ID is Complete Delivery. The delivery ID is only necessary if you have enabled the delivery management feature within the inventory business unit using the option of Yes in the Delivery Option field of the Setup Fulfillment-Delivery/Freight page. If the option is Manual in the Delivery Option field and there is a delivery ID on the demand line, then the status of the delivery ID must be Complete Delivery.

The Deplete On Hand Quantity process completes the finalizes the selected demand lines by:

• Reduces the shipped items's inventory balances at the business unit level to reflect the demand fulfillment.

• Changes the demand lines to the depleted state.

• Posts the demand lines to the Transaction History record (TRANSACTION_INV) to be picked up by PeopleSoft Cost Management for costing and accounting line creation.

• Identifies rows as available for invoicing in PeopleSoft Billing.

In addition, this process performs the following functions to prepare shipped orders for further processing:

• For interunit transfers, interunit expensed issues, and shipment-on-behalf-of transactions, the Deplete On Hand Quantity process calculates the transfer price in the destination business unit's currency using the transfer pricing default hierarchy. The transfer price is broken up by cost elements and placed in the IN_DEMAND_TRPC table. The total transfer price is included in the TRANSFER_COST field of IN_DEMAND, and then TRANSACTION_INV. The Deplete On Hand Quantity process also performs a currency conversion to the destination inventory business unit's currency. PeopleSoft does not support interunit pricing for non-cost items.

• For interunit transfers, automatically inserts the depleted shipment into the putaway staging tables of the destination business unit if you have selected the auto-putaway option. Auto-putaway is defined by the interunit accounting setup described in the Transferring Stock Between Business Units chapter. Run the Complete Putaway process to complete the putaway. In addition, if you have selected the Run Auto-Putaway Job check box on the Inventory Definition-Business Unit Definition page of the destination business unit, the Deplete On Hand Quantity process automatically creates a scheduled process to run the auto-putaway job (AUTOPTWY) in the destination business unit after creating entries in the putaway staging table.

  Note. In order to launch the auto-putaway job from the Shipping/Issues component or the Express Issues page, you must select the Auto Process at Save check box on the Fulfillment Engine Options page (business unit or setID level). Selecting the Run Process link will not launch the auto-putaway job automatically; this link takes you to a Process Scheduler Request page to choose the jobs to run.

• If you have selected the Run Direct Invoicing check box on the Setup Fulfillment-Shipping page, the Deplete On Hand Quantity process automatically creates a scheduled process to run the direct invoicing job in PeopleSoft Billing to create invoices for the shipped stock.

  Invoices are only created for sales orders from PeopleSoft Order Management and intercompany transfers.

  Note. In order to launch direct invoicing automatically from the Shipping/Issues component or the Express Issues page, you must select the Auto Process at Save check box for the Shipping/Issues row and the Express Issue row on the Fulfillment Engine Options page (business unit or setID level).
  
  Selecting the Run Process link will not launch direct invoicing job automatically; this link takes you to a Process Scheduler Request page to choose the jobs to run.

• Inserts a cost row for any freight and miscellaneous charges associated with the order being depleted.

• Tracks shipping serial IDs (for shipping serial-controlled items).

• For non-consigned stock shipping to a VMI business unit, the Deplete On Hand Qty process populates the shipping transaction with the ship to customer ID, interunit ID, interunit destination business unit and location.

• For return to vendor stock requests, the Deplete On Hand Qty process populates the RTV transaction table in PeopleSoft Purchasing. The RTV Line (RTV_LN) and RTV Line Distribution (RTV_LN_DISTRIB) tables are updated with the shipment quantities and dates. The RTV line shipment status is changed to Shipped if the shipped quantity is greater than or equal to the return quantity. In addition, keep in mind that return to vendor stock is normally stocked in a non-nettable material storage location (such as inspection, hold, or WIP), therefore, the Inventory business unit's total available quantity is not reduced when RTV stock is depleted.

  See Processing Return to Vendor Stock Requests in Demand Fulfillment.

You can launch the process using the Deplete On Hand Qty Requests process page, the Shipping/Issues-Order Summary page, the Express Issue page, the Front End Shipping process, and the Shipping process.

See Also

Staging Sales Orders and Intercompany Transfers for PeopleSoft Billing

Using Vendor Managed Inventory

Numbering Transaction History Records Using Set-Based Processing

Within the Deplete On Hand Qty process, a substantial reduction in processing time can be achieved by using set-based processing to number the lines of the newly-created transaction history records placed in TRANSACTION_INV. As delivered, the system uses row-by-row processing to create the transaction history sequence numbers. By performing additional setup steps you can switch from row-based processing to set-based processing to generate the line numbers.

Note. The set-based approach is optional. The delivered default option is the row-by-row approach.

Set-based processing of the line numbers can be accomplished by using the database platform's approach and syntax to generate sequential numbers. All PeopleSoft supported database platforms have an approach for generating sequence numbers within the database. The Deplete On Hand Qty process can take advantage of this feature with some minor additional setup steps.

The architecture of the set-based sequence approach is similar across all platforms with just a few changes for platform specific syntax:

• Create a temporary working table with an identity column or use a database specific row number function on the database platform, depending on the platform.

  The syntax is platform specific but the behavior is fairly common. The create table syntax is delivered as a special PeopleSoft Data Mover Script (DMS) for installation, however, some platforms will require further intervention by your database administrator.

• During the Deplete On Hand Qty process, the SQL statement to insert the data to the special temporary work table has slightly different syntax on different database platforms but the behaviors are very common across platforms.

  This syntax is delivered as part of the process logic and requires no special user intervention.

The set-based sequencing approach depends on a special installation process to set up the objects. The setup has the following steps on all platforms except Oracle:

1. Find the DMS for your specific database platform.

   The scripts are located on the scripts folder: <PeopleTools home>\scripts.

   Database Platform	PeopleSoft Data Mover Script
   Microsoft SQL Server	in_id_create_mss.dms
   Sybase	in_id_create_syb.dms
   DB2	in_id_create_db2unix.dms
   OS390	in_id_create_db2os390.dms
   Informix	in_id_create_inf.dms
   Oracle	(no DMS needed)

2. Engage your Database Administrator and review the provided PeopleTools DMS.

   If the database is configured to use the unicode character set, then the DMS must be modified manually. Some platforms require tablespace names and other database administration parameters to be defined as part of the create table command.

3. Run the provided PeopleTools DMS to recreate the sequence numbering work table (the IN_DP_TR2_TM2 record) with an IDENTITY type column (or SERIES type column on Informix).

4. The Set based Sequencing check box on the Installation Options- Inventory page should now be available.

   Select the check box to use set-based sequencing.

On Oracle, the installation process for set-based sequencing is just one step. Select the Set based Sequencing check box on the Installation Options- Inventory page. It is always available on an Oracle platform. The system uses a built-in database ROWNUM function and work table (the IN_DP_TR2_TMP record) as originally installed by PeopleTools.

At run time, the Deplete On Hand Qty process checks for three specific issues before deciding to use set-based sequencing:

• Verifies the DMS has been run (This is always set for ORACLE).

• Verifies the Set based Sequencing check box has been selected on the Installation Options-Inventory page.

• Verifies the table structure of the sequence numbering work table (PS_IN_DP_TR2_TMP in Oracle and PS_IN_DP_TR2_TM2 in the rest of the platforms) and its sub record have not changed since the time the Set based Sequencing check box was selected.

Page Used to Deplete Inventory Balances

Running the Deplete On Hand Qty Process

Access the Deplete On Hand Qty Requests page (Inventory, Fulfill Stock Orders, Shipping, Deplete On Hand Quantity).

For the field descriptions on these search criteria, see the Common Elements Used in This Chapter section.

See Common Elements Used in This Chapter.

Shipping and Invoicing Orders Automatically

When you ship intercompany transfers and sales orders originating in PeopleSoft Order Management, you can automate both the shipping process and invoice creation. Running the Ship and Invoice process page launches the Direct Invoicing with AutoShip multiprocess job (DIRAUTO), which confirms, ships, depletes, and creates invoices for the shipped stock. In addition to direct invoicing, the Ship and Invoice job can also be used to print packing lists, bills of landing, and send out ASNs. This PeopleSoft job should be set up to include only those functions needed by the user. The job starts with the Picking Confirmations process using the auto-processing option. Demand lines are moved from a released state to the depleted state.

Note. This process cannot be run for a Vendor Managed Inventory (VMI) business unit.

See Also

Understanding Order Fulfillment Processing

Page Used to Ship and Invoice Orders Automatically

Running the Ship and Invoice Multiprocess Job

Access the Ship and Invoice page (Inventory, Fulfill Stock Orders, Shipping, Ship and Invoice).

Indicate which items you want to confirm:

Delaying the Billing and Costing of Inventory Shipments

In your organization, you may want to ship your orders within PeopleSoft Inventory but delay the billing and costing of a shipment until all of your own internal procedures are complete. To delay costing or revenue recognition, you must delay the running of the Deplete On Hand Quantity (Depletion) process in PeopleSoft Inventory. This is necessary because when the Depletion process is complete, the demand lines are eligible to be picked up by PeopleSoft Billing for invoice creation (revenue recognition) and by PeopleSoft Cost Management for costing calculations (generation of accounting entries for inventory costs).

The following diagram illustrates the flow of data from shipments in PeopleSoft Inventory to record revenue and costs in PeopleSoft General Ledger:

Flow of revenue and cost data from PeopleSoft Inventory to PeopleSoft General Ledger

Recognizing Revenue for Shipping Transactions

For sales orders from PeopleSoft Order Management or interunit transfers, the Depletion process marks the orders as available for processing in PeopleSoft Billing. Data from PeopleSoft Inventory and PeopleSoft Order Management is passed to PeopleSoft Billing for invoice creation and revenue recognition. The revenue information is then passed downstream to PeopleSoft Receivables and PeopleSoft General Ledger.

See PeopleSoft Billing Integrations.

Recording the Costs for Shipping Transactions

In PeopleSoft Cost Management, the Cost Accounting Creation process picks up depleted shipments from the TRANSACTION_INV record in PeopleSoft Inventory. These demand lines are moved into the CM_TRANSACTION table in PeopleSoft Cost Management. The Cost Accounting Creation process calculates and records the cost of the shipped goods. The accounting entries are then passed to the PeopleSoft General Ledger to be summarized into journal entries.

See Running the Cost Accounting Creation Process.

Deferring Depletions

The ability to delay the billing and costing processes is controlled by the Defer Depletions field that is located on each demand line within a sales order or material stock request. A value of N (no) enables the demand line to be processed by the Deplete On Hand Quantity (Depletion) process; a value of Y (yes) prevents the Depletion process from picking up the demand line so that it remains in the Shipped state and cannot be processed by PeopleSoft Billing or PeopleSoft Cost Management.

After setting up the PeopleSoft Inventory system to use the deferred depletions feature, you can process your inventory shipments as follows:

1. Process your orders or material stock requests up to the fulfillment state of Shipped.

   During the shipping process, the system applies the default value to the Defer Depletions field from your system setup or the system applies your override value that you can enter on many pages within demand fulfillment.

2. Complete your non-system related shipment processing, such as completing paperwork, obtaining signed delivery receipts, and so on.

   If the Depletion process is run during this time period, it will only select demand lines with a value of N in the Defer Depletions field.

3. Use the Defer Depletions component to mark the completed demand lines to be processed by the Depletion process.

   This is done by setting the Defer Depletions field on each demand line to N (no). You can select each individual demand line or you can change a group of demand lines at one time.

4. Run the Deplete On Hand Quantity (Depletion) process in PeopleSoft Inventory.

   This process selects eligible demand lines that meet the search criteria of the process page and have the value of N (no) in the Defer Depletions field. The Depletion process completes the final step in order fulfillment by depleting the Inventory business unit for the shipped stock and marking the demand lines with the fulfillment state of Depleted. This enables the PeopleSoft Billing and PeopleSoft Cost Management processes to pick up the demand lines for invoice creation and costing.

Here are some examples of situations where an organization would want to delay running the Depletion process:

• Sites that require signed delivery receipts before billing must be able to ship the orders in the system, print the shipping documents, deliver the goods to the customers, obtain signed delivery receipts, and then return to the warehouse where the shipments are completed so that billing and costing operations can be performed.

• Sites handling export orders may have various audits and approvals that are performed prior to physically shipping the products. These sites would finish the shipping functions in the PeopleSoft system and print off the shipping documents. Once the audits and approvals have been provided, and the goods are physically shipped, then the shipment would be completed so that billing and costing operations can be performed.

• Many sites have issues around accounting month-end processing that force them to alter procedures to make certain revenue and costs hit the correct month. For example, a site that prepares shipments on a Friday for shipping on Monday may want to print off the shipping documents and load a truck Friday evening for deliveries early Monday morning. When an accounting month-end cutoff hits on Saturday, the organization cannot allow the Depletion process to run for Monday's shipment until after the cutoff. Once the goods are physically shipped on Monday, then the shipment is complete and billing and costing can be performed.

Careful planning should be applied if you are using the Defer Depletions feature in combination with the Advanced Shipping Notice (ASN) EIP. The ASN EIP is an asynchronous outbound service operation to notify your customers that a sales order has been shipped. This message cannot be sent until the order is in the fulfillment state of Depleted. The Defer Depletions feature can prevent the sales order from reaching the Depleted state until non-system shipping processes are complete, such as the customer receipt of the goods. In this case, the ASN message could arrive after the shipment.

Pages Used to Delay the Billing and Costing of Inventory Shipments

Setting up the Defer Depletions Feature

To delay the billing and costing of inventory shipments, the Defer Depletions field at the demand line level must be set to Y (yes). This value is applied to the each demand line based on the default hierarchy that you define at the Inventory business unit level and the carrier level. This section discusses defining this default structure.

The following pages are used to turn on the Defer Depletions feature and to define the default value for demand lines:

Setup Fulfillment-Shipping Page

Access the Setup Fulfillment-Shipping page (Inventory, Fulfill Stock Orders, Fulfillment Rules, Setup Fulfillment, Shipping).

Use the Setup Fulfillment-Shipping page to:

• Determine if the Defer Depletions feature will be used within the Inventory business unit using the Defer Depletions Default field. Set this field to the value of Do not use this feature to turn off the Defer Depletions feature within this Inventory business unit.

• Set a default value (Y or N) for the Defer Depletions field at the Inventory business unit level using the Defer Depletions Default field. This default value is applied to the demand line level of each sales order or stock request within the business unit. Select a value of Default Defer Depletions to Y if you want all or most lines to use the Defer Depletions feature. Select a value of Default Defer Depletions to N if you want to use the Defer Depletions feature for a few orders on an exception basis.

• Select the Allow Defer Depletion Override check box to enable users to override of the Defer Depletions field on any demand lines within the business unit. You would use this option when some orders would use the Defer Depletion feature but other orders would not use it. Selecting this check box enables you to view and change the Defer Depletions field on several pages within the demand fulfillment process flow, including the; Material Picking Feedback page, Picking Confirmation process page, Shipping/Issues - Order Summary, Shipping Requests process page, Front-end Shipping Requests process page, Express Issue-Detail Override/Exceptions page, and on the header, group, and detail sections of the Fulfillment Workbench. The Defer Depletion field would also be available on the messages used by PeopleSoft Integration Broker for shipping.

See Defining Shipping Options.

Carrier Page

Access the Carrier page (Set Up Financials/Supply Chain, Common Definitions, Shipping and Receiving, Carrier Table).

On the Carrier Table component, you define the carriers, at the SetID level, that your organization uses to move freight. Using the Defer Depletions Default field on the Carrier page, you can tell the system to retrieve the default value from the Inventory business unit level (Setup Fulfillment-Shipping page) or define the default value by individual carrier ID. You can select the default value of N or Y to be applied to the Defer Depletions field on each demand line that uses this carrier ID. This default of Y or N is applied during the shipping processes and overrides a Y or N value set on the Setup Fulfillment-Shipping page (business unit level). However, the setting at the Carrier page cannot override the Do not use this feature value on the Setup Fulfillment-Shipping page.

See Establishing Carriers.

Overriding the Defer Depletions Setting During Demand Fulfillment

In your environment, you might want to use the Defer Depletions feature on some demand lines but not all lines. In this case, you will have selected the Allow Defer Depletion Override check box on the Setup Fulfillment-Shipping page to enable users to override of the Defer Depletions field on any demand lines within the business unit. This section discusses how to override the Defer Depletion field.

As demand lines go through the shipping process in demand fulfillment, the system looks for a value for the Defer Depletions field, as follows:

1. The system looks for an override value.

2. If no override value is found, then the system looks for a default value in the Carrier page.

3. If there is no value on the Carrier page, then the system looks for a default value in the Setup Fulfillment-Shipping page.

4. If no default value is found, then the system assigns the value of N to the Defer Depletions field.

Once you have enabled overrides to the Defer Depletions feature, the Defer Depletions field or Defer Depletions on Shipment field displays on the pages and components where you can override the value. These fields have the following options:

• Override to No: Select this option to change the selected demand lines to the value of N in the Defer Depletions field.

• Override to Yes: Select this option to change the selected demand lines to the value of Y in the Defer Depletions field.

• (blank): Select a blank for this field to indicate that you do not want to override the value of the Defer Depletions field. The default value comes from the Carrier ID or the Setup Fulfillment-Shipping page and remains unchanged.

Within the demand fulfillment process flow, you can use the following pages and process pages to override the Defer Depletions field for the demand lines selected by that page or process:

• Material Picking Feedback page within the Shipping Overrides group box.

• Picking Confirmation process page within the Shipping Overrides group box.

• Shipping/Issues - Order Summary page. The Defer Depletion override field is on the summary page. If you wish to change the Defer Depletions field at the demand line level, then you must use the Defer Depletions component.

• Shipping Requests process page within the Overrides group box.

• Front-end Shipping Requests process page within the Overrides group box.

• Express Issue-Detail Override/Exceptions page.

• For the Fulfillment Workbench when using the actions of pick confirm, front end ship, or ship, the Defer Depletions override field is available in the Picking /Shipping Overrides page located a the header, group, and detail levels. Overrides at lower levels take precedent over settings at the higher levels; for example, an N at the detail level is used rather than a Y at the header level.

• The Defer Depletion field would also be available on the messages used by PeopleSoft Integration Broker for shipping. This includes the following inbound service operations: Inventory_Pick_Confirm, Inventory_Front_End_Shipping, and Inventory_Shipping.

• The header, group, and detail pages of the Transaction Maintenance page for picking feedback, front-end shipping, and shipping transactions. Select the EIP Control ID link on the Transaction Maintenance page to access the detail pages.

To view many of these override fields, you must select the following settings on the Setup Fulfillment-Shipping page:

• The Defer Depletions Default field must be set to Default Defer Depletions to Y or Default Defer Depletions to N.

• The Allow Defer Depletion Override check box must be selected.

Viewing the Defer Depletions Setting During Demand Fulfillment

The following inquiry pages enable you to monitor the demand lines that are using the Defer Depletions feature:

• The Stock Request inquiry page displays the check box, Defer Deplete. If this check box is selected on the displayed demand line, the Defer Depletions field has the value of Y (yes). If the check box is clear, then the value is N (no) and the demand line can be moved to the Depleted fulfillment state by the Depletions process.

• The Fulfillment Status inquiry page includes:

  • The Defer Deplete Lines Only check box that enables you to search for demand lines that are using the Defer Depletions feature. When this check box is selected the search results only include demand lines with the value of Y in the Defer Depletions field. When this check box is clear, the search results include all demand lines meeting the search criteria regardless of the value in the Defer Depletions field.

  • The Nbr of Deferred column in the search results page displays the number of demand lines within the order number that have the value of Y in the Defer Depletions field.

Releasing Defer Depletion Demand Lines for Downstream Processing

Access the Defer Depletions page (Inventory, Fulfill Stock Orders, Shipping, Defer Depletions).

Access the Defer Depletions-Shipment Selection Criteria page (Select the Search for Shipped Demand link on the Defer Depletions page).

Click the Count Total button on the Defer Depletions-Shipment Selection Criteria page to display the number of demand lines that will be impacted by your change:

The Defer Depletions component is used to change the value of the Defer Depletions field for the selected demand lines. This component enables you to release sales orders and stock requests to the billing and costing processes by changing the value of the Defer Depletions field from Y to N, so that the Deplete On Hand Quantity (Depletions) process to pick up the demand lines for processing. In addition, you can use this component to delay the costing and billing processes by changing the Defer Depletions value from N to Y. You can use this component in two ways:

1. Online Method: View the individual demand lines on the Defer Depletions page and change the Defer Depletions field per line. This method is useful when you are working with a few demand lines and need closer supervision of the changes. When using the online method:

   1. Use the Defer Depletions-Shipment Selection Criteria page to enter your selection criteria. Click the OK button to place the selected demand lines on the Defer Depletions page.

   2. Select the Defer Depletions check box for any demand line that you want to change the Defer Depletions field to Y.

   3. Deselect the Defer Depletions check box for any demand line that you want to change the Defer Depletions field to N.

   4. Click the Save button to execute your changes on the demand line.

2. Batch Method: Use the Defer Depletions-Shipment Selection Criteria page to enter search criteria and change the Defer Depletions value without viewing the individual demand lines. This method is especially useful when you are handling a large number of demand lines. Using the online method for a large number of demand lines could result in a performance delay.When using the batch method:

   1. Access the Defer Depletions-Shipment Selection Criteria page and enter your selection criteria.

   2. Click the Count Total button to view the total number of demand lines your current selection criteria will impact. Use this button to verify that you will be impacting the number of lines you expect prior to using the Defer All or Undefer All buttons.

   3. Click the Defer All button or the Undefer All button. Click the Defer All button to set the value of the Defer Depletions field on each selected demand line to Y (yes). Yes prevents the lines from being processed by the Deplete On Hand Quantity (Depletions) process. These demand lines stay in the Shipped fulfillment state and are not moved to the Depleted fulfillment state.

      Click the Undefer All button to set the value of the Defer Depletions field on each selected demand line to N (no) so that the Deplete On Hand Quantity (Depletions) process can pick up the demand lines for processing and move the lines to the Depleted fulfillment state.

Note. Demand lines belonging to one product kit ID must be updated together to have the same value in the Defer Depletions field.

Defer Depletions page

Defer Depletions-Shipment Selection Criteria page

Viewing Shipment Backlogs

You can view detailed information about and enter comments for orders that do not ship on time.

Page Used to View Shipment Backlogs