PeopleSoft Manufacturing 9.1 PeopleBook

Getting Started with PeopleSoft Manufacturing

This chapter discusses:

Your enterprise data flow.
Recognizing your business structure.
PeopleSoft Manufacturing integrations.
PeopleSoft Manufacturing implementation.

Your Enterprise Data Flow

PeopleSoft Manufacturing consists of a tightly knit, functionally rich suite of applications that streamline, automate, and augment your business processes to provide a comprehensive, global supply chain management solution.

Note. PeopleSoft Manufacturing combines products that were previously released as PeopleSoft Bills and Routings and PeopleSoft Production Management.

PeopleSoft Manufacturing includes these applications:

PeopleSoft Cost Management
PeopleSoft Engineering
PeopleSoft Quality
PeopleSoft Inventory
PeopleSoft Flow Production

All PeopleSoft Manufacturing applications are seamlessly linked. In other words, data is shared among all applications. PeopleSoft Manufacturing also uses data that is defined in other PeopleSoft applications, such as PeopleSoft Product Configurator, PeopleSoft Purchasing, PeopleSoft Asset Management, PeopleSoft Accounts Payable, and PeopleSoft General Ledger.

Recognizing Your Business Structure

The first goal with the newly installed PeopleSoft Manufacturing application is to design the system. You'll define the shop floor and inventory structure, and the costing and accounting rules, as if you were developing your own new in-house system—without writing all the code. We've already anticipated the features and functionality that you'll need through our application tables, so all you do is complete the tables, as you add business units.

Before you set up the tables, you'll need to make some key decisions regarding how you want to define the system. As you begin making implementation decisions, consider:

Whether items will be tracked using lots or serial numbers.
Whether you want to use location accounting to financially account for inventory movement. If so, you'll assign different general ledger inventory accounts to each storage area and production area.
Whether you have government-mandated requirements for reporting financial results that differ from the corporate chart of accounts.
How you want to set up the storage level configuration for the business unit.
Which storage areas will be WIP locations to maintain component supply for production.
Which storage locations will contain non-owned stock.
Whether you'll use consigned inventory from suppliers.
Whether you'll track production using discrete orders (production IDs) or track production quantities as they're completed.
Whether any of the production processes will be outsourced to a subcontractor.

You must use production IDs to implement those subcontractor processes.
Whether you want to specify automatic revision control for an item.

Note. If your organization requires engineering change orders (ECOs), change control, and document management for prototyping new items or modifying existing bills of material (BOMs), consider installing PeopleSoft Engineering. Please contact your account manager for further information regarding this application.

See Setting Up Location Accounting.

See Preparing to Implement PeopleSoft Inventory.

Additional Considerations for Consumer Products

If you're using consumer products, consider:

Whether you define effective-dated BOM and routing combinations (also known as production options).
Whether you generate co-products and by-products as part of the production process.

See Defining Production Options.

Additional Considerations for Landed Costs

If you're using landed costs, consider which non-material components of an item's cost (freight, insurance) you want to track separately.

Additional Considerations for PeopleSoft Quality

If you're using PeopleSoft Quality, consider:

The processes for which you are going to collect quality information.
The type of characteristics (variables, defects) that you want to measure for the process.
Whether you are going to integrate with PeopleSoft Quality through PeopleSoft Manufacturing, PeopleSoft Inventory, or PeopleSoft Purchasing.
Whether you want to pass quality control information from the current data collection devices to PeopleSoft Quality.

See Integrating PeopleSoft Quality With Other PeopleSoft Applications.

Additional Considerations for PeopleSoft Engineering

If you're using PeopleSoft Engineering, consider these questions:

What are the procedures for introducing new products and enhancing existing products?
Do you intend to use engineering change requests (ECRs) and ECOs?
Do you collaborate with suppliers on outsourced products? Will you use PeopleSoft Engineering self-service applications for this?
How will you manage the BOMs and routings within PeopleSoft Engineering?
Will the master version for BOMs and routings be kept in PeopleSoft Engineering or only "in-process" development?
Are you using a third-party vendor for product development that needs to feed BOMs into PeopleSoft Engineering?

If so, you'll need to use the Product Data Management EIP.
Will you use mass maintenance to modify BOMs?
Do you require revision control?

This affects how items are set up, as well as revisions and decisions regarding the use of auto-revision control during mass maintenance.
Will you have Documentum installed or will you use attachments to track design documents within the PeopleSoft system?

Additional Considerations for Integrating to Third-Party Systems

PeopleSoft Manufacturing integrates to third-party data collection, product data management, item content provider, and manufacturing execution systems. If you integrate to a third-party application, consider:

Whether you use electronic data collection and which type of device you'll use: radio frequency, wedge, or batch.
Whether you integrate to a third-party system and which of the integration points you'll implement.
Whether you use a manufacturing execution system (MES) or any other third-party systems to publish messages, and whether you'll use chunking to distribute messages.

For example, you can distribute production order data to different business units.
Additionally, you must activate the messages and set up message nodes.

You also can optionally set up chunking for "publish" messages.

See Integrating Oracle's PeopleSoft Manufacturing with Product Life Cycle Management Applications Using PDX 1.0 XML.

See Integrating with Third-Party Systems.

See Understanding SCM Integration.

PeopleSoft Manufacturing Integrations

This diagram illustrates PeopleSoft Manufacturing integrations with other PeopleSoft Financial and Supply Chain Management (FSCM) applications. The integration points are explained below the diagram:

How PeopleSoft Manufacturing integrates with other PeopleSoft FSCM applications

We discuss integration considerations in the appropriate chapters in several PeopleSoft PeopleBooks.

PeopleSoft Asset Management

PeopleSoft Manufacturing enables you to track assets and maintain service schedules by optionally linking asset information from PeopleSoft Asset Management to machine and tool resources in PeopleSoft Manufacturing.

PeopleSoft Cost Management

PeopleSoft Cost Management defines the costing and accounting structure for all PeopleSoft Manufacturing operations. You can define various costing methods for an item, such as standard, actual, perpetual, retroactive, and periodic cost. Robust cost analytics are provided to help you analyze the costs.

PeopleSoft Engineering

As part of our design-to-deploy solution, if you have PeopleSoft Engineering installed, you can take advantage of the integration between PeopleSoft Manufacturing and PeopleSoft Engineering to:

Maintain both engineering BOMs and manufacturing BOMs.
Maintain both engineering and manufacturing routings.
Transfer BOMs and routings between PeopleSoft Manufacturing and PeopleSoft Engineering.
Maintain document versions.
Make mass changes to manufacturing BOMs using ECOs.
View ECOs.

PeopleSoft Flow Production

If you are using PeopleSoft Flow Production, you can use streamlined replenish techniques to replenish production materials. Material can be replenished from an inventory location, feeder line, or supplier.

PeopleSoft Inventory

PeopleSoft Manufacturing uses PeopleSoft Inventory to define item attributes, issue raw materials and subassemblies, and store finished goods. The system automatically notifies PeopleSoft Inventory to replenish the WIP location when material is consumed and falls below user-defined levels during the backflush process.

PeopleSoft Manufacturing accesses these items in PeopleSoft Inventory:

Approved items in creating a BOM.
Approved items, item groups, and item families in the creation of master routings.
Material storage locations that are used to assign WIP locations to work centers.

PeopleSoft Product Configurator

PeopleSoft Product Configurator accesses routing information from PeopleSoft Manufacturing. The production configuration process takes the detailed configuration information that is captured during order management and sends requirements to PeopleSoft Manufacturing.

PeopleSoft Order Management

PeopleSoft Manufacturing can receive configured production orders that are created in PeopleSoft Order Management using PeopleSoft Product Configurator. PeopleSoft Manufacturing produces finished goods to fulfill orders that are taken by PeopleSoft Order Management.

PeopleSoft Purchasing

PeopleSoft Manufacturing accesses vendor information from PeopleSoft Purchasing for subcontracted tasks and operations on a routing, as well as for PeopleSoft Engineering. PeopleSoft Purchasing works closely with PeopleSoft Manufacturing to manage subcontracting operations. After production has been released, you can select the production IDs with subcontracted operations and send the information to PeopleSoft Purchasing, where purchase orders will be created. PeopleSoft Purchasing is used to provide raw materials for manufacturing.

PeopleSoft Quality

PeopleSoft Quality is used to record quality metrics during the manufacturing phase. PeopleSoft Quality accesses, from PeopleSoft Manufacturing, machine information to define machine stations where samplings occur and work center information to define work centers where samplings occur. If the installation includes PeopleSoft Quality, and you have defined quality configuration information and quality plans in PeopleSoft Quality for the manufactured item and its process, PeopleSoft Manufacturing enables you to transfer completions data to immediately initiate a quality data entry session in PeopleSoft Quality. Alarms will be triggered when PeopleSoft Quality identifies out-of-tolerance situations.

PeopleSoft Supply Planning

As part of our plan-to-produce solution, PeopleSoft Supply Planning accesses both planning BOMs manufacturing BOMs and routing and master routing information (work center, task, and operation) from PeopleSoft Manufacturing for supply planning and scheduling purposes.

PeopleSoft Manufacturing and Third-Party Systems

This diagram illustrates PeopleSoft Manufacturing integrations with third-party systems using PeopleSoft enterprise integration points (EIPs). The third-party systems include product data management systems, electronic data collection (EDC) systems, product lifecycle management systems, manufacturing execution systems, and item content providers:

How PeopleSoft Manufacturing integrates with third-party systems

See Integrating with Third-Party Systems.

See Integrating Oracle's PeopleSoft Manufacturing with Product Life Cycle Management Applications Using PDX 1.0 XML.

Supplemental information about other third-party application integrations is located on the My Oracle Support website.

PeopleSoft Manufacturing EIPs

This section discusses the EIPs that are used by PeopleSoft Manufacturing to send and receive information.

EIP Name	Description
Actual Hours (PRODUCTION_ACTUAL_HOURS)	You may also want to record actual hours information that is associated with specific production, and this information may have been captured by a third-party system. Use the Actual Hours EIP to import actual hours information from third-party systems. This is an inbound, asynchronous message. See Completing Operations and Recording Scrap.
Bill of Material (BOM_SYNC)	If you use a third-party item content provider or product data management system to manage BOMs, use this EIP to import updates to engineering and manufacturing BOMs from an external system. This is an inbound, asynchronous message. See PeopleSoft Engineering Overview. See Integrating Oracle's PeopleSoft Manufacturing with Product Life Cycle Management Applications Using PDX 1.0 XML.
Item Master (ITEM_SYNC)	Import item information. This is an inbound, asynchronous message. See Maintaining Bills of Material. See PeopleSoft Engineering Overview. See Integrating Oracle's PeopleSoft Manufacturing with Product Life Cycle Management Applications Using PDX 1.0 XML.
Production Completions (PRODUCTION_ORDER_COMPLETION)	If you use a third-party system to record completions for production, use this EIP to import information into PeopleSoft Manufacturing. This is an inbound, asynchronous message. See Recording Completions and Scrap Using Electronic Data Collection.
Production Order Issue (PRODUCTION_ORDER_ISSUE)	Use this EIP to import edit or issue component information from a third-party system. This is an inbound, asynchronous message. See Completing Operations and Recording Scrap.
Production Order Update (PRODUCTION_ORDER_UPDATE)	Use this EIP to export production order or production schedule changes to an external system. This is an outbound, asynchronous message. See Maintaining Production Orders and Production Schedules.
Production Picking (PRODUCTION_PICKING)	Import picking information from third-party systems. This is an inbound, asynchronous message. See Issuing Material Using Electronic Data Collection.
Production Serial Association (PRODUCTION_SERIAL_ASSOCIATION)	Use this EIP to import production genealogy information from an external system. This is an inbound message. See Using Serial Genealogy in PeopleSoft Manufacturing. See Processing Enterprise Integration Points (EIPs).

PeopleSoft Manufacturing Implementation

PeopleSoft Setup Manager enables you to generate a list of setup tasks for the organization based on the features that you are implementing. The setup tasks include the components that you must set up, listed in the order in which you must enter data into the component tables, and links to the corresponding PeopleBook documentation.

PeopleSoft Manufacturing also provides component interfaces to help you load data from the existing system into PeopleSoft Manufacturing tables. Use the Excel to Component Interface utility with the component interfaces to populate the tables.

This table lists all of the components that have component interfaces:

Component	Component Interface	Reference
Item Groups	INV_ITEM_GROUPS_CI	See Setting Definitions for Item Control Values.
Ultimate Use Code	SUT_USE_CI	See Defining Additional Common Information.
Item Load from Excel	IN_MST_ITM_XLS	See Using the Excel-to-Component-Interface Utility.
Sales and Use Tax Authorities	TAX_AUTHORITY_CI	See Defining Sales and Use Tax Authorities and Codes.
Sales and Use Tax Codes	TAX_CODE_CI	See Defining Sales and Use Tax Authorities and Codes.
Distribution Type	CM_DISTR_TYPE_CI	See Defining Distribution Types.
Automatic Serial Numbers	AUTO_SERIAL_NUM_CI	See Defining Items by SetID.
Transfer Attributes	UNIT_TRANSFER_DEF_CI	See Transferring Stock Between Business Units.
Transfer Attributes Defaults	TRANS_UNIT_INV_CI	See Transferring Stock Between Business Units.
Production Conversion Codes	CE_CONCODE_CI	See Defining the Cost Foundation for Makeable Items.
Costing Conversion Overhead Rates	CE_CONV_OH_RATE_CI	See Defining the Cost Foundation for Makeable Items.
Conversion Rates	CE_CONV_RATE_CI	See Defining the Cost Foundation for Makeable Items.
Forecasted Purchase Costs	CE_FCST_CI	See Defining the Cost Foundation for Makeable Items.
Additional Item Costs	CE_ITEMEXP_CI	See Defining the Cost Foundation for Makeable Items.
Conversion Overhead Codes	CE_OHCODE_CODE_CI	See Defining the Cost Foundation for Makeable Items.
Bill of Material Privileges	EN_IC_BOM_PRIV_CI	See Maintaining Bills of Material.
Item Price Markup	MARKUP_PCT_INV_CI	See Managing Interunit Transfer Pricing and Additional Costs.
Production Replenish Locations	REPL_LOCATIONS_CI	See Issuing Material to Production.
Item Transfer Price	STD_PRICE_INV_CI	See Managing Interunit Transfer Pricing and Additional Costs.
Floor and Ceiling Costs	CM_VALUE_REF_PGRP_CI	See Generating Reports of Financial Transactions.
Fixed Picking Locations	FIXED_PICK_BINS_CI	See Assigning Fixed Picking Locations.
Crew Actual Costs	CE_CREW_ACTCOST_CI	See Establishing Actual Costs for Crew.

PeopleSoft Events and Notifications Framework

As your organization processes the continuous stream of transactions within your PeopleSoft system, the events and notifications framework enables you to monitor the transaction flow and alert your organization to any errors, changes, and stalled transactions. The messages generated by the events and notifications framework can notify you of the problem, give you a detailed description of the issue, and provide a link to the PeopleSoft page where you can resolve it. One of the ways to use the events and notifications framework is to create PeopleSoft Queries on one or more PeopleSoft tables, add the alert using the Alert Setup component, and then complete the alert setup steps. This method enables you to monitor data within a PeopleSoft table; for example, searching for stalled transactions, instead of looking at the results of a PeopleSoft process. When the Alerts process (EOEN_ALERT) is run, the PeopleSoft table is queried and the alert messages can be generated. These messages can be routed to the appropriate person (PeopleSoft user or non-PeopleSoft user) using an email, a PeopleSoft worklist entry, an XML message, or the PeopleSoft Notification Dashboard.

For the PeopleSoft Manufacturing application, sample data includes the following PeopleSoft queries that have been setup to work with the events and notifications framework. These queries may require minor modifications to work in your environment. You can also copy and alter these queries to create new alert messages.

Query	Process Name	Process Category	Description
MG_BCT_ERRORS	MG_ALERTS	MG_BCT_ERRORS	Query the BCT staging tables and generate alert messages for the following manufacturing transactions that are in error: 210 Production Pick Plan 220 Completion/Scrap 225 Edit Issue Components 230 Production Kit Issue/Return 240 Actual Hours 250 MFG Replenishment Request 400 Serial Genealogy
MG_BCT_UNPROCESS	MG_ALERTS	MG_BCT_UNPROCESS	Query the BCT staging tables and generate alert messages for the following manufacturing transactions that have not been processed for more than 120 minutes: 210 Production Pick Plan 220 Completion/Scrap 225 Edit Issue Components 230 Production Kit Issue/Return 240 Actual Hours 250 MFG Replenishment Request 400 Serial Genealogy Note. The number of minutes can be changed by modifying the query.
MG_COMP_OVERISSUE	MG_ALERTS	ISS_REPL_COMP_OVERISSUE	Generates alert messages for production IDs and production schedules: With a status of In Process. With component issue method of Issue or Replenish. Any component has an issue quantity greater than 110 percent of the scheduled quantity. Note. The percentage can be changed by modifying the query.
MG_KIT_COMP_OVERISSUE	MG_ALERTS	KIT_COMP_OVERISSUE	Generates alert messages for production IDs and production schedules: With a status of In Process. With component issue method of Kit. Any component has an issue quantity greater than 110 percent of the scheduled quantity. Note. The percentage can be changed by modifying the query.
MG_LATE_PRODUCTION	MG_ALERTS	LATE_PRODUCTION	Generates alert messages for production IDs and production schedules: With a status of Released or In Process. Completed quantity is less than 95 percent of the scheduled quantity and are past due. Note. The percentage can be changed by modifying the query.

See PeopleSoft PeopleBook: Approval Framework

Other Sources of Information

In the planning phase of your implementation, take advantage of all PeopleSoft sources of information, including the installation guides, table-loading sequences, data models, and business process maps. A complete list of these resources appears in the preface in the PeopleSoft Application Fundamentals PeopleBook, with information about where to find the most current version of each.