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 Defining Serial Control and Shipping Serial Control
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.
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 Understanding PeopleSoft Quality Integration 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 supplier 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.