Understanding Inventory Adjustments for Production Controlled Items
You use inventory adjustments to reconcile discrepancies between physical item counts and system item counts. You can enter adjustments to increase or decrease the on-hand quantity and the cost of inventory items in a branch/plant without conducting a complete physical inventory. For example, you can adjust inventory when a discrepancy exists between the number of items recorded for a location and the actual count. You use the Inventory Adjustments program (P4114) to enter adjustments.
The Production Number field appears in the detail grid on the Inventory Adjustments form as an editable field.
When you adjust inventory for production controlled items, the inventory adjustment increases the quantity in the F41021 and F41021T tables.
When you enter a negative value for the inventory adjustment, the system restricts you from entering a negative quantity in excess of what is available in the F41021T table for the production number.
For negative inventory adjustments, the system enables you to consume the remaining required quantity from production controlled items only when the required quantity of generic inventory is not available. You consume the remaining required inventory using either blind or interactive mode.
You set the Production Number On Hand Consumption processing option for the Inventory Adjustments program to blank to activate blind inventory selection.
When the Inventory Adjustments program is run to adjust inventory blindly for production controlled items, the algorithm:
Allocates generic inventory.
Generic inventory is inventory for items that are not production controlled and, therefore, are not associated with a production number.
Allocates inactive production numbers.
These are production controlled items that have the Production Number Status set to I in the Production Number Master File table (F34401).
Allocates orphaned production numbers.
These are production controlled items that are no longer associated with a supply or demand.
Allocates production number by end item demand date.
This is the demand date of a production controlled item that is the farthest in the future. The system then replans the end item to meet the demand.
If you set the Production Number On Hand Consumption processing option to a value of 1 to interactively adjust inventory, then the system displays the Select Inventory for Consumption form during negative inventory adjustments. You select the specific inventory and quantity to consume.
You must complete the Secondary Quantity field if the item you are adjusting is set up with dual units of measure in the item master record.
After you select the inventory to consume, you can access the Select Inventory to Consume form to review or redistribute inventory. You must have a value in the Quantity field to access the Prod No. Consumption option in the Row menu.
A reversal of production controlled inventory transactions increases or decreases the on-hand quantity of the production number used in the transactions.
The on-hand quantity for production controlled inventory in the F41021T table does not go negative. Therefore, if the on-hand quantity for the production controlled item is insufficient, then the F41021T table shows zero quantity on hand and the F41021 table shows a negative on-hand quantity. All on-hand quantity for production controlled items must be consumed before the on-hand quantity of generic items goes negative.
You can manage production number inventory through the Production Number Workbench program before adjusting inventory.