Understanding Commitment Rules

When a parts list is attached to a work order header, either manually or by using the batch program, the system automatically creates commitments for the components unless you set the processing option to bypass inventory commitments.

When you define commitments, you set up the parameters that determine how the commitment is created. If you are using lot control, you can also manage commitments by commitment date method, as well as grade or potency. You repost commitments when you need to clear commitments and reassign quantities to other work orders.

When creating commitments, you can activate a processing option to verify whether substitutes exist for an item. To use substitutes, you must use a hard commitment at the creation of a work order or at pick time.

You define the method that the system uses when creating a commitment. Using the Item Branch/Plant program (P41026), you can define the commitment method by location, lot number, or date. If you define commitments by date, you specify the commitment date method, as well as the lot expiration date method, if applicable, on the Lot Processing tab. The system calculates these dates based on the default days information that you define in the Item Master (P4101) and Item Branch/Plant programs and stores them in the Lot Master table (F4108).

You use the Manufacturing Constants program (P3009) to define the commitment control method and type of commitment for the work order. Commitment control determines how the system commits inventory to a work order. For example, commitment control determines whether the system can cross branch boundaries to fill requirements. In addition, you can specify whether the commitment is soft or hard. Soft commitments can become hard commitments in certain circumstances, such as when inventory is relieved.