Using Production Options with PeopleSoft Supply Planning

The Production Option Control check box (set at the item and business unit level on the Define Business Unit Item - Manufacturing: General page) determines how production options (formerly build options) are created in PeopleSoft Supply Planning.

There are two production option control options:

• Use Prdn Option Maintenance (production option maintenance).

• Use BOM/Routing Defaults.

Use Production Option Maintenance Setting

There are two different settings for the Production Option Control flag. If you select Use Prdn Option Maintenance, you can define specific BOM and routing combinations with effective dates assigned to each combination. You make these definitions with the Production Option Maintenance pages. All BOM and routing combinations with the Incl Plan (include in planning) check box are visible to PeopleSoft Supply Planning.

Use BOM and Routing Defaults Setting

If you select Use BOM/Rtg Defaults as the production option, you cannot define and maintain specific effective BOM and routing combinations, but you can still limit the number of production options created in PeopleSoft Supply Planning. For example, suppose that you have BOM codes 1, 2, and 3 and routing codes 1 and 2, then there are potentially six production options that can be created in PeopleSoft Supply Planning, if there is no way to limit that number. However, you can limit that number by using the BOM Code and Routing Code fields on the Define Business Unit Item - Manufacturing: General page. For example, if you select one specific BOM code and one specific routing code, then only one combination is extracted by PeopleSoft Supply Planning.

Other Production Option Planning Information

Regardless of the setting, it's possible to view the PeopleSoft Supply Planning production options before running PeopleSoft Supply Planning by using the Item Planning Inquiry.

It's also possible to cost production options using the Production Option Costing Utility, so that an accurate build cost is sent to PeopleSoft Supply Planning for each production option. This utility effectively rolls up the costs for all production options in the range of items selected. Both the batch cost (total cost) and the unit cost can be viewed through the Item Planning Inquiry.

Using the sourcing template function, you can prioritize the production, transfer, and purchase options for an item and business unit, so that you have full control over how PeopleSoft Supply Planning creates new supply for the item.

Since PeopleSoft Supply Planning has visibility into the effective dates defined against the production option, the PeopleSoft Supply Planning application recommends new planned production orders based on the current, effective BOM and routing combinations.