1. SCM (Supply Chain Management)
  2. Manufacturing
  3. Assembly Work Orders
  4. Work Orders and Demand Planning

Work Orders and Demand Planning

When you use the Work Orders and Demand Planning features, you can create work orders to replenish stock, based on demand for assembly items. These work orders use information from item records to calculate lead times for orders.

Lead Time for Supply Planning

When you use the Work Orders and Demand Planning features, assembly item records show the Work Order Lead Time field.

In the Work Order Lead Time field, enter the lead time (in days) to build one assembly in the base unit. Then, NetSuite calculates the lead time for a work order using the following:

Lead time for a work order=

Work Order Lead Time on Item Record * Quantity in base unit of measure

Work Order Start and End Dates

When you use Demand Planning, if either the start date or end date is left blank, it can be calculated in the following way:

  • When an End Date is entered but the Start Date is blank, the start date is calculated as follows:

    Start Date = End Date - (Work Order Lead Time from the item record * Quantity in base unit of measure)

  • When a Start Date is entered but the End Date is blank, the end date is calculated as follows:

    End Date = Start Date + (Work Order Lead Time from the Item Record * Quantity in base unit of measure)

Note:

The natural rounding method is used to determine the start and end date of work orders.

Work Orders and Sub-Assemblies

When you generate a new supply plan for an assembly item, it calculates material requirements based on the lowest level of component items needed. This is true for assembly items that have the Mark Sub-Assemblies Phantom box checked on the item record. For example, the following diagram depicts the Coffee Gift Set assembly item and has the following component structure.

                                                                                                                                                                                                                                                                                                                                   

  • Assembly Item A: Coffee Gift Set

    • Component B: Coffee Bean Pair

      • Component E: Bag of Regular Beans, 1 lb.

      • Component F: Bag of Decaf Beans, 1 lb.

    • Component C: Coffee Grinder

    • Component D: Travel Mug

The Mark Sub-assemblies Phantom box is checked on the item record for Item A: Coffee Gift Set. When a planned work order is generated for a Coffee Gift Set, the component assembly requirements are for items E, F, C and D. And, the purchase order created shows these items. Notice that Item B: Coffee Bean Pair is not a requirement itself, only its member components are required.

Also, the Mass Create Work Order page displays the lines from the supply plan with the Mark Sub-assemblies Phantom box disabled.

By contrast, the Mark Sub-assemblies Phantom box is clear on the item record for Item A: Coffee Gift Set. The work order is created only for items B, C, and D. If B is not available, NetSuite does not create a work order.

Related Topics

General Notices