Creating an Inventory Item

Use the Items form to create and maintain a list of all items bought, serviced, and sold.

When you create a new inventory item, a default warehouse and default item stockroom location are created.

Follow these steps to create a new inventory item:

  1. Open the Items form and turn off Filter-in-Place.
  2. Select Actions > New.
  3. Specify this information in the header section:
    Item
    Specify a unique alphanumeric identification for the item.
    Description
    Specify a description for the item code.
    Description 2
    Specify a second line description for the item code. When integrated with Distribution SX.e, this description is used to store the second description from the Item Master BOD.
    Extended Description
    If you selected Use Item Extended Description on the Inventory Parameters form, the full item description from SX.e is displayed, if applicable.
    Drawing Number
    Specify a drawing number or an Engineering Change Notice (ECN) number for the item.
    Alternate Item
    Select a replacement part number to use if needed.
    Buyer
    Select a buyer to associate with the item.
    Supersede Item
    When applicable, this read-only field shows the superseded item for the current item. This field is only visible when integrated with Distribution SX.e.
    Stocked
    Select this check box if this item is normally kept in stock. Clear this check box if this item is not stocked and must be ordered or produced when needed.
    U/M
    Select the unit of measure to use for the item.
    Type
    Select one of these types to describe the item:
    • Material: Either purchased or converted by the manufacturing process into components and/or finished products. It is also possible to use material to identify an end item. These materials are normally allocated and consumed in the manufacturing process. Material type costs are used to calculate the material costs.
    • Fixture: Devices which support materials or tools during the machining process. Fixtures are normally not consumed by the manufacturing process.
    • Tool: Used by a machine to perform an operation. Tools can be consumed in the manufacturing process, but they are often reusable.
    • Other: Items that do not fall into any of the other categories. These items may be nothing more than descriptions of miscellaneous charges for a tasks. For example, Outside Services would fall into this category.
    Source
    Select one of these values to specify how this item is acquired into inventory:
    • Purchased: Item is primarily a purchased item.
    • Transferred: Item is primarily a transferred item.
    The source you select does not dictate that the item can only be purchased or transferred. Your selection tells the system what to use as a default value.
    Product Code
    Select a product code for the item. This code is used to group items so similar items can have the same markup, G/L distribution accounts, and Planning Parameters.
    ABC Code
    Select a code to use to rank items according to annual domestic currency usage.
    SRT Product Code
    Select the SRT product code value from the Standard Repair Times form. This determines the standard repair time for the item. If an SRT product code was passed from SX.e using the ItemMasterBOD, then that value is automatically displayed.
    Cost Method
    Select a method that determines how this inventory item assigns the cost of this item when removed from inventory:
    • Average
    • LIFO
    • FIFO
    • Specific
    • Standard
    Cost Type
    Select Actual to use one of the four actual costing methods or Standard to use one of the five standard costing methods.
  4. Specify this information on the General tab:
    Inventory Tree
    This tree shows the quantity on hand for each warehouse that contains the item. You can view more detailed information about the quantity on hand for the item's stockroom and lot location by expanding the warehouse record.
    Wholesale Price
    The wholesale price of the item is displayed.
    Standard Unit Cost
    The cost for one unit of the item is displayed. If you set the Cost Method field to Standard, this field contains the Standard Unit Cost and is labeled as such. The default value is displayed from the Item Costs form.
    Current Unit Cost
    The cost for one unit of the item is displayed.
    Lot Size
    Specify the lot size for the item. The lot size is the number of items that are contained in one grouping, or lot. This information is used to calculate costs.
    Quantity On Hand
    The total quantity of an item at all nettable stockroom locations is displayed.
    Quantity Available to Rent
    The total quantity available to rent at the item level is displayed. This includes fixed assets.
    Unit Weight
    Specify the weight of one unit, as defined by the U/M of the item.
    (U/M)
    Specify the unit of weight. For example, lbs or oz.
    Fixed Lead Time
    Specify the number of days required to obtain the item. This value is used for planning purposes to ensure enough time is allocated to prepare the item.
    Non-Nettable Stock
    The total amount of an item at all non-nettable stockroom locations is displayed.
    Quantity Ordered
    The total amount of this item that you have ordered but not yet received on open purchase orders (those PO line/releases with a status of Ordered) is displayed.
    Include In Configuration
    Select this check box to include the item in unit configuration.
    Manufacturer
    Select the party responsible for the manufacturing of the item.
    Mfg Item #
    Specify an alphanumeric code for recording the manufacturer item number for the item.
  5. Specify this information on the Planning tab:
    Planner Code
    Specify the code for the planner who is responsible for this item.
    Order Minimum
    Specify the minimum amount of this item to produce. This field applies to MRP.
    Order Multiple
    Specify the multiple in which quantities of this item should be planned.
    Order Maximum
    Specify the maximum amount of this manufactured end item to build.
    Days Supply
    Specify the number of days ahead to include in planning when determining current demand.
    Supply Usage Tolerance
    Specify the number of hours ahead to look for supply orders to reduce current demand.
    Safety Stock
    The quantity of this item to always have on hand in inventory is displayed. This is set on the Item/Warehouse form.
    Family Code
    Select a family code for this item to group it with other similar items.
    Primary Vendor
    Select the vendor to associate with the item.
    Supply Site
    Select the name of the Service Management site that supplies the item to be transferred.
    Supply Warehouse
    Select the warehouse that supplies this item. The item source must be set to Transferred before you can update this field.
    Paper Work
    Specify the number of days it takes to fill out the necessary forms before a purchase order can be started (the time required to convert a planned order into a Released PO).
    Fixed
    Specify the number of days required to obtain the item. This value is used for planning purposes to ensure enough time is allocated to prepare the item.
    Dock-to-Stock
    Specify the number of days it takes to get the item into stock after the purchased material is received on the dock. Receiving inspection activity is the usual reason for dock-to-stock planning.
    Variable
    Specify the variable lead time. This amount is multiplied by the quantity needed to determine the total variable lead time.
  6. Specify this information on the Controls tab:
    Lot Track
    Select this check box to instruct the system to lot track the item. Clear the box when the item is not lot tracked.
    Lot Prefix
    The lot prefix specified on the Inventory Parameters form is displayed. Optionally, specify a different prefix.
    S/N Track
    Select this check box to track the serial numbers of items as the items move through the system through inventory, receiving, and shipping transactions.
    S/N Prefix
    The serial number prefix specified on the Inventory Parameters form is displayed. Optionally, specify a different prefix.
    Shelf Life
    The expected shelf life, in days, for the item is displayed.
    Reservable
    Select this check box to allow the item to be reserved inventory. See About Reserving Inventory for an Order for more information about reserving inventory.
    Downloadable
    Select this check box to indicate that the item contains files that can be downloaded.
    Consumable Item
    Select this check box if you do not want to track the item in inventory. The item is expensed.
    Issue By
    For lot tracked items, the order in which material is issued is displayed.
    Material Status
    Select the material status of the item:
    • Active
    • Obsolete
    • Slow Moving
    Note: If you are integrated with SX.e, when SX.e sends a product status of Inactive, the Material Status is updated to Obsolete and the associated Reason code is displayed. The default code is selected in the Default Obsolete Reason Code field on the Integration Parameters form.
    Reason
    If applicable, select the code that explains why you have designated this item as obsolete or slow-moving inventory.

    If you are integrated with SX.e, see the above note.

    Last Change
    The date that the Obsolete and Slow-Moving Inventory status was last updated for this item is displayed.
    User
    The initials of the user who last changed the Material Status field for the selected item are displayed.
    Kit Item
    Select this check box if the item record is a kit.
    Kit Template
    Select the SRO template for the kit. A default value can be set on the Inventory Parameters form.
    Kit Components Button
    Click this button to open the Kit Components form, filtered for the current item record.
    Kit Components Availability Button
    Click this button to open the Kit Components Availability form, filtered for the currently selected record.
    Priority Code
    Select the priority code to default on an Incident created for this item.
  7. Specify this information on the Sales tab:
    Sales Lead Time
    Specify the number of days to add to the sales order date to identify a due date.
    Commodity
    Select the code to use for this particular commodity.
    (Commodity Description)
    The description of the commodity is displayed.
    Purchased YTD
    The quantity of the item you have purchased and received is displayed. The system automatically updates this field during a purchase order receipt transaction. This field can be updated using the Item Initialization function. This amount decreases if a negative receipt is processed.
    Sold YTD
    The quantity of the item that has sold through sales orders is displayed or consumed with list price billing on an SRO transaction. The system automatically updates this field when an item is shipped via a customer shipping transaction or posted to a service order. This amount decreases when a sales order line or SRO transaction is unposted. The return value increases when a return transaction is processed.
    Note: It is possible to update this field using the Item Initialization function.
    Contract YTD
    The quantity of an item consumed on a service order that is covered under contract is displayed. The system automatically updates this field when an item on a service order is posted on a line under contract. This amount decreases when an "unpost" occurs. The return value increases when a return transaction is processed under contract.
    Note: It is possible to update this field using the Item Initialization function.
    Warranty YTD
    The quantity of the item consumed on a service order where the transaction has a warranty billing code is displayed. The system automatically updates this field when the transaction is posted. This amount decreases when an "unpost" occurs. The return value increases when a return transaction is processed under warranty.
    Note: It is possible to update this field using the Item Initialization function.
    Used YTD
    The quantity of the item consumed on a service order where the transaction has a no charge billing code is displayed. The system automatically updates this field when the transaction is posted. This amount decreases when an "unpost" occurs. The return value increases when a return transaction is processed with no charge.
    Note: It is possible to update this field using the Item Initialization function.
  8. The Warranty tab includes a grid that is used to maintain all of the warranties attached to the current item. During the creation of the unit configuration for a unit, all warranties for each of the component items are copied from this browser on to the configuration.
  9. Specify this information on the Skills/Certifications tab:
    Skills
    Use the Skills grid to maintain any skills required to service the item. These skills are matched with the skills entered on the Partners form to determine if a partner has the necessary qualifications to work on a SRO or incident involving a particular item.
    Certification
    Use the License/Certification grid to maintain any certifications required to service the item. These certifications are matched with the certifications entered on the Partners form to determine if a partner has the necessary qualifications to work on a SRO or incident involving a particular item.
  10. Use the Maintenance tab to set up service request orders to use for performing maintenance on the item. The maintenance SROs can be generated using the Service Order Automatic Generation Utility. Specify this information on the Maintenance tab:
    SRO Type
    Select the type of service order.
    Frequency
    Select the frequency of the production of the service order:
    • Every: Uses the duration fields to create an SRO at every interval.
    • Once: Creates an SRO one time.
    • Annually: Uses the month and day fields to create a service order on a specific date each year.
    Month/Day
    These fields are enabled when the maintenance frequency is set to annual. Specify the month and day for the service.
    Date Duration
    Specify the length of time the maintenance requires. This value is used in conjunction with the Increment field to determine the calculation. This field is disabled when the frequency is set to annual.
    Duration Type
    Select the unit of measure for the Date Duration field. It can be days, months or years. Meters is also available as a type if the span between maintenance is based on a meter reading from the item.
    Down Time
    Specify the number of days needed to perform maintenance work. This information is used with scheduling equipment in a plant maintenance scenario to ensure that work is not performed while the equipment is unavailable.
    Lead Time
    Select the length of time needed to prepare for the work to be performed on a maintenance SRO.
    Lead Time Type
    • Day(s)
    • Month(s)
    • Year(s)
    • Meter
    Start Date
    Select a calendar date for the beginning of maintenance.
    Meter Amount
    The meter reading for the item is displayed.
    SRO
    Select a service order.
    SRO Line
    Select the SRO line number.
    Last SRO
    The last service order that was generated for the maintenance line is displayed.
    Schedule Basis
    The schedule basis for the generation of service orders is displayed. Service orders are generated based on the end date, close date, or maintenance date of the last SRO.
    Schedule Future
    Select this check box to create maintenance service orders based on the frequency selected and regardless of any prior SROs open in the system for the selected maintenance line.
  11. The values set on the Vendor Returns tab are used when a return transaction is entered for this item on the Vendor Shipping form. If the Shipping entry is set as return under warranty, the Warranty fields are used. If the Shipping entry is not set as return under warranty, the Non-Warranty fields are used. Specify this information on the Vendor Returns tab:
    Return Fee Type
    Select the return fee type to use:
    • Fixed: The vendor shipping return fee value uses the value manually entered in the Return Fee field
    • Current Unit Cost: The vendor shipping return fee value uses the current unit cost at the time the shipment record is created
    • Original Cost: The vendor shipping return fee value uses the original cost of the item
    Return Credit Type
    Select the return credit type to use:
    • Fixed
    • Current Unit Cost
    • Original Cost
    • Standard Cost
  12. On the Picture tab, you can associate pictures with an item. To upload a new picture, right-click in the Primary Picture field and select Select Picture. See Storing Pictures for Key Data for more information.
  13. The User Defined tab contains several fields and associated labels, which are hidden by default. If you upgraded from a version of Service Management earlier than SM-Plus 3.10, any user-defined fields implemented in the earlier version are implemented on the tab but are hidden. Your system administrator can display the fields and label them as appropriate.
  14. Save the record.

Use these buttons on the form as described here:

  • Click Item/Warehouses to open the Item/Warehouse form.
  • Click Stock Loc to open the Item Stockroom Locations form.
  • Click Item Costs to open the Item Costs form, where you can maintain costs for both purchased and manufactured items.
  • Click Pricing to open the Item Pricing form.
  • Click Item Availability to open the Item Availability form.
  • Click Time Phased to open the Time Phased Inventory Status form.
  • Click Configuration to open the Item Configurations form.
  • Click Contract Rates to open the Contract Rates form.
  • Click Material Transactions to open the Material Transactions form.
  • Click Interactions to open the Interactions form.

The Quantity on Hand graph shows current quantity on hand and safety stock quantity for all warehouses.

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