Peg distribution in the outbound process

Initial position of the inventory:

In the example, you can see that the outbound order line can be advised because the inventory levels are sufficient.

This example displays results after an outbound advice is created:

The cost peg transfer functionality enables you to track the shortages in project pegged inventory. For more information, refer to Cost peg transfers in Warehousing.

Initial position of the inventory:

In the example, peg line 20 has a higher priority, because the required date is earlier.

The resulting inventory after the outbound advice is created (without the use of transfer logic) is listed in these tables:

The possible scenarios for stock point inventory shortage:

LN does not allow you to generate an outbound advice with an advised quantity higher than the total advised quantities of the related outbound order line cost peg distribution.

LN automatically generates the outbound advice ownership when the outbound advice is created if the outbound line is project pegged. LN does not allow you to change the ownership distribution for the project pegged order lines. The ownership distribution is based on the issue ownership set on the outbound order line.

LN does not allow you to generate ownership distribution or insert, modify, delete records for pegged outbound order lines in the Outbound Advice Ownership (whinh4128m000) session.

Inventory selection during the process of generating an outbound advice must be changed to support the project pegged inventory. When demand for a pegged item is advised, the process takes care of these peg distribution lines. So, the inventory search engine logic is extended to support the project pegged inventory.

For a manually created outbound advice, when there is insufficient inventory to allocate for the manually entered advised quantity, LN displays an error message. The cost peg transfer logic is also executed.

When you modify the outbound advice quantity, LN updates the advised quantity on the underlying peg distribution.

In case of a decrease in the quantity, a peg redistribution is initiated. The decrease in advised quantity must be based on the latest required date. For example:

When you change the advised quantity to 45, the following is the result:

When an advice is removed, the advised quantity on the deleted outbound advice line must be removed from the outbound order line cost peg distribution.

When the user processes the picking list, LN also processes the pending cost peg transfers for the outbound advice that is picked.

Advising is done based on the latest required date; the pegs with the latest required date are advised first.

When the shipment lines are confirmed, the shipment line cost peg distribution is created for shipment lines related to an outbound order line that is pegged. The shipped quantities are distributed over the pegs for the shipment lines. The distribution is explained in these examples:

For this situation the following shipment lines are created:

When the shipment is confirmed, the shipped quantity is updated on the outbound order line cost peg distribution

For underdeliveries, the quantity not delivered must be distributed on the peg distribution, beginning with the peg line with the latest required date. For overdeliveries, the quantity overdelivered must be distributed equally over the available peg lines for the outbound order line.

The peg line distribution data is transferred to the transfer order / adjustment order only if a not-shipped quantity exists on peg distribution. During the confirmation process the not-shipped quantity is updated on the outbound order line cost peg distribution and the shipment line cost peg distribution.

When the items are not shipped to the destination, but are shipped back to the origin, a reverse required date priority is applied when generating the shipment line cost peg distribution during the confirmation of the return shipment line. As item inventory is decreased, LN changes the pegged inventory with the latest required dates.

Cost peg transfers enable transfer of costs between two different pegs (pegged to unpegged and vice versa). The cost peg transfers do not physically move the inventory but only transfer the costs of the inventory. Cost peg transfers are performed within the same warehouse. It is not possible to transfer the goods across warehouses. For more information, refer to Cost peg transfers in Warehousing

LN allows you to use an inbound and outbound cost peg distribution to specify transfer manual orders to transfer actual goods between warehouses. LN generates the outbound order line cost peg distribution based on the project pegged inventory. The cost peg distribution can also be created manually and transferred to the inbound line cost peg distribution.

LN allows you to modify the outbound warehousing order data related to the sales order/schedule. The data can be modified for warehousing orders of all origins. You can also define up to which outbound procedure step the data can be modified. For more information, refer to To modify the outbound warehousing order data.

When the cost item that is mandatory pegged is added as additional cost to the shipment, the cost item is not displayed because LN cannot decipher which pegs must be added to the additional cost line.

When the cost item that is mandatory pegged is added as additional costs on the shipment line, or when the parent shipment line has a peg distribution, LN copies the peg distribution data to the additional cost line. The cost peg distribution of this additional cost line is transferred to the sales cost order. For more information, refer to Additional costs - shipment based