| Multisite example - item data in the intercompany trade
scenarioAt each site, the completed aircraft are internally transferred
from the inspection warehouses to the finished goods warehouses. The inspection
warehouses belong to enterprise units EUA, EUB, and EUC, and all of the
finished goods warehouses belong to EUS. The Eagle Long Range is manufactured at site A. The aircraft are
transferred from the inspection warehouse to the finished goods warehouse. The
inspection warehouse belongs to enterprise unit EUA and the finished goods
warehouse belongs to enterprise unit EUS. EUA internally charges EUS for the
transfer costs incurred. Likewise, at sites SB and SC, where the Eagle Midrange and the
Buzzard Pro are manufactured, the aircraft are transferred from the inspection
warehouses to the finished goods warehouses. The inspection warehouses belong
to EUB and EUC, respectively, and the finished goods warehouses belong to EUS.
EUB and EUC internally charge EUS for the transfer costs incurred. To define the intercompany trade price between each production
unit and sales unit S, intercompany trade relationships are set up between EUA
and EUS, EUB and EUS, and EUC and EUS. For the intercompany trade scenario, item costing data for the
completed aircraft is set up at these enterprise units: At enterprise units EUA, EUB, EUC, the standard costs are
calculated for the aircraft manufactured at sites SA, SB, and SC. At enterprise
unit EUS, the standard costs are calculated for the aircraft that are
internally bought from EUA, EUB, and EUC by sales office SO. Sales office SO
sells the completed aircraft to the external customers. This item data must be set up for the completed
aircraft: Item by site In the Items by Site (tcibd1550m000) session, set the supply source to Job Shop for all sites. You can also specify data such as configuration
and customization settings. Item-ordering by site In the Item - Ordering by Site (tcibd2150m000) session, for each site, you must specify the
default warehouse from which the completed aircraft are shipped. Item costing by enterprise unit For enterprise units EUA, EUB, EUC, in the Item - Costing (ticpr0107m000) session, for each type of completed aircraft, specify
costing source Job Shop and the inspection warehouse at each site where the completed
aircraft are received from production, inspected, and transferred to the
finished goods warehouses. Consequently, the data in the Item - Production by Site (tiipd0151m000) session related to the site of the selected
warehouse is used to calculate the standard costs. For enterprise unit EUS, in the Item - Costing (ticpr0107m000) session, for each type of completed aircraft, specify
this information: - Costing source Intercompany Transfer
-
The finished goods warehouse in which the aircraft is
received: - For the Eagle Long Range, this is the finished goods
warehouse at site SA.
- For the Eagle Midrange, this is the finished goods
warehouse at site SB.
- For the Buzzard Pro, this is the finished goods
warehouse at site SC.
-
The enterprise unit from which the aircraft is
transferred: - For the Eagle Long Range, this is enterprise unit
EUA.
- For the Eagle Midrange, this is enterprise unit
EUB.
- For the Buzzard Pro, this is enterprise unit
EUC
Consequently, for each type of aircraft the standard cost
is calculated based on the intercompany trade price specified between the
selling and the buying enterprise unit: - For the Eagle Long Range, this is the intercompany sales
price specified for intercompany transfers between enterprise unit EUA and
EUS.
- For the Eagle Midrange, this is the intercompany sales
price specified for intercompany transfers between enterprise unit EUB and
EUS.
- For the Buzzard Pro, this is the intercompany sales price
specified for intercompany transfers between enterprise unit EUC and
EUS.
Note To specify specific item data for an individual site, clear
the Use Global check box in the site-related sessions mentioned in the previous
list. | |