A department that a financial company uses to group financial data on a more detailed level than by enterprise unit.

You can typically use accounting offices to group the following types of financial data:

• Manually entered sales invoices
• Trade notes
• Business partner financial data

You can link an accounting office to several business partner roles.

A person responsible for planning or carrying out a project activity.

The total input quantity of a work center/machine for operations that are Ready to Start during the target period.

The total output quantity that is reported complete, for operations at a work center/machine during the target period.

The actual input minus the actual output of a work center/machine. Note that the queue includes active operations as well as operations waiting to be carried out.

The scenario that contains the operational master plan or order plan, as opposed to scenarios used only for simulation, that is, what-if analysis.

The actual scenario is the only scenario from which you can transfer planned orders to the execution level.

A full set of address-related details, which include the postal address, access to telephone, fax, telex numbers, and email, Internet address, identification for taxation purposes, and routing information.

A warehouse order created specifically to adjust inventory where a variance has occurred. An adjustment order adjusts inventory and creates financial transactions.

To total figures or amalgamate amounts; to merge items in a higher plan level. Opposite of explode, disaggregate.

Inventory throughout all warehouses that is allocated to outbound order lines. After the inventory is shipped, that is, has left the warehouse, the allocation is deleted. Also referred to as standard allocation or soft allocation.

See also location allocated inventory

The reservation of inventory against a demand prior to the outbound process.

You can allocate a quantity of inventory to a business partner or a particular demand order.

An item quantity that is assigned to a specific order but that is not yet released from the warehouse to production.

A substitute for a BOM material that the system can select in case the standard material is out of stock.

An alternative material is supposed to meet the same specifications, but only in the context of a BOM for a specific main item.

A substitute for a tool type that is not available for use, for example, when a tool is being refurbished.

An item that is produced or purchased before a customer order is received.

If an anonymous item is a manufactured item, it is produced in a make-to-stock production environment. If an anonymous item is a generic item, a product variant is configured without using a PCS project.

The response in a question-and-answer type of user/system interaction (in the Product Classification (GRT) module).

The response can be of three types:

• Numeric

  For example, 5

• Alphanumeric

  For example, RED

• Answer & Follow-up

  Based on an answer a new question is raised.

A set of predefined answers from which an user can select an value in the classification process.

To enter a date in the past when recording the issue of materials or deliveries of end products into inventory.

This is useful if the user is updating the system some time after the actual manufacturing process took place.

Commands are distributed across the Views, References, and Actions menus, or displayed as buttons. In previous LN and Web UI releases, these commands are located in the Specific menu.

A company created for the purpose of archiving historic documents and data. You can store redundant data in an archive company.

To access and retrieve data from an archive company, you must change company to the archive company.

An aspect is a specification of a feature.

The set of resources assigned to an assembly line for a particular period of the day. The resources are divided over the line stations to create a balanced line.

Assignments are defined for an assembly line. For each assignment, you specify the cycle time and its activity ranges, which are the period and time ranges for which the assignment is effective. The process characteristics that you define for an assignment include:

• Labor FTE
• Number of Machines
• Work team
• Operations

These process characteristics are linked to other assignments that are, in turn, linked to the assembly assignment. When an assignment is in effect, the assignments that are linked to it are also in effect.

assignment types

Two types of assignments exist, both of which exist at the same time. The average assignment is used for more general purposes, whereas the nonaverage assignment has a very specific period and time range.

• Average assignments

  Use an average cycle time that is based on the cycle times of the nonaverage assignments for the day. The average assignment is used in planning. Planning is based on cycle time, calendar, and availability type.

• Nonaverage assignments

  Use time-based cycle times that are based on the operations performed on the line. The cycle time can vary according to the time range that is provided for the assignment.

  Nonaverage assignments are used to define order content. For generated (nonfrozen) orders, the order content is based on the first active, nonaverage assignment. For frozen orders, the order content is based on the nonaverage assignment that is in effect at the time that the order is frozen.

  Nonaverage assignments are also used to offset the lead time during sequencing. When the order is sequenced, a lead time is calculated for every order. This lead time is based on the cycle times, and the applicable cycle time is retrieved from the nonaverage assignment.

An item with default supply source Assembly. The production of assembly items is controlled by an assembly order. Assembly orders are executed on an assembly line.

An order-dependent set of items that must be supplied together to the shop-floor warehouse.

A set of consecutive line stations in which FAS (Final Assembly Schedule) items are manufactured. The items are manufactured by passing the items from line station to line station and by carrying out operations at each line station. An assembly line is subdivided into a number of line segments separated by buffers. An assembly line can be either a main line or a supplying line.

An order document used to report the estimated, allocated, and issued quantities of required materials for the production of FAS items, arranged by line segment.

An order to assemble a product on one or more assembly lines.

A component used on an assembly line.

An assembly part forms the link between Configurator and Enterprise Planning. Configurator generates the requirements for assembly parts and Enterprise Planning plans the production or purchase of the item.

Automation Server provides the bridge between the LN application and any Windows application running on the Microsoft Windows platform. This enables you to use the functionality of, for example, Microsoft applications such as Word, Excel, and Outlook, with LN applications.

An indication of the type of activity for which a resource is available. With availability types, you can define multiple sets of working times for a single calendar.

For example, if a work center is available for production on Monday through Friday and available for service activities on Saturdays, you can define two availability types, one for production and one for service activities and link these availability types to the calendar for that work center.

The total capacity available, for either a day or a week, usually based on the work center calendar.

The time required for setting up or changing over a machine before you start running the machine. Setup time can be long, for example, if you change over from using black paint to using white paint. Setup time can be short, for example, if you change over from using white paint to using yellow paint. The setup time must indicate an average of all possible setup times.

The automatic issue of materials from inventory, or accounting for the hours spent manufacturing an item, based on theoretical usage and the quantity of the item reported as complete.

All the customer's orders that are received but not yet shipped. Sometimes they are referred to as open orders on the order board. In assembly line production, orders which are behind schedule.

An unfilled customer order, or partial delivery at a later date. A demand for an item whose inventory is insufficient to satisfy demand.

A series of alternating bars and spaces printed on documents or products, representing encoded information that can be read by electronic scanners.

Bills of critical capacities (BCC) indicate the work centers that are regarded as critical in the Master Planning processes. Critical capacities are usually the bottlenecks in a routing.

Enterprise Planning uses the bill of critical capacities to generate the rough capacity requirements for critical capacities.

A list of all parts, raw materials, and subassemblies that go into a manufactured item and show the quantity of each of the parts required to make the item. The BOM shows the single-level product structure of a manufactured item.

A function used to block inventory transactions. You can define blockings by zone, location, lot, stock point, or serialized item.

The reason an operation is temporarily not allowed to proceed.

Reasons for blocking are:

• The quality must be inspected.
• The equipment has failed.
• The customer did not pay the last installment.

When a product is manufactured, components are assembled into subassemblies, and those subassemblies are in turn assembled into the final product. The components that go together at each stage are described in a bill of material. Each stage is one level in the bill of material.

The listing of the wheel components is one level in the bill of material. The listing of the subassemblies of the bicycle is the highest level, and is frequently referred to as level zero.

Example

A bicycle has one frame and two wheels. The frame is made of three tubes. The wheels are each made of one rim, one hub, and 35 spokes.

The line number within the bill of material.

A reference number identifying a specific combination of manufactured and component items in a bill of material. The position number is subdivided by sequence numbers that are used to refer to usage of a component between particular dates.

The BOM sequence number allows you to define more than one component item for each position. These interchangeable components can have different dates when they are valid.

LN also uses sequence numbers when you replace items in BOMs.

Example

Say, you make bicycles and use frames that you buy from supplier A until August. However, after August you will use identical frames that you buy from supplier B. Do not use a new BOM position number for the second frame. Instead, use a new sequence number.

A work center that determines or limits the production rate of an RPT item when scheduling orders. The work center calendar determines the maximum number of hours per day for planning orders of repetitive items.

A quantity of time used for planning and backflushing.

A cost estimate in the preproduction stage of projects. Includes an estimate of future costs and revenues related to expected activities.

A budget is linked to a calculation group. Budgets within the same calculation group can therefore be used for simulation purposes.

An assembly line workstation where no operations are carried out, and where orders are waiting to enter the following work station.

You can use buffers to change the sequence of products from one line segment to another. Buffers in LN are random access type.

The orders that came in first go out first. As a result this buffer is just a 'pipeline' which can have a certain capacity. No planned sequence change can take place so no line rules can be linked to FIFO buffers.

Buffers with random access places. During the sequence process, LN checks these access places to achieve a proper sequence on the next line segment. Line rules can be linked to random access buffers. Line rules sequence the assembly orders which enter the random access buffer.

A bus components is an entry in an LDAP directory service. The bus component contains information about the server/client that uses Infor Integration, indicating the name, address, message queues, ports and so on. In addition, each component has one or more connection points that link the Integration Adapter for that component to the actual transport layer.

A business related object, such as a purchase order or an organizational unit. A business object has information stored in the business object attributes, such as the purchase order number or the organizational unit name. A business object also contains a set of actions, known as business object methods, that can manipulate the business object attributes, such as Create Purchase Order and List Organizational Units.

From a development perspective, a business object is a collection of tables, and functions that manipulate these tables, implemented simultaneously during the development phase. A business object is identified by the combination of a package code, module code, and business object code.

An XML message used to exchange data between enterprises or enterprise applications. The BOD is composed of a noun, which identifies the message content, and a verb, which identifies the action to be taken with the document. The unique combination of the Noun and the Verb forms the name of the BOD. For example, noun ReceiveDelivery combined with verb Sync results in BOD SyncReceiveDelivery.

A party with whom you carry out business transactions, for example, a customer or a supplier. You can also define departments within your organization that act as customers or suppliers to your own department as business partners.

The business partner definition includes:

• The organization's name and main address.
• The language and currency used.
• Taxation and legal identification data.

You address the business partner in the person of the business partner's contact. The business partner's status determines if you can carry out transactions. The transactions type (sales orders, invoices, payments, shipments) is defined by the business partner's role.

The status assigned to the business partner, which determines the actions that can be carried out for the business partner.

For example, you cannot specify a sales order for a business partner with status Prospect, or ship goods to a business partner with status Inactive.

The employee of your company who is the contact to the concerned buy-from business partner. The buyer is also known as the purchasing agent.

A code representing a group of projects the user uses to compare financial data.

You can assign a calculation group to:

• A budget
• A main project (as long as the calculation group is not assigned to another project or single project)
• A single project (as long as the calculation group is not assigned to another main project or single project)

Calculations are used in GRT to answer questions in a numeric way. The questions are linked to feature aspects. For example, the surface of a seat can be calculated by answering two questions: width and length. When the two answers are multiplied, the result is a return code for the classification.

A work center of the type Costing that is used to determine the enterprise unit for a project, or production order and also has an administrative function.

The variance in financial production results that is not accounted for by the price variance and the efficiency variance.

A calculation office variance can be caused by an alteration of an end item's standard cost, or by differences between the estimated and the actual surcharges.

The calculation office variance is used to empty the WIP so that all costs are accounted for.

A set of definitions, that are used to build a list of calendar working hours. A calendar is identified by a calendar code and availability type combination.

A list of workable days, that is used to build a calendar.

A means to limit or extend the validity.

It applies to the following entities:

• Class features.
• Class feature options.
• Class feature option packages.
• Class constraints.
• Configuration constraint versions.
• Class resource values.

A change order can be option based or date based. When a change order is date based, the expiry and/or effective date in combination with the reference date determine whether a change order is valid.

Option based change orders are used to express a condition in terms of option values. For example, a change order becomes effective when a certain serial number is reached or a change order is effective for certain serial numbers.

A generic mechanism to change a change controlled LN linked entity. A change order date is specified to set the linked entity to effective or expired on that specified date.

An order document to check whether everything is present for the release of a production order. It lists the required materials, tools, machines, and so on.

A process to group items according to predefined features. This also results in a coding system by which item codes can be generated. The reason for doing this is to easily retrieve items, matching certain features.

A cost component that contains collected costs.

Each item has cost components which have been added together for the following costs:

• Materials costs (contains raw materials costs)
• Operations costs (contains operations costs and subcontracting costs)
• Surcharges (contains item surcharges and warehouse surcharges)

In inventory, value of goods is calculated and posted by the three collect cost components.

A list to cut materials for multiple production orders that are made from the same material. A cutting list is sorted by material code and item group. Using a cutting list can save time.

A list to saw materials for multiple production orders that are made from the same material. A sawing list is sorted by material code and item group. Using a sawing list can save time.

A financial obligation that represents future costs.

A working environment in which you can carry out logistic or financial transactions. All the transaction data is stored in the company's database.

Depending on the type of data that the company controls, the company is:

• A logistic company.
• A financial company.
• A logistic and a financial company.

In a multicompany structure, some of the database tables can be unique for the company and the company can share other database tables with other companies.

To translate all the source code of a program from high-level language into object code prior to execution of the program. Object code is an executable machine code or a variation of machine code.

The date on which the work on a project or order is finished.

• The completion date of a production order is the date on which the order receives the status Completed.
• The completion date of a project is the date on which the project receives the status Finished.

You can still perform certain financial transactions on the order, after it is completed, until you close it. The same is true for projects.

An item that has features and options and must be configured before any activities can be performed on it. If the configurable item is generic, a new item is created after configuration. If the item is manufactured or purchased, the configuration is identified by item code and option list ID.

• Manufactured or Product items with the default supply source set to Assembly and Generic items are always configurable.
• Purchased or Product items with a purchase schedule in use can be configurable.
• Configurable Purchased or Product items can be used within Assembly Control only.

A group of items configured by the CPQ Configurator that have the same settings. The items are part of the same configuration model family.

Indicates that an item requires a conformance document check at source inspection, which must be executed before shipment of an item. The purpose of conformance reporting is to deliver the related documents to the customer.

A warehouse that is used for storing not-owned consignment inventory. Not-owned consignment inventory are goods owned by a supplier, but stored in your warehouse without being paid for until after the goods are used or sold. You register the goods as consignment inventory.

In the Product Classification module, a constraint consists of one or more constraint lines that define the conditions under which certain return values or calculation results are included in the classification code during the classification of items.

For example:

• If the chair is red, include r in the classification code.
• If the chair is blue, include b in the classification code.

In LN, a means to check, restrict, or compel to avoid or perform some action.

In the Product Configuration module, a constraint is every possible decision rule or calculation conceivable that can be carried out during the definition of the product variants. You can use constraints in the product model for product features, generic BOMs, routings, price lists, and item data. You can use a constraint editor to define constraints.

Among other things, constraints allow you to indicate under which conditions certain combinations of options are acceptable, mandatory, or not acceptable for product features. You can also indicate which bill of material components and/or operations must be included or excluded, what the purchase or sales price structure for a product variant is, and so on.

In the Product Classification module, a constraint consists of one or more constraint lines that define the conditions under which certain return values or calculation results are included in the classification code during item classification.

A set of decision rules (constraints) that control the translation of the customer requirements into the product structure of the variant. These constraints indicate which components and operations will be used in a specific product variant.

The code that uniquely identifies a constraint of a generic item.

Error messages during the configuration process that can be used in constraints (constraint rules). During the configuration process, LN checks if the selected feature or option comply with the conditions defined by the constraints.

If the selection does not meet these conditions, LN will issue one of the messages recorded in this session to indicate which options are allowed.

A vessel used to store or move material.

The multiplication factor used to convert an alternative unit to the base unit. The conversion factor is calculated as follows: (alternative unit/base unit)

A specification of how a standard cost, valuation price, or sales price is calculated. The code stores specific cost calculation data.

The price calculation code that is defined in the Standard Cost Calculation Parameters (ticpr0100m000) session determines the standard cost. Other cost calculation codes are used for simulation purposes. The price calculation code for customized items is stored by project.

Example

• Specific operation rates
• Subcontracting rates
• Simulated purchase prices
• Surcharges

A cost component is a user-defined category for the classification of costs.

Cost components have the following functions:

• To break down an item's standard cost, sales price, or valuation price.
• To create a comparison between the estimated production order costs and the actual production order costs.
• To calculate production variances.
• To view the distribution of your costs over the various cost components in the Cost Accounting module.

Cost components can be of the following cost types:

• Operation Costs
• Material Costs
• Surcharge
• General Costs
• Not Applicable

A work center, linked to a planning work center, that is used to calculate the end item unit costs, WIP transfers, and production results used to hold the financial transactions related to production orders.

The link between a costing work center, and a planning work center enables you to replan production order operations again. If required, you can change the work center that is used to carry out an operation without modifying the costing process.

An administrative item that is used to post extra costs to an order. Extra costs are, for example, accounting expenses, clearance charges, design costs, and freight expenses.

Cost items are not used for production and cannot be held in inventory. They are also referred to as expense items.

An item which is not kept in stock but to which costs are allocated. Example, water, electricity.

An administrative item that represents certain expenses. The item is not a physical product and cannot be handled logistically.

Type in classification of budgeted or actual costs. Cost types are represented as ledger accounts.

A way of categorizing cost objects and control codes according to the nature of the costs that they represent.

LN Project distinguishes these cost types:

• Materials
• Labor
• Equipment
• Subcontracting
• Sundry Costs
• Overhead

Categories that are used to register the type of costs. Cost types enable you to have a more detailed view of the source of costs.

An operation in a routing, or work station, where the quantity of completed and rejected items must be determined explicitly. If an operation is a count point, completion of that operation must be reported separately. The quantity completed in follow-up operations must not exceed the quantity completed in the count point.

If an operation, or work station is not a count point, it can be set to Completed automatically upon completion of a follow-up operation. The quantities completed and rejected are then determined by the completed quantity in the count point.

Countries are the national states where your suppliers and customers are located. For each country you can define the country code, international dialing, telex, and fax codes.

Countries are part of the data that you must set up for tax reporting. In addition, items can be grouped and selected according to their country of origin.

The order document that accompanies a product during the manufacturing process, and that is used for identification purposes.

An application, integrated with LN to configure an item. The integration can be used only as part of the web user interface.

A generally accepted medium of exchange such as coins, treasury notes, and banknotes.

The following currency types are available in LN:

• Home currency, which is used internally by companies to calculate costs, record budgets, and register tax amounts
• Transaction currency, which is used in transactions with business partners, such as orders and invoices

The operation currently carried out with the earliest start date. If more than one operation meets this criterion, the operation with the lowest operation number is the current operation. There can be only one current operation at any one time.

An item supplied by the customer being used as material in the production of an end-item for that same customer.

A type of ownership behavior pertaining to goods in inventory or on order. Customer owned goods are goods whose ownership will not change during any of the inbound or outbound warehousing processes.

For example, a customer sent you some components that you, as a subcontractor, will use to manufacture a product for this customer. The customer owns the components while they are stored in your warehouse and throughout all the logistic and production processes involved in manufacturing and delivering the product to the customer.

See also: ownership

An item produced on a customer specification for a specific project. A customized item can have a customized BOM and/or a customized routing and is normally not available as a standard item. A customized item can, however, be derived from a standard item or a generic item.

An order document that lists the materials to be cut from a larger piece of material, for example, a sheet of metal.

The periodical count of the item inventory to verify if the system data is still accurate.

The (average) time between completion of two separate units of production. For example, the cycle time of motors assembled at a rate of 120 per hour is 30 seconds.

The source that supplies an item by default. You can use purchase orders or schedules, production orders or schedules, assembly orders, or warehousing orders to supply an item.

The default supply source determines what type of order is used to supply the item, but in general, you can override the default and specify an alternate source.

The date the finished items are finished according to the planning.

A relationship between a planned order, or an actual supply order, and an item requirement that represents a definite commitment.

You can only use the demand pegged supply for the pegged requirement, unless either of these conditions applies:

• The peg is deleted.
• Parameters allow issuing unallocated inventory or inventory of a different specification for a demand-pegged outbound order.

• Pegged supply

  The pegged supply can be a purchase order, a planned purchase order, a production order, a planned production order, a warehousing order with transaction type transfer, or a planned distribution order.

• Pegged requirement

  The pegged requirement can be, among other things, a sales order line or a required component for a production order.

Related term: soft peg

Combined efficiency and utilization. The ratio of actual output to available capacity, for an operation performed at a given work center or machine.

A company's organizational unit that carries out a specific set of tasks, for example, a sales office or a purchase office. Departments are assigned number groups for the orders they issue. The department's enterprise unit determines the financial company to which the financial transactions that the department generates are posted.

A currency system in which you can use multiple home currencies within a single company. For most entities, the financial company determines the local currency that is used. All transactions are registered in all the home currencies.

Currency rates are defined between the external currencies and the reference currency, and between the reference currency and the other home currencies. Transaction amounts are first converted into the reference currency and then the transaction amount in the reference currency is converted into the other home currencies.

Demand for an item that results from the explosion of requirements of a production plan or a planned production order for another item.

In other words, when requirements for an item's production plan or planned production orders are exploded, this leads to dependent material demand for items that occur in the former item's bill of (critical) material.

The difference between the output and input of a work cell required by the user. This value is the default for initial queue calculations.

A cost component that contains non-aggregated costs.

These costs originate directly from:

• Surcharges
• Operations
• Purchase

Detailed cost components result in a price structure where all costs have been broken down.

Production order costs, production variances, and production surcharges are calculated and posted by detailed cost component. However, in inventory, the goods are calculated and posted by the three aggregated cost components.

The output device selected for the report such as a printer, a screen (device: display), an ASCII file, and so on.

An allowance of deduction granted by the seller to the buyer, usually when the buyer meets certain stipulated conditions that reduce the price of the goods purchased.

Three types of discounts exist:

• A quantity discount: an allowance determined by the quantity or value of the purchase.
• A cash discount: an allowance extended to encourage payment of an invoice on or before a stated date.
• A trade discount: a deduction from an established price for items or services made by the seller to those engaged in a certain business.

The percentage that you can subtract from the gross sales price or purchase price.

The date when the validity period of an entity starts.

In the case of effectivity control the reference date is checked against the effective date. If the reference date is greater than or equal to the effective date the configuration entity is valid.

The first day on which a record or a setting is valid. The effective date often includes the effective time.

The first date on which the relevant standard cost takes effect.

The date on which the validity of the materials or the operations is checked.

The application considers a material or operation to be valid, if this date is within the effective date and the expiry date range.

The effective dates are used in the explosion process to create demands for the correct items.

A code that represents a group of one or more effectivity units that applies to the same unit effective item.

A reference number, for example a sales order line or a project deliverable line, that is used to model deviations for a unit effective item.

A part of the production result that is created by differences between the estimated and actual material quantities and hours.

The efficiency variance shows how efficiently materials and resources are used.

The computer-to-computer transmission of a standard business document in a standard format. Internal EDI refers to the transmission of data between companies on the same internal company network (also referred to as multicompany). External EDI refers to the transmission of data between your company and external business partners.

A person who works at your company who has a specific function such as sales representative, production planner, buyer, or credit analyst.

An item that is ready to be delivered to a warehouse. An end item is produced at the end of a dangle routing (co-products and by-products) or a main routing.

A link between a particular E-item revision and one or more standard or customized items. You can use the relationship to implement a design change incorporated in a new E-item revision by copying the E-item data to the item defined in the relationship.

A virtual item that is used to model a fixed part of a product engineering structure in Assembly Planning in Manufacturing. The product engineering structure is used to generate assembly orders for the Assembly Control module of Manufacturing.

The engineering module is the top of a tree structure (BOM) of engineering items. If Assembly Planning generates the assembly orders, the Engineering Module item type is created in the Item Base Data tables in LN, if not yet present. The engineering module is part of the order content and the as-built structure.

In Assembly Planning, a system, or, in other words, a logical unit of assembly parts, that is typically not manufactured as a separate physical unit.

For example, the electrical system of a car is the logical unit of all parts required for the electrical system. It is, however, not manufactured as a separate physical unit, but integrated in the dashboard, doors, and so on.

An engineering module has no routings, assembly lines, options, and so on, and is for design and planning purposes only. In the bill of materials (BOM), the engineering module is the top layer of the nonconfigurable section of the BOM.

A financially independent part of your organization that includes entities such as departments, work centers, warehouses, and projects. The enterprise unit's entities must all belong to the same logistic company, but a logistic company can contain multiple enterprise units. An enterprise unit is linked to a single financial company.

When you carry out logistic transactions between enterprise units, the resulting financial transactions are posted to the financial companies to which each enterprise unit is linked.

A separate and independent building block for a planning cluster, site, or enterprise unit. For example, warehouse, work center, employee, sales department, purchase department, project, customer, supplier, financial company.

A separate and independent building block for a cluster and/or an enterprise unit. For example, warehouse, work center, employee, sales department, purchase department, project, customer, supplier, financial company.

A statement of probable cost for supplying certain goods or services. An estimate is created in anticipation of receiving an order.

The quantity of an item that is planned for use in a particular production order.

The estimated quantity is made up of the net quantity plus any additional quantities used to compensate for anticipated material losses.

A deviation of an effective item's standard configuration. An exception indicates, for example, whether a specific BOM line or a specific routing operation is used for an effectivity unit. Exceptions are often created as a result of customer requirements, or technology upgrades.

A short standardized message that LN generates to advise the user to change or correct a specific planning parameter, value, or constraint to avoid undesired results or conflicts in planning.

A configuration is exchangeable with another configuration at a particular point on the assembly line, if at that point the two configurations have the same specifications.

The price at which one currency can be exchanged for another currency. In other words, the amount which one currency will buy another currency at a particular time.

A way to group currency exchange rates. You can assign different currency exchange rates to different invoice-to business partners and/or to different types of transactions (purchase, sales, and so on).

Within Enterprise Planning, the designation of the LN packages that control the execution of orders and the actual goods flow, such as:

• Manufacturing
• Order Management
• Warehousing

Enterprise Planning uses planning algorithms to carry out simulations and optimizations. The other packages control the execution of orders, and the goods flow.

The date when the validity period of an entity ends.

In the case of effectivity control the reference date is checked against the expiry date. If the reference date is greater than or equal to the expiry date the configuration entity is not valid anymore.

The date from which a record or a setting is no longer valid. The expiry date often includes the expiry time.

Time reserved for extra activities that are necessary to fully complete a planned order.

Enterprise Planning treats the extra lead time in the same way as the safety time: the order must be delivered earlier based on the extra lead time.

The extra lead time is expressed in days or in hours.

In Product Classification, a collection of items with common features.

A multilevel hierarchy (tree) of product families. Product families are part of a main family group. Lower family groups can be linked to a higher family.

A generic item with the FAS (Final Assembly Scheduling) order system.

FAS items are produced in a mixed model flow process on an assembly line.

A characteristic of a configuration class. It can be any kind of property that can hold a certain value. An example of a feature is color.

Class features can be:

• Mandatory
• Persistent (can be saved)
• Private (cannot be used outside the configuration model)
• Active (is in use)
• Explicit (derived from)

A property of an item which is used when you classify items. For example, a frame and a wheel are features of the item bike.

Characteristics which can be combined and subsequently be linked to configurable items to compose a product variant. An example of a feature is color.

The final action when you actually copy data from engineering bills of material (EBOMs) to production bills of material.

To copy data, you can either use mass BOM changes (MBCs), or manually copy the BOM lines.

A company that is used for posting financial data in Financials. You can link one or more enterprise units from multiple logistic companies to one financial company.

A separate period, or year for financial purposes.

Three financial period types exist:

• Fiscal, in which all transactions are recorded (for example, 12 months).
• Reporting, for management requirements (for example, 52 weeks).
• Tax, for tax regulations (for example, 4 quarters).

The transaction created to reflect a logistic event in Financials. The combination of a transaction origin (TROR) and the financial transaction (FITR) results in an integration document type.

The first available number within a series. When you create orders, and so on, this number is offered by default. Series enable you to group orders of the same type by assigning order numbers starting with the same figures.

Costs that are independent of the output performance of a cost center for a certain period.

Expenses that do not vary with the production volume. Examples of these costs are the depreciation costs of machines and buildings, rent, and property taxes. Operation rates and surcharges can be attributed to the variable costs or the fixed costs.

Antonym: variable costs

An indication whether the production time is fixed, or is dependent on the order quantity. If the production time has a fixed duration, then it equals the cycle time. If it is indicated that the production time does not have a fixed duration, the cycle time is multiplied by the order quantity.

For example, baking one bread in the oven takes one hour. Baking a hundred breads at once also takes a fixed duration of one hour.

The estimated time necessary to carry out a planned order.

To plan an order's lead time, Enterprise Planning can either use a fixed lead time or more detailed routing data. When using a fixed lead time, the results are less precise, but the calculation is faster.

A stock of inexpensive material present in the job shop that can be used in production without recording each issue of material individually. Floor stock is not backflushed and is not part of the estimated costs.

The demand for an item, calculated by the customer that purchases that item, and aggregated to forecast periods according to the agreed terms and conditions.

The customer sends the forecast to the supplier that plans the item supply.

To deactivate line stations, line segments, line station orders, and the like. If something is frozen, no changes are allowed. For example, a line station order can be frozen because the production process is too far advanced to be able to process the change.

General archiving data includes master data from all LN application packages, such as Sales, Warehousing, Manufacturing, and Common.

Set of components, per generic item, from which product variants can be composed. The generic bill of material forms the basis for the variant bill of material which arises during the configuration/generation of a product variant. For each BOM line (component) a constraint rule may apply.

An item that exists in multiple product variants. Before any manufacturing activities are performed on a generic item, the item must be configured to determine the desired product variant.

Example

Generic item: electric drill

Options:

• 3 power sources (batteries, 12 V or 220 V)
• 2 colors (blue, gray).

A total of 6 product variants can be produced with these options.

A product variant that is generated from customer specifications can have a detailed sales price based on the selected options. Purchase prices for generic items can also be generated. The purchase price is used to calculate the standard cost. Matrices can be defined if options exist for different product features that have mutual relationships that influence the purchase or sales price.

Forms the basis for the variant routing which arises during the configuration/generation of a product variant. For each operation line a constraint rule may apply.

A uniquely identifiable physical unit that consists of packaging and contents. A handling unit can contain items. A handling unit has a structure of packaging materials used to pack items, or is a part of such a structure.

A handling unit includes the following attributes:

• Identification code
• Packaging item (optional)
• Quantity of packaging items (optional)

If you link an item to a handling unit, the item is packed by means of the handling unit. The packaging item refers to the type of container or other packing material of which the handling unit consists. For example, by defining a packaging item such as Wooden Crate for a handling unit, you specify that the handling unit is a wooden crate.

Code that identifies group of items in order to collect and report statistical data on the export and import of goods in the countries of the European Union (EU). The reporting authorities determine the harmonized system codes.

One of a company's base currencies in which LN registers and reports amounts.

In a multicurrency system, up to three home currencies can be defined:

• The local currency
• Two reporting currencies

The time interval between the arrival of the items and the actual storage in the warehouse.

A demand that is unrelated to demand for other items.

Examples of independent demand:

• Demand for finished goods.
• Demand for components required for destructive testing.
• Service part requirements.

An event-driven and XML-based messaging engine. This is the standard message bus. The message bus and its message standards provide the infrastructure for transporting messages to other application modules in a secure way.

An order document on which the inspected and approved quantities of finished products can be recorded.

An order used to structure the inspection of products that are purchased, produced, or sold.

A work station in the production process where an inspection of the product takes place according to the specified inspection protocol.

A commission to buy, sell, or transport goods, or render services between organizational units that belong to the same organization.

For example, a sales office and a warehouse belong to the same organization. The sales office instructs the warehouse to deliver goods to an external customer to fulfill a sales order. The warehouse incurs costs for the goods delivered and the sales office is indebted to the warehouse.

An intercompany trade order consists of a header and transaction lines. The header data include the organizational units involved and the applicable transfer pricing rules. The transaction lines display the amounts of the individual items and the dates and times. Depending on the transfer pricing rules, some pricing details are maintainable.

A "from and to" relationship between two parts of an organization. When an intercompany trade relationship is defined, the transactions between the from and the to-part of the relationship are regarded as intercompany trade. Consequently, specific cost and revenue bookings are posted for the from and the to-part.

The from-part incurs costs for goods delivered or services rendered to the to-part. The to-part is indebted to the from-part. The from-part invoices the to-part to be compensated for the costs incurred, if specified in the intercompany trade agreement.

The parts constituting an intercompany trade relationship can be:

• A financial company
• An enterprise unit
• An entity

A trade relationship between two parts applies to the underlying entities linked to these parts. For example, a trade relationship between two enterprise units applies to the entities linked to these enterprise units.

An intercompany trade relationship is linked to one or more intercompany trade agreements. In turn, each intercompany trade agreement is linked to an intercompany trade scenario. In this way, transfer pricing rules are defined for each trade scenario that is linked to the trade relationship. The transfer pricing rules determine the amounts of the intercompany trade transactions and, if specified, the internal invoices.

The goods stored in a warehouse.

The unit of measure in which the inventory of an item is recorded, such as piece, kilogram, box of 12, or meter.

The inventory unit is also used as the base unit in measure conversions, especially for conversions that concern the order unit and the price unit on a purchase order or a sales order. These conversions always use the inventory unit as the base unit. An inventory unit therefore applies to all item types, also to item types that cannot be kept in stock.

The raw materials, subassemblies, finished products, and tools that can be purchased, stored, manufactured, and sold.

An item can also represent a set of items handled as one kit, or which exist in multiple product variants.

You can also define nonphysical items, which are not retained in inventory but can be used to post costs or to invoice services to customers. The examples of nonphysical items:

• Cost items (for example, electricity)
• Service items
• Subcontracting services
• List items (menus/options)

Identification code for an item (product, component, or part). The item code can consist of multiple fields or segments.

A group of items with similar characteristics. Each item belongs to a particular item group. The item group is used in combination with the item type to set up item defaults.

An item surcharge is the basis for extra costs or discounts (in terms of percentage of fixed amounts) in the cost/valuation price structure for items belonging to the given item group or warehouse. Surcharges are linked to a price calculation code.

A classification of items used to identify if the item is, for example, a generic item, a service item, or an equipment item. Depending on the item's type, certain functions will only apply to that item.

A demand-pull system of just-in-time production that regulates the supply of items to shop floor warehouses.

Kanban uses standard containers or lot sizes (also called bins) to deliver items to shop floor warehouses. In the shop floor warehouse, two or more bins are available with the same items. Items are only taken from one bin. Typically, if a bin is empty, a new bin is ordered and the items are taken from the (second) full bin. To each bin a label is attached. The line stations use the label to order a full bin with the required items.

Sometimes, not every bin is provided with a label. For example, a label is attached to every second bin. When both bins are empty, the user scans the label of the second empty bin to generate a supply order for both empty bins.

A document that authorizes the movement of goods to the job shop, between operations, or from the job shop. Previously called pull note.

A printed piece of paper or other material that provides information about items, quantities, packaging items, and so on. A label often contains bar codes to enable scanning.

Labels can be attached to (the packaging materials of) items at various stages during the inbound or outbound goods flow.

Costs related to tasks performed by employees. Labor costs are based on the employee's labor rate and the number of hours spent on a task or activity.

The labor capacity in hours required to carry out the operation.

The formula LN applies to calculate the labor hours depends on whether or not the operation has a fixed duration. If the operation has a fixed duration, LN applies the following formula to calculate the labor hours:

Man hours = (setup time * man occupation for setup) + (cycle time * man occupation for production / routing quality)

If the operation does not have a fixed duration, LN applies the following formula to calculate the labor hours:

Man hours = (average setup time * man occupation for setup) + (cycle time * quantity planned input * man occupation for production / routing quantity)

The labor rate code, defined in the Labor Rate Codes (tcppl0190m000) session in People. A sales rate and cost rate can be specified in this labor rate code.

You can assign labor rates on a wider scale to, for example,

• A service department, for all work done by the service department.
• An installation group, for all work carried out on the installation group.

In the Service Order Parameters (tssoc0100m000) session, default labor rate search paths can be set for the following:

• Estimated sales rate
• Estimated cost rate
• Actual sales rate
• Actual cost rate

The classification of work performed, and the time of day at which the work is performed (either normal working hours or overtime). Based on the kind of work and the hour type, you can use labor types to specify surcharges so that LN can calculate the actual labor costs in People.

The total of all costs that are associated with the procurement of an item until delivery and receipt in a warehouse. Landed costs typically include freight costs, insurance costs, customs duties, and handling costs.

In LN, landed costs can be part of multiple landed costs sets.

One or more landed cost lines that are defaulted as a group on the order.

The landed costs set includes search attributes that link a set of landed cost lines to a transaction.

The time between the production start date and the delivery date. The lead time can include order preparation time, transportation time, and inspection time.

The cumulative lead time of the production process, calculated from the production stage where the relevant critical material or critical capacity is required to the final stage of the production process. The lead-time offset is a factor in determining the start date of the critical material or critical capacity requirement.

The lead-time offset can be expressed in days or hours.

A number to identify a tool. A lifetime serial number can be, for example, a combination of the functional number and the year of acquisition. Lifetime serial numbers are used to group the components of a multipiece tool.

Multipiece tools without a lifetime serial number can have components linked either with or without lifetime serial numbers.

Example

A multipiece tool X has a life time serial number 1990. One of the following must be true for the tool's components:

• The lifetime serial number of the components is the same as the multipiece tool (that is, 1990).
• The components that are linked to the multipiece tool do not have a lifetime serial number.

A set of production orders that are produced successively on an assembly line. Before production starts, the line mix is sequenced to determine the order of production.

A set of consecutive assembly-line work centers on an assembly line between two buffers. The first buffer is the beginning of the segment, the next buffer is the first part of the next segment.

The determination of the sequence order used to start the production of items in a segment of a production line. The sequence order may be changed from one line segment to the next.

A work center that is part of an assembly line. A line station is used in the production of FAS (final assembly schedule) items. A line station can have multiple positions, which enables more than one item to be present in one line station.

Production order for an assembly line station.

A list of required materials for a specific production model.

The list also contains:

• Material planning
• Material supply to the work cell
• Material backflushing

The currency of the country in which the company is located. Otherwise, the currency in which you report to the local tax authorities.

In a multicurrency situation, you can use three home currencies. The three home currencies that you can define for a company are:

• The company's local currency
• Reporting Currency 1
• Reporting Currency 2

The physical location that is associated with the data or transaction, such as a warehouse, production facility, city, or country.

Location is a mandatory field in Business Object Documents (BODs) for transactional data.

A distinct place in a warehouse where goods are stored.

A warehouse can be divided into locations to manage the available space, and to locate the stored goods. Storage conditions and blocks can be applied to individual locations.

An LN company used for logistic transactions, such as the production and transportation of goods. All the logistic data concerning the transactions is stored in the company's database.

The identification code for the LN user. This code is used for system security.

A number of items produced and stored together that are identified by a (lot) code. Lots identify goods.

An item that is subject to lot control.

The number of items in a lot.

A valuation method that compares the inventory value based on one of the inventory valuation methods (see below) with the inventory's market value. If the market value is lower, the entire inventory of a specific item is valued in the balance sheet using the market value.

The following inventory valuation methods can be used to determine the inventory value:

Valuation Method

This scenario is used for expensive lot-controlled and serialized items produced and handled in relatively small quantities that require intensive tracking throughout the warehouse flow.

During receipt in the warehouse, lot numbers, serial numbers, and other stock point details are consolidated in an individual receipt line if the Consolidate Stock Points in one Receipt Line check box is selected in the Inventory Handling Parameters (whinh0100m000) session. If this check box is cleared, an individual receipt line is created for each lot number and serialized item and, either manually or automatically, a lot number or a serial number is allocated.

In this scenario, lot numbers and serialized items are individually stored in inventory. For each inventory transaction, such as a receipt, transfer, or an issue, the inventory records of the lot numbers and the serialized items are updated.

When issued from the warehouse, the lot numbers, serial numbers, and other stock point details are consolidated in an individual shipment line if the Consolidate Stock Points in one Shipment Line check box is selected in the Inventory Handling Parameters (whinh0100m000) session. If this check box is cleared, for each lot number and serialized item LN creates an individual outbound advice line and, if applicable, a shipment line, and allocates a lot number or a serial number.

In LN, a mechanical object on which operations can be carried out to produce items.

Machines are linked to operation rates. The operation rate and the labor rate together form the basis for the actual costing of production orders.

The number of machines of a machine type in a work center and its logistical and planning properties.

The costs of using a machine to carry out an operation.

The machine capacity in hours required to carry out the operation.

The formula LN applies to calculate the machine hours depends on whether or not the operation has a fixed duration. If the operation has a fixed duration, LN applies the following formula to calculate the machine hours:

If the operation does not have a fixed duration, LN applies the following formula to calculate the machine hours:

The designation of the machine and its intrinsic properties such as the serial number.

The definition of the machine at company level. For example: A Haas turning lathe ST30.

An assembly line that produces end products. An assembly line is a set of consecutive line stations where FAS (Final Assembly Schedule) items (and sometimes other item types) are manufactured.

The end result of a production order.

A main item is either be changed to an end item (for delivery to a warehouse), or delivered directly to the customer in bulk.

A work center that is subdivided into subordinate work centers.

The items that can be manufactured end products and subassemblies. A manufactured item is usually associated with a bill of material and a routing that describe the components used to assemble it and the manner in which it is assembled. Manufactured items are also referred to as production items and can be purchased.

A template that specifies the structure of an identification code. A mask is used to generate the identifiers for objects such as serial numbers, handling units, or shifts.

In a multicompany situation, a master company is used to synchronize data in all companies. Data that is entered or generated in the master company, for example, the line structure, can be replicated to the other companies. The master company can either be one of the companies of the assembly lines, or a separate company.

The raw materials, components, and subassemblies used to manufacture an item. A cost item, for example, electricity, can also be treated as a material.

An order document that reports the estimated, allocated, and issued quantities of required materials for a production order.

If you are using JSC order groups, you can combine the material for all the production orders in the group into one document, the collective material issue note.

An order document that is used to report the material requirements of a production order. The document reports both the estimated quantities and the inventories on hand of the materials.

Denotes or performs a mathematical operation or function; for example, add (+) and subtract (-).

Units used to express measurements. The unit can be user-defined or selected from the list of units in Common.

A series of steps that is linked to a routing operation to which you can connect instructions, tools information, and process information. When a production order is released, the information that is linked to the operation steps is given to, for example, the job shop operators to support their jobs.

A planning unit for a customized, manufactured, or purchased part, for which the logistical planning is related directly to the project network planning. A module may be a more or less complex compound part or a single part, such as a long delivery time part.

Module planning is the relation between activities of the network planning and the modules. Modules can be materials that can jeopardize the finish date of the project because of their long delivery times. These materials are also referred to as critical materials. A module can also be an assembled part.

The time that a semifinished good is in transit from one operation to the next operation. After the last operation, the move time is the time required to transfer the finished good to the warehouse.

Move time is one of the lead-time elements LN plans according to a specific calendar.

From a logistical point of view, multicompany relates to the flow of goods or information between multiple locations, which are implemented in different logistic companies. Typically, these locations are situated in various regions or countries.

From a financial point of view, multicompany relates to the financial flow between financial entities, represented by departments and warehouses, which are implemented in different financial companies. Typically, these warehouses and departments are located in various countries or belong to different business units.

A BOM that lists the subcomponents of the components, and any eventual subcomponents.

In the multilevel BOM, the final product is at level zero.

A tool with detachable components that operate together during an operation.

Example

A die is used for fixture. The die is made up of the following components:

• Top die
• Bottom die
• Punches
• Guide pillars

The die is defined as the multipiece tool, and the pieces are defined as the components.

Refers to the management of multiple sites within a single (logistic) company.

In a multicompany structure, which includes several companies, multisite applies to each of the logistic companies.

The quantity of a component or material that is theoretically required to manufacture a certain quantity of a product.

This quantity is referred to as the net quantity because in practice you may require more than this quantity to make up for certain losses of material or product during the production process.

The network planning includes all the activities required to carry out (plan and control) a project. The relations within the network show the interdependent activities.

The report that identifies non-conformance of material during QM/warehousing inspection or during the movement of the materials and/or when the material is in stock.

A table that contains the times required to perform a task (norm times), or the numbers of times that a task can be performed in a specific unit of time (norm units). The norm times or norm units depend on two series of values presented in the columns (X-axis) and the rows (Y-axis) of the table.

Example

The time that it costs to drill a hole depends on the material's thickness, and the hole's diameter. A norm table that contains norm times can look like this:

The norm time to drill a hole with diameter 1.0 in a material with thickness 2 is 2.5.

The time that is required to perform a task. That time is determined on the basis of two values in the norm table.

Example

To drill a hole with a diameter of 5 mm (first value) in a sheet with a thickness of 8 mm (second value) takes 0.5 minute (norm time).

The number of times that a task can be carried out for a specific unit of time (minute or hour). That number of times is determined on the basis of two values in the norm table.

Example

Each minute, 5 boards with a thickness of 5 mm (first value) and a width of 60 mm (second value) can be sawn. Consequently, the norm unit is 5.

A group of first free number series that you can assign to a specific use.

For example, you can assign a number group to:

• Business partner codes
• Purchase contracts
• Sales orders
• Production orders
• Service orders
• Warehousing orders
• Freight orders

Within a number group you can define multiple series. Each series is identified by the series code. The series numbers that LN generates consist of the series code followed by the first free number in the series. Series codes of the same number group have the same length.

The cumulative lead time of the production process. The offset is calculated from the production stage, which requires the relevant critical material or critical capacity, to the final stage of the production process. The lead-time offset is a factor in determining the start date of the critical material or critical capacity requirement.

To plan orders to account for the cumulative lead-time of the production process.

One of a series of steps in a routing that are carried out successively to produce an item.

The following data is collected during a routing operation:

• The task. For example, sawing.
• The machine used to carry out the task (optional). For example, sawing machine.
• The place where the task is carried out (work center). For example, woodwork.
• The number of employees required to carry out the task.

This data is used to compute order lead times, to plan production orders and to calculate standard cost.

The company to which a department, warehouse, or project belongs. In most cases, this is the logistic company in which the department, warehouse, or project was created. Logistic transactions originating from a department, warehouse, or project can only be created in their operational company.

An order document that contains all the information required to carry out an operation. This document is also called a job sheet.

A rate that is determined by labor costs, machine costs, or overhead costs. The operation rate can be linked to work centers or tasks by an operation rate code.

A code that identifies operation rates (labor costs, machine costs, or overhead costs). The code can be defined at different levels, and in order of priority be related to the reference operation, machine capacity group, work center and production department's calculation office.

A set of operations consecutively carried out at the same work center.

The status assigned to an operation. For example, Planned, Ready to Start, or Completed. This status indicates how far an operation has proceeded.

A suboperation connected to a routing operation.

An operation step can contain information such as, instructions, process information, and tools information.

The work on one or more operations in an item's production process is outsourced to a subcontractor.

A predefined value of a feature.

Feature: Basis Color

Feature Options: Red, Green, or Blue

Options per product feature are aspects that specify the product feature. For instance 'red' can be an option of the feature 'color'.

A specific combination of product options, for example, color or style, that are related to an assembly order.

Each option combination is either a single option, or a combination of other option combinations.

Identifies a set with product features and options for a configurable item within the product structure.

A general term that covers all types of orders, such as:

• Purchase orders
• Sales orders
• Warehouse orders
• Production orders
• Subcontracting orders
• Freight orders
• Service orders

A group of production orders that have the same setup states and are produced on the same machine.

Production orders with the same setup states can be executed on a machine without changing the machine’s setup.

A demand-pull system that regulates the supply of items to shop floor warehouses.

In this supply system, items that are required at a particular line station of the assembly line are called off at an earlier line station, called the trigger-from station. The number of items that is called off depends on what is needed on the assembly line in a specified time fence, called the maximum time interval.

In general, the items that are supplied to the shop floor warehouse by batch, are fast movers and are processed in high volumes. There is no direct link between these items and the assembly orders they are used for. In addition, one warehouse order set can be used to supply the goods needed by several assembly orders.

A demand-pull system that regulates the supply of items to shop floor warehouses in the sequence in which they are needed.

In this supply system, items that are required for a specific assembly order, and at a particular line station of the assembly line, are called off at an earlier line station, called the trigger-from station. The number of items that is called off depends on what is needed for specific assembly orders in a specified time fence, called the maximum time interval.

In general, the items that are supplied to the shop floor warehouse by SILS, are fast movers and are processed in high volumes. There is a direct link between these items and the assembly orders they are used for. In addition, one warehouse order set can only supply the goods needed by one assembly order.

A collection of planned production orders, which you can use as a selection criterion to transfer planned production orders from Enterprise Planning to the Job Shop Control module of Manufacturing.

JSC can use the same collection of production orders to organize manufacturing tasks.

The production time of an item expressed in hours or days, based on the lead time elements as defined in the routing operations.

The order parameter that controls the way an item is produced or ordered.

This can be:

• Anonymous, the item is produced or purchased independent of customer orders.
• To order, the item is produced or purchased only if customer orders exist for the item.

The quantity for which the inspection is required. Consequently, the result of the inspection order concerns the quality of this quantity.

A group of order numbers or document numbers starting with the same series code. The numbers consist of 9 characters.

Series identify orders with certain characteristics, for example, all sales orders handled by the large accounts department start with LA (LA0000001, LA0000002, LA0000003, and so on).

The order parameter that controls the way by which recommended purchase and production orders are generated.

Options:

• FAS (final assembly scheduling).
• SIC (statistical inventory control).
• Planned (schedule-based and order-based planning).
• Manual (manual reordering).

A classification of sales and/or purchase orders with similar work flows.

Order types determine the character or function of an order and, consequently, of the message. Order types prescribe the chronological order of the sessions (order steps) in the order procedure. The main point is, that you must carry out order steps successively to process a purchase or sales order.

The act of retrieving goods from a warehouse.

A list generated by LN that advises you the location and lot from which goods must be picked and possibly issued, taking into account factors such as blocked locations and the outbound method.

The time interval between taking the items out of the warehouse and the departure of the carrier on which the items are placed.

Indicates if, and at which point in the supply chain, the ownership of goods changes from the supplier to the customer. Ownership changes also occur between departments or business units within an organization, which is referred to as internal ownership. When the ownership changes, payment is due.

In traditional, non-VMI scenarios, the ownership of an item changes from the supplier to the customer after the customer has received the item from the supplier. The customer must pay for the item on receipt of the goods.

In various subcontracting scenarios, ownership will not change during any of the inbound or outbound warehousing processes. In such cases, the ownership is customer owned.

In vendor managed inventory (VMI) scenarios, the ownership can be consigned. If the ownership is consigned, the ownership change is either time based or consumption based.

• Consumption based

  The customer issues the goods to sell them or to consume them

• Time based

  Some time after:

  • The customer receives the goods
  • The last issue or receipt of the goods

For time based ownership change, the period of time is laid down in the contract between the customer and the supplier.

Data that influences the way a package or module operates. You define parameters in the Parameters session of a package or module to adapt the parameter to the specific requirements of your organization.

Theoretical costs for not meeting rules on an assembly line.

A table that consists of any number of time units, for example, months or weeks.

A period is used to define the time horizon during which, for example, a schedule is valid.

An assembly that is produced as part of a manufactured item, and that can have its own routing.

A phantom is usually not held in inventory, although occasionally some inventory can exist. The planning system does not create material requirements for a phantom, but drives the requirements straight through the phantom item to its components. Phantoms are mainly defined to create a modular product structure.

Example

The door of a refrigerator is defined as a phantom item in the bill of material of a refrigerator. The materials of the door are listed on the production order's material list for the refrigerator.

The room, building, or construction site where an operation is carried out.

The dimension of the unit. For example, the dimension of kilometer is length, and the dimension of liter is volume.

The segment from which LN starts generating sequences.

A group of work cells designated for the same type of production. Plan groups are used in the repetitive scheduling process.

An item with the order system Planned.

The production, distribution, or purchase of these items is planned in Enterprise Planning based on the forecast or the actual demand.

You can plan these items by means of the following:

• Master-based planning, which is similar to master production scheduling techniques.
• Order-based planning, which is similar to material-requirements planning techniques.
• A combination of master-based planning and order-based planning.

Plan items can be one of the following:

• An actual manufactured or purchased item.
• A product family.
• A basic model, that is, a defined product variant of a generic item.

A group of similar plan items or families is called a product family. The items are aggregated to give a more general plan than the one devised for individual items. A code displayed by the item code's cluster segment shows that the plan item is a clustered item that is used for distribution planning.

The total input quantity of a work center/machine for operations that is planned to be Ready to Start during the target period.

The expected changes in the inventory levels due to planned orders for items.

The date when an assembly item is planned to roll off the assembly line.

Initially, the planned offline date equals the requested offline date, but the planned offline date can be changed later for planning reasons.

A supply order in Enterprise Planning that is created for planning purposes, but which is not an actual order yet.

Enterprise Planning works with planned orders of the following types:

• planned production order
• planned purchase order
• planned distribution order

Planned orders are generated in the context of a particular scenario. The planned orders of the actual scenario can be transferred to the execution level, where they become actual supply orders.

The total output quantity that you plan to report complete, for operations at a work center/machine during the target period.

A planned order in Enterprise Planning to produce a certain quantity of an item.

The planned input minus the planned output of a work center/machine.

The employee or department responsible for planning the production, purchase and distribution of items. The planner takes into account the inventory levels, availability of materials, and capacities of resources, and reacts on signals such as rescheduling messages that LN generates.

Used to define the layout, colors and font of the graphical planning board.

An object used to group warehouses for which the inbound and outbound flow of goods and materials is planned collectively. For this purpose, the demand and supply of the warehouses of the planning cluster is aggregated. Within a planning cluster one supply source is used, such as production, purchasing or distribution.

If multisite is implemented, a planning cluster must include one or more sites. The site or sites include the warehouses for which the planning processes are performed. A site is linked to one planning cluster.

A planning group is used for segregation in planning for project specific demand and supply. Commingling rules and cost transfer rules can be defined at planning group level to control supply planning behavior of project pegged items within the planning group as well as with other planning groups.

The time period for which LN maintains planning data for an item.

The planning horizon is expressed as a number of working days from the date you carry out the simulation.

Enterprise Planning does not generate supply plans or planned orders that are after the item's planning horizon.

To calculate the planning horizon, Enterprise Planning uses the calendar that you specified for the enterprise unit of the default warehouse to which the plan item belongs.

The physical location in the work cell where materials are stored before use. The point of usage is defined as a shop floor warehouse.

The number used to identify the position of the order line on the sales or purchase order.

During the product configuration or product generation process price list matrices can be used to determine specific purchase and sales prices. Price list matrices can be used for recording prices, price factors, and also surcharge and discount percentages for a product variant.

Tables with prices which are based on the values of a physical quantity on the X-axis and the values of a physical quantity on the Y-axis.

Tables with prices which are based on the values of a physical quantity on the X axis and the values of a physical quantity on the Y-axis.

Codes presenting a set of values which are based on two physical quantities. These values are the X- and Y-axis values from price list matrices. The maximum number of values per physical quantity is 24.

The price variance of a production order is the part of the production result created by differences between the estimated and actual price of an item or hour.

The price variance indicates the effect of changing rates and prices on the production result.

A work center that performs production for other companies. A primary work center cannot be modeled in a routing. It is used for capacity planning and displays the total capacity requirements of the related secondary work centers.

The production is administratively performed in the secondary work centers, which can be in the same or in a different logistic company than the primary work center.

This enables you to plan and carry out work in several different logistic companies (if you define several secondary work centers) without having to use sales orders and purchase orders.

A setting or an input value related to a machine, a tool, or to process quality that is relevant to carry out an operation or an operation step. For example, cutting depth, cutting speed, and temperature.

An item that is purchased, subcontracted, manufactured, or assembled.

An item of the type Manufactured or Product with the default supply source Repetitive, defined in a production model and created through repetitive manufacturing.

User-definable item grouping data that is used to distinguish between different groups of items in a product line. The product class is mainly used as a selection criterion for reporting.

A group of production resources, work centers and work cells, physically related to each other. For example, a production hall is a production department.

An item that occurs in any module of Manufacturing. It is a product or generic item that is used in a generic/production bill of material or in a generic/production routing.

A predefined configuration that specifies the production method, list of materials, time and capacity required and reporting method.

A production model contains the following:

• Production process
• Time and capacity required
• Production process reporting
• Materials supply process
• Item inspection method
• Required tools

If the Multi-Product Production check box on a production model for repetitive manufacturing is selected, a list of products is added to the production model that specifies which items are produced.

An order to produce a specified quantity of an item on a specified delivery date.

A recommendation based on the economic stock and the reorder point of an item. Production order advices must be confirmed and transferred to convert them into actual production orders.

The status assigned to a production order, which indicates the process stage of a production order. For example, Created, Printed, or Released.

The quantity of items that is produced for a specific time unit.

Example

The production rate can be, for example, 300 gallons per hour, or 20 pieces per minute.

A period of time in which product is manufactured in the Repetitive Manufacturing module for a specific reason and linked to a cost document. The period length can be defined by the user.

The lead time required to execute an operation.

The production time includes the setup time and the run time. The formula LN uses to calculate the production time depends on whether or not the corresponding operation has a fixed duration.

• In case of a fixed duration, the formula LN applies to calculate the production time is:

  average setup time + cycle time 

• If the operation does not have a fixed duration, the formula LN applies is:

  average setup time + (cycle time * quantity planned input) / routing quantity 

A group of products made by the same producer, that are similar but differ in details such as, size, shape, color, and so on. User-definable item grouping data, mainly used as an item selection criterion for reporting.

The sequence of steps by which components are put together to form subassemblies, until the finished product is produced.

The product structure is defined by a multilevel bill of materials, sometimes in combination with routing data.

User-definable item grouping data that is used as a sorting and selecting criterion. The product type is intended for classifying items with similar characteristics for production purposes.

A unique configuration of a configurable item. The variant results from the configuration process and includes information such as feature options, components, and operations.

Example

Configurable item: electric drill

Options:

• 3 power sources (batteries, 12 V or 220 V)
• 2 colors (blue, gray).

A total of 6 product variants can be produced with these options.

The unique identification of a product variant.

Product variant codes make it possible to generate various variants for a configurable item. Specially if a customer wants information about options and prices without any obligation. In the implementation stage of the product model, it is also used to execute system tests.

The structure of the product variant, which consists of one configurable end item that is related to several configurable sub-items and/or engineering modules.

Configurable sub-items can also have their own configurable sub-items and/or engineering modules. The configurable items represent the product and the subassemblies of the product. The engineering modules are used for assembly items and represent logical units that may not constitute independent products, such as an electrical system. The product variant structure is generated by LN and, dependent on the options, holds a part of the bill of material.

The configuration path that is followed in order to create a product variant from a generic product structure and the chosen product variant options.

An endeavour with a special objective to be met within the prescribed time and money limitations and that has been assigned for definition or execution.

A collection of manufacturing and purchasing actions that are performed for a particular customer order. A project is initiated to plan and coordinate the production of the to be manufactured items.

For a standard-to-order production, the project is only used to link the item with the customer order. A project can also include these:

• Customized item data (BOMs and routings)
• Project planning (activity planning)

An activity that is relevant for the (rough) planning of a project. Activities are used to plan the rough material and capacity requirements of the project. Activities are also used to control the (final) assembly planning of the project.

The unique code of a main project, a subproject or a single project. By means of a project code, the complete production can be managed on the basis of customer orders.

An item that is produced or purchased for a particular sales order. The item's project provides a link with the sales order.

A project item can be recognized by its item code. If a code has been entered in the project segment, the item is a project item.

A project item can be customized to the specifications of a customer, but it can also be a standard-to-order item.

A separate part of the project structure that is linked to a project. A project part is the basis that is used in order to determine the estimated costs of a project. Not to be confused with a subproject.

The way to characterize a project.

LN distinguishes these statuses:

• Free

  A project definition has been recorded, but the project has not yet been executed. Changes are still possible.

• Active

  During the execution of a project you can release, purchase, and register cost transactions.

• Finished

  The project is completed but it has not (yet) been financially closed. You can still register cost transactions. Actual purchase orders cannot be present for the project.

• Closed

  The project has been financially closed, the project definition can no longer be changed.

• Archived

  The project is stored in an archive company. The project archive company can be used as a repository for historical project data.

The project structure indicates the subprojects that belong to the main project. Project structures are especially important where there are extensive projects in an engineer-to-order situation.

Project structures can be important for network planning. This is because the start dates and finish dates of subprojects can depend on the computed start dates and finish dates of the main project's activities.

The costs of subprojects are aggregated to the relevant main project in the project calculation.

The project structure only applies to a project with a type other than Budget.

You can only delete a project structure if the main project has the Free or Archived status.

A way to characterize projects.

A project can have one of these types:

• Main Project: the project structure is composed of subprojects
• Subproject: the project is a subproject to a main project
• Single Project: the project is a stand-alone project and is not part of a main project/subproject structure

A department in your organization that is responsible for buying the materials and services required by your organization. You assign number groups to the purchase office.

An agreement that indicates which items are delivered by a buy-from business partner according to certain terms and conditions.

A purchase order contains:

• A header with general order data, buy-from business partner data, payment terms, and delivery terms
• One or more order lines with more detailed information about the actual items to be delivered

The order type determines which sessions are part of the order procedure and how and in which sequence this procedure is executed.

The price you pay for an item, expressed in the purchase currency.

The item unit in which an item's purchase price is expressed. This unit can differ from the item's inventory unit.

A request by a user to obtain authorization for the procurement of goods and services.

A purchase requisition includes both standard and nonstandard material, cost, or service requirements. Information on a purchase requisition includes name, department, location, purchase office, and approver in the header section. The requisition line detail includes item, supplier, quantity, price, and amount.

A purchase requisition can be converted to one of the following:

• Purchase order
• Request for quotation (RFQ)

A timetable of planned supply of materials. Purchase schedules support long-term purchasing with frequent deliveries and are usually backed by a purchase contract. All requirements for the same item, buy-from business partner, ship-from business partner, purchase office, and warehouse are stored in one schedule.

The product quantity that is assumed to have disappeared in the operation due to a limited yield, for example, the quantity lost through evaporation. This only applies if a yield has the type Continuous.

The quantity is referred to as quantity extra, because an extra quantity of the product must be planned to compensate for the loss.

The quantity to be produced in a production order.

The quantity that should be given as input to an operation to get the required output, taking into account scrap quantity and yield percentage, and quantities reported completed and rejected.

The quantity planned input is the quantity of products on which calculations of materials and hours are based.

The quantity of the product that you expect to come out of the operation, taking into account scrap quantity and yield percentage, and quantities reported completed and rejected.

When LN creates a production order, the quantity planned output of the last routing operation is set equal to the order quantity of the production order. When the operation is not the last one, the quantity planned output is equal to the quantity planned input of the next operation.

A question is used during the classification of, and search for items. The user must respond with an answer. In the Product Classification module (GRT), LN asks the question with a question-and-answer type of user/system interaction.

The difference between the planned queue and the actual queue on the generation date, that is actual queue minus planned queue.

The amount of time that an order remains at a work center before setup, or work is performed.

A written proposal that offers goods or services for a certain price and terms of sale to a prospective purchaser upon request.

The lines used to record the items offered, as well as the associated price agreements and quantities. A sales quotation includes one or more quotation lines.

A user-defined standardized description of the reason for a particular decision or choice. A reason's type determines for which purpose you can use that reason.

To include additional information about an action, you can select and enter a reason from a list. LN can also print the reason in the relevant report.

A user-defined description that is based on a transaction and its type. Reason codes assist in selecting data for inquiry and for reporting.

A list of codes and descriptions that provide a reason for the change. The codes and descriptions are defined by the system administrator.

An order document on which the completed quantities of the products can be recorded.

The location in which the received goods are placed while they await the generation of an inbound advice.

The first extra reference by which the order or request for quotation can be identified. This reference is printed on various order documents and lists.

The second extra reference field that you can fill with extra information. This reference is printed on the order documents and lists.

The currency in which balances of entities shared by all the companies of a financial company group are expressed. For example, LN uses the reference currency for business partner balances.

A user definable date that is used to check the validity of change orders and configuration entities such as:

• User roles
• Features
• Configuration resources

In the case of effectivity control the reference date is checked against the effective date and expiry date. If the reference date is greater than or equal to the effective date the configuration entity is valid. If the reference date is greater than or equal to the expiry date the configuration entity is not valid anymore.

Indicates the location to insert a component on an item, for example, where to mount an electronic component on a Printed Circuit Board. Reference designators are often used in electronics, and can originate from a Computer-Aided Design (CAD) station.

An operation is an activity performed by a machine. A list of reference operations is a library of available operations for job shop production orders.

A reference operation may be defined on multiple levels:

• Operation Code

  The reference operation can be executed on all sites, in all work centers and on all machines linked to the company.

• Operation Code + Machine Type

  The reference operation can be executed on all sites that have one or more machines of the specified machine type.

• Operation Code + Site

  The reference operation can be used in all work centers and all machines linked to the specified site. Note: Recommended if a site has its own setup logic for specific operations. This type of reference operation can be used in a work center without machines.

• Operation Code + Machine Type + Site

  The reference operation can be used on all machines of a specific machine type and in all work centers and all sites which have the machine type present. Note: Recommended if the machine type has its own setup for specific operations.

• Operation Code + Site + Work Center

  The reference operation can be used for specific work center and site combination. Note: this operation can only for work centers without machines.

• Reference Operation + Machine Type + Site + Work Center

  The reference operation can only be used for one specific machine type on one work center/site combination.

A product variant may relate to a sales quotation, sales order, budget or project, or it may concern a standard variant.

The renovation of a tool after a number of usages.

A product that does not meet the quality standards set for the end product or subassembly. Also called a reject

A repair cell is a dedicated work cell linked to a production model.

A repetitive item (also called RPT item) is a manufactured item whose production is controlled by schedules. A schedule contains multiple schedule lines that can be viewed, released, reported as complete, and so on, in one session.

A repetitive item characteristics:

• Produced in large quantities
• Subject to repetitive demand
• Production is based on a rate
• Lead time is short

Anonymous items and to-order items can be repetitive. However, only to-order items that are Standard-to-Order can be used in RPT schedules. You cannot use generic items or Engineer-to-Order items in an RPT schedule.

An item with the default source Repetitive that are created based on a predefined configuration.

Items best suited for repetitive manufacture are:

• Standard items
• Low costing
• Have minimal variants
• Are complex
• The bill of material (BOM) is flat.

Both end items as sub-assemblies can be manufactured using repetitive manufacturing.

An order that transfers goods between two physical locations/warehouses.

The date when an assembly item must roll off the assembly line in order to meet the delivery date on the sales order line.

The business reason that you define to describe exceptions used in unit effectivity. A requirement can be, for example, a specific market, model, or customer.

The financial results of, for example, a project or a production order. The results are reported in terms of variances. A variance is the difference between the expected (budgeted or planned) value and the actual value. You can distinguish between price variances, efficiency variances, and additional calculation-office variances.

The reason why the delivered goods are rejected and returned.

The code that is included in the classification code as a result of the selected answer.

The amount received or gained, usually measured in money.

A version or revised version of an engineering item (E-item) or a revision-controlled item, that is, an item linked to an E-item. Several revisions of an E-item can exist.

Example

E-item: Mountain bike E-MB01

The revision-controlled items are items in continuous development. To identify the item's version, add a revision number to the item code.

If a revision-controlled item is selected, the current version is used. The obsolete versions are no longer manufactured and prototypes are not sold yet.

A production order to fix or upgrade an already produced or purchased item. The item that must be reworked is both input and output of the production order.

The assembly line where a product is completed.

Set of up to six ranges of values and their rounding values. Rounding codes can be linked to quantities and amounts. They are used when you calculate, for example, purchase prices and discounts, sales prices and discounts, and warehousing rates.

Example

A rounding code can define the following ranges with their rounding values:

• Up to 100: round to whole numbers
• From 100 to 100,000: round to a multiple of 5
• From 100,000 onward: round to a multiple of 100.

The sequence of operations required to manufacture an item.

For each operation, the reference operation, machine, and work center are specified, as well as information about setup time and cycle time.

A code that is linked to a routing. A routing code can be linked to a standard routing or an item-specific routing.

A group of items with similar routing attributes, for example, the same work center, routing operation, BOM, and so on. A routing group is defined by the user as a selection criterion for production orders.

The quantity of the manufactured item on which the routing is based. A routing quantity enables you to include very short operation times in the routing of an item.

Example

In a 60 minute time span, 100 items are produced. Consequently, the operation time of one item is 0.6 minute.

An order document that lists all the operations required to manufacture an item, as well as the required tools. A routing sheet can also contain microrouting information that provides the operators with instructions or process information.

Logical condition determining action.

The time required to process a piece or lot at a specific operation.

Run time does not include setup time.

run time = production time - setup time

The time that you can add to the normal lead time to protect delivery of goods against fluctuations in the lead time so that an order can be completed before the order's real need date.

The time that you can add to the normal lead time to protect delivery of goods against fluctuations in the lead time so that an order can be completed before the order's real need date.

Example

The duration of the linked activity is 30 days, and the earliest finish date of the activity is Jan, 30. If you specify 10% safety time, then GOP will plan the material on 3 working days before Jan, 30.

A department that is identified in the company business model to manage the business partner's sales relations. The sales office is used to identify the locations that are responsible for the organization's sales activities.

An agreement that is used to sell items or services to a business partner according to certain terms and conditions. A sales order consists of a header and one or more order lines.

The general order data such as business partner data, payment terms, and delivery terms are stored in the header. The data about the actual items to be supplied, such as price agreements and delivery dates, is entered on the order lines.

A sales order contains items that are delivered to a customer, according to certain terms and conditions. The lines of a sale order are used to record the items ordered, as well as the associated price agreements and delivery dates.

The price for which an item is sold.

Gives insight into the structure and composition of the sales prices for product variants.

The sales price structure:

• Is used when calculating the sales price for a product variant on a sales order or sales quotation.
• Provides insight into the price structure and can be displayed in the Product Variant Sales Price Structure (tipcf5530m000) session. In addition to or instead of the product variant options, it can be printed on sales order documents.

A statement of price, the terms of sale, and a description of goods or services offered by a supplier to a prospective purchaser; a bid. The customer data, payment terms, and delivery terms are contained in the header; the data about the actual items is entered on the quotation lines. When given in response to a request for quotation, a bid is usually considered an offer to sell.

The price or rate of cost objects, elements or activities, at which you sell, that are used for your project.

An order document that lists the materials that must be obtained to saw a specified length of material from a large piece, for example, a pipe or a bar.

The identification of an overall planning solution.

Each scenario represents one overall planning solution, and involves particular settings for the planning of items and resources. You can use scenarios to analyze and compare various planning options and to find the best planning solution. For example, you can vary demand forecasts or sourcing strategies.

One of the scenarios is the actual scenario, which corresponds with the actual planning situation. You can only transfer planned orders and production plans from the actual scenario to the execution level of LN.

A physical area or part of the production line for which a production schedule is defined. Scheduling areas are defined for repetitive items.

Scheduling areas relate to the production orders of items with routings that employ virtually the same production facilities. A scheduling area is related to a production schedule code.

Scheduling areas are used:

• To define routing codes by repetitive (RPT) item in the Item - Routings (tirou1101m000) session.
• As a selection criterion in the Report Orders Completed Globally (tisfc0206m000) session and the Backflush Materials and Hours (tisfc0220m000) session.

Example

Unusable material or rejects of intermediate products, for example, because of faulty components, or products lost in cutting or sawing operations. The gross material requirements and/or an operation's input quantity must be increased to account for anticipated scrap.

In the BOM, you can define scrap as a percentage of the net material requirements, which is the scrap factor, and as a fixed quantity, which is the scrap quantity. A scrap quantity is mostly used to define the amount of material that is lost every time when you start producing, for example, to test the equipment.

For an operation, you can only define the scrap as a fixed quantity.

An alternative form of a description used for convenience during searching. Typically, it is an abbreviation, an acronym, or a mnemonic alternative to a full description.

A fictional work center in which the production is performed administratively, whereas the actual production is performed in a different work center.

The secondary work center can be in a different logistic company than the primary work center to which it is linked.

This enables you to plan the work to a work center in your own logistic company, but have it physically carried out in a different logistic company without having to use sales orders and purchase orders. For each primary work center, you can define several secondary work centers.

A subdivision of the item code in different logical parts, called segments.

These segments are visible in the sessions as separate fields. Examples of segments are:

• Project segment
• Cluster segment
• Item identification

A schedule that indicates when assembly parts are required. Based on the offline date of the assembly order, and the segment for which the assembly parts are required, the segment schedule indicates when the parts must be delivered to the line. Segment schedules are used for a rough calculation of assembly part requirements, when high volumes are processed, and the performance of the calculation is critical.

User-definable item grouping data. Use selection codes to select items by color, diameter, product expiry date, and so on.

The product of a phantom routing, which is passed on to the next operation in the routing network.

A number that determines the sequence.

A number that determines the sequence in which:

• records are displayed in an overview session or list box
• components such as features are shown in the user menu (user dialog).

The number that identifies a data record or a step in a sequence of activities. Sequence numbers are used in many contexts. Usually LN generates the sequence number for the next item or step. Depending on the context, you can overwrite this number.

A shipping schedule with precise information about the production or deliveries of the requirements. This schedule can include the production or delivery sequence, and the order, the place, and the time of unloading after shipment.

A physical occurrence of a standard item that is given a unique lifetime serial number. This enables tracking of the individual item throughout its lifetime, for example, through the design, production, testing, installation, and maintenance phases. A serialized item can consist of other serialized components.

Examples of serialized items are cars (Vehicle Identification Number), airplanes (tail numbers), PCs, and other electronic equipment (serial numbers).

The unique identification of a single physical item. LN uses a mask to generate the serial number. The serial number can consist of multiple data segments that represent, for example, a date, model and color information, sequence number, and so on.

Serial numbers can be generated for items and for tools.

The selected asset's identifying number to distinguish it from other products in a similar line.

A group of order numbers or document numbers starting with the same series code.

Series identify orders with certain characteristics. For example, all sales orders handled by the large accounts department start with LA (LA0000001, LA0000002, LA0000003, and so on).

A department that consists of one or more persons and/or machines with identical capabilities, that can be considered as one unit for the purposes of service and maintenance planning.

A standard item that represents services instead of goods.

Orders that are used to plan, carry out, and control all repair and maintenance on configurations as present on customer locations or as present with the company.

A type of item characteristic that indicates how a machine must be set up to produce the item. The setup class determines the changeover time for a machine or a tool between two operations. A setup class consists of a series of setup states.

Example

Examples of setup classes are color and thickness. If your setup class is color, the setup states can be red, green, white, black, and so on.

A type of item characteristic that indicates how a machine must be set up to produce the item. The setup class determines the changeover time for a machine or a tool between two operations. A setup class consists of a series of setup states.

Example

Examples of setup classes are color and thickness. If your setup class is color, the setup states can be red, green, white, black, and so on.

The characteristics that determine the state of the machine.

The setup class states influence the required changeover time from one state to another. Setup class states are grouped in a setup class.

An item's characteristic that is linked to an operation. Depending on the setup states of two successive operations, a machine's changeover takes longer or less long. A series of setup states form a setup class.

Example

If your setup class is color, examples of setup states are red, green, white, black, and so on.

A work center that can be used to perform operations for multiple companies that represent production sites. For this purpose, a primary work center is defined in the company where the production is performed. Secondary work centers are defined for the companies on whose behalf the production is performed.

A secondary work center has a relationship with the primary work center, with the available capacity defined. A secondary work center administratively performs the production in the company on whose behalf the actual production is performed.

The production work force can be organized in shifts. The most common models are one, two or three shifts models, but more complicated models are possible with different shift divisions planned for various days of the week.

A shift has the following properties:

• An unique key that identifies it.
• The key is generated based on a mask.
• The start and end dates and times are specified.
• The shift net time is specified.

The person responsible for printing, (re)scheduling and releasing production orders and managing workloads.

A warehouse that stores intermediate inventory in order to supply work centers. A shop floor warehouse is linked to an individual work cell, an assembly line, or one or more work centers. A shop floor warehouse can be supplied with goods using replenishment orders, or by pull-based material supply.

The pull-based material supply methods are:

• Order Controlled/Batch (only applicable in Assembly Control).
• Order Controlled/SILS (only applicable in Assembly Control).
• Order Controlled/Single (only applicable in Job Shop Control).
• Kanban.
• Time-Phased Order Point.

The items stored in the shop-floor warehouse are not part of the work in process (WIP). When items leave the shop floor warehouse for use in production, their value is added to the WIP.

A warning message displayed if you enter or select an item to which a signal is linked. Item signals can also be used to block the issue and/or requisition of items.

Business-partner signal

A warning message displayed if you select a business partner to whom a signal is linked.

A simulated purchase price can be used to experiment with purchase prices and to compute the results.

The process of doing calculations using simulated figures instead of the actual ones to see what would be the result if certain figures were changed. Opposite term is actual or operational.

A currency system in which a company uses only one home currency. This home currency is also the reference currency. This currency system is especially for use for companies that operate in a single country.

A business location of an enterprise that can maintain its own logistical data. It includes a collection of warehouses, departments and assembly lines at the same location. Sites are used to model the supply chain in a multisite environment.

These restrictions apply to sites:

• A site cannot cross countries. The warehouses and departments of the site must be in the same country as the site.
• A site is linked to one planning cluster. Consequently, all warehouses and work centers of a site must belong to the same planning cluster.
• A site is linked to one logistic company.

You can link a site to an enterprise unit or an enterprise unit to a site.

If an enterprise unit is linked to a site, the entities of the site belong to the enterprise unit. Conversely, if a site is linked to an enterprise unit, the entities of the enterprise unit belong to the site.

The specific know-how or technical expertise that an employee must have to carry out activities. For example, knowledge of electricity, specific equipment, and so on.

The time between the queue start date of the next operation and the setup + run start date of the next operation, calculated by LN.

Difference between the slack time and the queue time on the next operation can occur if:

• The calendars of the work centers differ.
• You apply a transfer batch quantity.

A relationship between an item supply and an item requirement that LN stores for informational purposes. If you replan an item, you lose the related soft pegs.

• Pegged supply

  The pegged supply can be a purchase order, a planned purchase order, a production order, a planned production order, a warehousing order with transaction type transfer, or a planned distribution order.

• Pegged requirement

  The pegged requirement can be, among other things, a sales order line or a required component for a production order.

In Enterprise Planning, the term pegging is generally used to denote soft pegs.

Related term: demand peg

The business partner who orders goods or services from your organization, who owns the configurations you maintain, or for whom you perform a project. Usually a customer's purchase department.

The agreement with the sold-to business partner can include:

• Default price and discount agreements
• Sales order defaults
• Delivery terms
• The related ship-to and invoice-to business partner

A collection of item-related data, for example, the business partner to which the item is allocated or ownership details.

LN uses the specification to match supply and demand.

A specification can belong to one or more of the following:

• an anticipated supply of a quantity of an item, such as a purchase order or production order
• a particular quantity of an item stored in a warehouse
• a requirement for a particular quantity of an item, for example a sales order

If an object (for example, a BOM line or a routing line) has a standard configuration, that object is selected when you are not using unit effectivity.

The sum of the following item costs as calculated by the standard cost calculation code:

• Material costs
• Operational costs
• Surcharges

Prices that are calculated against other price simulation codes are simulated prices. The standard cost is used for simulation purposes and in transactions when no actual price is available.

Standard cost is also an inventory valuation method for accounting purposes.

The amount charged in addition to the usual cost incurred when manufacturing or purchasing a single item.

Standard cost valuation is an inventory valuation method. The standard cost is a calculated inventory value, based upon calculated material costs, operation costs, and surcharges. The standard cost valuation includes the surcharges by warehouse.

A purchased item, material, subassembly, or finished product that is normally available.

All items that are not built according to customer specification for a specific project are defined as standard items. Opposite term is customized item.

The production of non-customized items after receiving a customer order.

The date and time the activity started.

A condition that must be satisfied to store goods. Storage conditions must be linked to item(group)s and to warehouse locations to prevent storage of items at unsuitable locations.

Storage can be performed in two ways:

• By item, by excluding unsuitable locations
• By location, by excluding undesirable items

An intermediary product in a production process that is not stored or sold as an end product, but that is passed on to the next operation.

For subcontracting purposes, a manufacturer can send a subassembly to a subcontractor to carry out work on the subassembly. This subassembly has its own item code defined in the Item Base Data.

After work is finished, the subcontractor sends the subassembly back to the manufacturer. Also this reworked subassembly has its own item code defined in the Item Base Data.

Hiring certain services from another party, for example the execution of a part of a project or an operation of a production order.

Allowing another company (the subcontractor) to carry out work on an item. This work can concern the entire production process, or only one or more operations in the production process.

An external order document that specifies a subcontracted operation and the corresponding data, such as the subcontractor, tasks, routing, and required materials.

The rate that is used to calculate the subcontracting costs. How LN uses the subcontracting rate in the calculation depends on the calculation method:

• Unit
• Operation Rate
• Man Hour Rate
• Machine Hour Rate

The subcontracting rate factor, together with the subcontracting base rate, determines the cost of subcontracting.

A business partner that is hired to perform certain services, such as the execution of a part of a project or production order. The services are delivered via a purchase order.

A means to further classify items.

A sub-item can either be:

• A component item used in a bill of material.
• A material used in a formula.

The quantity of the material that must be issued for the production order at a future date or time.

A percentage associated with a quotation that represents the probability of the business partner accepting the quotation. Acceptance results in the conversion of the quotation into a sales order.

A form of multilevel bill of material that lists all the parts and the quantities required in a BOM. Unlike the full multilevel bill of material, a summarized BOM does not list the levels of manufacture, and lists a component only once for the total quantity used. Phantom items are not listed.

A summarized BOM only contains purchased items, because all the manufactured items are made from purchased items.

An assembly line which produces subassemblies that are used in another assembly line. It may additionally produce items that are not used on any assembly line. An assembly line is a set of consecutive line stations where FAS (Final Assembly Schedule) items (and sometimes other item types) are manufactured.

The supply of assembly parts or assembly kits to a shop floor warehouse, so that they are delivered to the line station in the same sequence as the assembly orders.

A system that is used to coordinate the timely supply of goods to the production lines or assembly lines.

The warehouse that supplies goods and materials to the shop floor warehouse.

The indirect costs of an item, for example, overhead costs, storage costs, handling costs, and machine-maintenance costs. Surcharges can be defined as a percentage or as a fixed amount and can contribute to fixed and variable costs.

A set of cost components to which an item surcharge is applied.

A user-defined period of whole numbers of days or weeks for which input/output data is generated.

An activity to manufacture or repair an item. For example, sawing, drilling, or painting.

A task is carried out on a work center, and can be related to a machine.

The employee who is responsible for maintaining the technical item specifications and the requirements for the manufacturer of the item. This employee is also responsible for maintaining the information concerning hazardous material and the risk classification in Warehousing.

In a Software as a Service (SaaS) software deployment environment, a tenant is the client organization that uses the software that is offered as a service.

No data is shared between tenants. The tenant is the top level container for all data.

In LN, the tenant is always a constant value for an LN installation.

Tenant is a mandatory field in Business Object Documents (BODs).

The date until which an item's supply plan and planned orders are frozen.

The time fence is expressed as a number of working days or working hours from the date you carry out the simulation.

As a rule, Enterprise Planning does not regenerate the supply plan or the planned orders within the time fence. However, you can overrule this behavior when you run a master-plan simulation or order simulation.

The time fence is meant to prevent:

• Disturbance of orders that have already started (at the shop-floor level).
• Generation of planned orders with start dates in the past (that is, orders that are late).

Usually, the lead time of an item's production process is a reasonable value for the time fence.

A reference date against which processes or statuses are evaluated.

Example

The assembly order time fence on an assembly line defines the end date of the period for which assembly orders must be created. If this time fence is 100 days, assembly orders must be created for product variants whose planned offline date is between now and 100 days. Similarly, a time fence can define when line station orders must be frozen, updated, and so on.

The unit that is used to specify the physical quantity time.

A reusable resource, manual or mechanical, that is used to perform manufacturing and/or service tasks. When you have finished with the tool, it is returned to inventory to be used for the next requirement. The tool's life is reduced each time you use it. A tool can be identified in LN as a unique combination of tool type and tool serial number.

Example

• Hand tools

  A saw or power drill.

• Machine tooling

  A jig, mould, pattern or cutting tools.

• Instruments

  A durometer or gauge.

• Equipment

  A shovel.

A part of an assembled group of tool types.

A set of specific tools required to perform a single task. A tool kit can be linked to a machine, a task, and/or a routing operation to specify the tool(s) required to perform the task and/or operation.

The capacity of the tool expressed in the number of hours or times it can be used.

A number to identify a tool. The combination of a tool type, for example, hammer, and a tool serial number, for example, 1, is unique, and identifies a tool in LN.

A tool request is created when a tool is required. One request is created for each tool/work center combination.

A tool request displays data relating to:

• Request number.
• Tool type
• Tool serial number
• Work center / service center
• Request status

How, where, and when the tool is used in the work center is determined by the tool request details, which can be found in the Tool Request - Lines (titrp0516m000) session.

The tool request specifies at which work center or service center the tool is used. In addition, the tool request details specify when, where, and how the tool is used at the work center. The following production order details are displayed:

• Request number
• Request date/time
• Order type
• Order number
• Operation
• Line number
• Activity line
• Presence of the tool at the work/service center

A number to identify a tool. The combination of a tool type, for example, hammer, and a tool serial number, for example, 1, results in a unique identification of a tool in LN.

Tool category.

Indicates if the tool:

• Is ready for use (single-piece tool)
• Must be assembled from components before use (multipiece tool)
• Is part of a multipiece tool (tool component)

The tool type is the first level that is used to identify the tool in the coding system for tools.

Some examples of tool types are:

• Hammer
• Screwdriver
• Wheelbarrows

Hammer 1, screwdriver 2 and wheelbarrow 3 are examples of tool types in combination with a tool serial number, and represent unique tools.

The date on which the order is changed and/or written to the history file. For each change, LN inserts a new line and a new transaction date. This applies to any type of order.

Among other things, the transaction date is important for:

• Scheduling
• Statistics
• Determining due dates and currency exchange rates

The definition of the (logistic) origin of an integration transaction. The combination of a transaction origin (TROR) and the financial transaction (FITR) results in an integration document type.

A user-defined three-position code used to identify documents. The series linked to the transaction type give documents the sequence number.

The quantity or percentage of items for which an operation must be finished before you can start with the next operation. Even though an operation is not yet finished for all items in a production order, you can start the next operation for the items that are already finished.

In a production environment where kanban is used, the transfer batch quantity equals the kanban size (which is the standard container, or the standard lot size).

The transfer batch quantity replaces the previously used concept of overlap percentage on operation.

The physical quantity in which an item or good is managed. For example, a quantity of wood can be expressed as a length by using the unit of one meter, or as a volume by using the unit of one cubic meter.

An item for which an effectivity unit can be defined on the sales order line or the sales quotation line. The effectivity unit is used to model deviations for the unit effective item, and to peg purchase orders and production orders to a specific sales order line for the unit effective item.

A means to control the validity of variations by effectivity units.

Unit effectivity enables you to model changes for the following entities:

• Engineering bill of material
• Production bill of material
• Routing
• Routing operations
• Supplier selection
• Sourcing strategies

A group of unit codes that can be linked to standard or customized items, or to item defaults. In a unit set, you can indicate the physical quantities that can be used for the item, in which modules, and for what purposes.

The person that works with an application software package.

A material that has been replaced by another item in all BOMs.

After the use-up material's last allowed order date elapses, any remaining stock is used up; then, the replacement material will be used.

The percent of a resource (for example, hours capacity) that is used in production.

You can use a specific entity. For example, if a date is between an effective date and an expiry date, the date is valid, and the entity can be used.

The operating period between the effective date and the expiry date.

The actual price of an item, which is used in all financial transactions that involve the item.

The transactions include:

• Standard cost of goods sold
• Inventory transfer
• Issue to work-in-process value

The actual cost is calculated by using one of the actual costing methods (LIFO, FIFO, MAUC and Lot costing), or by using a standard cost valuation method.

Expenses that vary with the production volume. The materials needed for the production of end items, are always variable costs. Operation rates and surcharges can be attributed to the variable costs or the fixed costs.

The time that an order remains at a work center after an operation is completed until it is moved to the next operation.

LN does not plan wait times according to a specific calendar. Planning of the wait time is based on a 7 * 24 hours week schedule.

A typical example is the time required for drying after the application of paint.

A place for storing goods. For each warehouse, you can enter address data and data relating to its type.

A warehousing order to move an item between warehouses.

A warehouse transfer consists of a warehousing order of inventory transaction type Transfer.

All actions related to the receipt, storage, treatment, and issuing of goods within a warehouse.

The Warehousing package coordinates all transactions of goods in the warehouses by using warehousing orders. This relates to inbound and outbound of goods, transfer of goods, cycle counting of goods, ABC analysis, inventory commitments, and various kinds of inventory reporting.

A generic term for inbound-order lines and outbound-order lines.

The code of the warehousing order. LN uses the series specified in the Series field of the Warehousing Orders (whinh2100m000) session to generate the order number. If the warehousing order is generated for an order from a package other than Warehousing, this number corresponds to the original order number and is not based on the series specified in the Series field.

A code that identifies the type of a warehousing order. The default warehousing procedure that you link to a warehousing order type determines how the warehousing orders to which the order type is allocated are processed in the warehouse, although you can modify the default procedure for individual warehousing orders or order lines.

The weight of the goods delivered or received. The weight is calculated on the basis of the transaction quantity and the item's weight unit.

Any action that affects the work in process (WIP) of a production order or work center.

WIP transactions can be any of the following:

• Issue of materials for a production order.
• Booking of hours on a production order.
• Delivery into inventory of finished products.
• WIP transfers between work centers.
• Application of a surcharge.

The transfer of the value of the work in process from one work center to the next, in accordance with a physical transfer of a subassembly to the work center where the next operation must be performed.

A production unit consisting of one or more work stations in a fixed sequence.

A work cell is used in repetitive manufacturing for the production of a repetitive item.

A specific production area consisting of one or more people and/or machines with identical capabilities, that can be considered as one unit for purposes of the capacity requirement planning and detailed scheduling.

The subdepartment of the service department that is responsible for the execution of a work order.

Orders that are used to plan, carry out, and control all maintenance on items in a maintenance shop or in a repair shop. A work order consists of at least one work order header, and can have a number of activities that must be carried out on a repairable service item.

The usable output from a operation expressed as a percentage of its input.

Example 1: An operation in the production process for light bulbs has a yield of 98%. So, out of every 100 light bulbs produced, 98 are good on average. The remaining light bulbs are faulty, and will therefore be rejected.

Example 2: Steel wires are twisted together to produce a steel cable. Due to the twisting, the cable is 10% shorter than the wires from which it is produced. So, the yield is set to 90%.

Determines if and how lost products come out of production if the yield percentage is below 100%.

Two yield types are available:

• Discrete

  Lost products come out of production as rejected products.

• Continuous

  Lost products disappear completely, for example, through evaporation.