Basic Settings for Automatic Allocation

Outcome

Basic settings for allocation are defined.

Allocation settings are needed when an order is allocated to a specific item according to specific rules.

View and sorting orders in (MWS410) are used when manual release for allocation is used.

Before you start

No prerequisites.

Follow these steps for allocation settings

Allocation rules for warehouse/item

1. Start 'Item. Connect Warehouse' (MMS002). Open the E panel.

2. Fill in the 'Demand time fence' field with the number of days that are the time for automatic allocation.

   This means the number of days before delivery the order line should be allocated to a specific item. If the field is blank, the value indicated in (CRS701) is used.

3. Open the G panel. The 'Allocation method' field indicates how allocation is carried out for each item/warehouse combination. Select one of the alternatives 2–5.

4. 'Secondary allocation method' can be used if there are remaining quantities to allocate after allocation has been performed. Depending on whether there is a 2 entered in the 'Allocation method' field (see field to the left), remaining quantities can be allocated according to a secondary allocation method.

   Secondary allocation method can be: 3 = Automatic allocation for the location. Over-allocation is permitted for the location, but not for the warehouse.

   6 = Soft automatic allocation with a check against allocable balance on warehouse.

   Allocation rules for company

   Allocation rules can also be set on a company level in 'Settings. Allocation Control' (CRS701). If allocation rules are missing on the item/warehouse level (MMS002), then M3 uses parameters from (CRS701).

5. Start 'Settings. Allocation Control' (CRS701). The 'Allocation time fence' field on the E panel should be filled in. If the 'Demand time fence' field in (MMS002/E) is blank, then values from this field are used.

   Note: The DTF overrides by priority still apply to this default allocation time fence.

6. Fill in the 'Demand time fence type' field.

7. Start 'Stock Location. Open' (MMS010). Check that the 'Allocable' field on the E panel is activated.

   This is activated by default when balance IDs are created in this location.

8. The 'Status proposal' field is set to 2=Approved. Only items whose location status is 2 can be allocated.

   The Allocable field has to be active.

   The 'Single allocation' field defines whether this location can be allocated to one order at a time or to several orders.

   Allocation rules for warehouse

9. Start 'Warehouse. Open' (MMS005) and open the G panel. Fill in the 'Auto alloc sequence' field. This field determines in which sequence orders are allocated for this warehouse.

10. If there should be a different demand time fence for different priorities, then fill in the 'Demand time fence override by priority' fields.

    Allocation rules for order types

11. The following settings should be set for the order types (CRS200, OIS010, PMS120):

    The 'Next manual function' field: Select 2, 3, 4, 5, 6 or 7.

    The '225 Default priority' field: Select a default priority for the order type.

    The '255 Dispatch policy' field: Select a dispatch policy.

    The '320 Allow allocation below safety stock' field should also be filled in.

    Allocations rules for dispatch policy

12. Start 'Dispatch Policy. Open' (MWS010). Fill in the appropriate fields as follows:

    The 'Auto level' field: Select 3 or 4.

    The '030 Released for allocation' field: Select 1(=No) or 2 (=Yes).

    The '290 Allocation check' field: Deactivate (0=No).

    Other optional rules for automatic allocation

    Create rules for how to allocate according to the location type. See Create Location Type Table (MMS057).

    Create rules for how to allocate according to certain balance identities and locations. See Settings for Allocation Control Per Balance ID (Allocation Table Control) .

Allocation rules for company

Allocation rules can also be set on a company level in 'Settings. Allocation Control' (CRS701). If allocation rules are missing on the item/warehouse level (MMS002), then M3 uses parameters from (CRS701).

1. Start 'Settings. Allocation Control' (CRS701). The 'Allocation time fence' field on the E panel should be filled in. If the 'Demand time fence' field in (MMS002/E) is blank, then values from this field are used.

   Note: The DTF overrides by priority still apply to this default allocation time fence.

2. Fill in the 'Demand time fence type' field.

3. Start 'Stock Location. Open' (MMS010). Check that the 'Allocable' field on the E panel is activated.

   This is activated by default when balance IDs are created in this location.

4. The 'Status proposal' field is set to 2=Approved. Only items whose location status is 2 can be allocated.

   The Allocable field has to be active.

   The 'Single allocation' field defines whether this location can be allocated to one order at a time or to several orders.

Allocation rules for warehouse

1. Start 'Warehouse. Open' (MMS005) and open the G panel. Fill in the 'Auto alloc sequence' field. This field determines in which sequence orders are allocated for this warehouse.

2. If there should be a different demand time fence for different priorities, then fill in the 'Demand time fence override by priority' fields.

3. To set Allocation Rules for Order Types, the following settings should be set for the order types (CRS200, OIS010, PMS120):

   The 'Next manual function' field: Select 2, 3, 4, 5, 6 or 7.

   The '225 Default priority' field: Select a default priority for the order type.

   The '255 Dispatch policy' field: Select a dispatch policy.

   The '320 Allow allocation below safety stock' field should also be filled in.

Allocations rules for dispatch policy

1. Start 'Dispatch Policy. Open' (MWS010).

2. Fill in the appropriate fields as follows:

   The 'Auto level' field: Select 3 or 4.

   The '030 Released for allocation' field: Select 1(=No) or 2 (=Yes).

   The '290 Allocation check' field: Deactivate (0=No).

Other optional rules for automatic allocation

Create rules for how to allocate according to the location type. See Create Location Type Table (MMS057).

Create rules for how to allocate according to certain balance identities and locations. See Settings for Allocation Control Per Balance ID (Allocation Table Control) .

Parameters to set for automatic allocation

Program ID/ Panel	Field	The field indicates …
(MMS002/E)	Demand time fence	… the number of days from order registration to shipment of the item. Items with a defined demand time fence are generally included in the master schedule. The field also indicates the time for automatic allocation. If the field is blank, the value indicated in (CRS701) is used.

Demand Time Fence

Program ID/ Panel	Field	The field indicates …
(MMS002/G)	Allocation method	… how allocation is carried out for each item/warehouse combination.
(MMS002/G)	Secondary allocation method	… the secondary allocation method. If there are remaining quantities to allocate after allocation has been performed according to allocation method 2 (see field to the left), then remaining quantities can be allocated according to a secondary allocation method. The secondary allocation method does not apply for replenishment orders. The valid alternatives are: 0 = No secondary allocation is done. 3 = Automatic allocation for the location entered per item/warehouse. Over-allocation is permitted per location but not per warehouse. This method may not be used if the item is lot controlled. 6 = Soft automatic allocation with a check against the balance that can be allocated on the warehouse level. See note 1. The primary allocation method must be 2 to allow use of the secondary allocation method. The purpose of this field is to allow over-allocation of the primary picking location on the assumption that replenishments will be done when needed. Since secondary allocation methods 3 and 6 do not allow over-allocation at the warehouse level, there should always be sufficient stock to perform replenishments.
(MMS002/G)	Quantity controlled allocation	The information is maintained automatically by connecting a quantity-controlled allocation table to the item/warehouse. The table is maintained in (MMS057). See document: Create Location Type Table (MMS057)
(MMS002/G)	Allocate non-approved balance IDs	… whether automatic allocation can take place for non-approved balance IDs, for example balance IDs with status 1 The valid alternatives are: 0 = No 1 = Yes. Automatic allocation of non-approved balance IDs applies only to order lines connected to a distribution order.
(MMS002/G)	Minimum remaining quantity	… the minimum quantity that should be left on a balance ID after a stock issue (allocation). This enables you to check that an unusable quantity is not left in stock after issuing. This control is performed during allocation. Cables and floor coverings are examples of the types of items that can use this.
(CRS701/E)	Allocation time fence	… the allocation time fence stated in days for automatic allocation. This value will be used in those cases where the demand time fence for an item/warehouse is missing (blank).
(CRS701/E)	Demand time fence type	… how the demand time fence is specified. The valid alternatives are: 0 = In calendar days 1 = In shipment days. Shipment days refer to delivery days, as defined in the system calendar, 'System Calendar. Open' (CRS900).
(MMS010/E)	Allocable	… whether the balance identities created for the respective location should be allocable.
(MMS005/G)	Automatic allocation sequence	… the sequence in which orders are allocated in the warehouse. The valid alternatives are: 0 = By planning date 1 = By order priority then planning date.
(MMS005/G)	Demand time fence override by priority	… overrides the demand time fence. There is one override for each order priority. The value entered extends or reduces (if negative) the demand time fence for orders with the selected order priority.
(CRS200) (OIS010)	Next manual function	… which function, in the flow of allocation and dispatch, is the next one to be done manually. This determines also which dispatch policy can be selected in (MWS010). The valid alternatives are: 2 = Release to allocate (MWS410) 3 = Release to print (MWS410) 4 = Report stock issues (MWS420) 5 = Report stock receipt of DO (MWS440) 6 = None, all completed with picking lists 7 = None, all completed without picking lists. After the next manual function, other functions can be performed either automatically or manually according to the settings in the order type.
(CRS200)	055 Status check at transaction	… whether a requisition or distribution order line can be created for a stock status other than approved (2).
(CRS200) (OIS014) (PMS120)	225 Default priority	… the priority to be used as the default when entering requisition and distribution orders. The valid alternatives are: 0–4 = High priority 5 = Normal priority 6–9 = Low priority.
(CRS200) (OIS010) (PMS120)	255 Dispatch policy	… the design of the dispatch process. A dispatch policy is created and assigned to the delivery when entering order lines. Dispatch policies are created in 'Dispatch Policy. Open' (MWS010). The 'Next manual function' field in (CRS200, OIS010) has an impact on the policies you can select.
(CRS200)	320 Allow allocation below safety stock	… whether automatic allocation below safety stock level is permitted for a requisition or distribution order.
(MWS010)	Auto level	… the auto level, which mainly regulates when stock issues are made. The valid alternatives are: 1 = Reservation only, no allocation. This level is only relevant for ROs. 2 = Gross reservation for deduction, no allocation This level is only relevant for ROs. 3 = Issue made automatically when picking list reported. 4 = Issue made automatically when picking list printed. 5 = Issue made automatically when order entry completed, picking list not printed. This level is not relevant for MOs.
(MWS010)	030 Released for allocation	… whether the delivery (the delivery number) should automatically be released for allocation after being created or manually released.
(MWS010)	040 Released for picking	… whether the delivery (delivery number) is automatically or manually released to create picking lists.
(MWS010)	290 Allocation check	… whether an allocation check should be performed to determine if a picking list could be created for a delivery number.
(MMS057)	Program: 'Item. Connect Location Type'	… whether you can set up more rules for how to allocate according to the location type. Following, for allocation, can be set up in 'Item. Connect Stock Location Type' (MMS057): Minimum quantity allocation Sequencing of location type searching Normal quantity governs the multiple used for allocation Maximum quantity the percentage filled Remaining quantity: Used so certain quantity breaks only get allocated from their designated location type, even if it means waiting for more stock to arrive. Allocate to empty: Allocate only if it will empty the location for this balance ID. Exclude some order types: Do not allocate from certain location types for certain order types. See Create Location Type Table (MMS057) Create Location Type Table (MMS057)
(MMS123) (MMS124)	Program 'Allocation Control.Selection Table. Open'	… whether you can set up more rules for how to allocate according to certain balance identities and locations. The allocation table controls which balance identities can automatically be allocated for a specific requirement, and from which locations. For example, customer orders could be allocated from one location and manufacturing orders from another location. See Settings for Allocation Control Per Balance ID (Allocation Table Control) .