KP Entry Recommended Work Orders Report overview

Kit Production > Entry > KPE Reports > KPER

Function acronym: KPER

Use this report to manage your prebuilt kit products. Because of the complexity of kit products, including components, usage rates, and variations, an exception report is required to track kit and component availability and quantities.

Only the conditions that require action are included on the report. The report compares available quantities of kit components with the desired stock level and then recommends action. Regardless of the ordering method for the kit, the quantity recommended is enough to replenish the kit's stock level to the Line Point/Maximum value on the Product Warehouse Product Setup-Ordering record. You can run the report for informational purposes or to create work orders that can be processed in KP Work Order Center Entry.

See Work order tie process for prebuilt kits.

KP RRAR is the primary method to create prebuilt kit work orders. The Authorized Replenishment Path, or ARP, on the Product Warehouse Product Setup record determines which function controls the replenishment of prebuilt kits. To include prebuilt kits on the KP RRAR, the ARP must be set up as Kit. If it is set up as Warehouse or Vendor, the product is included on the WT RRAR or PO RRAR, respectively.

When the work order is printed, it includes this information, based on the predetermined Line Point/Maximum quantity for the kit product:

  • The number of kits to assemble
  • The number of each component to pull from stock to complete the job

If the current quantity goes to Order Point/Minimum, a work order is created to build the required quantity to bring the quantity to Maximum. The components are reserved immediately and the stock available for sale is reduced. If an insufficient quantity of any component is available to fill the order, the Demand balance for the component is increased until the inventory is replenished and the remainder of the order can be fulfilled. When you run the report to create work orders, The On Order and Reserved balances in Product Warehouse Product Setup-Costs are increased. If insufficient quantity is available, the Demand balance for the component is increased.

The Product Setup and Product Warehouse Product Setup records are checked for these conditions when the KP RRAR is generated:

  • The kit product is an active product set up in Product Setup and Product Warehouse Product Setup.
  • The kit product is not a build-on-demand kit.

The prebuilt kit's Net Available quantity from Product Warehouse Product Setup-Costs is compared to the Line Point/Maximum on the Product Warehouse Product Setup-Ordering record. The kit's Net Available quantity is calculated with this formula:

  • Kit Net Available = On Hand - Reserved - Committed - Back Order + On Order + Received - Demand

If the net available is equal to or greater than the Line Point/Maximum quantity, the quantity is considered sufficient, and the kit record is skipped. If the Net Available is less than the Line Point/Maximum quantity, the Order Quantity is ignored and a quantity to build is recommended. The recommended quantity is equal to the Line Point/Maximum minus the Net Available quantity.

Required options and keywords that are associated with the kits must be selected before the work orders can be accepted. They are selected in the Component function in KP Work Order Center Entry .

Sales Order Entry

You can create work orders in Sales Order Entry by sourcing a line to a work order. Otherwise, work orders are created through the KP RRAR if the Net Available cannot cover the quantity ordered and these conditions are met:

  • The product status of the line item is active.
  • The product is a prebuilt kit, and not a build-on-demand kit.
  • The sales order warehouse is the same as the warehouse being processed.
  • The line item is for a product with a status of special.
  • Back orders for the line item do not exist.
  • The order type is not quote order (QU).
  • The line item is not a return merchandise (RM).
  • The quantity shipped for the line item is less than the quantity ordered.

If you create work orders, warehouse product records are reviewed for qualifying component and group records on the bill of materials to determine how many kits can be built. The number of kits is based on the Net Available balances, as previously defined. Quantities are reserved up to the Net Available quantity. Special lines have priority over the Line Point/Maximum calculation. For example, you have four special lines on a sales order and four special lines on a warehouse transfer. Additionally, you require ten kits to replenish the kit's level to Line Point/Maximum. In this scenario, the eight special lines are reserved before the two kits are built to replenish the quantity to Line Point/Maximum.

If a special order requires a work order to be created, the work order and special line are tied together for back order fill processing.

The prebuilt kit component types component and group are checked for these conditions:

  • The kit product and components are set up in Product Setup and Product Warehouse Product Setup.
  • The status of the product/component is active and stocked, or superseded.
  • The product/component is not a core charge product.
  • The kit product is not a build-on-demand kit.
  • If set up as a unit conversion type, the unit conversion is set up in Product Extended Unit Conversion Setup or SA Table Code Value Setup.

If the component quantities are not sufficient to build the number of kits, a back order is generated for the unfulfilled portion. The kit's Back Order balance in Product Warehouse Product Setup-Costs is increased. Components that are set up as labor products in Product Setup are not included.

If any error occurs, a messages is displayed, the special line is skipped, and the next line is processed.

Warehouse Transfer

When you create a warehouse transfer, Net Available quantities in other qualifying warehouses are compared to the quantity ordered. If adequate, work orders are created in the shipping warehouse, and the kits are transferred to the receiving warehouse. The WT Net Available for the shipping warehouse is calculated from warehouse product balances, using this formula:

  • WT Net Available = On Hand - Reserved - Committed - Back Order - Demand plus On Order plus Received

If the shipping warehouse is not the Authorized Replenishment Path (ARP) warehouse, the usage is still recorded in the ARP warehouse. This ensures that the ARP warehouse is sufficiently stocked in the future to supply the receiving warehouse under normal replenishment situations.

If all conditions are met, warehouse product records are reviewed for qualifying component and group records on the bill of materials to determine how many kits can be built in the shipping warehouse, based on the Net Available balances. The component Net Available balance is calculated from warehouse product balances, using this formula:

  • Component Net Available = On Hand - Reserved - Committed

The prebuilt kit component types component and group are checked for these conditions:

  • The kit product component is set up in Product Setup and Product Warehouse Product Setup.
  • The status of the component is not inactive.
  • The component is not a core charge product.
  • If set up as a unit conversion type, the unit conversion is set up in Product Extended Unit Conversion Setup or SA Table Code Value Setup.

Back Orders

When you create work orders, this message is included on the report if a component quantity is insufficient to build the recommended number of kits:

**Unable to Build All of ### Kit to Line Point - Component Quantity Insufficient**

Detail for the component is included on the report. You can view the back order in KP Work Order Inquiry.

If insufficient components are available to complete the work order, a back order is created if Entry (1) is specified in the Back Orders Create KP Back Orders At Stage field in SA Administrative Options-Documents-Kit Production-Processing. The component quantity that is required to complete the work order is recorded on the component's Demand quantity field in Product Warehouse Product Setup-Costs. The back order contains the difference between the quantity ordered and quantity shipped

The reserved quantity in Product Warehouse Product Setup-Costs is updated for the components that have sufficient quantities to build the recommended number of kits. This guarantees that after the back ordered components arrive, you can assemble the kit and ship it immediately. If the available components are not reserved, you risk an out-of-stock situation on a different component when the back ordered products are received. As each back ordered component is received, it is also reserved, until all components can be assembled for the kit.

Error Messages

If any error occurs during processing, an error is included on the exception report with an error message. The line with an error is skipped, and the next line is processed.

Cross References

This error is included on the KP Entry Replenishment Report for kit components with insufficient net available, and where supersedes or substitutes exist:

"** Insufficient Component Quantity – Cross Reference Products Exist for [product] **"

Maintain the kit in KP Work Order Center Entry.