Sage 300 ERP 2016 Sage Production Planning 2016 Table Of Contents

2. 3. 4. 5. 6. Deleting Distribution Networks: In the Network Code field, use the search button to browse for the network record to be edited. You can edit the description of the network record at any time. You can insert or delete locations in the selected network record. Upon completion, click on the Save button to record changes made to the Distribution Network. Click on the Close button to close the P/P Distribution Network table. You can only delete Distribution Networks which have no outstanding planning records. Please refer to Generating MPS/MRP Plans for more details on viewing and purging plans. To delete Distribution Networks: 1. 2. 3. 4. Open the P/P Distribution Network table by clicking on the icon under the P/P Setup tab. In the Network Code field, use the search button to browse for the network record to be deleted. Click on the Delete button to permanently remove the network record. Click on the Close button to close the P/P Distribution Network table. 8 Page

Maintaining Buyers and Planners Maintenance Path: \Sage 300 ERP\Production Planning\P/P Setup\Buyer/Planner Maintenance Definition: The Buyer/Planner Maintenance of the Production Planning (P/P) module define and maintain buyers and planners. Buyers refer to purchasers of raw materials and packaging materials. Planners refer to the production or planning personnel in charge of the production schedule. Main Concept: By defining buyers and planners in P/P, you provide the system with the first information needed to group and filter planning results based on person-incharge. MRP - More Rims of Papers It has been a common complaint that MRP planning generates large quantities of data resulting to numerous pages of reports and analysis. As MRP logic has not changed, you need a way to cut across the data and retrieve information directly relevant to the user. Linking planners to products For companies dealing with numerous product lines, it is common to assign specific planners to manage specific groups of products. You can link each Sage 300 ERP of I/C Item to a planner using the P/P Item Planning table maintenance. This definition would allow you to filter, post transactions or print item planning information based on planner. Linking buyers to components Similarly, for companies with a huge quantity of components to buy, it is common to assign specific buyers to manage specific groups of raw materials and packaging items. You can link each Sage 300 ERP of I/C Item to a planner using 9 Page

the P/P Item Planning table maintenance. This allows you to filter, post transactions or print item planning information based on buyer. Limits on buyers/planners There is no limit to the number of buyers or planners that you can define in P/P. However, you can only link one buyer/planner record to one item record in the P/P Item Planning table maintenance. Using group codes vs. actual person In some cases, more than one buyer/planner may be in charge of a select group of items. In such cases, it may be more effective to define item group instead of individual buyer/planner records. Item grouping could be based on buyer/planner teams or item properties. This type of grouping prevents the need of changing item planning information every time there is a change of personnel or item assignment. Not defining buyers/planners You can choose not to define any buyers or planners in P/P. This is logical if there is only one buyer and planner for the company. The only effect would be that you cannot print out reports using buyer/planner as parameter. Field List: Buyer/Planner - This user-defined field contains the alphanumeric code used to distinguish buyer/planner records. Description - This user-defined text field contains the name or description for the buyer or the planner. Inactive - This check box indicates whether the selected buyer/planner record is active or inactive. Only active records may be used during production planning. Comments - This comment field provides for a narrative description of the selected buyer or planner record. Add/Save - This action button adds or saves all changes made to the buyer/planner record. Delete - This action button will permanently remove the selected record from the Buyer/Planner table. Only records which are unused may be deleted. Close - This action button closes the P/P Buyer/Planner Maintenance window. Adding new Buyer and Planners: To add new buyer or planner records: 1. 2. 3. 4. 5. Open the Buyer/Planner Maintenance table by clicking on this icon from the P/P Setup tab. Click on the New icon to call out a blank screen. In the Buyer/Planner field, enter any alpha-numeric characters to serve as the buyer or planner code. In the Description field, enter a name or description for the buyer or planner. In the Comments field, you have the option to type in some comments 10 P a g e

6. 7. Editing Buyers or Planners: or remarks concerning the buyer or planner. Click on the Add button to save the changes made to the P/P Buyer/Planner table. Click on the Close button to close the P/P Buyer/Planner Maintenance table. To edit buyer or planner records: 1. Deleting Buyers or Planners: Open the Buyer/Planner Maintenance table by clicking on this icon from the P/P Setup tab. 2. Using the Buyer/Planner search box, browse for the record to be edited. 3. You can edit the Description and Comments fields of the Buyer/Planner Maintenance table. 4. Click on the Save button to save changes made to the buyer or planner record. 5. Click on the Close button to close the P/P Buyer/Planner Maintenance table. You can only delete buyers or planners which are not assigned to any items in the P/P Item Planning table. To delete: 1. 2. 3. 4. Related Topics: Open the Buyer/Planner Maintenance table by clicking on this icon from the P/P Setup tab. Using the Buyer/Planner search box, browse for the record to be deleted. Click on the Delete button to permanently remove the buyer or planner record. Click on the Close button to close the P/P Buyer/Planner Maintenance table. Maintaining Item Planning Information 11 P a g e

Maintaining Item Planning Information Maintenance Path: \Sage 300 ERP\ Production Planning\P/P Setup\ Item Planning Definition: The P/P Item Planning table allows you to define item specific planning properties to be used during planning runs. Planned orders generated during the planning run of P/P takes into consideration the item order type, maximum stock level, minimum stock level, minimum order, order multiple, lead times, and schedule. This feature in effect allows you to plan accordingly on a per item basis. In addition, the Item Planning table thru the Buyer/Planner field allows the user to assign each item record to a specific buyer or planner. This information is very useful in grouping items for reporting and analysis purposes. Main Concept: In order to come up with realistic production and purchasing plans, planners need to consider planning properties of each item. Every item can be assigned its own minimum stock level, order quantity limits and lead time. This feature allows you to plan accordingly on a per item basis. Not Defining Item Planning It is possible to generate P/P plans without defining the P/P Item Planning table. P/P does not require that an item has a planning record prior to generating item plans. For such cases, P/P assumes default values for certain P/P Item Planning fields. For items without planning records, P/P assumes the following: 1. 2. 3. 4. Items with BOM records are manufactured by default. Items without a BOM record are purchased by default. Minimum stock level is set to zero (0). Maximum stock level is set to zero (0). 12 P a g e

5. 6. 7. Minimum order quantity and order multiple is assumed to be one (1). Lead times are set to zero (0). Shortages are to be resolved using planned orders. Setting Schedule Setting a schedule in item planning only means that the item's properties set by the user will be applied. If for example the user set the schedule as weekly, all the item's properties like item order type, minimum stock level, maximum stock level, minimum order, order multiple, and lead time will be taken into consideration for each week only. Setting Item Safety Stock level (Minimum Stock) Planners normally provide for a safety stock (minimum stock) to account for fluctuations in demand. This safety level applies to both products and raw materials. Things to consider in setting Minimum Stock In setting safety stock levels, planners would have to consider the item’s historical demand size, demand fluctuation, item lead time as well as the item’s critical nature. Huge demand and erratic fluctuations will result to higher than normal safety levels. Unusually long lead times (e.g. imported by bulk) will also cause planners to increase minimum stock requirements. Lastly, if an item is critical to production operations, planners may want to ensure supply by adding to the safety levels. Safety Stock versus Reorder Point Safety stock levels are a lot lower than item reorder points. P/P provides for stock quantities to be always above or equal to the safety level. In contrast, reorder points merely trigger a replenishment of items with stock levels usually falling way below this trigger point. Setting limits to order quantity In replenishing stock levels, you can define a limit on the minimum order quantities. For purchased items, vendors may require purchases to meet a minimum quantity. For produced items, production batching can also set minimum limits to production runs. In addition, economic order quantities (EOQ) are also considered in determining the minimum quantity to order. EOQ refers to the optimal order quantity considering fixed ordering costs as well as shipping and handling costs. Considering item packaging and handling Packaging also needs to be considered when replenishing stock. It is only logical that purchase plans consider how items are actually packed. You cannot order a piece when the item is sold in dozens. The order multiple in P/P lets you define the quantity by which order size is incremented. Setting Default Buyers or Planners By defining a default buyer or planner, you can easily group and filter items. This prevents planners from having to look at too much data and allow them to focus on items they actually manage. Please refer to P/P Buyers/Planners for more details. Lead Time for purchased items You cannot expect your vendors to be able to instantly ship materials you need. 13 P a g e

By defining purchase lead times, P/P can backward calculate when items should be ordered so that it would arrive on the desired date. The purchase lead time should be calculated starting from the time of purchase requisition to the time the material is ready for use. This should already consider both internal and external operations such as delivery time, material receipt and quality control. Lead Time for manufactured items For the case of manufactured items, you need to consider the time needed to produce a batch of the product. Manufacturing lead time is composed of a Manufacturing Setup Lead Time and the Manufacturing Run Lead Time. Both can be manually defined or system generated. Manufacturing Setup Lead Time Setup lead time refers to the standard time required to prepare for a production run. It is assumed for planning purposes that setup time is independent of production quantity. It is also assumed that setup will only be required once per production run. Manufacturing Setup Lead Time is expressed in terms of number of days. Manufacturing Run Lead Time Run lead time refers to the standard time required to produce one unit of the product. It is effectively the piece rate by which item is produced expressed in terms of number of day per unit. This piece rate should already consider the capacity of the work centers used to produce the product. Manufacturing lead time is discussed further under P/P Lead Time Maintenance. Relationship to I/C Reorder It is important to note that P/P is totally independent of the I/C Reorder table in Sage 300 ERP. Settings defined in this table are not considered in any way by P/P during Planning Run. You may, however, continue to use the I/C Reorder functionality for reporting and analysis. Field List: Item Number - This field contains the selected item record as defined in I/C Item. Network – This field displays the distribution network code. Each network is independent and is based on the IC Locations of Sage 300 ERP. Order Type - This dropdown field defines the default planning order type for the item. Options include: a. b. c. Manufactured – Selected item is manufactured or assembled by default. P/P Planning Run will create internal MO's to resolve shortages. Purchased – Selected item is a purchased material. P/P Planning Run will create Sage 300 ERP P/O purchase requisitions to resolve shortages. Subcontracted - Item is to be subcontracted. P/P Planning Run will create subcontract MO's to resolve shortages. 14 P a g e

Create Order? - This dropdown field defines whether planned orders will be created for the item during planning run. Options include: a. b. Yes - P/P will create planned orders for the item based on demand and item planning settings. No - P/P will not create planned orders for the item and just calculate net shortage for each item. Schedule – This dropdown box contains schedule for plans depending on what the user chose. User can choose from the following: a) None – All item planning properties defined applies on a regular/daily basis. It means that every week, there is one demand calculation for the item. b) Weekly – All item planning properties defined applies on a weekly basis. It means that every week, there is one demand calculation for the item. c) Monthly – All item planning properties defined applies on a monthly basis. It means that every month there, is one demand calculation for the item. d) Odd Week – All item planning properties defined applies on all weeks which are in even number counted for a year. It means that every st rd odd week, there is one demand calculation for the item. (1 week, 3 th week, 5 week etc.) e) Even Week – All item planning properties defined applies on all weeks which are in even number counted for a year. It means that nd every even week, there is one demand calculation for the item. (2 th th week, 4 week, 6 week etc.) Maximum Stock - This user-defined numeric field indicates the maximum stock level of the selected item record. P/P uses this field to limit order quantity to a predetermined maximum set by planners and will always maintain this level during planning runs like minimum stock. Minimum Stock - This user-defined numeric field indicates the safety stock requirements of the selected item record. P/P uses this field as the benchmark for the desired stock balance and will always maintain this ideal stock level during planning runs. This field represents the safety stock levels predetermined by planners necessary to offset demand spikes. Minimum Order - This user-defined numeric field indicates the minimum order level for the item. Planned orders to be generated by P/P cannot be less than this quantity. This field represents optimal production batch sizes for internal manufacturing or supplier batch size requirements for purchasing. Order Multiple - This user-defined numeric field indicates the multiple by which orders can be created. Planned orders to be generated by P/P will be according to this multiplier. This field represents batch sizing determined by internal planner or external suppliers. 15 P a g e

Buyer/Planner - This search box contains the assigned buyer or planner for the item. Buyer/Planner records are defined in the Buyer/Planner Maintenance. This field is used mainly to group items by buyer or planner. Order Lead Time - This user-defined numeric field indicates the standard purchase lead time to acquire materials. Lead time is in units of Days. Planned orders are backward calculated from the due date based on lead time. Mfg. Setup Time - This user-defined numeric field indicates the standard setup time needed to start production of a batch of items. Setup Lead Time is in unit of Day per batch. Planned orders are backward calculated from the time of need based partly on this setup lead time. Refer to the Lead Time Maintenance periodic processing for more details on manufacturing lead time. Mfg. Run Time - This user-defined numeric field indicates the standard run time needed to product one unit of the item. Manufacturing Run Lead Time is in units of Day per Unit. Planned orders are backward calculated from the time of need based partly on this item run lead time. Refer to the Lead Time Maintenance periodic processing for more details on manufacturing lead time. Last Updated By - This read only field contains the user ID of the person who last changed the item planning settings. Last Updated Date - This read only field contains the date when the item planning record was last updated. Remarks - This comment field provides for narrative comments or remarks on the planning settings for the selected item record. Add/Save - This action button add/saves all changes made to the P/P Item Planning window. Delete – This action button permanently removes the item planning record from the P/P Item Planning Table. Close - This action button closes the P/P Item Planning window. Adding Item Planning information: To add item planning information: 1. 2. 3. Open the P/P Item Planning table by clicking on the Item Planning icon under P/P Setup In the P/P Item Planning table, use the Item Number search box to select the item record to maintain. In the Order Type field, indicate the item planning type by choosing one of the following types: a) Manufactured – item has a BOM and is produced internally b) Purchased – item is a direct or indirect raw material and is purchased c) Subcontracted – item is manufactured but is subcontracted to external vendors 16 P a g e

4. In the Create Order field, you can choose to automatically resolve shortages. A “Yes” value in this field means P/P will generate planned orders for the item during P/P Planning Run. Setting this field to “No” means P/P will only calcul

Sage 300 ERP version 6.3 (2016) There is no separate version of P/P for the different above-listed versions of Sage 300 ERP. Supported Sage 300 Editions Production Planning (P/P) supports all Sage 300 editions. This would include: 1. Enterprise Edition (500) 2. Corporate Edition (200)