Alternate Components in MRP—Extended Exercises

IMPORTANT
It is extremely important that you set up and work within your own site to maintain your data integrity. If you work within any other site, you will compromise your own exercise data as well as the data of other students. Predictable exercise results require that your data be isolated in your own site.

Basic Data Setup

MRP Extended Data Setup

Purpose: The purpose of this exercise is to set up the required prerequisite data needed for the extended Material Requirements Planning exercises. You must do this exercise once to support the extended MRP exercises in the current database. (If the database has been refreshed since the time you set up the data for the MRP extended exercises, you will need to set up the data again.)

  1. If you haven't done so already, create your own site and set up the extended MRP data (for the Alternate Components in MRP extended exercise) in that site. 

General exercise for Overview of Extended MRP Data

Main Exercise

Purpose: The purpose of this main exercise is to perform MRP on the parts that you have already defined and evaluate the result. After evaluating results, convert shop requisitions to shop orders, and then issue alternate components planned by MRP to material allocation lines.

Windows:
Material Requisition

Perform Site MRP
Background Jobs
MRP Part Information

Shop Order Requisitions

Alternate Component

Performing MRP

  1. Open the Material Requisition window, and create a material requisition at your site due a month out from today. For the Internal Customer field, select an appropriate value from the list of values.
  2. In the table window, create a record, enter 90-110 in the Part No column, and 5 in the Qty Due column. The Due Date column should default to the Due Date in the header section. Save the record.
  3. Create another record for part 90-110, this time for a quantity of 20, due two months out from today. Save the record.
  4. Open the Perform Site MRP window and enter your site in the Site field. Check the Plan Alternate Component checkbox. Click OK to start the MRP process for your site.
  5. Check that the process completed with state Ready in the Background Jobs window.
  6. Go to the next section when the process is done.

Evaluating MRP Result

  1. Open the  MRP Part Information window and query for part 90-110 at your site.
  2. On the Receipts and Deliveries tab, verify that the Net Requirement column shows 5 and 20 on the dates that correspond to the dates of the material requisition line due dates. Also verify that the MRP Make Receipt column shows 5 and 20 as supply in response to the material requisition demands.
  3. In the same window, query for part 90-111 at your site. Since the product structure for part 90-110 calls out for a qty per of 2 of 90-111 for each 90-110, verify that the Receipts and Deliveries tab shows values of 10 and 40 in the Net Requirement column, corresponding to demand from the 90-110 parent part. Also verify that there is an MRP Buy Receipt of 30 for the second demand of 40 from the 90-110 parent, but not for the first demand of 10. Since the 90-111 part is a purchased part, only buy receipts should be generated for this part.
  4. The 90-111A1 part is defined as an alternate part for the 90-111 part with a substitution sequence value that makes it preferred for substitution over the 90-111A2 part. Recall that there is a qty of 10 of this alternate part in inventory. This is used to satisfy the first demand of 10 for the 90-111 part. Verify that the Alternate Receipt column for this record shows a value of 10.
  5. The 90-111A2 part is defined as an alternate part for the 90-111 part with a substitution sequence value that makes it the second choice for substitution for the 90-111 part. Recall that there is a qty of 10 of this alternate part in inventory. This is used to partially satisfy the second demand of 40 for the 90-111 part. Verify that the Alternate Receipt column for this second record shows a value of 10. This leaves a qty of 30 remaining to be satisfied for part 90-111, which is met by an MRP Buy Receipt of 30.

Use of Alternate Components by Shop Orders

  1. Navigate to the Shop Order Requisitions window and query for part 90-110 at your site.  You should find two records in state ProposalCreated.
  2. Select the shop requisition for quantity 5 which is represents supply for the earlier demand for this part from the material requisition. Right click on this record, then click Create Shop Order. Click Yes when system asks if shop order should be created even if no operations exist.
  3. While this record is still selected, right click, then click Show Shop Order Requisition. When the Shop Order Requisition window is displayed with the shop requisition queried up, click on the Shop Order tab. Highlight the single record displayed, right click, then click Show Shop Order.
  4. When the Shop Order window is displayed with the shop order queried up, click on the Material tab. Verify that two records are displayed, one for part 90-111, and another for part 90-112.
  5. Highlight the record for part 90-111, right click, then move cursor over Alternate Component, then click Select.
  6. When the Replace Main Component dialog is displayed, verify that two records are displayed, one for alternate part 90-111A1, and another for alternate part 90-111A2. Also verify that the Total Qty Available column for both records shows a qty of 10. Recall that this is the qty on hand for each of these alternate parts.
  7. In the record for 90-111A1, enter a qty of 10 in the Quantity to Replace column. Click OK. Verify that in the Material tab, there are now three records. There should now be a new record for the 90-111A1 part, with values in the Qty Per Assembly column of 2, and Qty Required column of 10. These same columns for the record for the original 90-111 component part should show as zero.
  8. Navigate to the Alternate Component window and query for part 90-111 at your site.  You should find two records in the table window corresponding to the two alternates you previously defined for the 90-111 part. For the record corresponding to the first preferred alternate, i.e. 90-111A1, verify that the Quantity Substituted column shows a value of 10. This is the qty of the 90-111A1 part that you substituted for the 90-111 part on the material allocation line in the shop order for the 90-110 part.
  9. Repeat steps 2 through 8, this time for the second Shop Order Requisition for a qty of 20 for the second demand for part 90-110 from the material requisition for this part. In step 5, instead of clicking Select, click Replace All. This replaces the main component 90-111 with as many alternate parts as are available. In this case, there is only a qty of 10 available from alternate part 90-111A2. If for example there was a third preferred alternate defined, say 90-111A3 with an on hand qty of 10, then for the second demand of 40, the Replace All method would first use the qty of 10 on hand of the second preferred alternate 90-111A2, followed by the qty of 10 of the third alternate 90-111A3.