Using Purchase Lead Time—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

Purchase Part, Inventory—Registered

Purpose: The purpose of this exercise is to create a purchase part by entering it as an inventory part. The purchase part is automatically created when you enter the inventory part.

Windows:
Inventory Part

  1. Open the Inventory Part window.
  2. Enter an inventory part with the part number XX-62-300, replacing XX with your initials, and the description F1 Race Tire.
  3. Use PCS (piece) as the unit of measure.
  4. Use 100 USD as the estimated material cost.
  5. Save the information.

General exercise for Inventory Part

Supplier

Purpose: The purpose of this exercise is to enter the supplier of the part that has the identified requirement.

Windows:
Supplier

  1. Enter the British tire supplier XX-170, replacing XX with your initials. In the Name field, enter Dunlop.
  2. In the General tab, use English as the default language.
  3. In the Address/Purchase Address Info tab, right-click and then click Supply Chain Matrix for Supplier.
  4. In the To Demand Site tab, enter CIF (Cost Insurance Freight) as delivery term, 30 (Road Transport) as the ship-via code, external transport lead time 2, and internal transport lead time 1.
  5. Save and go back to the Supplier window.
  6. In the Invoice/General tab, use USD as the currency.
  7. In the Purchase/General tab, enter yourself as buyer. Use USD as the currency.

General exercise for Supplier
General exercise for Setting Up Supplier-to-Site Supply Chain Parameters for Trading

Supplier for Purchase Part

Purpose: The purpose of this exercise is to connect your purchase part to the supplier.

Windows:
Supplier for Purchase Part

  1. Open the Supplier for Purchase Part window.
  2. Enter a new combination of purchase part XX-62-300 and supplier XX-170.
  3. On the General tab, enter a supplier manufacturing lead time of seven days in the Supplier Manufacturing Lead Time field.
  4. On the Inspection Info tab, select a receive case that requires inspection and enter an internal inspection lead time of one day.
  5. Save the information.

General exercise for Supplier for Purchase Part

Main Exercise

Purpose: The purpose of this exercise is to familiarize you with the functionality for calculating purchase lead times.

Windows:
Calculate Purchase Leadtime
Inventory Part
Background Jobs
Archived Reports

To update the lead times for the inventory-handled purchase parts at your site, you need to calculate the purchase lead times for those parts. An easy way of doing this is using the Calculate Purchase Leadtime window.

Calculating Purchase Lead Time

  1. Open the Inventory Part window and click the Acquisition tab.
  2. Take a look at the purchase lead time and expected lead time for inventory part XX-62-300. What are the lead time values?
  3. Open the Calculate Purchase Leadtime window. Your default site is automatically filled in.
  4. In the Parts Leadtime list, click Update also expected.
  5. Click OK to close the window and start the purchase lead time calculation.
  6. Open the Background Jobs window and populate it (F2).
  7. Locate and select your job ID, right-click, and then click Execute to make sure that the purchase lead time calculation is not queued.
  8. Open the Archived Reports window and populate it (F2).
  9. Locate and print the produced Calculate Purchase Lead Time report. Compare the Previous Lead Time and Proposed Lead Time columns of the report for part XX-62-300 as well as for the other parts at your site.
  10. In the Inventory Part window, query (F3) for inventory part XX-62-300. Click the Acquisition tab and take a look at the purchase lead time and expected lead time. What are their new values?