External Production Daniela Narváez Quality Control Daniela.narvaez@beasgroup.com

External Production Business Process External Production Management External Production Procedure

Raw Material processed External Production External Production vs External Production with Provisions External production is an external service, which creates external costs (Purchase Order, Incoming Invoice) and lead times. This process allows to track material transfer between the manufacturer and the supplier Raw Material General Warehouse Purchase Order External Warehouse Good Receipt Plant Supplier Raw Material processed

Raw Material processed External Production External Production vs External Production with Provisions Administration of external operations is performed exclusively in work order structure view or the external operation system, divided in collective orders, provisions, goods receipt and posting of provision parts Raw Material Purchase Order General Warehouse External Warehouse Provisions Good Receipt Plant Supplier Raw Material processed

External Production Business Process External Production Management External Production Procedure

External Production External Production vs External Production with Provisions Beas allows to differentiate the type of external production process according to the business needs Configuration Wizard: Open screen for provision parts The system allows to deliver an specific quantity based on the purchase order The system understood the supplier already have the total quantity from the purchase order

External Production Master Data: External Resource An external resource must be created exclusively for this business process Important fields: Service / register costs: this field determines the resource as a service and not as a machine or internal operation

External Production Master Data: External Operation An external operation must be created exclusively for this business process Important fields: External operation: this field determines the operation as a service and not as a machine or internal operation Create a purchase order: this field allows to create a purchase order for external operation for a supplier and different warehouse

External Production Master Data: External Routing An external routing must be created exclusively for this business process Important fields: Routing specifications: these fields must have the type defined for external operation and external resource Supplier & item: by default, beas allows to predefine an item and supplier for purchase order creation. Item and conversion factor will be protected on the purchase order creation if these fields are filled

External Production Master Data: External Item (Unique) An external item must be created exclusively for this business process Important fields: Warehouse Item: this specific item must be created as a non warehouse item. This defines the item as unique which will be used only for transfers to track the external production

External Production Master Data: Production Item An external warehouse must be assigned to the external item Important fields: Type: It must be set to “External Warehouse” which determines the warehouse as external for inventory movements only Supplier: by default, beas allows to predefine a supplier for warehouse selection

External Production Master Data: Bill of Material Item A routing-position should be assigned to the child item Important fields: Routing position: this specifies where the external production is taking place in the process. If the routing-position is not linked to the child item means that it is a virtual external production

External Production Business Process External Production Management External Production Procedure

External Production Procedure: Work Order When creating a work order, it will have the following structure:

External Production procedure: Create Purchase Order From the routing*, a purchase order must be created (*) From Production > External Production > Summarized Purchased Orders, the user can create the purchase order from external production

External Production procedure: Create Purchase Order The purchase order must contain a supplier, quantity to deliver to supplier and delivery date after produced If the user enters from SAP Menu, there will be a list of work orders with external operation in order to create purchase orders Item and conversion factor will be protected on the purchase order creation if these fields are filled

External Production Procedure: Provisions This screen allows the user to provide the supplier (issuing) the material to produce externally (*)This step will only apply when selecting external production with provisions Insert quantity General Warehouse: 52pcs External Warehouse: 23pcs

External Production Procedure: Provisions The user will select from the warehouse the quantity to deliver to the external warehouse (*)This step will only apply when selecting external production with provisions General Warehouse: 51pcs External Warehouse: 23pcs

External Production Procedure: Provisions After clicking in “All Provide”, a transfer from warehouse has been made (*)This step will only apply when selecting external production with provisions General Warehouse: 51pcs External Warehouse: 24pcs

External Production Procedure: Provisions The user can also access and create provisions by SAP Menu If the user enters from SAP Menu Production > External Production > Provisions, there will be a list of purchase orders with external operation in order to provide the material to the supplier

External Production Procedure: Work Order View Work order structure after creating the purchase order with no provisions

External Production Procedure: Work Order View PROVISIONS Work order structure after creating the purchase order with provisions

External Production Procedure: Work Order View When the supplier sent back the material, good receipt must be done from external production

External Production Procedure: Work Order View PROVISIONS When the supplier sent back the material, good receipt must be done from external production

External Production Procedure: Good Receipt from External Production Per document, the user can enter the quantity receipt from the supplier

External Production Procedure: Good Receipt from External Production Per supplier, the user can enter the quantity receipt from the supplier by Beas Menu If the user enters from SAP Menu Production > External Production > Good receipt from external production, there will be a list of supplier and purchase orders with external operation in order to receive the material

External Production Procedure: Booking and Operation Receipt from External Production Beas shows the stock available on external warehouse and the work order requirement External Warehouse: 24pcs

External Production Procedure: Booking and Operation Receipt from External Production The user can select Pre-assigned quantity or specify the booking quantity External Warehouse: 23pcs

External Production Procedure: Booking and Operation Receipt from External Production The user, then consumes the quantity and the operation sequence from external production External Warehouse: 23pcs

External Production Procedure: Booking and Operation Receipt from External Production Per purchase order, the user can enter booking and operation receipt from the supplier by Beas Menu If the user enters from SAP Menu Production > External Production > Issue provision parts, there will be a list of purchase orders with external operation in order to book and receipt the material in the work order This will open the screen “Provision issue” from the previous slides

External Production Procedure: Work Order View Operation sequence confirm completion

External Production Procedure: Work Order View PROVISIONS Operation sequence confirm completion