20120208 Inventory Agreements Inter Company

Microsoft Dynamics AX 2012: Supply Chain

Management New Features

Inventory Items

Agreements

Inter Company

Geoff McMaster

Support Escalation Engineer

Microsoft

Microsoft Partner - See Terms of Use [NDA REQUIRED]



Part 1 - Inventory Items


Inventory Items

Products

Products

Product Masters ( and then Variants)

Released Products

Translations

Default Order Type

Dimension changes

Configuration technologies

Unit of measure changes

Creating products in AX2012

Non-Stocked inventory


Product Definition

Product and Product Masters

at a global or shared level

‘release’ products from here to specific company(s)

Product Master – define Variants under it

Only place where you can define Config/Size/Colour

Released Products

Within a company

Create here or from Product Master


Translations

For each Language

‘Localise’ Product Description

‘Localise’ Product name


Default Order Type

Purchase order

Production (replaces Item type ‘BOM’)

Kanban


Dimensions

…was


Dimensions

…in AX2012

Product dimension (only on Product Master/ Variants)

Storage dimension

Tracking dimension


Configuration technology types

Only set on Product Master

Predefined variants

Config / Size / Colour

Dimension-based

As per AX2009

‘Configurable BOM’

Rule-based

Product Builder

Constraint-based

New AX2012 Product Configurator


Units of Measure

Global Unit of Measure


Product Definition


Defined at global level

‘Unit class’ (Mass, Temp, Quantity, Volume, Length…)

‘Systems of Units’

Metric

US Customary Units

Unit conversions

‘standard conversions’ – across all products

Must be in same Unit Class

Per product

Intra-class conversions – for units in the same class – e.g. Cm to Mtr

Inter-class conversions – for units in different classes – e.g. Box to Each


Product Definition



Product Creation Process

2 choices:

Create Released Product from Product or Product Master/Variant

(centralised approach)

or

Create Released Product directly in your company

(decentralised approach)



Creating a Released Product from a Product (using the

‘centralised’ approach) involves three basic steps

1. Create and define the product/product master.

2. Release that to legal entities.

3. Finalise that released product

• Define fields such as Item Group, Model Group, Storage and Tracking

Groups

Then you can use that released product.



Creating a Released Product from a Product Master (using

the ‘centralised’ approach) involves five basic steps

Create a Product Master

Assign Product Dimension Group to it

Create the Product Variants

Release Product

Finalize Released Products

Define fields such as Item Group, Model Group, Storage and Tracking

Groups

Then you can use that Released product


DEMO


Non stocked inventory

On Item Model Group

‘Stocked product’

‘Accrue liability upon product receipt’


DEMO




Part 2 - Agreements


Agreements

Purchase and Sales Agreements

Previously ‘Blanket orders’

Changes to Trade Agreements

Done through Journals

‘over-writing’ warning

‘from’ and ‘to’ quantities

‘generic currency’

‘smart rounding’

Delivery schedules

New way to handle multiple deliveries form one SO or PO line


Purchase and Sales Agreements

4 types:

Product and Quantity commitment

Product and Value commitment

Product Category and Value commitment

Value commitment

Sales Agreement

A contract that commits a customer to buy xxxx over a period of

time and get special prices and/or discounts.

Purchase Agreement

A contract that commits you to buy from a vendor xxxx over a

period of time and get special prices and/or discounts.


DEMO


Trade agreements

Overwriting


Trade agreements

Overwriting

Journals

One view that includes all trade agreements for a selected set of

item, customers, vendors.

Separate the approval role from the creating and maintaining role.

Allows for bulk update.


Trade agreements

Overwriting

Journals

Quantity – ‘from’ and ‘to’

Generic Currency

Allows for trade agreements to be setup for one currency but can

be used for all currencies.

Accounts Receivable Parameters

Can be used for the following trade agreements:

Sales price

Sales line discount

Sales multiline discount

Sales total discount


Trade agreements

Smart Rounding


Trade Agreements

Smart rounding with Generic Currency


DEMO




Part 3 - Inter Company


Intercompany in AX2012

Intercompany setup

Intercompany Agreements

Intercompany Master Planning

Intercompany Goods in Transit


Intercompany Setup

Intercompany trading relation creates the connection

between a customer and vendor in another entity


Intercompany Setup

Purchase policies


Intercompany Setup

Purchase value mapping


Intercompany Setup

Purchase value mapping

New features in Global Address Book eliminate mappings

Countries

Counties

States

Zip codes

New features in Product management eliminate mappings

Item number

Unit of measure

Currency code no longer requires mapping


Intercompany Setup

Purchase agreement policies


Intercompany Setup

Sales order policies

If you activate Unit price equal to cost price, you will not be able

use Intercompany agreements.


Intercompany Setup

Sales value mapping


Intercompany Setup

Sales agreement policies


Intercompany Agreements

Agreements for intercompany accounts based on Product

quantity commitment

Unit price equal to cost price must not be activated

Value mapping for Agreement classification must be set up

Generate agreement

Intercompany origin field – Source or Derived

Changes to agreements will be synchronized

Delete a line only from the entity it was created

Releasing the order will also create the intercompany order



Upstream

Used as a relative reference within a firm or supply chain to indicate

moving in the direction of the raw material

Downstream

Used as a relative reference within a firm or supply chain to indicate

moving in the direction of the end product



Intercompany Planning groups

Define the groups of companies that will be planned together in

intercompany master scheduling

Allow the user to define the scope of the master scheduling run

Define the order in which the legal entities in an intercompany

planning group should be planned

Define the master plan to use for each legal entity in an

intercompany planning group



Intercompany Planning groups



Master plan settings



Intercompany Master Scheduling



Planned intercompany demand



Planned intercompany demand

Two new inquiries showing planned intercompany demand

Incoming planned intercompany demand

Outbound planned intercompany demand

Multilevel Pegging

Intercompany supply and demand


DEMO


Lesson 4: Intercompany Goods in Transit

Discuss the two new goods in transit reports



Assumptions

Goods in transit are owned by the buying company

Only a packing slip on the shipping side can issue in transit

Order lines with negative quantities do not account as in transit.

Order lines that are return transactions are excluded.

Only product receipts deduct in transit



Intercompany goods in transit totals

Displays a period beginning balance, period ending balance and

the net change within the period

In transit time fence in days

The longest transport time in days

Should not exceed 60 for performance reasons

Deduct in transit quantity variance

Intercompany goods in transit transactions

Shows the detail transactions


© 2010 Microsoft Corporation. All rights reserved. This presentation is for informational purposes only. Microsoft makes no warranties, express or implied, in this summary.


Conditions and Terms of Use

This training package content is proprietary and confidential, and is intended only for users described in the training materials. This content

and information is provided to you under a Non-Disclosure Agreement and cannot be distributed. Copying or disclosing all or any portion

of the content and/or information included in this package is strictly prohibited.

THE CONTENTS OF THIS PACKAGE ARE FOR INFORMATIONAL AND TRAINING PURPOSES ONLY AND ARE PROVIDED "AS IS" WITHOUT WARRANTY OF ANY KIND,

WHETHER EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO THE IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, AND NON-

INFRINGEMENT.

Training package content, including URL and other Internet Web site references, is subject to change without notice. Because Microsoft

must respond to changing market conditions, the content should not be interpreted to be a commitment on the part of Microsoft, and

Microsoft cannot guarantee the accuracy of any information presented after the date of publication. Unless otherwise noted, the companies,

organizations, products, domain names, e-mail addresses, logos, people, places, and events depicted herein are fictitious, and no

association with any real company, organization, product, domain name, e-mail address, logo, person, place, or event is intended or should

be inferred.

Microsoft may have patents, patent applications, trademarks, copyrights, or other intellectual property rights covering subject matter in this

document. Except as expressly provided in written license agreement from Microsoft, the furnishing of this document does not give you any

license to these patents, trademarks, copyrights, or other intellectual property.

Complying with all applicable copyright laws is the responsibility of the user. Without limiting the rights under copyright, no part of this

document may be reproduced, stored in or introduced into a retrieval system, or transmitted in any form or by any means (electronic,

mechanical, photocopying, recording, or otherwise), or for any purpose, without the express written permission of Microsoft Corporation.

For more information, see Use of Microsoft Copyrighted Content at http://www.microsoft.com/about/legal/permissions/.

Microsoft®, Internet Explorer, and Windows® are either registered trademarks or trademarks of Microsoft Corporation in the United States

and/or other countries. Microsoft products mentioned herein may be either registered trademarks or trademarks of Microsoft Corporation

in the United States and/or other countries. All other trademarks are property of their respective owners.

Copyright and Trademarks

© 2011 Microsoft Corporation. All rights reserved.


http://www.microsoft.com/about/legal/permissions/

Documents

20120208 Inventory Agreements Inter Company