80305A - Supply Chain Foundation Appendix For Microsoft Dynamics AX 2012 R2

80305A- Supply Chain
Foundation Appendix for

Microsoft Dynamics AX 2012
R2
Updated Procedures & Labs
Microsoft Corporation
Soheil Aghazadeh
1/1/2013
2 80305A- Supply Chain Foundation Appendix for Microsoft Dynamics AX 2012 R2
Last Revision: January 28th 2013

This content is provided “as-is”. Information and views expressed in this workshop, including URL and other Internet
Web site references, may change without notice.
Unless otherwise noted, the examples depicted herein are provided for illustration only and are fictitious. No real
association or connection is intended or should be inferred.
This content does not provide you with any legal rights to any intellectual property in any Microsoft Corporation
product.
Complying with all applicable copyright laws is the responsibility of the user. Without limiting the rights under
copyright, no part of this workshop may be reproduced, stored in or introduced into a retrieval system, or transmitted
in any form or by any means or for any purpose, without the express written permission of Microsoft Corporation.
Copyright © 2013 Microsoft Corporation. All rights reserved.
Microsoft®, Microsoft Dynamics®, Microsoft® PowerPoint®, Microsoft® SQL Server® data management software and
Microsoft Dynamics® AX are trademarks of the Microsoft group of companies. All other trademarks are property of
their respective owners.
This content is designed for Microsoft Dynamics® AX 2012 R2
©2013 Microsoft Corporation.

2
CHAPTER 1: OVERVIEW
No Procedures or Labs!
CHAPTER 2: PRODUCT INFORMATION MANAGEMENT

Procedure: Categorize Products
Product categories can be assigned to products that are used for building procurement catalogs. This
step is required before a product can be added to a procurement catalog. To assign product categories
to a product, follow these steps:
1. Open Product information management > Common > Products > All products and product masters.
2. Select the desired product from the list to add product categories to, and then click Edit in the
Maintain group of the Action Pane.
3. Click Product categories in the Setup group of the Action Pane, and the Product categories form
will open.
4. Click New to create a new product category.

5. Select the Category hierarchy.
6. Select the Category.
7. Close the Product categories form.

3
Procedure: Define Attribute Types

To create a new attribute type, follow these steps:
1. Open Product information management > Setup > Attributes > Attribute types.
2. On the Attribute types form, click New to add a new attribute type.
3. On the General tab, type a name for the attribute type and select the type of data that can be entered
for attributes that are assigned to this data type inside the Type field.
4. Select a unit of measure for attribute type of Text.
5. To define a fixed list of values for the attribute type, select the Fixed list check box. Then select the
Values tab and add the list of values.
NOTE: The Fixed list check box only applies to text attribute types.
6. To define a range of valid values for the attribute type, select the Is bounded check box. Then, select
the Range tab and enter the valid range of values.
NOTE: The Value range check box only applies to Currency, DateTime, Decimal, and Integer attribute types.
The Value range or Fixed List check boxes do not apply to attribute types of Reference and Boolean.

4
Procedure: Define Product Attributes

To define attributes for a product, follow these steps:
1. Open Product information management > Setup > Attributes > Attributes.
2. On the Attributes form, click New to add a new attribute.

3. Enter the attribute name, description, and any help text that you want to display to the user for the
attribute.
4. In the Attribute type field, select the attribute type that you want to assign to the attribute
5. Enter a value or range of values that are displayed by default when this attribute is associated with a
product or a category in the Default value field.
NOTE: Depending on the attribute type that you select, the Default value field might be displayed as a
check box, a drop-down field, or it might have additional required data such as a unit of measure or
currency.
6. Click Translate to enter the attribute name and help text in different languages.
7. Repeat steps 2 through 6 to add more attributes.
Procedure: Assign Product Attribute Values to a Product

After you create attribute types and product attributes, you must assign the product attributes to
categories. For more information about how to assign product attributes to product categories, refer to the
Catalogs chapter in the Procurement in Microsoft Dynamics AX 2012 course. Next you must assign the
category to the product, and then you can define values for the product attributes. To assign a category
and enter product attribute values, follow these steps:
1. Open Product information management > Common > Products > All products and product masters.
2. Select the desired product from the list to add product categories to, and then click Edit in the
3. Click Product categories in the Setup group of the Action Pane, and the Product categories form
will open.
4. Click New to create a new product category.
5. Select the Category hierarchy.
6. Select the Category.
7. Close the Product categories form.
8. Click Product attribute on the Action Pane.

5
9. Select the attribute from the list.

10. Enter or select a value for the attribute.
11. Repeat steps 9 and 10 for each attribute.
12. Close the Attribute values form.
Procedure: Create a Product Master

Scenario: Creating Product Masters and Predefined Variants
Kevin, the Sales Manager, evaluated the latest sales forecast numbers for the new 60 inch LCD televisions
and received various feedbacks. Kevin concluded that the LCD televisions should be available in multiple
colors. Together with Emil, the Product Designer, and Tony, the Production Manager, they agree that the
new colors will be black and silver. They also agree that the cost for the black and silver television will be the
same. Emil wants to make sure that color is a mandatory product characteristic when the sales
representative sells the product. Additionally, the color offering must be restricted to the agreed-upon list.
To create a new product, follow these steps:
1. Open the Product information management > Common > Products > Product master list
page.
2. Click New product in the Action Pane.

6
3. Select Item in the Product type field.

4. Type a unique Product number, if the number sequence is not set up as auto-generating.
5. Optionally, type a description into the Product name field.
6. Optionally, type a search description into the Search name field.
7. Optionally, Select a Retail category to categorize this product when used in Retail.
8. Select a group that has color enabled from the Product dimension group field.
9. Make sure that the Configuration technology field is set to Predefined Variant.
10. Select CW product check box if this product is measured by weight.
11. Click OK.
Procedure: Assign Product Dimensions

To assign product dimensions, follow these steps:
1. Open the Product information management > Product master list page.
2. Highlight the product master you just created in the “Create Product Master” Procedure.
3. C lick Product dimensions in the Product Master group of the Action Pane.
4. Click New A new record will be created in the Colors Fast Tab.
5. In the Color field, choose an existing value or type the desired color abbreviation.

7
6. In the Name field, type a brief description of the color.

7. Repeat steps 3 through 5 for each color desired.
8. If it is necessary, repeat for size and configuration dimensions.
9. Click Close.
TIP: To assign a different inventory cost to each product dimension combination, select the Use cost price by
variant check box on the Manage cost Fast Tab of the Released product details form. The product should
be released, in order to be available in the Released products list page.
Procedure: Create Product Variants

To create product variants for the colors, follow these steps:
1. Open the Product information management > Product master list page.
2. Highlight the product master that you just created in the "Create Product Master" procedure.
3. Click Product variants to open the Product variants form.
4. Click Variant suggestions to open the Variant suggestions form.

5. Click Select all. This selects all possible variants combinations.
6. Click OK and then click Close.
Procedure: Release a Product to Multiple Legal Entities

To release the products to USMF and DEMF legal entities, follow these steps:
1. Open the Product information management > Product > Product masters list page.
2. On the Product master list page, select the desired product master.
3. Click Release products.

8
4. In the Product variants grid, on the right side, click Select all.
5. Click the Select companies tab.
6. Select USMF and DEMF.
7. Click OK.
8. On the Product release session's batch form, Select Show infolog upon failure check box and click OK.

9
Lab 2.1 - Creating and Releasing Product Masters
Scenario
Emil, the Product Designer, has designed a new 3D LED television. The television is available in two colors
and three sizes. Your task is to help Emil set up the product master; create all product variances, and then
release only size 55 to USMF and DEMF companies.
Use the following information to set up the product.
Color Name
Blk Black
Slv Silver
Size Name
46 46 inches
55 55 inches
60 60 inches
Step by Step
To create a new product master, follow these steps:
1. Open Product information management > Products > All products and product masters.
2. On the All products and product masters list page, click Product.
3. In the Product type field, select Item, and then in the Product sub type field, select Product master.
4. If a number is not drawn automatically in the Product number field, type a unique product number (for
example, "GTL-L2-1").
5. In the Product name field, type "3D LED television". In the Search name field, type "3D TV".
6. In the Product dimension group field, select product dimension group SizeCol.
7. In the Configuration technology field, select Predefined variant.
8. Click OK to complete the process of creating a product master.
To assign product dimensions, follow these steps:
1. On the All products and product masters list page, highlight the product master that you just
created.
2. Click Product dimensions.
3. Click New. In the Sizes Fast Tab, a new record will be created.
4. In the Size field, type "46", and in the Name field, type"46 inches."
5. Repeat steps 3 and 4 for each size 55 and 60.
6. Click the Colors Fast Tab and then click New. A new record will be created. In the Color field, type
"Blk" and in the Name field type "Black."
7. Repeat step 6 for the color Silver, and type "Slv".
8. Click Close.
10
To create product variants for the combinations of sizes and colors, follow these steps:
1. On the All products and product masters list page highlight the product master for the 3D LED
television.
2. Click Product variants to open the Product variants form.
3. Click Variant suggestions to open the Variant suggestions form.
4. Click Select all. This selects all possible variants.
5. Click Create, and then click Close.
To release the products to USMF and DEMF companies, follow these steps:
1. On the All products and product masters list page, highlight the product master for the 3D LED
television.
3. In the Product variants grid, on the right side, click Deselect all.
4. Select all variants with Size 55.
6. Select Company IDs USMF and DEMF.
7. Click OK.
8. On the Product release session batch form, click OK.

11
Procedure: Finalizing a Released Product for a Legal Entity

Scenario: Finalizing a Released Product for a Legal Entity
Emil, the Product Designer, must finalize the setup for the new widgets that he released in Contoso
Entertainment USA (USMF). He wants to make sure that the widgets have all the mandatory setup for the
product to be used in a transaction. When he is finished with the setup, Emil clicks Validate on the
Released products form to make sure that the setup is correct.
To manually finalize a product for a legal entity, follow these steps:
1. Open the legal entity account for which you will be finalizing products.
2. Open the Product information management > Released products list page, and then select the desired
product master.
3. Click Edit to open the Released products details form.
4. Select the Item model group for the product.
5. In the Manage cost Fast Tab, select the Item group for the product.
6. Click the Dimension groups to open the Assign dimension groups drop-down dialog box.
7. Select the Storage dimension group for the product.
8. Select the Tracking dimension group for the product.
Procedure: Create a Product Template

To create a personal or shared product template, follow these steps:
1. Open the Product information management > Released products list page.
2. On the Release products list page, select the product to be used as a template, and then click Edit in
the Maintain group of the Action Pane.
3. In the New group of the Action Pane, click Template. Next, select the Create personal template
option or Create shared template.
4. On the Create template dialog box, type a unique Name and a Description for the template.
5. Click OK to create the template.
6. Click Close to exit the Released product details form.
Procedure: Apply a Product Template

To apply a product template to one or more products, follow these steps:
2. On the Release products list page, select each product for which to apply a template by selecting the
check box on the grid next to each product.
3. In the Maintain group of the Action Pane, click Apply template.
4. In the Select a template for Items dialog box, select the check box to the right side of the desired
template and then click OK.

12
Lab 2.2 - Create and Apply a Product Template to Multiple Products

Scenario
Emil, the Product Designer, has just finished creating four new mobile phone products. Each phone has
many similar properties. Therefore, he has decided to use a template to copy the values from one mobile
phone to the other three phones.
Use the information that is provided to create a new personal template for product 5201: The Phone
Company Mobile Phone L200. Next, apply the new personal template to the following items:
• 5202: The Phone Company Mobile Phone L250

• 5203: The Phone Company Mobile Phone M200
• 5204: The Phone Company Mobile Phone M250
Step by Step
To release the products to USMF and DEMF companies, follow these steps:
1. On the All products and product masters list page, Type 520 in the filter box and search by product
number. From the list page select the check box on the grid next to 5201, 5202, 5203 and 5204.

4. Select Company IDs USMF and DEMF.
5. Click OK.
2. Open the Product information management > Released products list page, and then select the 5201
product master.
4. Select FIFO in the Item model group for the product.

13
5. In the Manage cost Fast Tab, select Audio in the Item group for the product.
7. Select SiteWH in the Storage dimension group for the product.
8. Select None in the Tracking dimension group for the product.
9. Select No Check in the Approved Vendor Check Method field.
To create a new product template and apply it to several products, follow these steps:
2. On the Release products list page, select item number 5201, and then click Edit in the Maintain
group of the Action Pane.
3. In the New group of the Action Pane, click Template. Then click Create personal template.
4. On the Create template dialog box, enter a unique Name such as "Mobile" and a Description for the
template such as "Mobile Template".
5. Click OK to create the template.
6. Click Close to exit the Released product details form.
7. On the Release products list page, select the check box on the grid next to Item numbers 5202, 5203,
and 5204.
8. In the Maintain group of the Action Pane, click Apply template.
9. In the Select a template for Items dialog box, select the check box to the right side of the template
that was created in step 5 and then click OK.
Procedure: Create a Costing Version

To create a Costing version, follow these steps:
1. Open Inventory and warehouse management > Setup > Costing > Costing versions.
2. Click New to create a new line.

3. Select a Costing type.
4. Insert text in the Version field.
5. Insert text in the Name field.
6. Select Yes or No in the Block field (depending on if the version must be blocked for use or not).
7. Set Block activation to Yes.
8. Close the Costing versions setup form.

14
Procedure: Add Product in a Costing Version

To add a product's costs in a Costing version, follow these steps:
1. Open Inventory and warehouse management > Periodic > Bills of materials > Costing versions.
2. Select a record in the Costing version maintenance form.
3. Click Price > Item price button.
4. If a line is not automatically added to choose an item from drop down, click New.
5. In the Item number drop-down select the Item number that you want to add to the costing
version.
6. Select the Price type from the drop-down.
7. Type the Site and Price in to the correct fields.
8. Complete the other field as required by your business process on the Pending prices > Overview tab.
9. Close the Item price form.
Procedure: Activate Cost Price from a Costing Version

To activate cost prices from a Costing version setup form, follow these steps:
1. Open Inventory and warehouse management > Setup > Costing versions.
2. Select a record in the Costing version setup form.
3. Make sure that the Block field is set to No. Otherwise, it will be blocked for input.
4. Select No in the Block activation field to make sure activation can be performed.
5. Click the Activate button.
6. Select only the Cost price check box to activate the cost price only.
7. Click OK.

15
Procedure: Specify Prices Manually in the Released Products Form

To specify prices manually for a product, follow these steps:
1. Open Product information management > Common > Released products.

2. Select the product for which to enter prices and then click Edit in the Action Pane.
3. Click the Purchase Fast Tab and enter the value in the price field for the base purchase price.
4. Click the Sell Fast Tab and enter the value in the price field for the base sales price.
5. Click the Manage cost Fast Tab and enter the value in the price field for the base cost price.
NOTE: If you select the Fixed receipt price field on the Setup tab in the Item model groups form, product
receipts are always made at the price that is specified in the Price field under the Base cost price heading
and item issues are made at the current inventory value. Fixed receipt price cannot be selected when you
use the Standard cost Costing method.
Procedure: Update Price Automatically in the Released Products Form

As mentioned earlier, you can also set Microsoft Dynamics AX 2012 to automatically update prices. To
update prices automatically, follow these steps:

2. Select the product for which to enter prices and then click Edit in the Action Pane.
3. Click the Purchase Fast Tab.
4. Select or clear the Latest purchase price check box. By selecting this check box, you can
update the purchase order price in the Released products form with the latest purchase order
price excluding discount and miscellaneous charges.
5. In the Manage cost Fast Tab, select or clear the Latest Cost price field to always update for the last
receipt from the inventory journal or from a production report-as-finished where a BOM line is
returned to inventory. If you leave this check box blank, production costs will only be updated
manually.
6. In the Sell Fast Tab, select how sales price must be updated.
Procedure: Set Up Units of Measure

To set up units of measure for the company, follow these steps:
1. Open Organization administration > Setup > Units > Units.

2. Select an existing unit or create a new unit.
3. To create a new unit, click New to create a new unit of measure.
4. Type a unit name and description.
5. Specify the number of decimals in the Decimal precision for the stock-keeping unit to display. You can
now continue to specify a unit conversion formula for the unit.

16
Procedure: Specify a Unit of Conversion for the Unit

To set up a unit of conversion for the unit, follow these steps:
1. Open Organization administration > Setup > Units > Units.

2. Select the unit from which you want to make the unit conversion.
3. Click Unit conversion.
4. Click New to create a new unit conversion. Create the unit conversion line by using the unit form
from which you opened the form.
5. Specify the factor by which the unit must be multiplied to equal the To unit. For example, if there are
five pieces in a pack and the Unit conversions form is opened from pieces, type "5" in the Factor field.
6. In the To unit field, specify the unit to which you want to convert.
7. Specify any additional quantity if you have to specify an additional quantity of the unit on conversion.
For example, you create a conversion for one cable roll of Power Cable/ 3 to 200 meters. You specify
one meter in the Additional field because, when you receive one cable roll, you actually receive
201 meters of sheet metal but one meter in total is scrapped. This is because, when you cut the metal
into one meter pieces, 0.5 centimeters is scrapped.
8. Click the Example tab to check that the conversion is set up correctly.
NOTE: You can specify the conversion with a specific product if it is necessary. This means that the unit
conversion is only valid for the selected product. Product specificity is important because, for example, a
pack of one type of product might contain five pieces whereas a pack of another type of product might
contain ten pieces. Therefore, the unit Pack can be used for different quantities of pieces, dependent on
the product.

17
Additional Notes:

18
CHAPTER 3: INVENTORY MANAGEMENT SETUP
Procedure: Applying the Item Model Group to a Product

To apply the item model group to a product, follow these steps:

2. Select a product and then click Edit in the Maintain group of the Action Pane.
3. In the General Fast Tab, click the Item model group drop-down and select the item model group.
4. Close the Released product details form.

19
Lab 3.1 - Create an Item Model Group and Apply It to a Released Product
Contoso Entertainment Systems - Company USMF
Scenario
You are asked to create an Item model group for an item 0140, Boys T-Shirt that your company will sell
within the month. The restrictions for this item model group are as follows:
• You can only sell quantities of the item that are fully financially updated.
• Make sure that physical updates (packing slip updates) for the sales order are posted in the ledger.
• Items must be registered on receipt and picked on issue.
• Accept all other default settings for the item model group.
After the item model group is created it must be applied to item 0140.
Challenge Yourself!
• Create the item model group T-Shirts. It must have the following features:
• You can only sell quantities of the item that are fully financially updated.
• Make sure that physical updates (packing slip updates) for the sales order are posted in the
ledger.
• Items must be registered on receipt and picked on issue.
• Accept the default settings for the item model group
• Apply the T-Shirts item model group to product 0140, Boys T-Shirt.
Step by Step
To release the products to USMF Company, follow these steps:
number. From the list page select the check box on the grid next to 0140.
4. Select Company ID USMF.
5. Click OK.
To create an item model group, follow these steps:
1. Open Inventory and warehouse management > Setup > Inventory > Item model groups.
2. Click New, to create a new item model group.
3. Type "T-Shirts" in the Item model group field and the Name field.
4. Click the Inventory model Fast Tab.
5. Make sure that FIFO is selected as the Inventory model field.
6. Clear the Financial negative inventory check box on the Setup Fast Tab.
7. Make sure that the Post physical inventory and Post Financial inventory check boxes are
selected.

20
8. Select the Registration requirements check box.

9. Select the Picking requirements check box.
10. Click Close to close the Item model groups form.
To apply the item model group to a released product, follow these steps:

2. Select Item number 0140 and then click Edit in the Maintain group of the Action Pane.
3. In the General Fast Tab, click the Item model group drop-down and select T-Shirts.
4. Click Close to close the Released product details form.
Procedure: Create a Site

To create a new site, follow these steps:
1. Open Inventory and warehouse management > Setup > Inventory breakdown > Sites.
2. Click New, to create a new entry.
3. In the Site field type a unique identifier and enter a description for the Name field.
4. On the General Fast Tab, select a time zone in the Time zone field. If you do not specify a time zone, the
time zone that is defined in the Company information form is used as the default.
5. Close the Sites form.
21
When you have created a site, you can only delete it if:
• The site is not referenced from warehouses, production resources, or other master data.
• There is no open on-hand inventory that is associated with the site.
If either of these conditions is true, the program displays an error message, and you cannot delete the
site.
Procedure: Create a Warehouse

To create a new warehouse, follow these steps:
1. Open Inventory and warehouse management > Setup > Inventory breakdown >
Warehouses.
2. Click New, to create a new warehouse. When you create a warehouse, specify a warehouse type. The
types as follows:
• Default - a main warehouse.

• Quarantine - attach warehouses of the Quarantine type to regular warehouses of the Default type.
When you purchase items that are quarantine-controlled to a warehouse, they are automatically
put in the warehouse of the Quarantine type that is attached to the receiving warehouse. When
you finish the quarantine warehouse, the items are then transferred to the specified receipt
warehouse.
• Transit - use for transfer orders and the delivery date control function. Transit warehouses are the
system-technical intermediary warehouses between the From and To warehouses, or warehouse
and delivery location with the delivery date control functionality.
3. In the Warehouse field, type a unique warehouse identifier.
4. In the Name field, type the warehouse name.
5. Select the site in the Site field.
6. Select the warehouse type inside the Type field.
7. Select a Quarantine warehouse, if you want to use quarantine management.
8. Select a Transit warehouse that is used for transfer orders.
9. Close the Warehouses form.
HINT: You can specify transport times for the selected warehouse by clicking the Transport button.
Transport times are used in the delivery date calculation when you use the delivery date control with
transfer orders. For more information about transfer orders, refer to Transfer Orders in the Distribution and
Trade in Microsoft Dynamics AX 2012 course.

22
Procedure: Set Up a Warehouse on a Product

To set up a warehouse on a product, follow these steps:

2. Select a product.
3. Click the Manage inventory tab in the Action Pane, and then click Site specific order settings in the
Order setting group.
4. Select the site for which you are setting up the product.
5. In the Purchase warehouse, Inventory warehouse, and Sales warehouse fields, select the warehouse
to be proposed as default for the purchase, storage, or sale of the product.
6. Select the Mandatory warehouse check boxes on the Purchase order, Inventory, and Sales order
tabs. Then only inventory transactions at the warehouse that are specified in the Warehouse field
are accepted.
For more information about default order settings, refer to the Product Information Management module.
NOTE: If you do not specify a warehouse on the product, you can specify the warehouse from which the
products are to be sold or purchased on the sales and purchase order header and on the individual lines.
The warehouse that is specified in the header applies to all lines, unless otherwise individually specified,
either on the product or manually on an order line.

23
Additional Notes:

24
CHAPTER 4: PURCHASE ORDERS
Procedure: Create a Purchase Order

To create a new purchase order, follow these steps:
1. Open Procurement and sourcing > Common > Purchase orders > All purchase orders.
2. Click Purchase order in the New group of the Action Pane to create a new purchase order.
3. In the Create purchase order form, select a vendor.
4. If you are prompted, click Yes to copy address, delivery address, currency, invoice account number,
and language to the purchase order.
5. In the Purchase type list, select the type of purchase order to create.
6. Enter or change the information in the Create purchase order form if it is necessary, and then click OK.
Procedure: Add a Line to a Purchase Order

To add a line to purchase order, follow these steps:
1. From the Purchase order form, click the Line view button in the Show group of the Action Pane.
2. Click Add line in the Purchase order lines tab.
3. Select the Item number or Procurement category.
4. If it is required, enter the Size, Color, Configuration, and other product dimensions related to the
inventory.
5. Type the quantity to be purchased in the Quantity field.
6. Select the unit of measurement to purchase the quantity that is specified in the Unit field.
7. Enter the Unit price for the line.
8. Optionally, enter discount information and repeat steps 2 through 8 for each additional line.

25
Procedure: Enter Purchase Order Header Details

Detailed information can be entered or viewed for a purchase order by using the Header view on the
Purchase order form. To enter details about a purchase order, follow these steps:
1. Click Procurement and sourcing > Common > Purchase orders > All purchase orders.
2. Select the desired purchase order and then click Edit in the Maintain group of the Action Pane to
open the purchase order, or click Purchase order in the New group to create a new purchase order.
3. Click Header view in the Show group of the Purchase order form.
4. Click in each tab and enter the required information.
NOTE: For more information about the Header view of the Purchase order form, refer to Working in the
Header View, or refer to the Help for this form.
Procedure: Enter Purchase Order Line Details

Detailed information can be entered or viewed for a purchase order line in the Line details tab when
you use the Line view on the Purchase order form. To enter details about a purchase order line, follow
these steps:
2. Select the desired purchase order and then click Edit in the
Maintain group of the Action Pane, or create a new purchase order.
3. Click Line view in the Show group of the Purchase order form.
4. Select the desired line in the Purchase order lines tab or create a new line.
5. Click the Lines details tab.

26
6. Click in each tab and enter the required information. For example, to change the delivery address on a
line, follow these steps:
• Click the Address tab.
• Use the Delivery address drop-down list to select an available delivery address for this
vendor.
• Click the Global address book icon to select a different address from the global address book.
• Click the Add icon to create a new address.
Procedure: Adding a Delivery Schedule to a Purchase Order Line

Scenario: Creating a Purchase Order with a Delivery Schedule
Alicia, the Purchasing Agent, needs 200 pieces of an item each month for the next five months. Because of
the trade agreements with the vendor, she obtains a better price if she orders at least 1000 pieces. She
enters a purchase order for 1000 items and uses the delivery schedule to schedule deliveries of 200 pieces
for the next five months. Detailed information can be entered or viewed for a purchase order line in the
Line details tab when you use the Line view on the Purchase order form. To enter details about a
purchase order line, follow these steps:
2. Select the desired purchase order and then click Edit in the
Maintain group of the Action Pane, or create a new purchase order.
3. Click Line view in the Show group of the Purchase order form.
4. Select the desired line in the Purchase order lines Fast Tab or create a new line. The quantity for the
line must be greater than one.
5. Click Purchase order line > Delivery schedule.
6. Click New in the Delivery Schedule form, to create a new line for the schedule, enter the Quantity
and Delivery date. Repeat this step for each delivery.
7. Notice that the Delivery schedule field group will show you the total of all the lines and the remaining
quantity.
8. Click OK in the Delivery schedule form.

27
Procedure: Add Charges to a Purchase Order

To add charges to the header of a purchase order, follow these steps:
2. Select the purchase order for which to define charges.
3. Click Edit in the Maintain group of the Action Pane.
4. Click the Purchase tab on the Action Pane and then click Maintain charges.
5. In the Charges transactions form, select the code for the charge in the Charges code field.
6. The description is loaded automatically based on the definition of the charge in the Charges code form.
7. Optionally, you can edit the text in the Description field.
8. Specify how to calculate the charge in the Category field (Fixed, Pcs., Percent, Intercompany Percent,
and External) and enter a value in the Charges value field.
9. Optionally, specify a sales tax group in the Sales tax group field.
10. Close the Charges transactions form.

28
Procedure: Add Charges to a Purchase Order Line

To add charges to the line of a purchase order, follow these steps:
2. Select the purchase order for which to define charges.
4. Select the desired line from the Purchase order lines tab.
5. Click Financials > Maintain charges to open the Charges transactions form.
6. Select the code for the charge in the Charges code field.
7. Optionally, you can edit the text in the Description field.
8. Specify how to calculate the charge in the Category field (Fixed, Pcs., Percent, Intercompany Percent,
and External) and enter a value in the Charges value field.
9. Optionally, specify a sales tax group in the Sales tax group field.
10. Close the Charges transactions form.
Procedure: Confirm a Purchase Order

To confirm a purchase order, follow these steps:
2. Select the desired purchase order and then click the Purchase tab.
3. Click Confirm.
NOTE: The purchase order confirmation will print according to the print options that are selected in the
Confirm purchase order form. If print management is being used, the confirmation will print according
to the print management settings.
IMPORTANT: When the purchase confirmation is generated, if the purchase order encumbrance process
is enabled, the system will post the purchase order encumbrances.
Procedure: Generate and Print a Purchase Order

The Confirm purchase order form is used to set up options for confirming and printing a purchase order.
The form can also be used to confirm more than one purchase order at the same time. To generate and
print a purchase order confirmation, follow these steps:
3. Click Purchase order in the Generate group of the Action Pane.

29
4. Click Select to change the query and select more than one purchase order. Click OK to accept the
query and return to the Confirm purchase order form.
5. Select the Print purchase order check box to print the confirmation.
6. Optionally, select the Use print management destination check box to use the print management
settings that are defined on the vendor or on the Form setup form.
7. Click Printer setup > Purchase order to select the output.
8. Select the Send to option, select the specifications, and then click OK.
9. Click OK to process and print the confirmation.
TIP: You can process purchase order confirmation in mass by using the batch processer. Access the periodic
job from Procurement and sourcing > Periodic > Purchase orders > Confirm purchase orders.
Make sure that you select the Late selection check box to re-execute the selection query every time that the
batch job runs. Click Batch to define the recurrence and alert options.
Procedure: Pro Forma Purchase Orders

The pro forma purchase order confirmation lets you simulate the purchase order confirmation without
updating the status of the purchase order. In addition, if purchase order encumbrance process is enabled,
the pro forma purchase order confirmation will not create the purchase order encumbrances. To process
a pro forma purchase order confirmation, follow these steps:
3. Click Pro forma purchase order in the Generate group of the Action Pane.

30
4. Select the Print purchase order check box and then click Printer setup > Purchase order to select the
output option.
5. Click OK.
The purchase order confirmation will print with "Pro forma purchase order" printed in the upper
section of the document.
Procedure: Finalize a Purchase Order

When the purchase order encumbrance process is enabled, or if you are using budget checking on
purchase orders, you might have to reverse encumbrances or relieve the reservation of budget funds
when a purchase order is canceled or on back order and the products are not going to be received. When
you finalize a purchase order and purchase order lines, the system liquidates remaining quantities and
amounts that are budgeted and encumbered.
To finalize a purchase order, follow these steps:
3. Click Finalize in the Generate group of the Action Pane.
To finalize a purchase order line, follow these steps:
2. Select the desired purchase order and then click the Purchase order lines tab.
3. Select the desired purchase order line.
4. Click Update line > Finalize.
NOTE: An encumbrance is a reservation of budget funds that are set aside on the balance sheet to make
sure that actual expenditures do not exceed the available budget. If encumbrance processing is enabled,
encumbrances are created for a purchase order when the purchase order is confirmed.

31
Lab 4.1 - Create Purchase Orders
Contoso Entertainments System - Company USMF
Scenario
You are a new purchasing agent at USMF Entertainment Systems. You are in training all day, and the
trainer has left you with the following purchase order to create. One Purchase order for Tailspin Parts to
be delivered on today's date with following information:
• 20 pieces of item number 5201 to be delivered to Warehouse 13.
• One piece of item number 5202 to be delivered to the Quality Testing Center. This is located at
123 S. Main Street, New York, NY 10006
Challenge Yourself!
Create the purchase orders according to the specifications from the scenario and make sure that you
confirm the purchase order.
Need a Little Help?
• Use Vendor US-102 Tailspin Parts

• Update the delivery address on the Header view
• Add two lines to the purchase order
• Create a new address for the Quality Testing Center which is located at 123 S. Main Street,
New York, NY 10006
Step by Step
To create a purchase order, follow these steps:
2. Click Purchase order in the New group of the Action Pane.
3. Select US-102: Tailspin Parts for the Vendor account.
4. Click Yes to transfer vendor information.
5. Click OK to create the order.
6. Click Header view in the Show group of the Action Pane.
7. Click the Delivery tab.
8. Type today's date into the Delivery date field.
9. Click Line view in the Show group of the Action Pane.
10. Click Add line.
11. Select Item number 5201.
12. Make sure the Site is set to 1 and Warehouse is 13.
13. Choose Black for the Color field.
14. Type "20" into the Quantity field and then press the Tab key
15. Click Add line.
16. Select Item number 5202. Make sure the Site is set to 1 and Warehouse is 13.

32
17. Choose Black for the Color field.

18. Type "1" into the Quantity field and then press the Tab key.
19. If prompted, click No, to accept the quantity of 1 entered.
16. Click the Line details tab.
17. Click the Address tab.
18. Click the Add a new address icon.
19. Type "Quality Testing Center" into the Name or description field of the New address form.
20. Select USA in the Country/Region field.
21. Type "10006" into the ZIP/Postal code field.
22. Type "123 S. Main Street" into the Street field.
23. Click OK.
24. Click the Delivery address drop-down list and select the Quality Testing Center address that you just
created.
25. Click the Purchase tab on the Action Pane, and then click Confirm.
26. If the confirmation prints to your screen, review and close the forms.
Procedure: Generate a Receipts List

Scenario
For the past six weeks, all the shipments that Contoso Entertainment Systems has received from one of
their suppliers are incorrect: either items are missing, or additional items are added. To address this
situation, the receiving staff has decided to print a receipts list for all purchases from this supplier and
compare the shipment to the list before accepting the shipment.
To generate a receipts list, follow these steps:
1. Open Procurement and Sourcing > Common > Purchase orders > All purchase orders.
2. Select the purchase order to generate the documents.
3. In the Receive tab on the Action Pane, click Receipts list in the Generate group.
4. In the Quantity field, select Ordered quantity.
5. Select the Print receipts list check box to print the receipts list.
6. Click OK on the Posting receipts list form.
7. If you selected the Print receipts list check box, a receipt list that contains all the ordered items to
be received is printed.

33
NOTE: The purchase order must be confirmed before the Receipts list can be generated.
Procedure: Generate a Product Receipt

The next step in updating purchase orders is to receive the item or services, and then enter the receipt list
into the system. This creates a physical inventory transaction and makes the items available if they are
stocked products. For stocked and not stocked products, if the Post to general ledger parameter in the
Accounts payable parameters form is selected the product receipt will update the sub ledger. Record this
transaction in the system by generating the product receipt.
To generate a product receipt, follow these steps:
1. Open Procurement and Sourcing > Common > Purchase orders > All purchase orders.
3. In the Receive tab on the Action Pane, click Product receipt in the Generate group.
5. Make sure that the Posting check box is selected to update the sub ledger.
6. Select the Print product receipts check box to print the product receipt.
7. Type the product receipt number in the Product receipt field.
8. Click OK on the Posting product receipts form.
9. If you selected the Print Product receipts check box, a product receipt that contains all the
ordered items that were received is printed.

34

35
Procedure: Generate a Partial Product Receipt
To generate a partial product receipt, follow these steps:
1. Open Procurement and Sourcing > Common > Purchase orders > All purchase
orders.
3. In the Receive tab on the Action Pane, click Product receipt in the Generate group.
5. Make sure that the Posting check box is selected to update the sub ledger.
6. Select the Print product receipts check box to print the product receipt.
7. Type the product receipt number in the Product receipt field.
8. Click the Lines tab.
9. Enter the quantity being received in to the Quantity field for each line.
10. Click OK on the Posting product receipts form.
11. If you selected the Print Product receipts check box, a product receipt that contains all the
ordered items that were received is printed.
Procedure: Cancel a Product Receipt

The Product receipt journals form displays all generated product receipts. From this form, you can to
correct or cancel the product receipt, if the product receipt was generated incorrectly or by accident.
Canceling the product receipt reverses all product receipt posting and removed the product from
inventory.
NOTE: A Product receipt cannot be canceled or corrected if the purchase order is invoiced.
To cancel a product receipt, follow these steps:
1. Open the Open Procurement and Sourcing > Common > Purchase orders > All purchase
orders.
2. Select the purchase order for which to cancel the product receipt.
3. In the Receive tab on the Action Pane, click Product receipt in the Journals group.
4. Select the product receipt you want to cancel and then click Cancel.

36
5. Click OK in the dialog form.

6. Close the infolog.
7. Close the Product receipt journal form.
Procedure: Correct a Product Receipt

To correct a product receipt, follow these steps:
1. Open the Open Procurement and Sourcing > Common > Purchase orders > All purchase
orders.
2. Select the purchase order, for which to cancel the product receipt.
3. In the Receive tab on the Action Pane, click Product receipt in the Journals group.
4. Select the product receipt you want to cancel and then click Correct.
5. In the Product receipt correction form, make any necessary corrections or changes to the
product receipt.
6. Click OK.
7. Close the Product receipt journal form.
Procedure: View Changes Between Product Receipt Versions

All changes on each product receipts version is traced. You can view all changes to a given product receipt
on the Compare product receipt versions form. To access this form, open the Product receipt journal
from the Purchase order form or Procurement and sourcing > Inquiries > Journals > Product receipt. Click
History to open the Product receipt history form to show the multiple versions and then click Compare
versions.
From the Compare product receipt versions form, you can view and compare the differences of each
product receipt version.

37
Procedure: Create a Change Request with Workflow Approval

To process a change request, follow these steps:
2. Select and edit an existing purchase order.
3. Add lines or change existing lines on the purchase order.
4. Click Submit.
5. Optionally, enter a comment and then click Submit.
NOTE: Change management must be activated and a workflow must be set up for the Submit button to
appear and be functional.
Procedure: Process a Change Request

Workflow notifications can be opened by using the notifications icon in the status bar. Additionally you can
open the Work items assigned to me list page to view a list of all workflow task that are currently assigned
to you. You can also process a change request from the Purchase order form by clicking Actions and then
selecting an option from the list. To process a change request, follow these steps:
2. Select the desired purchase order.
3. Add lines or change existing lines on the purchase order.
NOTE: This requires the workflow task or workflow approval task to allow the assignee to perform
changes to the purchase order.
4. Click Actions and then select one of the following:
• Approve
• Reject
• Request change
5. Optionally enter a comment and then click Submit.

38
Lab 4.2 - Change Management
This lab provides practice for you to enable change management and create a purchase order to be
submitted through workflow.
Scenario
Phyllis, the Accounting Manager at USMF, has decided that all office supply purchase orders should be
approved before they are confirmed. However, she does not want change management to be effective for
other vendors at this point.
Challenge Yourself!
Enable change management for vendors US-104: Fabrikam Supplier. When you are finished, create a
purchase order for vendor US-104 with procurement category Office furniture to make sure that the
change management is enabled and working correctly. Submit the order when you are finished.
Need a Little Help?

• Validate the Procurement and sourcing parameters.
• Override the change management settings on vendor US-104.
• Create a purchase order for vendor US-104 and add the procurement category of Office
furniture.
• Submit the order.
Step by Step
To enable change management, follow these steps:
1. Open Procurement and sourcing > Setup > Procurement and sourcing parameters.
2. On the General tab, validate that the Activate change management check box is clear, and that the
Allow override of settings per vendor check box is selected.
3. Close the form.
To override change management settings on the vendors, follow these steps:
1. Open Procurement and sourcing > Common > Vendors > All vendors.
2. Type "office" into Search criteria field, change the Search field to Name, and then click the arrow.
3. Select vendor US-104: Fabrikam Supplier, and then click Edit in the Maintain group of the Action Pane.
4. Click the Purchase order defaults tab.
5. Select the Override settings check box and then select the Activate change management check box.
6. Close the form.
To create and submit a purchase order with change management, follow these steps:
3. In the Vendor account field type "US-104", and then press the Tab key.
4. Click Yes to transfer vendor information.

39
5. Click the Administration tab and validate that the Activate change management check box is selected
and cannot be changed.
6. Click OK.
7. In the Purchase order lines tab, select Office furniture in the Procurement category field.
8. Click Submit.
9. Enter a brief comment such as "Please approve" and then click Submit.
10. Close the Purchase order form.
Procedure: Copy a Purchase Order

To create a new purchase order and copy the lines from another purchase order, follow these steps:
2. Click Purchase order in the New group of the Action Pane to create a new purchase order.
3. In the Create purchase order form, select a vendor.
and language to the purchase order.
5. If you are prompted, click No to create the new purchase order without copying previous vendor
purchase information.
6. Enter or change the information in the Create purchase order form, if it is necessary, and then click OK.
7. Click From all in the Copy group of the Action Pane.
8. Select the purchase order(s) to copy from.
9. Click OK to copy the selected purchase order(s) and purchase order line(s).

40
Procedure: View Totals for a Purchase Order

You can view the totals for a purchase order by opening the Totals form.
2. Select the purchase order to view the totals for.
3. Click Totals in the View group of the Action Pane to view the totals.
4. In the Update field, specify how you want to generate totals.

5. Click OK to close the form when you are finished.
Procedure: Cancel an Order Line

To cancel an order, you must clear any backorder quantity and end the order line without deleting it. To
cancel an order line, follow these steps.
2. Select the desired purchase order, and then click Edit in the
3. Click Line view in the Action Pane and then select the desired line to cancel in the Purchase order lines
tab.
4. Click Update line > Deliver remainder.
5. Enter the new backorder quantity in the Deliver remainder field.
The purchase quantity is the number of purchase units not yet received.
6. Click OK to update the purchase order line deliver remainder quantity to the amount entered.
7. Click Cancel quantity to zero the Deliver remainder and to change the Line status to Canceled.

41
Procedure: View Purchase Order Versions

Microsoft Dynamics AX keeps an audit trail of all changes that are made to a purchase order. When a
purchase order is changed, you can view these changes. The history of a purchase order is recorded every
time that you approve or confirm the purchase order.
To view purchase order versions, follow these steps:
3. Click the Manage tab and then click View purchase order versions in the History group of the Action
Pane.
4. Each version of the purchase order will be displayed as one record in the Purchase order versions
form.
Procedure: Compare Purchase Order Versions

When more than one version of a purchase order exists, you can compare them to view the differences. To
compare purchase order versions, follow these steps:
3. Click the Manage tab and then click Compare purchase order versions in the History group of the
Action Pane.
4. The Compare purchase order versions form will open and any differences will be displayed. Each
field that has a difference will display in the Changed fields grid with the old and new values.

42
Procedure: Create a Purchase Order from a Sales Order

Microsoft Dynamics AX allows for a direct link to be made between a purchase order and a sales order.
For example, the purchasing agent wants to create a summed purchase order for all sales orders for a
particular item.
2. Click From a sales order in the New group of the Action Pane.
3. Click Select and enter a query to find all the desired sales order lines.
4. Select the Include all check box to select all the sales orders that are displayed from the query, or
select the Include check box next to each desired sales order line.
5. Optionally, select the Adjust quantity to within permitted range check box or the Search for purchase
agreements check box.
6. Click OK to create one purchase order to cover all sales order requirements.
A purchase order with lines to cover all the sales order requirements is created. When the purchase
order is created, each line references the sales order requirement. Additionally, the sales order and
Purchase order are now marked against one another.
Procedure: Create a Direct Delivery Purchase Order

You can create deliveries for items to be sent directly to your customer from the vendor. This type of
delivery saves on delivery time and inventory carrying costs, because you do not hold goods in your
warehouse before shipping to the customer.
To create a purchase order for a direct delivery, follow these steps:
1. Open Sales and marketing > Common > Sales orders > All sales orders.
2. Select the desired sales order to create the direct delivery purchase order for.
3. Click Direct delivery in the New group of the Action Pane.
4. The Create direct delivery dialog box lists all sales order lines in the sales order and includes the
preferred vendors.
5. If it is necessary, change the vendor account number in the Vendor account field.
6. Select the Include all check box if you want to create direct deliveries for all the sales order
lines in the form.
7. Select or clear the parameters in the uppermost part of the form and then click OK. A purchase order
is automatically created in the Purchase order form.

43
All updates to the selected sales order lines are now performed by using the Purchase order form, except
for invoicing. You must still invoice your customer manually.

44
Additional Notes:

45
CHAPTER 5: SERIAL AND BATCH NUMBERS
Procedure: Set Up Unique Serial Numbers

Serial Number Control
Serial numbers in Microsoft Dynamics AX are not necessarily unique. This means that you can use the
same serial number on two identical inventory products.
To make sure that only one inventory item can be allocated a given serial number, you must activate the
Serial number control check box in the Tracking dimension group. We do not recommend that you use
manual allocation when you work with a controlled item that requires serial number control.
To make sure that serial numbers are unique, follow these steps:
1. Click Product information management > Setup > Dimension groups > Tracking dimension groups.
2. Click New on the action pane strip to create a new dimension group for which you want to control the
serial numbers.
3. On the Tracking dimensions grid, select the Serial number and select the Active and Primary
stocking check boxes.
4. When the line is highlighted, select the Serial number control Check box.
5. Close the Tracking dimension groups form.
NOTE: You can only modify the definition of a dimension group, if no inventory transactions are committed
for items that are associated with the dimension group.

46
Procedure: Create and Assign Serial Numbers to a Product

This procedure describes how to create and assign serial numbers to a product.
1. Open the Serial numbers form from Inventory and warehouse management > Inquiries >
Dimensions > Serial numbers.
2. Click New.
3. In the Item number field, select an item.
4. In the Serial number field, type a serial number. The Manufacturing date field is optional, if you
want to note the manufacturing date of the serial number.
5. You can provide additional information to the serial number on the Description tab.
6. Close the Serial numbers form.
Now, the serial numbers for the item is created and you can select it for the product on the purchase
order line.
HINT: If serial numbers are assigned automatically, then the serial numbers that are entered on purchase or
production order lines will not be added to the Serial numbers form. If serial numbers are assigned manually
to item transactions, and the Tracking dimension group of the item has Serial number control selected, any
manually assigned serial number will be added to the Serial numbers form.
NOTE: The serial number that is specified in the Serial number field on the purchase order line is assigned
to all products on the line. If Serial number control is selected for the Tracking dimension group, serial
numbers must be unique for each item, and you cannot assign a serial number to the order line if the
quantity is greater than one.
After you have assigned the serial numbers, the numbers for the individual inventory transactions can be
found in the Serial number field on the order lines.

47
Procedure: View the Inventory Transactions Form

To view the inventory transactions and the serial number that is allocated to the transaction, follow these
steps:
• Open the Purchase order form from Procurement and sourcing > Common > All Purchase
orders > Purchase Order Details, and then click Transactions in the Inventory group of the
Action Pane.
• Open the Released products form from Product information management > Common >
Released products, and then click Transactions in the Manage inventory group of the Action
Pane.
NOTE: To include serial and batch numbers on printed documents, you must specify the document setup
in the Form setup forms.
To control what is printed on purchase order documents, click Procurement and sourcing > Setup >
Forms > Form setup.
To control what is printed on a purchase invoice, click Accounts payable > Setup > Forms > Form
setup. To control what is printed on sales process documents, click Accounts receivable
> Setup > Forms > Form setup.

48
Procedure: Manually Allocate Serial Numbers on Registration
This procedure shows how to manually allocate serial numbers through registration on receipt.
1. In the Purchase order form, click Update line > Registration. You may have to click the arrow in the
Purchase order lines pane to see the Update line button.
2. In the Transactions pane, select a warehouse on the line and select the Auto-create check box. Notice
that the transaction now appears in the Register Now pane.
3. Click Create serial numbers and insert the format for the serial number, for example Serial##, in the
Create serial numbers form.
NOTE: When you enter the serial number, use the pound (#')sign to indicate how many digits you want to
appear in the serial number. The minimum amount of pound signs in a serial number is as many as the
number of digits in the item quantity.
4. Click OK and notice that serial numbers are assigned to each line in the Register now pane according
to the selected format in the Create serial numbers form.
5. Click Post all. The Receipt status for the transactions in the
Transactions pane changes to Registered.
6. Close the Registration form.
To verify that each item on the line has unique serial numbers when you have posted the purchase
order, click Transactions in the Inventory group on the action pain strip in the Purchase order form to
view the transactions.
NOTE: The Create Serial numbers button always creates unique serial numbers. If you want to have the
same serial numbers assigned to a quantity other than one, type serial numbers manually in the
Transactions /Register now pane and use split functionality; or use a number group to auto-create serial
numbers with a fixed quantity other than one unit.

49
Procedure: Manually Allocate Serial Numbers on Registration by Using Split

Scenario: Manually Allocate Serial Numbers on Registration Using Split
USMF Entertainment Systems manufactures speakers. One of the components of their ten most popular
speakers is item number ABC. Because Contoso Entertainment Systems uses so many of item ABC, they
order in quantities of 1000 pieces, and upon registration, split them into five sections of 200 products by
assigning five number rows.
Each item is assigned serial numbers with different formats. This includes the manufacturer's
identification, to support full traceability.
To manually allocate serial numbers on registration by using the split function for the previous scenario,
follow these steps:
1. In the Purchase order form, click Update line > Registration. You may have to click the arrow in the
Purchase order lines pane to see the Update line button.
2. In the Registration form, click Split.
3. Specify the quantity to split in the Split quantity field and then click OK.
4. Select the Auto-create check box for each line. Notice that the transactions now appear in the
Register Now pane.
5. Highlight a line and then click Create serial numbers. Type the format Serial1### and then click OK.
Repeat this for the other lines, but with different formats the formats.
6. Click Post all and close the Registration form.
7. Click Close.
8. In the Purchase order form, continue the posting of the order as usual.
9. To verify that each item on the line has the appropriate serial number, open the Transactions
form from Inventory > Transactions.
Procedure: Manually Create Batch Numbers for a Product

A batch number must be created before it can be assigned to a product. Unlike serial number
assignment, a batch number cannot be entered directly in the Batch number field on the order line. It
must be created in the Batch number form and then selected from the line in either the sales or
purchase order.
Scenario: Manually Create Batch Numbers for a Product
Contoso Entertainment Systems has received a shipment for ten transformers. The company wants to
track these transformers as a batch so that they can compare the maintenance requirements of these
transformers to those that were purchased from another manufacturer.
To manually create batch numbers for a product, follow these steps:
1. Click Inventory and warehouse management > Inquiries > Dimensions > Batches.
2. Click New in the Action Pane to create a new line.
3. In the Batch number field, enter a batch number of your choice, for example Batch01. The
Manufacturing date and Expiry date fields are optional. Repeat this step for each batch number that
you want to create.

50
4. In the Item number field, select an item.

5. Close the Batches form.
Procedure: Manually Allocate Batch Numbers on the Line

When you have created a batch number for a product, you can select the batch number on the
purchase order line. Follow these steps to do this:
1. Create a Purchase order for an item that has a batch number.

2. Select a site and warehouse, and then specify a number in the Quantity field.
3. In the Batch number field on the line, select a batch number.
4. Post the order as usual.
NOTE: You can open the Batch number form by right-clicking in the Batch number field on the order
line and selecting View details.

51
Lab 5.1 - Set Up an Item with Manual Allocation of Serial Numbers
Scenario
You are a purchasing agent for the Contoso Entertainment Systems. Contoso Entertainment Systems has
purchased ten pieces of item number 160320, Lab DLP Projector, from Rain Projectors. These products
must be serialized manually on receipt with unique serial numbers.
As the purchasing agent, you will define the numbers while registering the products. The number
will have this format: DLPP###.
Challenge Yourself!
• Create item number 160320 and set it up according to the specifications in the
scenario.
• Use Item group = Projectors, and Inventory model group = FIFO, Storage dimension group =
SiteWH, and create a new Tracking dimension group = GTLSerial.
• Upon receipt, register the products with unique serial numbers.
• After the products are received from the supplier, view them in inventory.
Need a Little Help?
• Create the product from Product information management Common > Released
products.
• Create the purchase order from Procurement and source > Common > Purchase orders > All
Purchase Order.
• After specifying the quantity, click Update line > Registration to create and assign the
serial numbers.
• Remember to use the Auto-create check box.
• After posting, view the products and serial numbers in Inventory >Transactions.
Step by Step
Create a product in the Released products form:
1. Click Product information management > Common > Released products

2. Click Product in the New group of the Action Pane to create a new product.
3. Type "160320" in the Product number, and for the Product name type "Lab GTL Projector".
4. Click Show more fields, if it is available.
5. Select FIFO in Item model group field.
6. Select TV&Video in the Item group field.
7. Select SiteWH in the Storage dimension group field.
8. Right-click the Tracking dimension groups field to View details.
9. Click the New button.
10. Change Name from '' to 'GTLSerial'.
11. Change Description from '' to 'GTL Serial'.
12. Save the record in the Tracking dimension groups form.
13. For the Serial Number select Active checkbox.
14. Close the Tracking dimension groups form.
52
15. Select GTLSerial in the Tracking dimension group field.

16. Click OK.
17. Click Edit.
18. Change Approved vendor check method from 'Warning only' to 'No check'.
Create a purchase order, register the products received, and invoice update the order:
3. In the Vendor account field, select vendor US-103 (Rain Projectors).
4. Click Yes in answer to the prompt about transferring vendor information.
5. Click OK.
6. Select 160320 in the Item number field.
7. In the Site field, select 1, In the Warehouse field, select 13.
8. In the Quantity field, type "10". In the Unit Price field, type "650.00"
9. In the Purchase order form, click Confirm in the Generate group on the Purchase tab in the Action
Pane.
10. Click Update line > Registration. You may have to click the arrow in the Purchase order lines pane to
see the Update line button.
11. In the Registration form, select the Auto-create check box for the line.
12. Click Create serial numbers in the Register now pane. The Create serial numbers dialog box will
appear.
13. Type "GTL-P###" in the Format field.
14. Click OK.
15. Click Post all and close the Registration form.
16. Switch to the Line details tab on the Purchase order form.
17. Switch to the Setup tab on the Purchase order form.
18. Change Matching policy from 'Three-way matching' to 'Not required'.
19. In the Purchase order form, click Invoice in the Generate group on the Invoice tab in the Action Pane.
20. In Default quantity for lines field, select Ordered quantity.
21. In the Number field in the Invoice identification section, type "15" as the Invoice number.
22. Click Post in the Actions group of the Action Pane.
23. Click Post.
View the inventory transactions:
1. On the Purchase order form, click Inventory > Transactions.

2. Click the Inventory -> Dimensions display menu button. (in the View group). Notice the serial numbers.
3. Close the Inventory transactions form.

53
Procedure: Create a Number Group

Use Automatic allocation when, for example, a company holds the production and there is no vendor
involved. To automatically allocate serial or batch numbers, you must create a number group and
assign it to the item. Serial and batch numbers can be assigned to several products, sequentially from
the same number group.
To create a number group, follow these steps:
1. Click Inventory and warehouse management > Setup > Dimensions > Number groups.
3. Specify the number group and a descriptive name.
4. Press CTRL+S to save.
To each new number group, a default setting is applied. However, modifications can be made on the
General and Activation Fast Tabs. On these Fast Tabs, you define how and when automatic number
allocation must occur.
Procedure: Assign a Number Group to a Product

To assign a number group to a product, follow these steps:
1. Open the Released products form through Product information management > Common >
Released products.
2. Double-click the product for which you want to assign a number group and then click Edit.
3. Select the Manage inventory Fast Tab.
4. In the Tracking field group, select the number groups for either serial or batch numbers in either the
Serial number group field or Batch number group field. You can use the same number group for both
serial and batch numbers.

54
Lab 5.2 - Set Up an Automatically Allocated Serialized Product
Scenario
As a purchasing agent at Contoso Entertainment Systems (USMF), you are responsible for setting up serial
numbers. Looking at the purchasing schedule for the week, you notice that one of your colleagues will be
placing a large order for a new inventory item, 160325, Serialized Projector Auto. This must be serialized.
Challenge Yourself!
1. Create the Number group. The serial number must be automatically allocated to the products on
physical update. Also, the serial number must be unique to each item and generated from the Number
sequence Inve_171.
2. Create and set up item number 160325.
3. To test your work, create a purchase order for vendor US-103 (Rain Projectors) for five pieces of
the new item, from Warehouse 11, Packing slip number 12.
The details are highlighted in the following table.
Field Value
Number group SerialUniq
(Number) name Unique Serial Numbers
Product type Item
Product subtype Product
Item number 160325
Item name Serialized Projector Auto
Item group Projectors
Inventory model group FIFO
Storage dimension group SiteWH
Tracking dimension group GTLSerial
Need a Little Help?
• Number groups must be set up before automatic allocation of serial numbers can occur.
• Number groups are set up in Inventory management > Setup > Dimensions > Number
groups.

55
• Items are created and set up in Product information management > Common > Released
products.
• The purchase order is created in Procurement and sourcing > Common > Purchase
orders > All purchase orders.
Step by Step
Create a Serial number group:
1. Open Inventory and warehouse management > Setup > Dimensions > Number groups.
2. Click New to create a new number group.
3. In the Number group field, type "SerialUniq".
4. In the Name field, type "Unique Serial Numbers".
5. In the General FastTab, select the Number sequence No. check box.
6. Clear the Date, Reference No., and Lot ID check boxes.
7. In the Number sequence code field and select Inve_171.
8. Select the Only for inventory transactions check box.
9. Select the On physical update check box.
10. Type "1" in the Per Qty. field.
11. Close the Number groups form.
Create and set up the item in the Released products form:

3. Type "160325" in the Product number field and "Serialized Projector Auto" in the Product name field.
4. If it is necessary, click Show more fields.
5. Select FIFO in the Item model group field.
8. Select GTLSerial in the Tracking dimension group field.
9. Click OK.
11. In the Purchase FastTab, change Approved vendor check method from 'Warning only' to 'No check'.
12. In the Manage inventory FastTab, select SerialUniq in the Serial number group field.

56
Create a purchase order:
3. In the Vendor account field, select vendor US-103 (Rain Projectors).
4. If prompted, click Yes in answer to the prompt about transferring vendor information.
5. Click OK.
6. Type "160325" in the Item number field.
7. Type "11" in the Warehouse field.
8. Type "5" in the Quantity field. Type "500.00" in the Unit Price field.
9. Click the Purchase tab in the Action Pane.
10. Click Confirm in the Generate group of the Action Pane.
11. Click the Receive tab in the Action Pane.
12. Click Product receipt in the Generate group of the Action Pane.
13. Type "12" in the Product receipt field.
14. Click OK.
View the inventory transactions:
1. On the Purchase order form, click Inventory > Transactions.

2. Click the Inventory -> Dimensions display menu button. (in the View group). Notice the serial numbers.
3. Close the Inventory transactions form.

57
Procedure: Trace a Serial or Batch Number

From either the Serial number or Batch number form, you can trace on a specific number. This can be
useful if, for example, you receive a customer complaint on a product and you want to trace that
specific item by using the serial or batch number to determine from which vendor the item was
received, and when.
1. Open Inventory and warehouse management > Inquiries > Dimensions.

2. Select Batches or Serial numbers, depending on the numbers that you want to trace.
3. Look up the number that you want to trace and then click Trace.
4. In the Trace inventory dimensions form, specify the options by which you want to trace and then
click OK.
5. Double-click a receipt or issue from the result list to view the transactions for the specific item.
6. Right-click in the Number field in the Transactions form and select View details to see the original sales
or purchase order form for that particular item and transaction.
Procedure: Using the Trace Function

To use the trace function, follow these steps:
2. Locate the purchase order that you want to trace and double-click to open the Purchase order form.
Then, click Inventory > Dimensions.
3. In the Trace inventory dimension form, select the criteria Site, Warehouse and Serial number in the
Trace by field group. This means that these dimensions will be shown on the Trace report.
4. Click OK and each serialized item is displayed together with the relevant Purchase order and future
Sales order that it is connected to.
5. Double-click a product to view transactions for the specific item.
6. From the Transactions form, call the specific Purchase order or Sales order by right-clicking in the
Number field, where the purchase or sales order is specified, and selecting View details.
Notice that the same steps apply when you want to trace from the sales order to determine which
purchase orders the products are related to.

58
Lab 5.3 - Trace Items

Scenario
Contoso Entertainment Systems (USMF) has purchased item number 160326 from Rain Projectors. Later,
the quality assurance department at Rain Projectors recognizes a defect in one of their Projectors, and
orders every product with batch number 000003 from the last purchase order recalled.
Contoso Entertainment Systems (USMF) has already sold the products to other customers. Therefore, to
recall the products, they must determine to whom the products were sold.
Step by Step
Create a Batch number group:
1. Open Inventory and warehouse management > Setup > Dimensions > Number groups.
2. Click New to create a new number group.
3. In the Number group field, type "GTLBatch".
4. In the Name field, type "GTL Batch Numbers".
5. In the General FastTab, select the Number sequence No. check box.
6. Clear the Date, Reference No., and Lot ID check boxes.
7. In the Number sequence code field and select Inve_175.
8. Select the Only for inventory transactions check box.
9. Select the On physical update check box.
10. Type "5" in the Per Qty. field.
11. Close the Number groups form.
Create and set up the item in the Released products form:

3. Type "160326" in the Product number field and "GTL Projector" in the Product name field.
4. If it is necessary, click Show more fields.
5. Select FIFO in the Item model group field.
8. Select BatchSeria in the Tracking dimension group field.
9. Click OK.
11. In the Purchase FastTab, change Approved vendor check method from 'Warning only' to 'No check'.
12. In the Manage inventory FastTab, select SerialUniq in the Serial number group field. Select
GTLBatch in the Batch number group field.

59
Create a purchase order:
3. In the Vendor account field, select vendor US-103(Rain Projectors).
4. If prompted, click Yes in answer to the prompt about transferring vendor information.
5. Click OK.
9. Click the Purchase tab in the Action Pane.
10. Click Confirm in the Generate group of the Action Pane.
14. Click OK.
15. Click Close.
Create a Sales order:
1. Open Sales & Marketing > Common > Sales orders > All Sales orders.
2. Click Sales order in the New group of the Action Pane.
3. In the Customer account field, select vendor US-017 (Turtle wholesales).
4. If prompted, click Yes in answer to the prompt about transferring customer information.
5. Click OK.
9. Click the Sell tab in the Action Pane.
10. Click Sales Order Confirmation in the Generate group of the Action Pane.
14. If infolog appeared click Close.
15. Click Close to close the sales order.
To Trace a Batch:
1. Open Procurement and sourcing > Common > Purchase orders > All Purchase orders.
2. Locate purchase order you just created, and then double-click it to open.
3. Select the purchase order line for item number 160326, by using the check box on the left side.
4. Click Inventory > Dimensions in the Trace group.
5. Click OK to open the Trace inventory dimensions tree.

60
6. Expand a transaction with batch number 000003 and double-click the issue transaction.
7. Note the sales order number in the Number field.
8. Right-click in the Number field, where the sales order is specified, and select View details
9. In the Sales order form, note the Customer account number.

10. Close the Sales order form and the Inventory transactions form.
11. In the Trace inventory dimensions tree, find the other sales order with batch number 00003 and
double-click it.
12. Right-click in the Number field, where the sales order is specified, and select View details
13. In the Sales order form, note the Customer account number.
14. Click Close.

61
Additional Notes:

62
CHAPTER 6: SALES ORDERS
Procedure: Create a Sales Order from the All Sales Orders List Page
To create a new sales order from the All sales orders list page, follow these steps:
2. Click Sales order in the New group of the Action Pane to create a new sales order.
3. In the Create sales order form, select a customer.
and language to the sales order.
5. If you are prompted, click No to create the new sales order without copying previous customer
purchase information.
6. In the Order type list, select the type of sales order to create.
7. Enter or change the information in the Create sales order form if it is necessary, and then click OK.
Procedure: Create a Sale Order from the All Customers List Page
To create a new sales order from the All Customers list page, follow these steps:
1. Open Sales and marketing > Common > Customers > All customers.
2. Select the desired customer.
4. Click Sales order in the New group.
NOTE: Creating a sales order from the Customer form will skip the Sales order create form and all defaults
from the customer will be transferred automatically.
Procedure: Enter Sales Order Header Details

Detailed information can be entered or viewed for a sales order by using the Header view on the
Sales order form. To enter details about a sales order, follow these steps:
2. Select the desired sales order and then click Edit in the Maintain group of the Action Pane, or create a
new sales order.
3. Click Header view in the Show group of the Sales order form or click F12.

63
4. Click in each tab and enter the required information.
NOTE: For more information about the header view of the Sales order form, refer to the Working in the
header View topic, or refer to the Help for this form.
Procedure: Add a Line to a Sales Order

To add a line to a sales order, follow these steps:
1. From the Sales order form, click Line view or F11 in the Show group of the Action Pane.
2. Click Add line in the Sales order lines tab.
3. Select the Item number or Sales category.
4. If it is required, enter the Size, Color, Configuration, and other inventory dimensions.
5. Type the quantity to be sold in the Quantity field.
6. Select the unit of measurement to sell the quantity that is specified in the Unit field.
7. If it is necessary, enter the Unit price for the line.
Procedure: Add a Sales Category Line to a Sales Order

To add a sales category to a sales order, follow these steps:
1. From the Sales order form, click the Line view button or F11 in the Show group of the Action pane.
2. Click Add line in the Sales order lines tab.
3. Select the Sales category.
4. Type the quantity to be sold in the Quantity field.
5. Select the unit of measure of the product in the Unit field.
6. Select the site from the Site drop-down.
7. Optionally, select the warehouse from the Warehouse drop-down.
8. Enter the Unit price for the line.
Procedure: Copy from Sales Order

To create a new sales order and copy the lines from another sales order, follow these steps:
5. Enter or change the information in the Create sales order form if it is necessary, and then click OK.
6. Click From all in the Copy group of the Action Pane.
7. Select the Sales order(s) to copy from.
8. Click OK to copy the selected sales order(s) and sales order line(s).

64
Lab 6.1 - Create a Sales Order
Scenario
The customer, Sparrow Wholesales, calls and orders ten pieces of item number 0078, DVD Advanced
Pilates and will pay to have 1 hour for the private tutor for 300 U.S. dollars (USD). This will be entered as
one hour Service fee on the sales order.
As a Sales Clerk with Contoso Entertainment Systems USMF, you will create the sales order for item
number 0078 and a sales line for the Installation sales category.
Step by Step
To release the products to USMF Company, follow these steps:
name. From the list page select the check box on the grid next to 0078.

4. Select Company ID USMF.
5. Click OK.
2. Open the Product information management > Released products list page, and then select the 0078
product.
4. Select FIFO in the Item model group for the product.
5. In the Manage cost Fast Tab, select TV&Video in the Item group for the product.

65
7. Select SiteWH in the Storage dimension group for the product.
8. Select None in the Tracking dimension group for the product.
9. Select No Check in the Approved Vendor Check Method field.
To create the Sales order:
2. Select Customer US-008.
4. Click Sales order in the New group to create a new sales order.
5. In the Item number drop-down, select 0078.
6. In the Site drop-down , select 2.
7. In the Warehouse drop-down , select 21.
8. Type “10” in the Quantity field.
9. In the Unit Price Type “19.99”
7. Click Add line.
8. In the Sales category drop-down, select Home Video.
10. In the Unit drop-down, select hr.
11. In the Site drop-down , select 2.
12. Type "300" in the Unit price field.
13. Click Close.

66
Procedure: Insert an Alternative Address for a Sales Order Header

To insert an alternative address for a sales order header, follow these steps:
new sales order.
3. Click Header view in the Show group of the Sales order form.
4. Click the Address Fast Tab and use one of the following options to change the address:
• Use the Delivery address drop-down list to select an available delivery address.
5. Click Yes in the Infolog to update the address where the sales order lines matched the old header
address. Click Yes to all to update all sales order lines or No not to update sales order lines.
Procedure: Change an Address for a Sales Order Line

To a change an address for a sales order line, follow these steps:
new sales order.
3. Click Line view in the Show group of the Sales order form.
4. Select the desired line in the Sales order lines tab or create a new line.
5. Click the Lines details tab.
6. Click the Address Fast Tab and use one of the following options to change the address.
• Use the Delivery address drop-down list to select an available delivery address.
TIP: The Address Fast Tab can stay open when you browse to the next line where an address change is
needed. This eliminates keystrokes where multiple lines need line detail input from the same Fast Tab.

67
Procedure: Create a Sales Order with a Delivery Schedule

To create a sales order with a delivery schedule, follow these steps.
If you are prompted, click Yes to copy address, delivery address, currency, invoice account number,
4. If you are prompted, click No to create the new sales order without copying previous customer
purchase information and then click OK in the Create sales order form.
5. Select the item from the Item number drop-down.
6. Type a quantity in the Quantity field.
7. To open the delivery schedule, click Sales order line > Delivery schedules.
8. In the delivery schedule, click New to create a delivery schedule line.
9. Enter the Quantity and the Requested receipt date for line .
10. Repeat steps 8 and 9 for each scheduled delivery.
11. Click OK.

68
Procedure: Set Up a Coverage Calendar for a Warehouse

To set up a coverage calendar for a warehouse, follow these steps:
1. Open Inventory and warehouse management > Setup > Inventory breakdown >Warehouses.
2. Select a warehouse.
3. Click the Master planning tab.
4. In the Calendar field, specify a calendar to be used as a coverage calendar.
NOTE: Make sure that fallback warehouses are associated with the sites. The fallback warehouse is used
to calculate the transport time if a site but no warehouse is specified on the sales order line.
Procedure: Set up Transport Times

To specify the transport shipping point, receiving point, and transport duration, follow these steps.
1. Open Inventory and management > Setup > Distribution > Transport.
2. Click New to create a new transport.
3. Under the Receiving point section in the Type list, select Address or Warehouse.
4. Leave the remaining fields blank on the top pane of the form. This lets you see all the current
transport possibilities.
5. In the middle pane, create a new line and select the relevant shipping warehouse.
6. Depending on the setting of step 2, on the General tab, select either the receiving warehouse or the
receiving point address by selecting, for example, the ZIP/postal Code.
7. You can enter the number of transport days that will be used in master planning when you create
planned transfer orders.
8. To add new shipping and/or receiving points, repeat the procedure from step 2.
9. In the bottom panel, create a new line and select a mode of delivery.
10. Enter the number of transport days for transport.
11. Repeat from step 8 for all desired modes of delivery.
12. Select the Default check box for the preferred mode of delivery that will be used in master planning
when you create planned transfer orders. This overrides the Transport days setting in step 6.
13. To add new shipping and/or receiving points, repeat from step 2.

69
Procedure: Attach a Calendar to a Mode of Delivery

To attach a calendar to a mode of delivery for a warehouse, follow these steps.
1. Open Sales and marketing > Setup > Distribution > Modes of delivery.
2. Select the Mode of delivery.
3. Click Transport calendar.
4. Specify the Warehouse for which the calendar is valid if you want to create a warehouse relation.
Otherwise, leave the field blank.
5. Select the Calendar.

70
Procedure: Customer Receipt Calendar

Specify the opening days for the customer in the Customer receipt calendar. You cannot specify that a
receipt date falls on a closed date in the customer's receipt calendar. If no receipt calendar is specified for
the customer, all days are open for the customer.
To specify a customer receipt calendar, follow these steps:
2. Select the customer and then click Edit in the Maintain group of the Action Pane.
3. Click the Invoice and delivery Fast Tab.
4. Specify a Receipt calendar in the Receipt calendar field.

71
Lab 6.2 - Setting up Transport Times
Scenario
As the Sales Manager for Contoso Entertainment Systems (USMF), you are responsible for setting up the
Delivery date control functionality and transport times for an existing customer in the ZIP Code/Postal
Code is 07010.
• The standard transport time by Mode of delivery 50, Parcel between Contoso
Entertainment Systems' warehouse 21 and the customer is five working days. This is the
default transport time.
• Specify that, when 10, UPS Ground is the mode of delivery from warehouse 21, the
transport time is three working days.
• Specify that, when 20, UPS Next Day Air is the mode of delivery from warehouse 21,
the transport time is only one work day.
Step by Step
1. Open Inventory and warehouse management > Setup > Distribution > Transport.
2. Click New.
3. In the Overview grid, select 21 in the Shipping Warehouse field.
4. Type "USA" in the Country/region field.
5. In the Overview grid, type "01199" in the ZIP/Postal code field.
6. In the lowest pane, create a new line by clicking Add, and then select
50 in the Mode of delivery field and a transport time of five days. Select the Default check box.
7. Click Add, and then select 10 for the Mode of delivery field and a transport time of three days.
8. Click Add, and then select 20 for the Mode of delivery field and a transport time of one day.
9. Close the Transport Form.

72
Procedure: Set Up Order Entry Deadlines

To specify order entry deadlines for each site and order entry deadline groups, follow these steps:
1. Open Inventory and warehouse management > Setup > Distribution > Order entry deadlines.
2. In the Site field, specify if you want order entry deadlines to apply to a specific site or to all sites.
3. Select a site in the Select field if you have selected Specific in the Site field.
4. In the Order entry deadline group field, specify if you want order entry deadlines to apply to a specific
order entry deadline group or to all order entry deadline groups.
5. Select an order entry deadline group in the Select field if you have selected Specific in the Order
entry deadline group field.
6. Type order entry deadline times in each day of the week fields.
NOTE: If an error icon appears next to the line, the order entry deadline combination is not
activated.
Procedure: Create an Order Entry Deadline Group

To define order entry deadlines for sites or groups of customers, follow these steps. First, create order
entry deadline groups and then associate the order entry deadline groups that have sites or customers.
1. Open Inventory and warehouse management > Setup > Distribution > Order entry deadline groups.
2. Click New to create a new Order entry deadline group.

3. Type a group name in the Order entry deadline group field and type a description of the group in
the Description field.

73
Procedure: Assign an Order Entry Deadline Group to a Customer

To assign an Order entry deadline group to a customer, follow these steps.
2. Select the customer to whom you want to assign an order entry deadline group and then click
Edit in the Action Pane.
3. Click the Sales order defaults Fast Tab and select an order entry deadline group in the Order entry
deadline field.
Procedure: Activate Combinations of Order Entry Deadline Groups and Sites

To activate combinations of order entry deadline groups and sites, follow these steps:
1. Open Inventory and warehouse management > Setup > Distribution > Activate order entry deadline
combinations.
2. Select the check boxes that correspond to the combinations that you want to activate.
Order group All order groups

Site Select this combination if you want Select this combination if
order entry deadlines to apply to a you want order entry
specific site and a specific order deadlines to apply to a
entry deadline group. specific site and all order
groups.
All sites Select this combination if you want The All sites and All
order entry deadlines to apply to all order entry deadline
sites and a specific order entry groups combination is
deadline group. always activated and
cannot be
The selected combinations will be available in the Order entry deadlines form.
Procedure: Create a Purchase Order for a Direct Delivery Sales Order

To create a purchase order of direct delivery from the sales order, follow these steps:
new sales order.
3. Create a sales order line and specify the Item and Quantity.

74
4. Click Direct delivery in the New group of the Action Pane.

5. Select which sales order lines must be delivered directly. Select all lines for inclusion by selecting the
Include all check box.
6. Select a vendor for each direct delivery line.

7. Click OK. A purchase order is created and the delivery address is transferred to the purchase order.

75
Lab 6.3 - Direct Delivery
Scenario
Day 1: The customer, Forest Wholesales, calls and orders 1,200 pieces of item number 0078. The Order
Processor at Contoso Entertainment Systems (USMF) notices that there are not enough of item number
0078 in stock and decides—given the geographical closeness of the vendor to the customer and the
urgency of the order—to create a sales order of direct delivery.
Day 2: Forest Wholesales calls and changes the delivery address of the sales order to their Forest
Wholesales (After hours) address.
Day 6: You receive notification from the vendor that 500 of the 1,200 pieces of 0078 are delivered.
Therefore, you post the Purchase order packing slip.
Step by Step
3. In the Create sales order form, select Customer account US-003 and then click OK.
4. In the Item number drop-down, select 0078. Select values of Site 2 and Warehouse 21.
6. Click Direct delivery in the New group of the Action Pane. The line that has the preferred vendor is
automatically created. Select the Include check box next to the Vendor account = US-110.
7. Click OK. The direct delivery purchase order is created. Close the infolog.
8. Click Header view in the Show group of the Action Pane, and then click the Address FastTab.
9. In the Delivery address, create a new address and in the name field type “Forest Wholesales (After
hours)” .
10. In the Delivery address drop-down list, select Forest Wholesales (After hours).
10. Click Purchase order in the General tab of the Action Pane.
11. Click Yes to all to update the delivery address.
12. Click Header view in the Purchase order form.
13. Click the Address Fast Tab to view the updated address on the Purchase order.
14. Click Line view, and then click Edit.
15. In the Receive now field of the purchase order line, type "500".
16. In the Purchase tab of the Action Pane, click Confirm.
17. In the Receive tab of the Action pane, click Product receipt.
18. Select Receive now quantity in the Quantity field.
19. Type a number in the Product receipt field and then click OK.
20. Close the Purchase order form and the Sales order form.

76
Procedure: Generate a Sales Order Confirmation

After you create a sales order, generate the sales order confirmation to confirm the details of the order and
send a confirmation of the sales order to the customer.
To generate a sales order confirmation, follow these steps.
2. Select the sales order to confirm the sales order.
3. In the Sell tab of the Action Pane, click Sales order confirmation in the Generate group.
4. In the Quantity field, select the appropriate setting.
5. Click OK to generate the order confirmation.
Procedure: Perform a Credit Check of a Sales Order

To perform a credit check of a sales order, follow these steps:
2. Select the sales order which you want to confirm.
3. In the Sell tab of the Action Pane, click Confirmation in the Generate group.
4. Click the Other tab and specify the type of check that you want to run. The default setting for this
field comes from the Credit limit type field in Accounts receivable > Setup > Accounts receivable
parameters. Although, you can override the setting in the update.
Procedure: Quick Generation of a Picking List

To quickly generate a picking list, follow these steps:
1. Open Sales and marketing > Common > Sales orders > All sales order.
2. Select the sales order to generate the packing slip.
3. In the Pick and pack tab of the Action Pane, click Picking list in the Generate group. The Post picking list
form opens.
4. In the Quantity field, select the All option.
5. Click OK to post the picking list.

77
Procedure: Perform a Picking List Registration

When the Picking route status field is set to Activated in Accounts
receivable > Setup > Account receivable Parameters on the Updates tab, you can perform a Picking list
registration after you post the Picking list to register the physical pick of the sales order and have a tighter
control of where the sales order is in the order process.
To perform a Picking list registration, follow these steps:
1. Open Sales and marketing > Common > Sales orders > All Sales orders.
2. Select a sales order for which a picking list is generated.
3. In the Pick and pack tab of the Action Pane, click Picking list registration in the Generate group. The
Picking list registration form opens.
4. Select the Select check box on the sales order line that you want to register the pick for.
5. Update the Pick quantity field, if you are not registering the complete quantity of the sales
order line.
6. Click Updates and then select Update selected or Update all
7. Close the Picking list registration form.
Now you are ready to go to the next step in the sales order posting flow. This is generating the Packing
slip.

78
Procedure: Quick Generation of a Sales Order Packing Slip

To generate a sales order packing slip, follow these steps:
3. In the Pick and pack tab of the Action Pane, click Packing slip in the Generate group. The Packing slip
posting form opens.
4. In the Posting packing slip form, in the Quantity field, select the All option.
5. Select the Print packing slip check box to print the packing slip.
6. Click OK on the Posting dialog box.
If the quantities on the packing slip update equal the ordered quantities, the value in the sales order Status
field changes to Delivered. If there is a back order on one or more items, the sales order status remains as
Open order.

79
Procedure: Generate a Partial Packing Slip

To generate a partial packing slip, follow these steps:
3. In the Pick and pack tab of the Action Pane, click Packing slip in the Generate group. The Packing slip
posting form opens.
4. In the Posting packing slip form, in the Quantity field, select the any option but All such as Deliver Now.
5. Select the Print packing slip check box to print the packing slip.
6. Click the Lines tab.
7. Enter the quantity being received into the Quantity field for each line.
8. Click OK on the Posting dialog box.
9. If you selected the Print packing slip check box, a packing slip that contains all the ordered items that
were sent to the customer are printed.
Procedure: Cancel a Packing Slip

The Packing slip journals form displays all generated packing slips. From this form, you can correct or
cancel the packing slip, if the packing slip was generated incorrectly or by accident.
Canceling the packing slip reverses all packing slip posting and returns the product to inventory, if it
is a stocked product.
NOTE: A packing slip cannot be canceled or corrected if the sales order is invoiced.
2. Select the sales order for which to cancel the packing slip.
3. In the Pick and pack tab on the Action Pane, click Packing slip in the Journals group.
4. Select the packing slip that you want to cancel and then click Cancel.
5. Click OK in the dialog box.
6. Close the infolog.
7. Close the Packing slip journal form.

80
Procedure: Correct a Packing Slip

To correct a packing slip, follow these steps:
2. Select the sales order, for which to cancel the packing slip.
3. In the Pick and pack tab on the Action Pane, click Packing slip in the Journals group.
4. Select the packing slip that you want to correct and then click Correct.
5. In the Correct packing slip form, make any necessary corrections or changes to the packing slip.
6. Click OK.
7. Close the Packing slip journal form.
View Changes between Packing Slip Versions

All changes on each packing slip version are traced. You can view all changes to a given packing slip on the
Compare packing slip versions form.
To access this form, follow these steps:
1. Open Packing slip journal from the Sales order form, or open Sales and marketing > Inquiries > Journals
> Packing slip.
2. Click History to open the Packing slip history form to show the multiple versions.
3. Click Compare versions.
From the Compare packing slip versions form, you can view and compare the differences of each packing
slip version.

81
Additional Notes:

82
CHAPTER 7: QUALITY MANAGEMENT
Procedure: Create a Store Area

Locations where tests will physically be performed are set up in the Store areas form (Inventory and
warehouse management > Setup >Inventory breakdown> Store areas). The store area must have the
Area type set to Input.
Example: Physical Store Areas
A manufacturing company produces computer monitors. When the production orders are finished, the
monitors are tested for quality. Each monitor is tested in several areas such as the screen, monitor
exterior, cord, plug, and the input and output ports.
Follow this procedure to create a test area:
1. Open Inventory and warehouse management > Setup > Inventory breakdown > Store areas.
2. Click New to create a new store area.

3. In the Store area field, type the identifier
4. In the Name field, type the name of the area.
5. Select Input area from the Area Type drop-down.
6. Close the Store area form.

83
Procedure: Create a Test

Follow this procedure to create a test:
1. Open Inventory and warehouse management > Setup > Quality control > Tests.
2. Click New to create a new test.

3. In the Test field, type the name or identifier.
4. In the Description field, optionally type a description.
5. Select Fraction, Integer, or Option in the Type field.
6. In the Unit field, select the unit of measure.
7. Optionally, enter or change the remaining information.
NOTE: A test type cannot be changed if it is being used by one or more test groups.
Procedure: Create a Test Variable

Follow this procedure to create a test variable:
1. Open Inventory and warehouse management > Setup > Quality control > Test variables.
2. Click New to create a new variable.
3. In the Variable field, type the name or identifier.
4. Optionally, type a description in the Description field.

84
Procedure: Create an Outcome for a Test Variable

To create an outcome for a test variable, follow these steps:
2. Select a variable.
3. Click Outcomes.
4. In the Test variable outcomes form, click New to create a new outcome.
5. In the Outcome field, type the name or identifier.
7. In the Outcome status field, select Fail or Pass.
8. By default, the active variable will appear in the Variable field. However, this can be edited.
Procedure: Create an Item Sampling

Example 1: Testing the Quantity of Sampled Items
A company's guidelines require a random check of at least 50 pieces in every shipment that is received
from a new vendor during the first 90 days of the relationship.
An item sampling is set up with a fixed quantity value of 50.
Example 2: Testing the Quantity of Sampled Items
A company plans to roll out a new product line and each item that is being produced is to be tested
before releasing it for distribution.
An item sampling is set up with a percentage value of 100.
To create an item sampling, follow these steps:
1. Open Inventory and warehouse management > Setup > Quality control > Item sampling.
2. Click New to create a new item sampling.
3. In the Item sampling field, type the name or identifier.
85
5. In the Quantity specification field, select Fixed quantity or Percent.

6. In the Value field, specify the value associated with the Quantity specification.
7. In the Quality order generation group, select the Full blocking check box if this sampling should
block the full order line and not just the sampling quantity.
8. Optionally, select the Per update quantity check box if the new quantity order should be created
when the item quantity is updated.
9. In the Per storage dimension group select the Warehouse, Location or Pallet ID check boxes to
create quality orders for each unique combination of storage dimensions.
10. In the Per tracking dimension group select the Batch number or Serial number check boxes to create
quality orders for each unique combination of tracking dimensions.
NOTE: For more information about inventory blocking, refer to Inventory Journals.
Procedure: Create a Test Group

To create a test group, follow these steps:
1. Open Inventory and warehouse management > Setup > Quality control > Test groups.
2. Click New to create a new test group.
3. In the Test group field, type the name or identifier.
5. In the Acceptable quality level field, type the percentage that is acceptable.
6. Make a selection in the Item sampling field.
7. Select the Destructive test check box if the test will destroy the test sample.

86
Procedure: Create a Quality Group

Example: Assigning Products to a Quality Group
A company has a group of paint products that share a similar shade of yellow. The same series of quality
tests are required on all products. Therefore, a quality group is created and each paint product assigned to
the new group.
To create a Quality group, follow these steps:

1. Open Inventory and warehouse management > Setup > Quality control > Quality groups.
2. Click New to create a new quality group.
3. In the Quality group field, type the name or identifier.
Procedure: Add Items to a Quality Group

Quality groups let users place items that share the same or similar characteristics together for testing. To
add items to a quality group, follow these steps:
2. Select the quality group to which the item is being added.
3. Click Setup.
4. Select Item quality groups. The Item quality groups form is displayed.
5. Click New.
6. Select the item number to add to the quality group.
7. Repeat Steps 5 - 6 to add each other item.

87
Lab 7.1 - Set Up Quality Management Basics
Scenario
The USMF Company sells televisions. Recently, the company received several customer complaints about
the quality of these televisions. Tony, the Contoso Production Manager, asked the Quality Assurance
specialist, Ricardo, to test the quality of all the televisions sold by the company.
Ricardo plans to use the Microsoft Dynamics AX quality management functionality to start and monitor
the testing. First, Ricardo updates all the necessary settings in Microsoft Dynamics AX 2012 to be able to
create quality orders.
Ricardo plans to test the basic functions of the televisions, such as the quality of screen image, sound, and
tuner functioning. He creates settings with the following characteristics shown in the following tables:
Test Areas
Name Description
Screen Screen area
Tuner Tuner area
Sound system Sound system area
Test Instruments
Name Test area Description Unit

Test pattern Screen Test pattern for testing the Option
image quality
Tests
Test Description Type Test

instrument
Screen image Testing quality of the Option Test pattern
screen image
Tuner Testing of tuner Option
functioning functioning
Sound quality Testing the sound quality Option

88
Test Groups
Test group Description Acceptable Item Destructive

quality level sampling test
Television LCD 95 1 pcs Cleared
televisions
Test Variables
Name Description Outcomes

Sharpness Image sharpness Sharp image - Passed
Blurred image - Failed
Channel Tuner functioning All channels found - Passed
search characteristic Any channels missing -
Failed
Sound Sound purity No acoustic noise - Passed
Acoustic noise - Failed
According to the contract, the hourly rate for test operations is 20.00 U.S. dollars (USD).
The Contoso Company uses the following internal reports:
• Certificate of analysis
• Correction report
• Non conformance tag
• Non conformance report

89
Step by Step
To set up parameters, follow these steps:
1. Open Inventory and warehouse management > Setup > Inventory and warehouse management
Parameters.
2. Click the Quality management tab.
3. Select the Use quality management check box.
4. Set the Hourly rate to 20.00.
5. Click Report setup.
6. Verify that the table is complete as follows.
Report Document type Restriction

Certificate of analysis Note Internal
Correction report Note Internal
Non conformance tag Note Internal
Non conformance report Note Internal
1. Close the Report setup for quality management form.

2. Close the Inventory and warehouse management parameters form.
To set up test areas, follow these steps:
1. Open Inventory and warehouse management > Setup > Inventory breakdown > Store areas.
2. Click New to create new lines with the following data.
Store area Name Area Type

Screen Screen area Input area
Tuner Tuner area Input area
SoundSys Sound system Input area
area
3. Close the Store areas form.
To set up test instruments, follow these steps:
1. Open Inventory and warehouse management > Setup > Quality control > Test instruments.
2. Click New to create new lines with the following data.
Field name Description

Test instrument Test pattern
Test area Screen
Description Test pattern for testing the image quality
Unit Option

90
3. Close the Test instruments form.
To set up tests, follow these steps:
1. Open Inventory and warehouse management > Setup > Quality control > Tests.
2. Click New to create a new line with the following specifications.

Test Screen image
Description Testing quality of the screen image
Type Option
Test instrument Test pattern
3. Click New to create a new line and fill in the fields by using the following data.

Test Tuner functioning
Description Testing of tuner functioning
Type Option
Test instrument blank
4. Click New to create one more line with the following data:

Test Sound quality
Description Testing the sound quality
Type Option
Test instrument blank
5. Close the Tests form.
To set up test variables, follow these steps:
3. In the Variable field, type "Sharpness".
4. In the Description field, type "Image sharpness".
5. Click Outcomes to create the outcomes, and then click New.
6. In the Outcome field, type "Sharp image", and in the Outcome status field, select Pass.
8. In the Outcome field, type "Blurred image".
9. In the Outcome status field, select Fail.
10. Close the Test variables outcomes form.
11. In the Test variables form, create a new line by clicking New.

91
12. In the Variable field, type "Channel search", and in the Description field, type "Tuner functioning
characteristic".
13. Click Outcomes.
14. Click New to create a new outcome.
15. In the Outcome field, type "All channels found", and in the Outcome status field, select Pass.
16. Click New to create one more new line.
17. In the Outcome field, type "Any channels missing", and in the Outcome status field, select Fail.
19. In the Test variables form, create a new line.
20. In the Variable field, type "Sound", and in the Description field, type "Sound purity".
21. Click Outcomes.
23. In the Outcome field, type "No acoustic noise", and in the Outcome status field, select Pass.
25. In the Outcome field, type "Acoustic noise", and in the Outcome status field, select Fail.
27. Close the Test variables form.
To set up test groups, follow these steps:
1. Open Inventory and warehouse management > Setup > Quality control > Test groups.
2. In the upper pane, create a new line by clicking New. Use the following specifications.

Test group Television
Description LCD televisions
Acceptable quality level 95.00
Item sampling 1 pcs.
Destructive test cleared
3. In the bottom pane, create a new line by clicking Add.

4. In the Sequence number field type "10", and in the Test field, select Screen image.
5. Click the Test tab.
6. In the Variable field, select Sharpness, in the Default outcome field, select Sharp image, and then in the
Test instrument field, select Test pattern.
7. On the Overview tab, create a new line by clicking Add.
8. In the Sequence number field, type "20", and in the Test field, select Tuner functioning.
10. In the Variable field, select Channel search, and in the Default outcome field, select All channels
found.
11. Click Add on the Overview tab to create one more new line.
12. In the Sequence number field, type "30", and in the Test field, type "Sound quality".

92

14. In the Variable field, select Sound, and in the Default outcome field, select No acoustic noise.
15. Close the Test groups form.
To set up quality groups, follow these steps:
3. In the Quality group field, type "Televisions", and in the Description field, type "Televisions".
4. Close the Quality groups form.
To set up items in quality groups, follow these steps:
1. Open Inventory and warehouse management > Setup > Quality control > Item quality groups.
2. Create a new line by clicking New, and in the Item number field select T0004. In the Quality group
field, select Televisions.
3. Click New to create one more new line with Item number T0005 and Quality group = Televisions.
4. Close the Item quality groups form.

93
Procedure: Create a Quality Association

To create a quality association, follow these steps:
1. Open Inventory and warehouse management > Setup > Quality control > Quality associations.
2. Click New to create a new quality association.

3. In the Site field, select a site or keep it blank if it is trigger account for all sites.
4. In the Reference type field, select where you want to start the quality order from, for example,
Purchase.
5. Select a value in the Item code and Item fields.
6. Click the Quality order generation Fast Tab to view or enter a Document type.
This field is selected or viewed if the applicable transaction within the business process that
(together with the policy for timing) will trigger a quality order.
The applicable transactions reflect the reference type of the business process. For example, the
applicable transaction for a sales order includes the picking list and the packing slip.
7. In the Execution field, select or view Before or After, depending on when to create the quality order,
in relation to the selection in the Document type field.
8. Click the Quality order process Fast Tab, and select Document blocking. If a document is selected
the quality order must be completed before the selected document can be generated.
9. Optionally, select Quarantine upon validation failure to automatically quarantine any failed quality
orders and block them from being used.
10. Click the Specifications Fast Tab.
11. In the Test group field, select the test group for this quality association.
12. Enter the Effective and Expiration dates and times for this quality association.
13. Select the Item sampling to determine what amount should be quality tested
14. In the Acceptable quality level field, type the percentage of items that must pass for the quality
order to pass.

94
Lab 7.2 - Set Up Automatic Quality Order Generation
Scenario
According to the results of an official investigation, it is discovered that the reason for the many customer
complaints is because product T0005, Television HD TV is of low quality sometimes. Therefore, the
company decided to make stricter requirements for vendors because of quality monitoring. To optimize
the quality monitoring work, the company has decided to use functionality that allows for the automatic
generation of quality orders to conduct tests and to validate test results. The quality order should be
generated at product receipt.
Your task is to perform the necessary setup for the automatic quality order creation through the
purchase order for vendor US-101 and item T0005.
Step by Step
1. Open Inventory and warehouse management > Setup > Quality control > Quality associations.
2. Create a new line by clicking New and then fill in the following data.
Field name Value

Site 2
Reference type Purchase
Item code table
Item T0005
Test group Television
Document type Product Receipt
Field name Value

Execution Before
Item sampling 1 pcs.
3. Close the Quality associations form.

4. Open Procurement and sourcing > Common > Purchase Orders > All purchase orders.
5. Click Purchase order to create a new purchase order.
6. Set the Vendor account = US-101.
7. If prompted, lick Yes to transfer vendor information .
8. Click OK.
9. Set the Item number to T0005, Site 2, Warehouse 21, Color Silver, Quantity to 20.00, and Unit price to
960.00.
10. Click the Purchase tab in the Action Pane, and then click Confirm.
11. Click the Receive tab and then click Product receipt.
12. Select Ordered quantity in the Quantity field.
13. Type "PR-T0005-1" in the Product Receipt field
14. Click OK. The Quality order will be created.
15. Close the Infolog and the Purchase order form.

95
Procedure: Create a Manual Quality Order

To create a quality order manually, follow these steps.
1. Open Inventory and warehouse management > Periodic > Quality management > Quality orders.
2. Click New. The Quality orders form opens.
3. In the Reference type field, select the option for where the source of the quality order must be, for
example, Purchase order.
4. In the Reference number field, select the source reference, for example, Purchase order number.
5. Make a selection in the Reference lot field.
6. Select an Item number.
7. In the Test group field, select the test group to which this test must be assigned.
8. In the Quantity field, type the number of items that must be tested.

96
Lab 7.3 - Create a Manual Quality Order

Scenario
To make sure that the shipped products are good quality, Pedro Gutierrez decides to make an additional
selection for the following items for screen image quality tests.
Item Test group Quantity Color

number
T0004 Television 15.00 Silver
T0005 Television 5.00 White
Tests for Item number T0004 were successfully passed. For Item number T0005, the screen image test
outcome was that the image was blurred.
NOTE: The Lab 7.1 : Set Up Quality Management Basics must be completed before you start this lab. If
T0004 does not have enough quantity on hand, you need to adjust the quantity on hand with a number
above 15 for instance 200. Ask your trainer if you do not know how to adjust the quantity.
Step by Step
2. Click New.
3. Create a new quality order with the following specifications:
• Select Inventory as the Reference type.
• Select Item number T0004
• Select Television as the Test group
• Type "15.00" in the Quantity field
• Select Silver as the Color
4. Select 2 in the Site field and 21 in the Warehouse field, and then click OK.
5. In the bottom pane, select the line where Test = Screen image and then, click Results.
6. In the Result quantity field, type "15.00".
7. Close the Quality order line results form.
8. In the bottom pane, select the line where Test= Tuner functioning and then, click Results.
11. In the bottom pane, select the line where Test = Sound quality test and then click Results.
14. In the Quality orders form, click Validate.
15. In the Validated by field, select Pedro Ferreira and then click Select.
16. Click OK.
17. Click New to create a new quality order.

97
18. Select Inventory as the Reference type.

19. In the Identification field group, enter the following data in the corresponding fields:
• Select Item number T0005
• Select Television as the Test group
• Type "5.00" in the Quantity field
• Select White as the Color
20. Select 2 in the Site field and 21 in the Warehouse field, and then click OK.
21. In the bottom pane, select the line where Test = Screen image and then, click Results.
22. In the Result quantity field, type "5.00" and then in the Outcome drop-down select Blurred image.
24. In the bottom pane, select the line where Test = Tuner functioning and then click Results.
27. In the bottom pane, select the line where Test = Sound quality and then click Results.
30. In the Quality orders form, click Validate.
31. In the Validated by field, select Pedro Ferreira.
32. Click OK. Notice how the Status field for the first quality order is Pass, and the status for the second
quality order is Fail.
33. Close the Quality orders form.
Procedure: Create a Problem Type

To create a problem type, follow these steps:
1. Open Inventory and warehouse management > Setup > Quality management > Problem types.
2. Click New to create a new problem type.
3. In the Problem type field, type the name of the problem type.
4. Type a description in the Description field.

98
Procedure: Attach a Problem Type to a Non Conformance Type

To attach a problem type to a non conformance type, follow these steps:
1. Open Inventory and warehouse management > Setup > Quality management > Problem types.
2. Select or create a new problem type.
3. Click Non conformance types. The Problem/Non conformance types validation form opens.
4. Select a non conformance type inside the Non conformance type field.
5. Click New to attach the problem type to more than one non conformance type.
Procedure: Create a Non Conformance

To create a non conformance, follow these steps:
1. Open Inventory and warehouse management > Periodic > Quality management > Non Conformances.
2. Click New to create a new non conformance. The Create non conformance form opens.
3. In the Non conformance type field, select the non conformance type. The types include customer,
internal, production, service request, and vendor.
4. In the Reported by field, select the name of the employee reporting the non conformance.
5. In the Item number field, select the name of the item that is non conforming.
6. In the Worker responsible field, select the supervisor or manager who is responsible for the worker
who identified and created the nonconformance record.
7. In the Problem type file, select the problem that is causing the non conformance. Problem types are
filtered by the Non conformance type.
8. In the References group, enter or change the remaining information, depending on the non
conformance type. For example, if vendor was selected as the Not conformance type, you would
select the vendor and purchase order and defective quantity for which the non conformance was
found.
9. Click OK to save the new record.

99
Procedure: Create a Diagnostic Type

To create a diagnostic type, follow these steps:
1. Open Inventory and warehouse management > Setup > Quality management > Diagnostic types.
2. Click New to create a new diagnostic type.
3. In the Diagnostic field, type the name or identifier.
Procedure: Create an Operation

To create an operation, follow these steps:
1. Open Inventory and warehouse management > Setup > Quality management > Operations.
2. Click New to create a new operation.
3. In the Operation field, type the name or identifier.
4. In the Description field, type a description text.
5. In the Type field, select either Purchase order or Sales order.

100
Procedure: Add an Operation to a Non Conformance

To add an operation to a non conformance, follow these steps:
1. Open Inventory and warehouse management > Periodic > Non conformance.
2. Select the non conformance to which a related operation is being added.
3. Click Related operations. The Related operations form appears.
4. Select an operation in the Operation field.
5. Type a reason for the related operation in the Reason field.
6. Select a sales order or purchase order in the Sales order or Purchase order field, depending on the
Type that is applied to the operation.
NOTE: To add a related operation to a non conformance, the non conformance must be approved.
Otherwise, the Related operations button is not available.
Procedure: Create a Quality Charge

To create a quality charge, follow these steps:
1. Open Inventory and warehouse management > Setup > Quality management > Quality charges.
2. Click New to create a new quality charge.
3. In the Charges code field, type the name or identifier.
4. Optionally, type the description in the Description field.

101
Procedure: Create a Quality Charge for a Non Conformance

To create a quality charge for a non conformance, follow these steps:
HINT: To add a quality charge, the related activity to which the charge applies must be added first.
1. Open Inventory and warehouse management > Periodic > Non conformance.
2. Select the non conformance (refer to the earlier hint).
3. Click Related operations. The Related operations form opens.
4. Click Quality charges. The Quality charges form opens.
5. In the Quality code field, select the type of charge.
6. In the Charges value field, type the charge.
7. Optionally, type a description or comment in the Transaction text field.

102
Procedure: Create and Print a Certificate of Analysis

To create and print a certificate of analysis, follow these steps:
2. Select the quality order for which a certificate of analysis is required.
3. Click Inquiries.
4. Select Create certificate of analysis. The Certificate of analysis form is displayed.
5. Click New to create a new record and enter the information.
6. If a view or print of the certificate of analysis is required, click Print.
Then, accept or change the default print parameters and then click OK. The certificate of analysis
displays for viewing.
7. To print the certificate of analysis, click the Print icon. Then, accept or change the default print
specifications and then click OK.

103
Additional Notes:

104
CHAPTER 8: INVENTORY JOURNALS
Procedure: Create a Journal Name

To set up journal names which are then used to create journals, follow these steps:
1. Open Inventory and warehouse management > Setup > Journals > Journal names, Inventory.
2. In the Journal names, inventory form that opens, create a new record and type the journal name
and its description.
3. Select the Journal type that determines what the journal is used for.
4. Select a Voucher series from the list.
5. On the General fast tab, in Selection by, specify whether the line receives a voucher number when
the line is entered or when it is posted.
For example, the Selection by field helps you assign voucher numbers at posting time when a
journal is started at the start of a day; multiple entries can be made by different people and/or at
different times during the day.
Without the Selection by option, all entry lines have a different voucher number. This makes
tracking difficult. With this posting option, voucher numbers are assigned at the time of posting,
and are therefore more consistent throughout the journal.
6. In the New voucher by field, specify when a new voucher is allocated, by either of the
following:
• Change date (enables tracking by date)
• Change date or item
This resembles the Selection by option, that enables tracking by one voucher number, in addition to all
entries that are registered in the same journal for the same date and the same item. This option helps
simplify tracking.
7. Select value in the Detail level field for the journal.

The Summary option in the Detail level field is a good choice when you are generating many entries by
using journals for the same date, account number, dimensions, and currency code. By doing this, the
General ledger is only populated with one summary transaction for each identical value. Therefore,
reducing the number of transactions. However, this does not summarize these entries in inventory
transactions.
8. Select or clear the Delete lines after posting check box.
After posting, the lines typically have only historic value and can therefore be deleted. However,
sometimes, a business wants to keep the lines for reference.

105
9. In Offset account, specify an offset account if the journal name is for the Movement journal type.
10. Select the method of inventory Reservation for the inventory journal.
• Manual – Inventory for orders is reserved manually.
• Automatic – Inventory is reserved when order lines are created, in the order in which the order
lines are created. For bills of materials (BOMs), reservations are made for the BOM item number,
not for the individual elements of the BOM.
• Explosion – Inventory is reserved when order lines are created, in the order in which the order
lines are created. For BOMs, reservations are made for the individual elements of the BOM, not
for the BOM item number.
11. Select whether to restrict access to the journal to certain user groups by using the Private for user
group field.
For example, you can set up individual journals to enable access to the following:
• Only warehouse workers who conduct physical counts
• Only users who document movements from the main warehouse to the vendor warehouse
• Users who document movements from the vendor warehouse to the main warehouse
Procedure: Set Up Journal Name as Default Value

When the journal names are created, they can be set up as default values for the journal type that is
selected in the Inventory parameters form in the Journals section. To do this, follow these steps:
1. Open Inventory and warehouse management > Setup > Inventory and warehouse
management parameters > Journals.
2. In the appropriate field, select a journal name to be the default value when you create inventory
journals of a certain type.
For example, when you create an Inventory adjustment journal type, the journal that is specified as the
default journal name is proposed.
NOTE: If it is necessary, override this setting with any other journal name that is set up for the journal type.
After a journal is created and named, a journal line can only be accessed by one user at a time. It is useful
to divide journals so that each posting routine is entered in its own unique inventory journal.

106
Procedure: Select Dimensions that are Displayed in Inventory Journals

To select dimensions that are displayed in inventory journals, follow these steps:
1. Open Inventory and warehouse management > Setup > Inventory and warehouse parameters.
2. Click Inventory dimensions in the navigation pane, and then click the tracking dimension, for
example, Batch number.
3. Select the journals in which Batch number is displayed, for example Movement or Transfer orders.
NOTE: These settings are only valid for the journal if you did not override the setting on the journal by
saving selections in the Inventory > Dimensions display dialog box. In this case, if Batch number is
cleared, this setting overrides the setting that is specified in Inventory and warehouse management >
Setup > Inventory and warehouse parameters.
Procedure: Set Up Inventory Posting

To set up inventory posting, follow these steps:
1. Open Inventory and warehouse management> Setup > Posting > Posting > Inventory tab.
2. Select the posting type to be set up for the General ledger posting.
3. Create an inventory posting record by clicking Add.

4. For each Main account type, specify which main account in the chart of accounts to use. Use the Item
relation and the Item code fields to specify whether the account must be used for one of the following:

107
• A specific item - use to track, for example, the profit and loss, for a particular item.
• An item group - use to track, for example, issue or consumption for a particular item group. The
item groups are set up in Inventory and warehouse management> Setup >Inventory> Item groups.
• All items
Demonstration: Using the Movement Journal

This demonstration charges an inventory item to the Sales Department and to the
Selling Expenses offset General ledger account, by using a Movement journal.
1. Open Inventory and warehouse management > Journals > Item transactions > Movement.
2. Create a new journal by clicking New and select the IMov for the journal name. Or, click Create
new; a journal is created and the Lines form is automatically opened.
3. Open the Lines form by clicking Lines. The journal lines are displayed with today's date in the
Date field.
4. Type item "T0004" in the Item number field, and in the Color field, select Black and then type the
quantity of "-1".
5. Because the quantity is negative, it means that the item is taken out of inventory to be used by the
Sales Department. The Cost amount is populated from the item cost table and cannot be changed.
Select the Selling expenses offset account in the Offset account field. In this example, it is the 540110
Cost of Projects -Product account.
NOTE: If the quantity is positive, meaning that the item is brought into inventory from an outside source, for
example, a salesperson brings samples into inventory, the Cost amount field can be used to enter the value
of the item.
6. On the Financial Dimensions tab, select 001 for Business unit and 008 in the CostCenter group.
7. Post the journal by clicking Post and then OK. A message box informs when the Journal is posted.
When the journal is posted, view the transactions that was created from the posting. To do this,
follow these steps:
1. From the posted journal line, select Inventory > Transactions.

2. Click Ledger > Financial voucher in the Inventory transactions form.
3. Click the Overview tab to view the General ledger account posting activity that credits the 140200
issues account and debits the 540110Cost of Projects -Product account.
4. Close the Voucher transactions form.
5. On the Financial dimensions - financial tab, view the allocation to the Marketing Campaign
department in the CostCenter field.

108
Procedure: Create an Inventory Adjustment Journal

To create an inventory adjustment journal, follow these steps:
1. Click Inventory and warehouse management > Journals > Item transactions > Inventory adjustment.
2. Create a new journal by clicking New and then enter a name.
3. Click Create new; a journal is created and the Lines form is automatically opened. The journal lines
are displayed with today's date in the Date field.
4. Enter an Item number and the Quantity of the adjustment.
5. Enter information in the Color, Site and Warehouse fields as appropriate.
6. To view information about transactions, on-hand inventory, reservations, registration, and output
orders, click the Inventory button.
7. Click Post to post the journal.
Procedure: View a Posted Transaction
To view the posted transaction after the journal is posted, follow these steps:
1. Open Inventory and warehouse management > Journals > Item transactions > Inventory
Adjustment.
2. Select Posted in the Show field to view posted transactions.
3. To verify the debit offset account, open the posting profile. This can be accessed by opening Inventory
and warehouse management > Setup > Posting > Posting > Inventory tab. Select Loss on the left side
of the form, and verify that Group codes are set up.

109
Lab 8.1 - Create a Movement Journal
Scenario
The Contoso Company's new salesperson, Kevin, must obtain a sample of TV, T0004 the company sells to
be able to show them to prospects.
To maintain inventory accuracy, a movement journal is used to take the TV out of warehouse 21 physical
inventory. The journal also commits the value of this transfer to a specific General ledger account that is
used for selling expenses (540110). Your task is to create these transactions.
Step by Step
1. Open Inventory and warehouse management > Journals > Item transactions > Movement.
2. Click New.
3. Select IMov in the Name field and then click Lines.
4. Click the Item number arrow and then select 1701.
5. Confirm that the Warehouse is 21. Choose Black for Color.
6. In the Quantity field, type "-1".
7. In the Offset account field, type "540110".
8. Click Inventory > Pick and then click Add picking list update.
9. Click Register all, and then close the Pick form.
10. Click New in the Journal lines form to enter a new line.
11. Click the Item number arrow and then select T0004.
12. Confirm that the Warehouse is 21.
14. In the Offset account field, type "540110".
15. Click Inventory > Pick and then click Add picking list update.
16. Click Register all
17. Close the Pick form.
18. Close the Journal lines form.
19. In the Movement journal form, click the created journal, and then click Post.
20. Click OK.
21. Click Close to close the message box.
22. Close all the forms.

110
Lab 8.2 - Create an Inventory Adjustment Journal
Scenario
The Warehouse Manager of the Contoso Company (USMF) reorganized two sections of warehouse 21 so
that items were physically moved from one area to another. During the process, a box dropped on the floor
that resulted in the breaking of ten TVs (item T0004). Your task is to create a Profit and Loss journal to
register the inventory adjustment.
Step by Step
1. Click Inventory and warehouse management > Journals > Item transactions > Inventory adjustment.
2. Create a new journal by clicking New and select IPL in the Name field.
3. Click Create new. A journal is created and the Journal lines form is automatically opened.
4. Select Item T0004 in the Item number field.
5. Confirm that the Warehouse is 21. Choose Black for Color.
7. Click Post to post the journal, and then click OK.
8. Click Close to close the Infolog.
Procedure: Create a Transfer Journal

To create a transfer journal, follow these steps.
1. From the Navigation Pane, open Inventory and warehouse management > Journals > Item
transactions > Transfer.
2. Click Create new.
3. Select an Item number.
4. Select a From and To Site to transfer the item to.
5. In the From warehouse field, select the location from which the item should be transferred.
6. In the To warehouse field, select the location where the item is going.
7. Use the From batch number and To batch number fields to specify batches.
8. In the Quantity field, type the quantity to transfer.
10. Click OK to close the Infolog.

111
Lab 8.3 - Create a Transfer Journal
Scenario
The Contoso Company (USMF) receives ten units of High-DefinitionTVs from their vendor Fabrikam
Electronics. However, after verification, the Contoso Company finds that the last two units should have a
different Color number. To make sure that the inventory tracking warehouse dimension Color is correct,
the Contoso Company (USMF)must correct the situation.
Your task is to rectify these incorrectly numbered units and then view the transactions.
The item number is T0004 and the warehouse that the items were received in is warehouse 21. The
transaction that was registered under Color Black is registered under Silver. The transaction that was
registered under batch number White is under Brown.
NOTE: If T0004 does not have enough quantity on hand for a specific color, you need to adjust the
quantity on hand with a number above 10 for instance 200. Ask your trainer if you do not know how to
adjust the quantity.
Step by Step
1. Open Inventory and warehouse management > Journals > Item transactions > Transfer.
4. In the From Site field, type "2". In the From warehouse field, type "21".
5. In the To Site field, type "2". In the To warehouse field, type "21".
6. Click the From Color arrow and then select Silver.
7. Click the To Color arrow and then select Black.
4. In the From warehouse field, type "21".
5. In the To warehouse field, type "21".
12. Click the From Color arrow and then select Brown.
13. Click the To Color arrow and then select White.
15. Click Post and then click OK.
16. Click Close to close the message box.
17. Open Inventory and warehouse management > Common > On- hand inventory and then select item
T0004. Click OK.
18. Click Transactions. Select your transfer line and then click Inventory > Transactions in physical voucher.

112
Procedure: Report a BOM as Finished by Using an Inventory Journal

To report a BOM as finished by using an Inventory journal follow these steps:
1. Open Inventory and warehouse management > Journals > Item transactions > Bills of materials.
2. Create a new journal.
3. In the Lines form, do not create new lines manually, but click BOM > Report as finished.
4. In the Report as finished form, click Select and select the item of the type BOM that you want to
report as finished. Click OK.
5. Select any dimension for the item that you want to report as finished.
6. Enter the quantity of the BOM you want to report as finished.
7. Select the BOM version. The BOM version defaults to the active version. However, the user can
select a different version that is approved for the item.
8. Select and Explosion policy. The explosion policy determines the basis of components that are used
in producing the parent item, as follows:
• Never - The underlying BOMs for manufactured components are never exploded so that the
components reflect the single-level BOM. However, the system still explodes requirements through
phantom components.
• Always - The underlying BOMs for manufactured components are always exploded regardless of
inventory availability so that components only reflect purchased items.
• Shortage - Explode only when shortage exists. The explosion of underlying BOMs for
manufactured components reflects available inventory of each component.
9. Select or clear the Post now check box, depending on whether you want to post the transaction now
or at a later from the Lines form.
NOTE: To update the item consumption when you report a BOM as finished – for example, you might
have to specify additional quantities of items because some component items for the BOM were defective
– it might be a good idea to leave the Post now parameter clear. In this manner, you can verify and
update BOM component item quantities before the posting.
10. Click OK and you return to the Lines form where the Bill of Material is exploded into its component
items.
11. When the journal is posted, you can view the transactions that were created from your posting. To do
this, from the posted journal line click Transactions > Ledger > Physical Voucher from the Inventory
transactions form.

113
Procedure: Generate BOM Journal and Lines from the Released Products Details
Form
You can also generate BOM journal and lines if a product that is associated with a BOM is reported as
finished directly from the Released Items list page.
1. Open Product information management > Common > Products > Released products.
2. Select a product that is associated with a BOM.
3. Click the Engineer tab > Report as finished
4. Enter any dimensions and the quantity to be reported as finished.
5. Click OK.
6. Open Inventory and warehouse management > Journals > Item transactions > Bills of materials and
you can verify the journal for the BOM.

114
Lab 8.4 - Create a Bill of Material Journal
Scenario
To satisfy an important customer, the Contoso Company (USMF) has created four Mid-Range Speakers -
(D0001). A customer requested special speakers without Tweeter speaker unit (M0003). Your task is to
register the inventory changes with a BOM Journal.
Step by Step
1. Open Inventory and warehouse management > Journals > Item transactions > Bills of materials.
3. In the Journal lines form click BOM > Report as finished.
4. In the Report as finished form, click Select and then select Item number D0001.
5. Click OK.
6. In the Site field, type "1", and in the Warehouse field, type "13".
7. In the Quantity field, change the value to "4".
8. Clear the Post now check box.
9. Click OK and then close the Infolog.
10. In the Journal lines form, click the component (M0003 Tweeter), and then click Delete.
11. Click Yes to confirm deletion.
12. Click Post.
13. Click OK.
14. Click Close to close the Infolog.

115
Procedure: Create a Warehouse Item

To create a warehouse item, follow these steps:
1. Open Product information management > Common > Products > Released products > Manage
inventory.
2. Select the item that you want to configure and then click Warehouse items.
3. Click New to create a new Warehouse item configuration. Create the number of lines that correspond
to the warehouses and configurations that are used by the item.
NOTE: When you open the Warehouse items form, and no warehouse or combination of product
dimensions have previously been defined, a default line appears with only the counting group from the
inventory item. To create warehouse and product dimension variants for the item, you must create a new
record in the counting journal.
4. Assign a counting group to each line.
Procedure: Create a Counting Group

To create a counting group, follow these steps:
1. Open Inventory and warehouse management > Setup >Inventory > Counting groups.
2. Click New to create a new counting group.
3. Specify an identification and description for the group.
4. Select a counting code:
• Manual: The item is included every time that the job is run. In other words, you decide the
counting interval for the counting group by starting the count job.
• Period: Specify the number of days that make up the period in the Period field.

116
Procedure: Attach a Counting Group to a Product/Warehouse Item

To attach a counting group to a Product/Warehouse item, follow these steps:
1. Open Product information management > Common > Products > Released products > Manage
inventory.
2. Specify the product to which you want to assign the counting group and then click Warehouse items.
3. Click the General tab and select a counting group to attach to the item in the Counting group field.
Procedure: Lock Items During Counting

To lock items during count, follow these steps:
1. Open Inventory and warehouse management > Inventory and warehouse management
parameters > General.
2. Select the Lock items during count parameter.
Now try to sell one unit of an item for the dimension value that is being counted. The message box will
inform you that the item is being counted and is locked for updates. The update will be canceled.
BEST PRACTICE: Selecting Lock During count is unsuitable for companies that, for example, run continuous
production because it prevents updates to any items that are being counted.
Also, even when companies stop production for the weekend, they might still have to deliver goods and the
parameter would stop them from updating orders.

117
Procedure: Print a Counting List

To print a counting list, follow these steps:
1. Open Inventory and warehouse management > Journals > Item counting > Counting.
2. Select the journal for which you have created lines.
3. Click Print > Counting List.
4. Select the Print on-hand check box to include on-hand quantities in the report. You might not want to
have on-hand quantities printed in the report if you want to make sure that quantities of the item are
counted and not just checked off as being the same quantity in the counting list report.
When the count is complete, you must enter what was counted into the system.
Procedure: Completing and Posting Journal Lines

To complete and post journal lines, follow these steps:
1. Open Inventory management > Journals > Item Counting >Counting.

2. Select the journal for which you are running the counting.
3. Click Lines.
4. In the Counted field, enter the actual physical quantity of items counted.
The difference between the on-hand inventory and the counted quantity is calculated automatically
and appears in the Quantity field. Notice that you must enter a quantity, even if the quantity is
zero, for every line that appears in the counting journal.
5. Enter any additional lines for items that were not generated when you created the counting journal
lines. This can be, for example, additional items that you have found in the warehouse and want to
include in the count.
6. Click Post to post any differences in system counted and physically counted quantity.

118
Procedure: View Transactions

To view the transactions that are associated with the posting of a counting journal, follow these
steps:
1. Open Inventory and warehouse management > Journals > Item counting > Counting.
2. In the Show field, select Posted.
3. Select the journal.
4. Click Lines.
5. To view transaction information that is associated with a line item, click Inventory > Transactions >
Ledger > Financial voucher.

119
Lab 8.5 - Create a Counting Journal
Scenario
The Warehouse Manager at Contoso (USMF) wants to verify weekly inventory accuracy of the TVHD (item
T0004) product in warehouse 21, in site 2. She wants to perform a cycle count of this product with or
without on-hand inventory at the time of the count. This new counting group will be 40, TV HD item
T0004.
Your task is to create the new counting group, attach it to the TV HD, and then enter and post the result
of 200 of the cycle count. Make sure that the inventory transaction is visible for the item.
Step by Step
1. Open Inventory management > Setup > Inventory > Counting groups.
2. Click New to create a new group.
3. In the Counting group field, type "40".
4. In the Name field, type "TVHD-T0005".
5. Click the Counting code arrow and then select Period.
6. In the Counting period field, type "7".
7. Save the record by clicking Close.
9. Select Item number T0004 and then click Edit in the Maintain group.
10. In the Manage inventory Fast Tab, select 40 from the Counting group field.
12. Open Inventory management > Journals > Item counting >Counting.
14. Select the Warehouse and Color dimension check box.
15. Click OK.
16. Select ICnt as journal name and click Lines. Click Create > Items.
17. Click the Counting group drop-down arrow and select 40.
18. In the Site field, select 2.
19. Click the Warehouse drop-down arrow and then select 21.
20. Click OK. Find the line with Black as color and delete all the other lines.
21. In the Counted field, type "200", for the line with Item number T0004 - Black.
22. Click Post and then click OK.
23. Click Close to close the message box002E
24. Click Inventory > Transactions to view the generated inventory transaction.

120
Procedure: Create and Process a Tag Counting Journal

To create and process a tag counting journal, follow these steps:
1. From the Navigation pane, open Inventory and warehouse management > Journals > Item
counting > Tag counting.
2. Click Create new to create a new journal.
3. Click OK to close the Dimension dialog box.
4. Click the Lines button.
5. In the Tag field, type "counting tag identifier".
6. In the Item number field, enter the item number.
7. In the Quantity field, enter the counted quantity to be posted and transferred to the counting
journal.
When you post the tag-counting journal, a new counting journal is created based on the tag-counting
journal lines. When this is accepted, finish the process by posting the counting journal.
You can simulate the posting to check the result in the counting journal before you perform the actual
posting of the tag-counting journal. If you are using configurations of the item, you must also specify
those.
1. Click Post and select the Simulation check box, if you want to check the result before actual
posting.

121
Procedure: Manually Blocking Items

Inventory blocking is part of the quality inspection process. During the quality inspection, items are
automatically blocked from consumption or issue. Also, you can manually block items that you want to
prevent from being issued or consumed.
You can block inventory items in three ways:
• Manually
• By creating a quality order
• By using a process that generates a quality order
To manually block items, follow these steps:
1. Click Inventory and warehouse management > Periodic > Inventory blocking.
2. Click New to create a new blocking transaction.

3. In the Item number field, select the item that you want to block.
4. In the Quantity field, enter the quantity that you want to block.
5. If you want to include the blocked quantity in planning activities as an expected on-hand quantity,
select the Expected receipts check box.
NOTE: If the item that you want to block has a specific serial number as indicated on the Inventory
dimensions Fast Tab, you can only block a quantity of one.
To manually unblock inventory items, follow these steps:
2. Select the blocking transaction for the inventory items that you want to unblock and then click Delete.

122
Procedure: Automatic Blocking Setup

When you work with inventory blocking, you must consider the following setup options.
• Determine whether you want to block the full quantity of items in transactions that are
covered by a sampling plan.
• Examine if you want to consider expected receipts for manually blocked items.
To set up a sampling plan, follow these steps:
1. Click Inventory and warehouse management > Setup > Quality control > Item sampling.
2. Click New to create a new sampling plan and fill in information about the sampling plan.
3. Select the Full blocking check box if you want to block the full quantity of items in transactions that
are covered by the sampling plan.
Consider expected receipts for manually blocked items;

2. Click New to create a new blocking transaction, complete the information about the transaction, and
select the Expected receipts check box.

123
Additional Notes:

124
© 2012 Microsoft Corporation. All rights reserved. Microsoft, Microsoft Dynamics, and the Microsoft Dynamics logo are trademarks of the Microsoft group of companies.
The information herein is for informational purposes only and represents the current view of Microsoft Corporation as of the date of this presentation.
Because Microsoft must respond to changing market conditions, it should not be interpreted to be a commitment on the part of Microsoft, and Microsoft cannot
guarantee
the accuracy of any information provided after the date of this presentation.
MICROSOFT MAKES NO WARRANTIES, EXPRESS, IMPLIED OR STATUTORY, AS TO THE INFORMATION IN THIS PRESENTATION

125

80305A - Supply Chain Foundation Appendix For Microsoft Dynamics AX 2012 R2

Caricato da

Informazioni sul documento

Titolo originale

Copyright

Formati disponibili

Condividi questo documento

Condividi o incorpora il documento

Opzioni di condivisione

Hai trovato utile questo documento?

Questo contenuto è inappropriato?

Copyright:

Formati disponibili

80305A - Supply Chain Foundation Appendix For Microsoft Dynamics AX 2012 R2

Caricato da

Copyright:

Formati disponibili

80305A- Supply Chain

Foundation Appendix for

Last Revision: January 28th 2013

©2013 Microsoft Corporation.

CHAPTER 2: PRODUCT INFORMATION MANAGEMENT

4. Click New to create a new product category.

©2013 Microsoft Corporation.

Procedure: Define Attribute Types

©2013 Microsoft Corporation.

Procedure: Define Product Attributes

2. On the Attributes form, click New to add a new attribute.

Procedure: Assign Product Attribute Values to a Product

©2013 Microsoft Corporation.

9. Select the attribute from the list.

Procedure: Create a Product Master

To create a new product, follow these steps:

©2013 Microsoft Corporation.

3. Select Item in the Product type field.

Procedure: Assign Product Dimensions

©2013 Microsoft Corporation.

6. In the Name field, type a brief description of the color.

Procedure: Create Product Variants

4. Click Variant suggestions to open the Variant suggestions form.

Procedure: Release a Product to Multiple Legal Entities

©2013 Microsoft Corporation.

©2013 Microsoft Corporation.

Lab 2.1 - Creating and Releasing Product Masters

Use the following information to set up the product.

To assign product dimensions, follow these steps:

©2013 Microsoft Corporation.

Procedure: Finalizing a Released Product for a Legal Entity

To manually finalize a product for a legal entity, follow these steps:

Procedure: Create a Product Template

Procedure: Apply a Product Template

©2013 Microsoft Corporation.

Lab 2.2 - Create and Apply a Product Template to Multiple Products

• 5202: The Phone Company Mobile Phone L250

2. Click Release products.

To manually finalize a product for a legal entity, follow these steps:

©2013 Microsoft Corporation.

Procedure: Create a Costing Version

2. Click New to create a new line.

©2013 Microsoft Corporation.

Procedure: Add Product in a Costing Version

Procedure: Activate Cost Price from a Costing Version

©2013 Microsoft Corporation.

Procedure: Specify Prices Manually in the Released Products Form

1. Open Product information management > Common > Released products.

Procedure: Update Price Automatically in the Released Products Form

1. Open Product information management > Common > Released products.

Procedure: Set Up Units of Measure

1. Open Organization administration > Setup > Units > Units.

©2013 Microsoft Corporation.

Procedure: Specify a Unit of Conversion for the Unit

1. Open Organization administration > Setup > Units > Units.

©2013 Microsoft Corporation.

©2013 Microsoft Corporation.

CHAPTER 3: INVENTORY MANAGEMENT SETUP

Procedure: Applying the Item Model Group to a Product

1. Open Product information management > Common > Released products.

©2013 Microsoft Corporation.

Contoso Entertainment Systems - Company USMF

To create an item model group, follow these steps: