Make to Order Planning

The IFS Make to Order Planning solution is called Dynamic Order Processing (DOP). The functionality involves configuration possibilities, pegging, and actual costing for customer orders, purchase orders, and shop orders. Basically, all of the necessary components to build a final product are ordered for each customer order and managed/monitored by DOP ID, so-called Seiban in Japanese. In most make-to-order situations, the challenge is to confirm a delivery date that is both material and capacity checked. This must be done inside the order booking process. Once the order is confirmed, the handling is very similar to normal make-to-stock-planning. The method is widely used in different types of production and is characterized as follows:

• In general, the total lead time is rather long; however, it is easy to track the progress of a component's orders by DOP ID.
• Each component's order due is defined by DOP ID; therefore, it can easily be adjusted if necessary.
• Actual cost data is gathered by DOP ID, and can be utilized for management purposes.

IFS/Dynamic Order Processing is highly integrated with MRP and customer order processing to provide more flexible ordering capability for each product based on it's characteristics, as well as flexible and powerful management capability. It can very easily be applied to many different areas; engineer-to-order, make-to-order, assemble-to-order, and make-to-stock.

IFS/Dynamic Order Processing manages everything from flexible order structure creation, order release, order progress monitoring, and pegging to customer order and shipping. It is a part of IFS/Manufacturing, but is also integrated with IFS/Distribution and IFS/Financials. The Inventory module is common to IFS/ Manufacturing and IFS/Distribution. The modules work together so that you can automatically create dynamic orders directly from a customer order in IFS/Distribution, or create dynamic orders independently and peg them to customer orders when you need to do so.

Sub Processes to Make to Order Planning are:

• Create DOP Header Manually
• Create DOP Structure. Here, you create and maintain an order structure.
• Net DOP Order/Structure
• Perform CRP
• Generate DOP Alarms
• Maintain DOP Plan/Orders
• Release DOP Order
• Calculate and View DOP Cost
• Perform CBS

With these sub processes, you can:

• Define necessary basic data for Dynamic Order Processing.
• Easily create an order structure and maintain it.
• Specify whether netting should be done for each DOP ID or DOP order; therefore, it is possible to control at the detail level.
• Net any excess DOP order and/or excess inventory.
• Provide an efficient ordering capability by integrating with MRP and customer order processing.
• Monitor the progress by DOP ID, making it possible to take proper action in time.
• Calculate standard, estimated, and actual cost by each DOP ID.