Enter Non-Inventory Sales Part

Explanation

Use this activity to enter, modify, or delete non-inventory part records. Before a non-inventory registered part can be sold, it must have been entered as a non-inventory sales part. Such a part can be either a service or a part that for any reason is not entered as an inventory part, even though it is sold by the company. Examples include training courses, and cleaning or maintenance services.

The company tax regime determines whether a tax code must be entered for a sales part. If the company tax regime is VAT or Mixed, then a tax code or a tax class is mandatory. If the company tax regime is Sales Tax, then a tax code or a tax class is not mandatory. The rules are as follows:

1. If the company tax regime is VAT and the sales part is taxable, then a tax code or tax class is mandatory and any tax code can be used.
2. If the company tax regime is VAT and the sales part is not taxable, then a tax code or tax class is mandatory and the tax code must be 0%.
3. If the company tax regime is Mixed and the sales part is taxable, then a tax code or tax class is mandatory and any tax code can be used.
4. If the company tax regime is Mixed and the sales part is not taxable, then a tax code or tax class is mandatory and the tax code must be 0%.
5. If the company tax regime is Sales Tax and the sales part is taxable, then a tax code or tax class is not allowed.
6. If the company tax regime is Sales Tax and the sales part is not taxable, then a tax code or tax class is not allowed.

In this window, you also define the default setup for sourcing. The default sourcing option for a sales part is Not Supplied. When a customer order line is entered for a sales part with the default sourcing option, the value Non Inventory is displayed in the Supply Code field. If you want the sales part to be sourced automatically, set the sourcing option to Use Sourcing Rule and enter an appropriate sourcing rule. If you do not know how the sales part should be supplied, set the sourcing option to Not Decided. When a customer order line is entered for a sales part with the Not Decided sourcing option, the value Not Decided is displayed in the Supply Code field.

If the sales part is sourced from another site within your system, i.e., the sales part has the supply code Internal Purchase Transit or Internal Purchase Direct, then the purchase part connected to this sales part must have the supply site set as a possible supplier. A corresponding sales part (and perhaps also an inventory part) with the same part number as the purchase part must exist at the supply site. The sales part at the supply site can, in turn, also be sourced from yet another supply site. There are no IFS system limits as to the length of the supply chain. However, it is important that the sales parts are the same type in both the demand site and the supply site when the sites belong to the same legal unit. In other words, the sales parts should either be inventory parts in both sites or non-inventory parts in both sites. This is necessary for correct inventory values.

Furthermore, where such multi-site transactions will take place among various IFS companies, it is very important that a price is entered. This is the multi-site transfer price (cost). If this is left as zero, then there might be posting ambiguities between the different sites and companies. Consider the price to be the agreed company transfer cost. Where the sales part price in the supply site is different to the purchase part price in the order taking site, then IFS will use the sales part price and change the purchase order price if the internal customer order is confirmed.

Prerequisites

This activity has the following prerequisites:

• The person entering the sales part must be connected to at least one site.
• The units of measures that will be used must have been activated in the system. Do this in IFS/Application Services, Units of Measure window.
• A sales price group and a sales group must have been entered and saved. Do this in the Sales Basic Data/Sales Price Groups and Sales Basic Data/Sales Groups tabs.
• If the company should apply Sales Tax instead of VAT, you must have defined this tax regime in the Company/Invoice/Tax Information tab.
• It is not possible to enter any tax code if the company's tax regime is set to Sales Tax..
• For the non-inventory sales part to inherit customer warranty data, the warranty data must first have been entered for the part catalog part.
• If you set the value in the Sourcing Option field to Use Sourcing Rule, then a sourcing rule must be defined.

System Effects

As a result of this activity:

• The non-inventory sales part can be used when entering customer orders. The data saved in the Non-Inventory Sales Part window will be used as default values when you enter a customer order line.
• A corresponding record will be created in the Part Catalog
• When the non-inventory sales part is created, it inherits any default customer warranty defined for the part catalog part.
• Non-inventory parts can be specified as parts of a package part, or as a complementary part.

Window

Non-Inventory Sales Part

Related Window Descriptions

Non-Inventory Sales Part
Non-Inventory Sales Part/General

Procedure

1. Open the Non-Inventory Sales Part window, and with the cursor in the header area, select New.
2. Using no more than 25 alphanumeric characters, enter the desired sales part number
3. Enter a description of the non-inventory registered part. If you need to change the site, use the List of Values.
4. In the General tab, enter the sales unit of measure and price unit of measure in the Units of Measure section, either manually or by using the List of Values. If sales and price unit of measure are not the same, you need to change the price conversion factor to get the right sales price. The units of measure are mandatory.
5. Optionally, you can connect the non-inventory sales part to a purchase part. To do this, enter values in the Sourcing section. The purchase part number can be entered manually or by using the List of Values. Use the Sourcing Option field to specify how this part should be supplied; the default value is Not Supplied.
6. Enter sales price group and sales group either manually or by using the List of Values.
7. Select the Active check box.
8. Unless sales tax is applicable for the company, you should enter the appropriate tax code or tax class either manually or using the List of Values.
9. If the company normally applies VAT but some parts are never liable for VAT, you must apply a VAT rate of 0 (zero).
10. If the company normally applies sales tax but some parts are never liable for sales tax, the Taxable check box should be cleared.
11. Enter price and cost for the sales part in the Price and Cost fields. If your company is using VAT Tax Regime, you have the possibility to enter a price including VAT in the Price incl Tax field instead. The Taxable checkbox must be selected to do this. Enter the including tax price to calculate the net price or vice versa.
12. If desired, enter document text or notes by right-clicking and selecting the appropriate options.
13. Save the record.