PURPOSE ------To provide setup requirements and business flow for scrapped assemblies when performing wip move

transactions. SCOPE & APPLICATION ------------------* Setup Inventory Items for WIP (N: Inventory => Items => Master Items) 1. Apply templates that are applicable 2. Assign items to organizations * Define Costs 1. Define costs for the components (N: Cost => Item Costs => Item Costs) 2. Define resource activities and activity costs (N: Cost => Setup => Activ ities) * Receive Items into Inventory thru either: 1. Miscellaneous Receipt (N: Inventory => Transactions => Miscellaneous Tra nsactions) a. Specify Type as Miscellaneous Receipt b. Go to Transaction Lines c. Specify Item, subinventory and quantity 2. Purchase Order Receipt (N: Purchasing => Purchase Order => Purchase Orde rs) a. Create a Purchase Order b. Approve PO c. Perform receiving transaction (N: Purchasing => Receiving => Receipt s) * Define Bill Of Materials 1. Create bills of material (N: Bill of Materials => Bills => Bills) 2. Define resources (N: Bill of Materials => Routings => Resources) 3. Define Departments (N: Bill of Materials => Routings => Departments) 4. Define stadards operations (N: Bill of Materials => Routings => Standard Operations) 5. Define Routings - Optional (N: Bill of Materials => Routings => Routings ) 6. Define workday calendar (N: Bill of Materials => Setup => Calendars) * Define WIP Accounting Classes (N: WIP => Setup => WIP Accounting Class) 1. Define a Class 2. Specify a Type 3. Specify Accounts Valuations & Variances * Define 1. Go a. b. 2. Go 3. If a. b. WIP Parameters per organanization (N: WIP => Setup => Parameters) to Move Transactions Tab and check the following flags: Require Scrap Account Allow Moves Over No Move Shop Floor Statuses to Intraoperation Tab and check Scrap and Reject flags. shared costs exist for organization, then do the following: Navigate to Inventory => Setup => Items => Attribute Controls Change organization's control level to Org level for Costing Enabled and Inventory Asset Value item attributes

* Launch Transaction Managers (N: Inventory => Setup => Transactions => Interf ace Managers) 1. Activate Material, Cost and Move managers * Work Order Creation (N: WIP => Discrete => Discrete Jobs)

1. Select Completion Subinventory under Routing alternative region 2. Release work order 3. Helpful reports to provide job status detail (N: WIP => Reports) Report names: Discrete Job Data Report Discrete Job Dipatch Report Discrete Job Lising Report Discrete Job Routing Sheet * Create Shop Floor Statuses 1. Define Shop Floor Statuses (N: WIP => Move Transactions => Shop Floor St atuses => Shop Floor Statuses) 2. Assign Shop Floor Statuses (N: WIP => Move Transactions => Shop Floor St atuses => Assign Shop Floor Statuses)) a. Define Op Seq Step as "Reject" 3. Helpful report to provide shop floor status detail (N: WIP => Reports) Report name: Shop Floor Statuses Report * Release Material to Shop floor (N: WIP => Material Transactions => WIP Mater ial Transactions) 1. Issue the Push Material to the work order a. Specify job name and subinventory b. Click Done c. Components should now be issued 2. Verify that the issue took place (N: WIP => Discrete => View Discrete Jo bs) * Perform Move Transaction (N: WIP => Move Transactions => Move Transactions) 1. Specify work order 2. Specify operation sequences and steps 3. Specify quantity to be moved * Move Assemblies to the Scrap step (N: WIP => Move Transactions => Move Trans actions) 1. Specify Seq from and Step as "Reject" 2. Specify Seq to and Step as "Scrap" 3. Specify Qty and Scrap account 4. Helpful report to provide scrap transaction detail (N: WIP => Reports) Report name: Discrete Job Value Report