Make to Stock:

Discrete Manfacturing discusses more in Make to Stock, where business will forecast the demand and
produce the finished good and maintain it in the warehouse.Whenever business gets actual demand
they the sell the finished goods.

Configure to Order:

In CTO business doesnt produce the FG based on the forecast,instead get the order from the customer
and then business will go for production.

So After getting actual demand business will produce the quantity. The actual demand comes from Sales
order in the application. Sales order quantity is actual demand.

First sales order is prepared and then Manufactuing WO is created and against the sales order pick and
ship is preformed.

CTO

Based on the customer requirement, FG good is prepared. The reason is a product can be configured in
to multiple ways and shipped to the customer. Eg: laptop having different configuration.

1. ATO: Assemble to Order

Assemble the FG in the ware house and directly shipped to the customer location

2. PTO: Pick to Order

Components are shipped to the customer location and the FG is assembled in customer location. Eg: AC
machine.

ATO: Create SO -->configure SO ( selecting the customer requirement )--> Book SO --> Progress SO
-->submit Auto create Final Assembly Orders program ( sales order data transfered to Discrete Job
ORder ) -->Find Auto generated Discrete Job -->create Move ORder --> Create material transactions -->
Complete DJ --> pick release --> Ship confirm

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ATO Setup

Define Model Bill:

under one model we maintain options and option will be provided to customer and customer can select
the options.

N number of level Model bill can be maintained under the same model bill only ( 60 level is maximum in
Oracle Application )

1. Define ATO Model Item:

Inv -> Items -->Master Items --> Choose the Org ( Eg: CPU )

Model item is not stockable item as we have multiple options.

Apply template --> ATO Model

Disable Stockable and Transactable check box

Enabled BOM allowed

Disable Build in WIP

OM it is not Shippable

Now save the form. Assign the item to Org.

2. Define ATO Optional class Item

Inv--> Items --> Master item ( Eg: HArd disk )

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Template : ATO Option Class

This is also not stockable item.

Disable Stockable and Transactable check box

Enabled BOM allowed

Disable Build in WIP

OM it is not Shippable

Save the item -->Org Assignment

Repeat the same for all the Option class item ( eg: Processor, Memory Disk )

3.Define Standard Components ( 500 GB hard disk,1 TB Hard Disk, i5 processor, i7 processor )

This can be Purchased item or Finished goods

Inv--> Items --> Masters items

Template --> Purchased Goods or Finished Goods.

This will be stockable and transactable and shippable.

BILL Setup

1.ATO_MODEL Bill Item ( CPU )

2.ATO Option class item ( Hard Disk )

3.Standard component (Purchasable or FG )

4.BOM Parameter Setup

For CTO parameter is mandatory.

Choose the item validation org and open the BOM parameter

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Number method: Append the Sequence

5. Define Optional Class bill ( Hard disk having 500 GB and I TB component - Purchased or FG items )

Enable Optional check box under OM tab.

6. Define ATP Model Bill ( CPU having Optional class bill, hard disk and processor )

Enable Optional check box under OM tab.

7. Check the Indented Bill ---> All the level of BOM will be visible.

8. We can transfer ATO Optional class bills from one org to another org.

We can copy bill from one to org--> tools copy bill

9. Assing required work flows to line level transaction type

OM-->Setup --> Transaction Types --> Define---> Select F11 ---> Query Transaction type as Mixed -->After
querying Click Assign Line Flows button -->Select ( line invoice item) --> Selct item type: included Item -->
select Process Name: Line flow Generic.

Assign Line flow button --> Select line invoice item---> Select Item Type: configured Item --> Select
PRocess Name: Line Flow - Configuration--> Select start date

Assign Line flow button --> Select line invoice item---> Select Item Type: ATO Item--> Select PRocess
Name: Line Flow - ATO Item -> Select start date

Assign Line flow button --> Select line invoice item---> Select Item Type: ATO Model--> Select PRocess
Name: Line Flow - ATO Model-> Select start date

Now finally save the Transaction Type form

CREATE SALES ORDER

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OM--> Order,Returns --> Sales Order -->

Under Under Order Information tab and Main tab

Select the customer name.

under Other tab

Select the Warehouse

*Now click Line Items Tab

*Select the Order Item --> ATO Model Item defined in Bill --> Select the quantity---> Select Configurator
button---> Configurator form will open---> You can select the Option class item defined under the Model
item ( either 500 GB hard disk or 1 TB)

*Now click Preview Configurtion --> to view the final configration --> Select the buttom Finish.

*Now all the Option class which was selected is visible in Line item tab.

*Now Click Select Book Order Button.All the line status will be booked.

*Keep the cursor in ATO Model item --> Select Actions Button --> Select Progress Order --> Create
Configration - Eligible --> Select OK

Now Configured item will get generated.

In BOM Parameter --> IF we choose Append with Sequence then the configured item will triger a
number againt the ATO model item

IF we choose Replace with Sequence then the confugured item wll triger only the number and ATO
Model Item will not be visible

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*Now check the Line Status

Configured item will be in supply Eligible. Note down the sales order number.

*We can check the Configured item automatically generated in Item master screen which is created by
the system.

*The same we can notice configured item BOM which we selected in Sales order in Bill screen.

Till now we have selected the customer requirement in Sales Order now this should be produced in
Manfacturing.

* SUBMIT CREATE FINAL ASSEMBLY ORDER PROGRAM

OM--> View--> Request --> Submit a new request --> %Auto Create Final Assembly Orders

Enter the sales Order

Enter Load Type: Both Configired and non-configured Orders

Enter the Status: this status will be visible in Manfacturing Discrete Job

Submit the request.

Once completed a additional program will generated and get completed. Assemble to Order Mass Load
Report. This output will have Job number and Configured item will be displayed.

*Got to WIP ---> Discrete Job --> Find the Job

*Job will be opened with Released stauts

Only components will be visible and supply type will be push and we need to perform material
transaction manually. Onhand will be 0.

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Operation will not be available for this job. If we want we can manually create Operations. This is not
mandatory to do. If no operation is required then we can directly complete the WO.

*To create Manual operation --> WIP --> Discrete Jobs --> Operations --> Select the Job orders -->
Choose the Operations.

*You can change the supply type of the Job WIP --> Discrete Jobs --> Chose Material Requirement
-->update to Operation Pull --> item will be issued upon completion of the operation

*We can select the Finished good subinventory.

*Adjust Onhand of the Quantity.

Inventory --> Transactions --> misscellenous transactions --> misceelenous receipt--> Select the item

Once onhand is increased. The sub inventory can be added toDiscrete Job Operations

*Create Move Transaction to perform the operations

WIP--> Move Transactions --> Move Transactions --> Select job number --> Select the transaction type as
move--> Queue to To move --> Choose the quantity --> Click Save.

*Create Completion Transactions

WIP --> Material Transactions -->Completion Transactions

After Performing the WIP completion transaction, if we check the sales order line status

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OM --> Orders, Returns --> Query the number --> We can notice all the item will be booked but only the
configured item will be in Awaiting shipping.

*Pick and Ship

OM--> Shiping --> Transactions--> Select the Order number --> Select button Find.

Select the button Pick and ship and close the form.

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