Release Customer Order
Explanation
This activity is used to release a customer order. Release a planned customer
order by using Release command. The status on the customer order header is updated
from Planned to Released. Once activated, the customer order is ready to continue
in the order flow prescribed for the order type.
To release several customer orders at the same time, use
Quick Order Flow Handling.
Prerequisites
- The customer order header must have been entered and saved.
- The customer order must be in Planned status.
- If the Production Schedule supply code is selected, the inventory sales
part must have been associated with at least one production line, at a site
with a positive scheduling percentage for which a horizon ID is specified
on the Production Line/Schedule Attributes
tab in IFS/Manufacturing Standards.
- If you want to have pegged orders created automatically based on a capability
check upon release, you need to do this capability check before the order
is released.
- If the order has been associated with a project on the
Customer Order/Order
Details tab, all the order lines need to be connected to the
same project.
System Effects
- When released, the order status is updated from Planned to Released.
This means that the customer order is available for other operations and
can continue in the order flow prescribed for the order type.
- Effects of releasing a customer order on a customer's credit limit:
According to the release, a credit check is executed for the order. First,
the system checks whether the customer is credit-blocked in the customer
record. Then, the value of all order lines that have the status Released
to Delivered, but have not yet been invoiced (except cancelled orders),
are totaled so that they do not exceed the customer's credit limit. When
the status is Partially Delivered, the amount that is taken into
consideration is for those lines that are still not invoiced. Any credit
invoices are taken into consideration, too. If IFS Financials is installed,
all outstanding invoices are included as well. When the credit limit has
been exceeded or the total overdue amount (which has also exceeded the allowed
overdue days) exceeds the allowed overdue amount, the order acquires the
status Blocked and is stopped in the order flow. The order can, however,
be released manually in Handle Blocked Customer
Orders.
- Effects of releasing a customer order on supply codes:
When you release
the customer order, any needed purchase requisition (external supplier),
purchase order (internal supplier), or shop order is automatically created.
If the supply code is set to Purchase Order Direct or Internal
Purchase Direct, the delivery information and delivery address of the
order line will be used on the pegged purchase order line that is created,
either directly or when created from the purchase requisition. If the supply
code is Internal Purchase Transit or Purchase Order Transit,
the delivery information and delivery address on the pegged purchase order
line will be according to defaults defined in the relation between the demand
site and the supply site. The pegged purchase order header will always have
delivery information and delivery address according to defaults defined
in the relation between the demand site and the supply site, even if all
lines are direct deliveries.
Note that pegged orders for configured
lines are not created when the customer order is released, until a configuration
has been defined for the line.
When using a supply code where the parts
will be transported via your inventory (Internal Purchase Transit
or Purchase Order Transit), the wanted receipt date on the purchase
order is calculated to the wanted delivery date on the customer order minus
the time needed for picking and delivery of the customer order. If the wanted
receipt date is not a working day in the distribution calendar the system
sets the receipt date on the corresponding purchase order to the last working
day before the date that was calculated. No receipt date check is made on
the purchase order toward any calendar when you use an order flow with direct
delivery to the customer.
When using the Production Schedule supply
code at the time the customer order line is released, the production schedules
are generated to meet the demand quantity. If the part is associated with
more than one production line, the line percentage and the default scheduling
method is used to apportion the customer order quantity to the lines. No
automatic reservations are created upon receipt of production. The order
must be reserved using the normal inventory order processes. Priority reservations
are not created regardless of inventory levels or availability. If manual
reservations exist for the order line, only the difference in required delivery
quantities is released to the production schedule. A pegging relationship
is not maintained between the customer order and production schedule loaded
on the lines, which means that in the event of order changes or cancellations
the resulting implications would need to be handled manually by you.
- Effects of releasing a customer order on manually sourced order lines:
When a customer order line is sourced manually, the line can be split and
sourced from one or several different sourcing alternatives (including your
own site). Therefore, when the customer order is released, every sourced
line will create a new corresponding customer order line. For example, a
customer line that was sourced against three different suppliers will have
three customer order lines with different suppliers after release. Also
note that any reservations made against the sourced lines (only possible
when sourcing against internal suppliers or your own stock) will be moved
to the corresponding customer order line. Finally these reservations will
be moved from the customer order line to the internal customer order once
it is created.
- Effects of releasing a customer order on Next Level Demand Planning:
If you perform Next Level Demand planning, a single level material plan
will be created. The part planned will be sourced using make/buy splits
and supplier part information to determine the order proposals. If the net
requirement is for a part that is sourced from a multi-site planned internal
supplier, then a distribution order will be created. If the part is sourced
from a make/buy split with supplier splits, this process would result in
the creation of a combination of outputs in the form of shop requisitions,
distribution orders, and purchase requisitions. Otherwise, the Inventory
Part type and the Inventory Part Supply type will determine the type of
requisition or order to create.
- Effects of releasing a capability-checked customer order:
If you
have done a capability check, you cannot release the order if the latest
release date is in the past. The order will remain in status Planned.
Instead you should do a new capability check. When the order is released,
the system will act differently depending on if interim orders exist or
not; i.e., if interim orders were saved during the capability check or not.
Interim orders will never be saved if you have chosen reservation and allocation
option Neither Reserve nor Allocate for your capability check. Interim orders
will always be saved when you have chosen reservation and allocation option
Allocate Only or Reserve and Allocate. For further details, please refer
to About Capability Check.
- Effects of releasing a customer order on sales promotions:
A new
calculation of sales promotions is triggered.