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.
- If the part is configurable, a configuration must have been defined.
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:
-
DOP Order: The behavior is controlled by the value in the DOP Connection field:
- Automatic DOP: A DOP header is created automatically.
- Manual DOP: A DOP header is not created automatically. A DOP header can be manually
pegged to the customer order line.
- Release DOP: A DOP header is created automatically. In addition, the DOP structure is
created and released.
-
Shop Order: A pegged shop order is created automatically. The order type of the shop order is set
according to below logic:
- If the part type is Manufactured or Manufactured Recipe, the order
type is set to Manufacturing.
- If the part type is Remanufactured, the order type is set to
Remanufacturing.
- For other part types when the part has a manufacturing structure, the order type is set to
Manufacturing.
- For other part types when the part does not have a manufacturing structure, but a remanufacturing
structure, the order type is set to Remanufacturing.
- Production Schedule: 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.
- Internal Purchase Transit: A purchase order for an internal supplier is created automatically. The
goods will be delivered via the order-taking site. 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. 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.
- Internal Purchase Direct: A purchase order for an internal supplier is created automatically. The
goods will be delivered directly to the customer. 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 a package part is connected, an internal purchase order is created automatically for
the Non-Inventory Purchase Part, which is connected to the Package Part when the sourcing
option is Primary Supplier Direct.
- Purchase Order Transit: A purchase requisition for an external supplier is created automatically.
The goods will be delivered via the order-taking site. 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. 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.
- Purchase Order Direct: A purchase requisition for an external supplier is automatically created. The
goods will be delivered directly to the customer. 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 a package part is connected, an internal purchase requisition is created automatically
for the Non-Inventory Purchase Part which is connected to the Package Part when the sourcing
option is Primary Supplier Direct.
- 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.