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Calculate WIP for Manufacturing Orders in Sales-Order-Related Production

Definition

In

sales-order-related production with a nonvaluated sales order stock, selecting this indicator has the following effects:

Use

In sales-order-related production, this indicator is only relevant if you are using a nonvaluated sales order stock, and is of particular importance if you are manufacturing across company codes.

For the indicator to be taken into account, the sales order item to which the order is assigned must have a results analysis key, or an item above the sales order item must have a results analysis key. If that is not the case, results analysis data is always calculated for the order, regardless of whether the indicator is selected or not.

If the indicator is selected, then the factor that takes precedence is whether a results analysis key is specified for the manufacturing orders assigned to the sales order item:

If the indicator is not selected, work in process for the manufacturing orders is calculated when results analysis is performed for the sales order item.

If you are engaging in cross-company production in a sales-order-related production environment with a nonvaluated sales order stock, you should select the indicator. In this case, specify a results analysis key in the manufacturing orders assigned to the sales order item. You can define this results analysis key to be a default value for each order type (refer to: Define Default Values for Order Types (PP and CO) ).

Dependencies

The indicator Calculate WIP for Internal and Service Orders w/o Revenue is only relevant when the internal and service orders without revenue are not assigned to any sales order item. If the internal and service orders without revenue are assigned to a sales order item, the setting specified with the indicator Orders in Sales-Order-Related Production takes precedence.