Jcurve Support Articles / Supply Chain Management

Understand Item Commitment Transaction Ordering Preference

Written by
Junica Ann Capili
Published on
June 22, 2023 at 11:26:44 PM PDT June 22, 2023 at 11:26:44 PM PDTnd, June 22, 2023 at 11:26:44 PM PDT

Scenario

User needs to know how the Item Commitment Transaction Ordering works.

This preference is found by navigating toSetup > Accounting > Accounting Preference > Order Management tab > Sales Order section. It allows users to choose in which demand order will open quantity of items be committed to. There are three options : Order by Expected Ship Date, Order by Order Priority and Order by Transaction Date.

The option selected affects how orders are arranged in the Reallocate Items page. If Order by Transaction Date is selected, orders on the page are arranged by Transaction Date. If Order by Expected Ship Date is selected, the orders are arranged by Expected Ship Date.

The commitment of the available quantity of an item is based on the available quantity at the time of creation. The Committed Quantity on existing orders created prior to the new order will not change regardless of the preference selected above and regardless of the transaction date or the expected ship date.

Related enhancements are the following:

  • Enhancement92543- Sales Orders>Allocate available inventory on Ship Date instead of on order entry (per Commit preference). This particular enhancement request was submitted for accounts regardless whether or not Demand Planning Feature is True of False.
  • Enhancement235394- Ability to automatically re-distribute quantity commitment based on Expected Ship Date either upon creation or edit of a Sales Order.
Note:To search and vote for the Enhancement see10054 Voting for Enhancements

Illustration below is based on this sample scenario:
  • Today's Date is 1/10/2020
  • Item Record of Item XXX > Purchasing/Inventory Tab > Locations Sublist > Location A
    • Quantity On Hand : 1
    • Available : 0
    • Committed : 1

Solution

Scenario 1: Order by Transaction Date

  1. Navigate toTransactions>Sales>Enter Sales Orders

  2. Customer:Entercustomer

  3. Transaction Date:Enter1/5/2020

  4. Expected Ship Date:Enter2/5/2020

  5. Location:EnterLocation

  6. ClickItemstab

  7. Item:EnterItem

  8. Quantity:Enter1

  9. ClickSave

  10. Navigate toTransactions>Sales>Enter Sales Orders

  11. Customer:Entercustomer

  12. Transaction Date:Enter1/1/2020

  13. Expected Ship Date:Enter2/10/2020

  14. Location:EnterLocation

  15. ClickItemstab

  16. Item:EnterItem

  17. Quantity:Enter1

  18. ClickSave
    Note:Results show Committed of 1 on Sales Order # 1 (created in steps 1-9) and Back Ordered of 1 on Sales Order # 2 (created in steps 10-18). Commitment on the prior order will not change even though Transaction Date in Sales Order #2 is earlier than the Transaction Date in Sales Order #1 as commitment happens based on the available quantity at the time of the creation.

Scenario 2: Order by Expected Ship Date

  1. Navigate toTransactions>Sales>Enter Sales Orders

  2. Customer:Entercustomer

  3. Transaction Date:Enter1/5/2020

  4. Expected Ship Date:Enter2/5/2020

  5. Location:EnterLocation

  6. ClickItemstab

  7. Item:EnterItem

  8. Quantity:Enter1

  9. ClickSave

  10. Navigate toTransactions>Sales>Enter Sales Orders

  11. Customer:Entercustomer

  12. Transaction Date:Enter1/10/2020

  13. Expected Ship Date:Enter1/10/2020

  14. Location:EnterLocation

  15. ClickItemstab

  16. Item:EnterItem

  17. Quantity:Enter1

  18. ClickSave
    Note:Results show Committed of 1 on Sales Order # 1 (created in steps 1-9) and Back Ordered of 1 on Sales Order # 2 (created in steps 10-18). Commitment on the prior order will not change even though Expected Ship Date on Sales Order #2 is earlier than Expected Ship Date on Sales Order #1 as commitment happens based on the available quantity at the time of the creation.

Scenario 3: Order by Transaction Date with New Quantity Received Between Orders

  1. Navigate toTransactions>Sales>Enter Sales Orders

  2. Customer:Entercustomer

  3. Transaction Date:Enter1/5/2020

  4. Expected Ship Date:Enter2/5/2020

  5. Location:EnterLocation

  6. ClickItemstab

  7. Item:EnterItem

  8. Quantity:Enter1

  9. ClickSave

  10. Navigate toTransactions>Sales>Enter Sales Orders

  11. Customer:Entercustomer

  12. Transaction Date:Enter1/1/2020

  13. Expected Ship Date:Enter2/10/2020

  14. Location:EnterLocation

  15. ClickItemstab

  16. Item:EnterItem

  17. Quantity:Enter1

  18. ClickSave

  19. Navigate toTransactions>Sales>Enter Sales Order

  20. Customer:Entercustomer

  21. Transaction Date:Enter1/10/2020

  22. Expected Ship Date:Enter1/10/2020

  23. Location:EnterLocation

  24. ClickItemstab

  25. Item:EnterItem

  26. Quantity:Enter1

  27. ClickSave

  28. Navigate toTransactions>Purchases>Enter Purchase Orders

  29. Vendor:EnterVendor

  30. Location:EnterLocation

  31. ClickItemstab

  32. ClickItemssublist

  33. Item:EnterItem

  34. Quantity:Enter1

  35. ClickSave

  36. ClickReceive

  37. ClickSave
    Note: Results show Committed of 1 on Sales Order #1 (created in steps 1-9) and Back Ordered of 1 on Sales Order #2 (created in steps 10-18) and Back Ordered of 1 on Sales Order #3 (created in steps 19-27). However, when new quantity of 1 was received (created in steps 28-37), the new quantity was committed to Sales Order #2 (1/1/2020) as the Transaction Date on Sales Order #2 (1/10/2020) is earlier than that of Sales Order #3.

Scenario 4: Order by Expected Date with New Quantity Received Between Orders

  1. Navigate toTransactions>Sales>Enter Sales Orders

  2. Customer:Entercustomer

  3. Transaction Date:Enter1/5/2020

  4. Expected Ship Date:Enter2/5/2020

  5. Location:EnterLocation

  6. ClickItemstab

  7. Item:EnterItem

  8. Quantity:Enter1

  9. ClickSave

  10. Navigate toTransactions>Sales>Enter Sales Orders

  11. Customer:Entercustomer

  12. Transaction Date:Enter1/1/2020

  13. Expected Ship Date:Enter2/10/2020

  14. Location:EnterLocation

  15. ClickItemstab

  16. Item:EnterItem

  17. Quantity:Enter1

  18. ClickSave

  19. Navigate toTransactions>Sales>Enter Sales Order

  20. Customer:Entercustomer

  21. Transaction Date:Enter1/10/2020

  22. Expected Ship Date:Enter1/10/2020

  23. Location:EnterLocation

  24. ClickItemstab

  25. Item:EnterItem

  26. Quantity:Enter1

  27. ClickSave

  28. Navigate toTransactions>Purchases>Enter Purchase Orders

  29. Vendor:EnterVendor

  30. Location:EnterLocation

  31. ClickItemstab

  32. ClickItemssublist

  33. Item:EnterItem

  34. Quantity:Enter1

  35. ClickSave

  36. ClickReceive

  37. ClickSave
    Note:Results show Committed of 1 on Sales Order #1 (created in steps 1-9) and Back Ordered of 1 on Sales Order #2 (created in steps 10-18) and Back Ordered of 1 on Sales Order #3 (created in steps 19-27). However, when new quantity of 1 was received (created in steps 28-37), the new quantity was committed to Sales Order #3 as the Expected Ship Date (1/10/2020) on Sales Order #3 is earlier than that of Sales Order #2 (2/10/2020).

#Commitment Preference
#Item Commitment
#Item Commitment Logic in Transactions
#Understand Item Commitment Transaction Ordering Preference
Jcurve Support Articles / Supply Chain Management