Inventory Organization in EBS
This training article will help to understand basic concepts of Define Inventory Organization. An Inventory organization is the facility to store and transact item. The organization must define at least one inventory organization and one sub inventory. You can define more than one inventory organization associated with one or more sub inventories.
Inventory organizations represent physical and logical entities in your enterprise. An inventory organization can have its own location, ledger, costing method, workday calendar, and items.
Navigate to the Inventory Super User responsibility.
Setup>Organizations>Location
Navigate to the Inventory Super User responsibility.
Setup >Organizations >Organizations
Define Inventory Organization as mention in Organization Classification. Location is the physical address associated Plant.
To capture the additional details of the Inventory Organization click on Others button. you can specify accounting information, Inventory Information, Receiving Information.
Inventory parameters
You can specify parameters like Organization Code, Item master Organization information, calendar and other details. As mentioned below you can also enable products and features like WMS, WCS.
Costing Parameters
You can specify Costing parameters like Standard costing, Average costing, LIFO costing or FIFO costing. Also specify Valuation accounting details.
Revision, Lot, Serial, and License Plate Number (LPN) Parameters
While define Inventory Organization you can start revision for all items. Also set lot control and serial control parameters at the organization level.
If Warehouse Management enabled and installed at organization, you can define License Plate Number (LPN) Generating Options.
ATP, Pick, Item-Sourcing Parameters
This enables to Set the available to Promise (ATP) default rule , picking default , item sourcing default for the organization.
Inter-organization Parameters
This enables to determine the parameters the organization uses when it transfer the material between organization.
Other Account Parameters
This enables to setup receiving information, profit and loss account information, and other additional account details.
Navigate to Others >Accounting information
Specify Primary ledger, Legal Entity, operating unit for inventory organization.
Navigate to Others >Receiving information
You can specify receiving details and receiving Inventory account details. Also receipt routing Direct, Standard and Inspection at Organization level.
Define Subinventory
Subinventories are unique physical or logical separations of material inventory, such as raw inventory, finished goods, or defective material. All material within an organization is held in a subinventory therefore, you must define at least one subinventory. Material that resides in a storage subinventory appears in on hand quantity, and is tracked by the system.
Navigate to Inventory Super User responsibility
Setup >Organization >Subinventories
Locators can be controlled at Item level or Prespecified, Dynamic Entry or None. You can specify Stock locators, capacity, Dimensions and coordinates.
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