Homogenised Movements

As well as individualised SKU level accounting - there is the concept of homogenised stock.

Under this concept, a group of SKU's are homogenised and treated on a grouped basis.

As the homogenised group of SKUs moves between locations, they are accounted for as a single unit not as the underlying constituent SKUs.

 

This concept can be better understand through the following examples.

 

Example

Details

Purchase Order

These are incoming boxes that, until we have investigated their contents and have been booked in, will require a recorded location. This will be referenced by the P/O and associated  Barcode.

Jobs in Progress

When stock is picked for a job, movement transactions occur - that is one or more SKU’s will have been physically removed from their storage location (and debit the storage location balance) and are grouped together and associated to the job.

 

The stock moves around the factory between the various process areas as required by the process lines on the job.

The homogenised storage location for this situation is known as the picked stock location.


When the final production process is completed, the stock is
actualised through a process called Data Entry

 

Data entry books  decorated product SKUs  into a location.

In essence Data Entry transforms stock from a grouped job level entity into individual SKU balances booked into storage locations

 

Fulfilment in Progress

This works in an identical way to jobs in progress.

Assuming a linear path of a decorated product SKU booked into location at the end of the production process (Data Entry), the despatch of this product will occur at some point via a Fulfilment.

 

When the decorated SKU is picked for the fulfilment, it is physically removed from its storage location (which debits the SKU balance for the storage location) and the stock is then associated as a grouped element against the Fulfilment

Again this is known as a picked stock location

 

It is worth remarking that whilst a production cycle may involve a (booked in) Blank stock SKU being picked from location for a job, often blank stock will have been specifically ordered for the job, and when delivered is processed straight through to the job order. Under this situation, the blank stock is never actualised as individual SKU’s booked in to a  location, as it is simultaneously picked.

 

Movements for Homogenised Stock

Purchase Orders

When a delivery is received on a purchase order the following happens

The homogenised stock is credited to a location

When the stock is actualised and booked in the following occurs

DR Location for Homogenised Stock

The actualised stock (SKU's) are accounted for per PO booking in process

 

Jobs

When stock is picked for a job, it transitions from SKU level to homogenised level

It is then placed against a picked stock location and moves between locations in a homogenised form until the last process is completed and the stock is again actualised via data entry at which point the homogenised stock is transitioned back to SKU and booked into one or more locations - so Location Balance and Qty available are credited with the quantity produced, and the corresponding expected amounts are zero'd

 

Fulfilments

Actualised stock must first be picked for fulfilments - once picked the SKU level stock is again transitioned to a homogenised state and placed against location(s) to awaiting despatch.

When despatched, the homogenised stock is debited from the location.

 

Movement Types with relation to Homogenised Stock

These can be summarised as follows.

 

Object

Place

Move

Purchase Order

Requires destination location; and records that location against PO record
Note: It does not overwrite any exist locations recorded on the PO
A PO could be in multiple locations

Requires location; and records new location against job record
It also debits the selected PO from the existing location

Jobs in Progress

Requires destination location; and records that location against Job record
Note: It does not overwrite any exist locations recorded on the job
A Job could be in multiple locations

Requires location; and records new location against job record
It also debits the selected job from the existing location

Fulfilment

Requires destination location; and records that location against Fulfilment record
Note: It does not overwrite any exist locations recorded on the Fulfilment.
A Fulfilment could be in multiple locations

Requires location; and records new location against fulfilment record
It also debits the selected fulfilment from the current location