Oracle Inventory – Inventory Controls

Oracle Inventory – Inventory Controls:

Oracle Inventory provides Inventory Controls to control / track individual items or a group of items when transactions are performed in an organization.

Example:

If a car manufacturer realized that one of the component of the Brake assembly is not working properly as there are lot of similar complaints by many customers. In order to track the Brake assembly manufactured using that component lot number. Likewise for Pharmaceutical industry to control the expiry date of the medicine.

Any combination of the below inventory controls can be implemented for each item.

1. Locator Control

2. Revision Control

3. Lot Control

4. Serial Number Control

Inventory controls are optional for all items, it can be defined for specific items also.

1. Locator Control:

Locators are structures within sub inventories. Locators are the third level structuring of Oracle Inventory. Locators may represent row, bin or rack in the organizations. So that the items can be received and ship directly into & from the defined locators.

During a material transaction, Oracle Inventory checks the specified locator control options. If the Locator control is enabled, then a valid locator should be entered where the parts are to be receive or from which locator the part is to be issued for the transaction.

Navigation:

India Local Inventory > Oracle Inventory > Setup > Organizations > Parameters > Inventory Parameters Tab

Locator Control Options:

None:

Inventory transactions within this organization do not require locator information.

Prespecified only:

Inventory transactions within this organization require a valid, predefined locator for each item.

Dynamic entry allowed:

Inventory transactions within this organization require a locator for each item. A valid, predefined locator, or define a locator dynamically can be chosen at the time of transaction.

Determined at sub inventory level:

Inventory transactions use locator control information that is defined at the sub inventory level.

Hierarchy:

Oracle Inventory uses the below hierarchy to determine which locator control option to enforce during the transactions:

1. Org level overrides sub inventory and item level

2. Sub inventory level overrides item level

3. If decision is to item level, Oracle Inventory uses item level.

2. Lot Control:

Oracle inventory provides a complete lot number support for the inventory transactions. Lot can be enabled for a specific item in an inventory org. For the items under lot control, Lot number to be assigned during each receipts into the inventory org and thereafter the same lot number to be referred for every material transactions and even while taking Miscellaneous receipt for the items.

Lot control is a technique for enforcing the use of lot numbers during material transactions, thus enabling the tracking of batches of items throughout their movement in and out of inventory. 

Lot number is to identify a specific batch of an item that is received and stored in an organization. An inventory receipt can be split into several lots, based on business requirement. Quantities can be added to existing lot numbers. Inventory will generate default lot numbers by using the default lot number generation method which is configured in the Organization Parameters window.

Navigation:

India Local Inventory > Oracle Inventory > Setup > Organizations > Parameters > Revisions, Lot, Serial And LPN Tab

Lot Number Uniqueness:

Across items:

Enforce unique lot numbers for items across all organizations.

None:

Unique lot numbers are not required.

Lot Number Generation Option:

User-defined:

You can define a lot number for an item when you receive it.

At organization level:

The system uses values you enter in the Prefix, Zero Pad Suffix, and Total Length fields to automatically generate a lot number for an item when you receive it.

At item level:

The system uses the starting lot number prefix and the starting lot number that is defined in the item master to automatically generate a lot number for an item when it is received.

Indicate whether to add zeroes to right-justify the numeric portion of lot numbers (Zero Pad Suffix).

Optionally, select an alphanumeric lot number prefix to use for system-generated lot numbers when lot numbers are generated at the organization level.

Optionally, define the maximum length for lot numbers.

3. Serial Number Control:

Oracle inventory provides complete serial number support for the inventory transactions. Serial number control can be enabled for specific items in an inventory org.

For items under serial number control, you assign unique serial numbers to individual units and thereafter reference the same serial numbers each time you perform material transactions.

Serial number is an alphanumeric piece of information assigned to an individual unit of an item.  A serialized unit is a combination of an item number and a serial number.

Individual units of items can be tracked by using serial numbers. Serial number control is a system technique for enforcing the use of serial numbers during a material transaction. Serial numbers can be used to track items over which a very tight control is to be maintained.

Navigation:

India Local Inventory > Oracle Inventory > Setup > Organizations > Parameters > Revisions, Lot, Serial And LPN Tab

Serial number uniqueness:

Within organization:

Enforce unique serial numbers within the current organization.

Within inventory items:

Enforce unique serial numbers for inventory items.

Across organizations:

Enforce unique serial numbers throughout all organizations.

Serial Number Generation Option:

At organization level:

Define the starting prefix and serial number information for items using the information you enter in the following fields of this window.

At item level:

Define the starting serial number prefix and the starting serial number when you define the item.

Optionally, select an alphanumeric serial number prefix to use for system-generated serial numbers when generation is at the organization level.

Optionally, enter a starting serial number to use for system-generated serial numbers.

4. Revision Quantity Control:

Revision quantity control can be defined for any item to track quantities by revision. If Revision quantity control is enabled for an item, then a revision number to be provided during the every transaction of that item.

Defining an Item under Revision Control:

Item can be placed under revision control by checking the box `Revision control` in Inventory tab while defining new item or for existing item.

Transaction cannot be performed without specifying a valid Revision for the item under revision control. Revision control cannot be changed when an item has on-hand quantity.

Different revisions can be defined in different organizations if not defined at master level.