ACO_MM_TBP_35_Evaluated Receipt Settlement.

To Be Process

Physical inventory procedure into FLEXNETTBP 47 inventory procedure

Table of content

21Document updates and validations

22Scope

22.1Process scope description

22.2Application architecture (global)

32.3Cross references

32.4Open points

33Process

33.1Core model - process flow and description

73.2Country or customer specific - process flow and description

74Business Rules

74.1Core model Business rules

74.1.1Scope of the physical inventory procedure

74.1.2Prerequisites

74.1.3Inventory document creation rule

84.1.4Counting rule

84.1.5Posting rule

84.2Country or customer specific Business Rules

85Key elements of system implementation

85.1Core model Key elements of system implementation

95.2Country or customer specific Key elements of system implementation

95.2.1Activation of user control

95.2.2Activation of stock transfer blocking

95.3Summary

96Organizational roles and impacts

97Application specific development requirements

98Key volume & performance indicators

109Added value for the Business and economical considerations

1 Document updates and validations

The table below lists all modifications and updates done on the considered document. Fill in Date, Author and a summary of the documents update content, reason and/or objectives.

Updates

DateVersionAuthorComment

09/03/05V0LMADocument creation

The table below lists all the successful validations done on the document ; if the document was asked for validation but not validated then there is no entry in this table (status by default is OK).

Validations

DateVersionValidation Resp.Comment

2 Scope

2.1 Process scope description

Describe the functional scope of the considered process, i.e. the scope of this document (what is included and what is excluded to whom or to what site does this process apply - are some countries excluded etc ). If applicable, mention the different functional cases to be covered.

The objective of this document is to describe the use, within Sekurit Avenir Solution, of the physical inventory procedure for products managed into FLEXNET. Physical inventory documents are created into FLEXNET. Based on a counting sheet, operators performed a first counting using the RF gun. Discrepancies are notified into flexnet. If necessary a second count will be done, then posting of discrepancy (stock update) is send to SAP using a WMMBXY IDOC.This document does not deal with the sampling inventory procedure.

2.2 Application architecture (global)

To fill in only if relevant - If the process spans over several applications, describe with help of a scheme those involved systems, as well as all involved interfaces with their Sekurit Avenir codified name. Scheme must be global, i.e. including core model and all country- or client specific systems.

As described below, the physical inventory procedure is performed into Flexnet. When finished, if discrepancies have been notified, an IDOC is send to SAP.

2.3 Cross references

TINM022 Inventory management (winform)TINM023 Inventory counting

2.4 Open points

Printing layout needs to be defined: 1st&2nd counting sheet and adjustment sheet. Country specific parameters should be complete (see 5.2).

Reporting needs should be define.3 Process

Objective of this is to give a clear, concise and exhaustive description of the process

3.1 Core model - process flow and description

1- Generate physical inventory document

This inventory document can be created for :

The couple: Material type and Zone Only a zone

An inventory document is created.

The following document status are managed :

N - New : an inventory doc exist but no bin have been inventoried yet

I - In process : inventory first counting is in progress

F - First counting done : First counting have been done for all the bins

C - Close : This status is affected once the inventory is close, if :

No discrepancy found after first counting or

No discrepancy found after second counting

All the discrepancies are cancelled or posted A counting sheet is downloaded into Excel :

Flexnet inventory doc (barcoded)

Inventory date

Product type

Zone ID to inventor

Bins to inventor (barcoded) 2- Perform first counting Using the RF media, first counting can be performed on 2 level :

A mass-counting at global rack level. By scanning:

product code

standard quantity by rack number of rack. System then check the flexnet stock on the couple Bin/product : if a discrepancy is notified, a second counting (detail counting) is necessary.Example : The Bin 4048 contains 5 racks of product 1901872 (standard quantity by rack 100 pieces). The operator has to :

scan the product code 1901872 scan or enter the standard quantity by rack 100

enter the number of rack 5

A detail counting at label or rack level By scanning :

label or

rack N or

roll N or quality sheet or

The operator can scan directly the quantity of the label (if no product is missing in the rack) or enter the exact quantity of products in the rack.Example : The Bin 4048 contains 5 racks of product 1901872. The operator has to :

scan label or rack ID

enter the exact number of products in the rack or scan the quantity on the label. Operator have the possibility to create a new label (or declare an existing label in the inventoried bin) in order to declare a quantity existing physically but not in the system. 3- List of discrepancy after first counting After the first counting, a list of bin or label where discrepancies have been notified is available on CDM. In case of mass counting, discrepancy will be notified at bin level (only bin N appears). Label N is not known, it is so not possible to post a discrepancy during this step. In case of detail counting, discrepancy will be notified at label level (bin, label N and rack Id appears). Label N is known, so posting is possible if discrepancy is under the 10% tolerance. 4- Post stock adjustment A posting adjustment screen is available.

In case of discrepancy following a mass counting, label N is not known, it is so not possible to post a discrepancy during this step.

In case of discrepancy following a detail counting, label N is known, so posting is possible if discrepancy is under the 10% tolerance (based on Flexnet stock on the couple bin/product). Flexnet stock is updated

A WMMBXY IDOC is send to SAP in order to update SAP stock. Adjustment quantity send to SAP correspond to the counted quantity by RF less the flexnet quantity. A printing of stock adjustment done is available on Excel

5- SAP posting SAP material document is posted, SAP stock is updated. Flexnet inventory doc N is displayed in the SAP material document. The corresponding FI accounting document is created.

The following board defines the movement for each case (label creation, modification ...) to use according to the status of the material and the type of adjustment done.

Test numberSAP TransactionMovement type

701702703704707708

Positive (P)or

Negative (N) adjustmentPNPNPN

Material Status:

-Unrestricted (U)

-quality inspection (Q)

-Blocked (B)UUQQBB

1-Label CreationYNYNYY

2-Label modificationYYYYYY

3-Add product codeYNYNYN

4-Delete labelNYNYNY

A report is available in SAP (using transaction MB51) which permit to obtain a list of the corresponding material doc created.

6- Perform second counting Using the RF media, a 2nd count is performed.

By scanning :

label N or Rack ID where discrepancy has been notified. Quantity of products is entered or scan on the label.

Mass counting is not permitted during the 2nd counting. If required, a control can be activated to avoid user of 1st counting to performed the second counting (see 4.2 for country specific parameters). It is then possible to change edited label quantity to correct the discrepancy or to cancel the discrepancy. 7- List of discrepancy after second counting

After the second counting, a list of label where discrepancies have been notified is available on CDM. 8- Cancel discrepancy An existing discrepancy can be cancelled without adjustment. For example, in case where a label or a rack was physically count on another BIN, supervisor has the possibility to cancel discrepancy on the 2 label in order to balance quantity.Example :

BinPhysicLabel in systemRF action by the opeartorCDM action by the supervisor

Bin 101Count O as label (or rack)

have not been count

discrepancy is notified at label levelCancel discrepancy to balance quantities.

Bin 210An extra label (or rack) is counted, a new label should be created discrepancy is notified at label levelCancel discrepancy to balance quantities.

9- Terminate inventory

When inventory is finished, the inventory supervisor must close the inventory document : If no discrepancy after first counting step, then the supervisor select the line and click on Terminate inventory. If no discrepancy after second counting step, then the supervisor select the line and click on Terminate inventory. If discrepancies found after the first or the second counting step are posted or cancelled by supervisor, then click on Terminate inventory. An adjustment sheet will be available on Excel. All adjustment posted to SAP will be notified at label level. Final layout still to be defines.3.2 Country or customer specific - process flow and description

Same objectives as above but concerning eventual country specific process steps. Again, if the whole process is harmonized across all countries, this section is empty. This topic can be subdivided in different section to cover the different functional cases mentioned in 2.1.Not relevant

4 Business Rules

4.1 Core model Business rules

Describe the main business rules of the core model. The described rules are the common rules and should be valid for all countries except the ones mentioned below under 4.2. A business rule should in theory be system-independent (example-1: the rule that determines the lot sizing of each product). But one can refer to a system object if the enounced rules is key (example-2: every finished good stock movement is keyed in in DCS, when present ) In any case, this section should be short, concise and mentioning only key rules.

4.1.1 Scope of the physical inventory procedure

This physical inventory procedure deals with material managed into FLEXNET Finished products

FER1

Semi-finished products

ZHLB/HLB1

Raw glass

STRA

PET&PVB

STRA

Prelaminat

ZHLB50

PVB

ZHLB10

Products in status Blocked/Rework are also inventoried.

Vendor consignment stock is not to be inventoried.4.1.2 Prerequisites FLEXNET&SAP stocks should be synchronized before launching the physical inventory. It means that IDOC in error should be corrected first. 4.1.3 Inventory document creation rule

This inventory document can be created for :

The couple material type/zone

Only a zone

An inventory documents cannot be generated if another one exists for the same couple material type/zone where inventory status is not closed. If no BIN can be found for the selected zone/product code, the inventory document will not be generated. An inventory document where status is new so not started, can be deleted.

4.1.4 Counting rule

A second counting is mandatory if the discrepancy notified during the first counting is up to 10% (stock on the couple Bin/product). This tolerance level has been defined by SGSI.

If a discrepancy is notified during the first counting using mass-counting procedure, a 2nd detailing counting will be mandatory even if discrepancy is under tolerance of 10%. In dispatching the bins to be inventoried, several operators can works simultaneously on the same Flexnet inventory document. If quantity counted is equal to 0 :

If the label is a mono product one, label is deleted in addition to posting of the adjustment. These action are really performed when the supervisor decide to post the adjustment. If the label is a multi-product one, it becomes a mono-product label. The system will propose a list of PI, the operator must select one of the available PI. After confirmation, the material is deleted from the label, PI is changed and adjustment is posted. This action is really performed when the supervisor decide to post the adjustment.4.1.5 Posting rule

Posting of discrepancies on HLB1 product type is not allowed. Stock should be adjusted by performing consumption and production declaration.

Posting of discrepancies that were identified during a 1st mass counting is not permitted.

Posting of discrepancy is done at label level, one IDOC will be send for each label where a discrepancy have been notified. As a consequence, one material document will be created in SAP for each label discrepancy. For traceability reason, the flexnet inventory document N is transmitted via the IDOC into SAP, it will be copied into a text field of the material document.4.2 Country or customer specific Business Rules

Same objectives as above but concerning eventual country specific business rules ; example : specific Italian legal constraints concerning self billing.

5 Key elements of system implementation

5.1 Core model Key elements of system implementation

Describe the main SAP related elements (customizing, rule, data structure, ) supporting the processes and rules mentioned above. Those SAP implementation elements should be valid for all countries except the ones mentioned below. This topic can be subdivided in different section to cover the different functional cases mentioned in 2.1.

5.2 Country or customer specific Key elements of system implementation

Describe the main SAP related elements (customizing, rules, data structure, ) supporting the country specific processes and rules mentioned above. This topic can be subdivided in different section to cover the different functional cases mentioned in 2.1.

5.2.1 Activation of user control

A control can be activated avoiding that the operator who performed the first count, perform also the second count.CountryActivate user control Y/N/?

GermanyY

PortugalN

BelgiumY

ItalyN

France ?

Spain?

5.2.2 Activation of stock transfer blocking To avoid stock transfer during the inventory, blocking parameters can be activated. This parameter can be activated by division, it will block any stock transfers on the label N where the inventory is in progress.CountryActivate user control Y/N/?

GermanyN

Portugal?

Belgium?

Italy?

France Y

Spain?

5.3 Summary

If relevant, recapitulate all key SAP implementation related elements in a summary table.

6 Organizational roles and impacts

If relevant, summarize the main organizational roles involved in this process and the eventual organizational impacts and evolutions.

Physical inventory procedure is managed by the logistic and controlling supervisor.7 Application specific development requirements

This section lists all the specific developments that are necessary to support the process

Specific SAP transactionIn Bound InterfacesFormsJob Aids (other : Excel,)

Modified SAP transactionOut Bound InterfacesEDI transactionsOther

Modified SAP program (other)ReportsLegacy Change Requirements

8 Key volume & performance indicators

Mention here key figures of volumes and requested performance indicators.

9 Added value for the Business and economical considerations

Mention here factual business related figures and economical data that illustrate : the "weight" of the process and its economical impact ; example : average turnover, inventory value, ROI,

Supervisor

Adjustment sheet

Operator

Supervisor

Supervisor

Supervisor

Terminate inventory

Supervisor

Supervisor

Operator

Supervisor

WMMBXY

IDOC

Cancel discrepancy

8

Supervisor

Update stock

No

Yes

Validate

discrepancy

Operator

Counting sheet

>10%

Operator

Counting sheet

5

Valuated discrepancy on FI doc

Automatic

Update stock

Validate

Post discrepancy

Count

9

Supervisor