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Fully Utilize Inventory Status for Quality Management in Microsoft Dynamics AX 2012 R3

by Scott Hamilton
Consultant and Author, The Manufacturing Guild

Editor's Note: The following article is drawn from Dr. Hamilton's new book about Warehouse Management using Microsoft Dynamics AX 2012 R3.  The book covers the major approaches to warehouse management and their integration with the broader contexts of supply chain management, quality management and transportation management. 

The full utilization of Inventory Status capabilities represents one of the strategic options for using the new warehouse management capabilities in Microsoft Dynamics AX 2012 R3, as described in a previous article.  The significance of Inventory Status is largely determined by user-defined values to support different purposes and business processes.  In the context of quality management, for example, the use of Inventory Status can be fully integrated into the business processes for receiving inspection and production inspection.  In addition, the use of Inventory Status can apply to both the basic and advanced approaches to warehouse management.

The significance and use of Inventory Status can best be explained in the context of a case study about a typical manufacturing/distribution company deploying AX 2012 R3 across multiple sites with a mix of basic and advanced approaches to warehouse management. They wanted to use different values of Inventory Status to support a range of business processes -- from receiving inspection to supply chain coordination.  This article starts with a summary of the case study, and then focuses on receiving inspection activities.  The article consists of the following sections.

  1. Summary of Case Study
  2. Two Meanings of the Term "Inventory Status"
  3. Variations of Receiving Inspection
  4. Receiving Inspection using Inventory Status - at the Main Sites
  5. Receiving Inspection using Inventory Status - ...

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About Scott Hamilton

Scott Hamilton has consulted globally with several hundred manufacturing/distribution companies on SCM and ERP issues. His publications include multiple books about SCM using Dynamics 365FO/AX, two textbooks about SCM/ERP, and 100+ articles in MSDynamicsWorld.com. Scott has been a frequent speaker at Microsoft and user group conferences around the world, and a 10-time winner of the rarely given Microsoft MVP award.

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