Manage S&OP Variations with Critical Lot Attributes using Microsoft Dynamics AX 2012

Editor's Note:  In the second of this three-part article, Dr. Hamilton reviews S&OP variations for items with critical lot attributes.  These represent slight differences in the baseline model for solving common S&OP scenarios.  The continuation of the first article is reflected in numbering of sections and case studies. 

Sales and operations planning (S&OP) game plans represent a cornerstone for effective supply chain management in a manufacturing business.  The nature of an S&OP game plan depends on several factors, and several unique factors must be considered for those products with process manufacturing characteristics.  One unique factor involves items with shelf life, as described in the first article within this series.  Shelf life impacts sales order processing and master scheduling logic, two key elements in the S&OP game plans.

This article examines a second unique factor involving items with critical lot attributes - also known as inventory batch attributes in Microsoft Dynamics AX terminology, or batch attributes for short.  Customer requirements for these critical batch attributes must be considered in sales order processing, and Dynamics AX 2012 offers capabilities to manage them in different scenarios.  Some scenarios employ batch attributes representing potency, and the use of potency-based formulas within production.  This unique factor impacts sales order processing and sometimes batch order processing, which represent two key elements in the S&OP game plans.

2.  S&OP Variations for Items with Critical Lot Attributes

S&OP variations for items with critical lot attributes are common in the chemical industry and several other industries.  Previous articles covered