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Kathy Barthelt
/ Categories: Infor LN & Baan Tips

Infor LN & Baan Tip: Navigating the Complexities of Surcharges on Phantom Items in Manufacturing

Is it ok to define surcharges on phantom items?

It is advised not to use surcharges on phantom items for the following reasons:

  1. The usage of phantom surcharges makes it, in general, more difficult to understand, verify, and explain the result of the cost price calculation.
  2. Real phantom items do not exist in real life. It is only an efficient way to specify the BOM. It is therefore questionable if surcharges should be defined for these non-existing phantom items.
  3. The usage of phantom surcharges can lead to variances in production orders, depending on the actual usage of the phantom.
  4. When surcharges based on added costs are defined for both the main item and the phantom item, then the surcharge will be applied twice.

Alternatives are:

  • Define the required surcharges on the main item of the phantom.
  • Define the required surcharges on the sub-item of the phantom.
  • Define a (backflush) operation on the phantom to cover the handling costs (if any) of a phantom item.
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Kathy Barthelt

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Tips:  LX | BPCS | M3

This method of inventory tracking is slow, and prone to human error.

Putting a simple barcode system in place speeds up the process of tracking inventory movements, reduces the likelihood of mistakes, and creates a recorded history of the who/what/where that can provide valuable insight to those who make critical business decisions for your business.

Not sure where to start? Contact us and we’d be happy to help you take the first step.

 

Optimize Your Manufacturing Today!

Congratulations! You bought that shiny, new car! It has all the features you can possibly want and goes a million miles an hour. It can take you anywhere your heart desires…….but you rely on a manual scooter to get you around. You know, the kind you had when you were a kid…BEFORE you could drive…before you could afford the BMW. Make sense? Uh... no.

You’d never do this, right? So, why are you doing this with the ERP system that runs your business? Why are you relying on spreadsheets and separate little Access databases to record and store the information that is the most critical to your business when you have an ERP system that is meant for this? Why continue to plod along at a snail's pace when you have the tools to take your business to the next level?

Your ERP system is your BMW. Use it. See what it can do for you. Think you’ve used it to its potential? Unlikely. We’ve helped customers breathe new life into their EXISTING ERP version all by unlocking functionality for them that was already there and ready to use! We’ve also helped by offering add-ons to the ERP that can make your productivity skyrocket.

Ask us how. We’ve got an extra set of keys to the BMW in case you lost yours.

Optimize Your Manufacturing Today!

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Tips: LN | Baan

All actions required for converting, validating, matching, and posting electronically received bank statements can be performed within a single session:

  • Bank Statement Workbench (tfcmg5610m100)
  • Bank Statement (tfcmg5610m000)

Alternatively, you can use the sequence of electronic bank statement sessions outlined below.

Steps to Process Electronic Bank Statements:

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