Maintain warehouse hierarchy (Manufacturing only)

(MRP, Works Orders)

Note: You can maintain the warehouse hierarchy if you are using Sage 200 Manufacturing.

Before running MRP Materials Requirements Planning (MRP). MRP recommends purchase orders, transfers and work orders to balance supply and demand., or allocating or issuing stock in Works Orders, you must define a hierarchy of supply warehouses. The hierarchy determines which warehouses are checked for stock during these processes.

In order for warehouses to be available for use in planning and works orders, you must select Valid for component source on the warehouse details. If you don't, then you can select the warehouse in the hierarchy but it will not be available for works order allocations for the parent warehouse and will not be assessed by planning when looking at required replenishments for the parent warehouse.

See an example

Warehouse	Valid for Component Source
1	Yes
2	Yes
3	No
4	No

The hierarchy for warehouse 1 includes warehouses 1, 2 and 4 (by ignoring the warning).

In Bill of Materials, you will only see warehouses 1 and 2 in the warehouse list.

In Planning, stock in warehouses 3 and 4 is ignored when assessing requirements for demand in warehouse 1.

Works Orders ignores stock in warehouses 3 and 4 when trying to allocate a works order build in warehouse 1.

MRP checks all warehouses in the hierarchy. Recommendations to raise purchase orders or works orders are made if there is not enough stock in the warehouses to meet the demands.

Works Orders checks the warehouses and allocates and issues stock from the warehouses in the hierarchy.

To maintain warehouse hierarchy

Open: Stock Control > Stock Maintenance > Maintain Warehouse Hierarchy.

Select the warehouse for which you want to maintain a hierarchy of supply warehouses.
Click Edit.

The Edit Warehouse window appears.
1. Select the warehouses that you want to be available to source components Raw materials used to manufacture finished goods. during MRP Materials Requirements Planning (MRP). MRP recommends purchase orders, transfers and work orders to balance supply and demand. scheduling and works orders allocation and issue.
  
  Note: You must have selected Valid for component warehouse on the warehouse details window in order for the warehouse to be used in the planning and works orders modules.
2. To confirm your selection, click OK.
Click OK.