Create a Production Agreement

When a Delivery Agreement has been made for a customer, and the products are not available in stock, then it is possible to create a Production Agreement to order a new production and have products auto reserved to the sales order (Delivery Agreement) as they are gradually produced.

In a Released Delivery Agreement, find the action button on the ribbon to Create a Production Agreement.

First use the Select line(s) action in the ribbon to move Lines for Selection from the left side of the page to the Selected Lines on the right side of the page.

Note: Only items with WF Item Type = WIP or Product can be recorded in a Production Agreement.

Then run the action 'Create Document' on the ribbon.

Now the system auto-creates a Production Agreement based on the sales data already entered into the Delivery Agreement.

Finding the Production Agreement and Traceability

The Production Agreement can be looked up from the Delivery Agreement by drilling down into the Production Agreements counter on the Header.

And the Production Agreement has clear traceability back to the Delivery Agreement, both on header and line level.

Release and Post the Production Agreement

To Release a Delivery Agreement, click on Status > Change Status.

A new window pops up and the user makes sure the Released bubble is selected and then click Yes.

When production is posted against a 'Released' Production Agreement, then notice that when the 'Order' fields are entered (links to Production Agreement) - the system already knows to which Delivery Agreements the finished products should be reserved, and automatically populates the 'Sales' reservation fields.

There are multiple ways to post a Production Agreement, those options can be viewed in the Production Agreement manual. In this example the Production Agreement is posted through the Trade Item Output Journal. To post the Production Agreement click on Posting > Post.

Click Yes to confirm.

If the journal lines were posted successfully the system will display a message at the top of the Trade Item Output Journal.

When the production is posted, the Production Agreement lines are updated with the new production information.

And at the same time the produced goods are automatically reserved to the linked Delivery Agreement (DA lines become green and bold).