Configure the order proposal

To use the order proposal process properly, you need to know what stock you want to hold for each article (as little as possible, always sufficient or something in between). You use this information to configure the order proposal per article.

Description

Order proposal lines can originate in sales orders, a stock replenishment and/or cost estimate.

If you want to have order proposals generated based on sales orders, you specify this for the article in the Order proposal with sales field.

Example: 

If you have activated the Order proposal with sales field for an article, an order proposal is created for the quantity that you sell. If you create a sales order for 5 units, an order proposal will thus be generated for 5 units.

In addition to sales orders, you can also have order proposals generated based on the stock replenishment set for the article. Profit automatically generates order proposals if the stock reaches the minimum level.

When an order proposal is created, the cost estimate lines in Profit Projects can also be taken into account. In the order proposal, you enter the project number and, if applicable, the project phase.

You set the sources from which order proposal lines can originate in the article itself.

Why which combination?

Depending on the article and the type of stock you want to maintain for it, you set a combination of stock replenishment, order proposal and stock check. In order to determine the best combination, for each article you need to know:

• What is the delivery time for the article?
• What is the delivery time the sales contact accepts (if rush orders occur on a regular basis, you should have stock)?
• What does it cost to hold an article in stock for a particular period?
• What is the minimum, average and maximum stock that you should hold?
• Etc.

Based on these criteria (and possibly others) you decide what kind of stock you want to hold and how you check and replenish it.

Note: 

The quantity reserved in backorders is not included in the order proposal.

Using the order proposal, you can have the purchase contact directly deliver articles to the sales contact. You must configure this in Order management. In Projects this works from within the cost estimate without any additional setup.

Preparation

• Configuration

  If you want to track stock, you first have to activate and configure this.

• Create a preferred purchase contact

  After creating a purchase contact, you can record specific item data for the purchase contact. For example, at the level of the item code for the purchase contact you can specify that this is the preferred purchase contact for an article and record the article code that the purchase contact uses for the article.

Procedure

• Order proposal / stock check combinations

  Within Profit, you have four stock check options for an article and five options for using the order proposal. Each combination is possible but not every combination is useful. A correct method of stock management results in a low stock level (low costs) and a high delivery reliability.

• Set up an order proposal from a sales order per article

  You can automatically copy lines from sales orders to the order proposal. You can, for example, always do this or only when a stock shortage is detected. That way, you do not forget about any articles that must be ordered when purchasing stock.

• Set up an order proposal from stock replenishment per article

  In addition to sales orders, you can also have order proposals generated based on the stock replenishment set for the article.

• Cost estimate

  A clear cost estimate provides transparency for you and the client. You use the cost estimate to gain insight in the number of hours and the quantity of materials that can be used for a project.

• Import order proposal settings for an article

  You cannot specify that an order proposal should be generated automatically for all articles. You have to set this up per article. You can however import these settings per article. For this purpose, use the Article import.

Also see

• Add a sales order with an order proposal

  Order proposal lines can originate in sales orders (as well as from a stock replenishment and/or cost estimate). If you add a line in a sales order, a check is made to see whether or not the line must be passed on to the order proposal. As soon as a line is passed on to the order proposal, you see the quantity in the Pending order quantity field.

• Have a purchase contact deliver to a sales contact address using an order proposal

  Using the order proposal, you can have articles on a sales order delivered directly by the purchase contact to the sales contact delivery address. You can use this method for articles that are not frequently sold and for which you therefore do not want to hold stock. For a quick delivery, you use the order proposal to have the purchase contact deliver directly to the sales contact. In this way, you also save on shipping costs.

• Create order proposals for the entire stock using central purchasing

  The central purchasing takes place using order proposals. When generating an order proposal, the entire stock, irrespective of the warehouse, is included in the calculation of, for example, the stock to be replenished. The purchase orders that you generate from these order proposals are always delivered to the central warehouse.

• Generate order proposals per warehouse

  In case of multiple warehouses, Profit automatically generates an order proposal per warehouse if you have not configured 'central purchasing'. When the order proposal per warehouse is calculated, the minimum stock and the stock replenishment that you have specified on the Stock tab per warehouse are also replenished.

• Configure purchase for each purchase order