Material Workbench and Benefits

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Material Workbench and Benefits

Material Workbench and BenefitsOracle Material Workbench is the integrated Function of Oracle Inventory. We can check the Item availability in the Organization. This availability can be under different status such as On Hand Quantity, Available to Reserve and Available to Transact.

The Material status is drilled down from Organization to Sub-inventory and more detailed to Locator level. Oracle Inventory has provided the facility to check the Item Stock using different grouping such Item Wise, Location wise, Statuses wise, Grade wise etc.

As Oracle Inventory is tightly integrated with Other Oracle Application the data displayed in Material workbench is fetched from all related modules.

We can check the Item position using the Material query wherein we can define the combination of the Item Name, Organization, Sub inventory etc. The Quantity of the Item is displayed in both Primary and secondary UOM if applicable. Material work bench displays only those Items having the attribute stock able and Quantity should be more than 0.

There are different values which are displayed in material workbench:

On Hand Quantity: On hand quantity is the physical quantity of the item which we can transact.

Reservation: A reservation of the material means the logical booking of the Item based on the demand source. Physical on hand quantity of the Item is not required at the time of reservation. At the time of the reservation the quantities from the Pending Purchase Orders, WIP Jobs are consider.

The above figure displays different quantities which are calculated based on the formulae. It depends on two things: Demand source (order line or Demand Source Name in case of manual reservations) and subinventory you are transacting with.

Subinventory: If you are performing a transaction with a subinventory that is not reservable, then ATR is zero, but ATT is whatever you can transact.

If you take manual reservations, can go manually reserve quantity up to lot level in the reservations screen (the same orders do automatically). If the Subinventory test is passed, now the logic looks at who is trying transacting. If the demand source is same as who has reserved it then the ATR and ATT are same. If not ATR is subtracted from the Quantity On Hand and resulting is ATT.

Available To Reserve (ATR):
ATR = On Hand – Reservations.
Here system considers reservations against Sales Order, Purchase Order, WIP Job order etc.

Available To Transact (ATT):
ATT = Quantity already reserved + ready to transact

Benefits of Material Work Bench:

As we have seen the material work bench displays the exact quantities available for Promise and transaction, The Material work bench is very useful for the Sales Team to agree upon the delivery schedule of the sales order.

It is also useful to the Procurement team to plan the future procurement of the material and other related services related to the material.

The Material Work bench is also helpful to the Planning team; the production plans can be prioritized based on the delivery schedules and requirement of the Item.