Inventory Organization Creation in R12
Step#1 - Creating Location
Inventory - Navigation: Setup/Organizations/Locations
Define location with address
Check the shipping tab
Step#2 - Creating Inventory Organization
Inventory - Navigation: Setup/Organizations
Create new organization
Enter name, Type, from date, Location – assign above created location
Save
Select name field under organization classification as Inventory organization
Select enabled check box
Save
Step#3 – Operating Unit Assignment
Click on others
In the additional organization information select Accounting Information
Click ok and then click in the accounting information field
Enter below values, This mean we are assigning the inventory organization to vision operations
Click ok and save the changes.
Step#4 – Master Organization Assignment
Now click others and select Inventory Information
This will open the inventory parameter window (same screen can be accessible from Setup/Organizations/parameters)
Step#5 – Costing Information
Enter account number as shown
Step#6 – Other Accounts
Enter account number as shown
Save the information.
Step#7 – Receiving information
Close the inventory parameters window and come back on organization screen
Click on others and select receiving information
In this window you can enter various receiving parameters
Step#8 – Cross check
You can check form the backend the master organization is rightly assigned.
Also if you change the organization you can see the newly created organization is available
Step#9 – Shipping parameters
Inventory - Navigation: Setup/Organizations/Shipping parameters
Enter the shipping parameters
Step#10 – WHS and Freight association
Order Management super user - Navigation: Setup/Shipping/Freight Carrier and cost type
I am assigning the shipping method to the newly created whs. For example DHL
Click on organization assignments and query the warehouse you created above, click the checkbox assigned and and done and save the work.
Step#11– Order creation
Order Management super user - Navigation: orders returns/Sales order
Assign the item you to the organization you have created.
Add the item in the pricelist
Create order
Assign the whs you created with the order
Also on order lines and finally book the order.
This explains the creation of an Inventory Organization.
Thanks,
Ajay