The parts department serves the walk-in customer and service operations for internal & external processes. Can it generate profits even in this tough economic times? Yes…I believe it can offer predictable margins with streamlined process paired with high service level. To maintain service level commitments the inventory needs to be available in the right place and right time to serve the request. This translates into the dealer “brand” loyalty, and that means more business in return.
Parts department is one of the key revenue generating areas in any dealer operation. Lets take a quick view on some of the feature & functions.
- Parts Sales order process
- Parts Backorder processing
- Parts return process
Parts Sales Order process
To create a parts sales order, you can use the Order Processing cockpit, Cash Desk or directly using the Create Order transaction.
The order screen is arranged easily in tabs: Header, Item, Parts and Fast Item entry. The DBM order engine(the brain) guides the user to perform next set of actions depending on the status of the order.
You can use the Item tab, Parts tab or Item Fast Entry tab to enter the items in an order. Ofcourse all have specific features to support processes.
Item tab: The search help(F4) on the parts is pretty neat, as it gives a quick view on the parts availability with simple green & red traffic lights.
During the parts entry step, the part is checked whether it belongs to a supersession chain(as defined in the ERP system). If the part belongs to a supersession chain, the available-to-promise (ATP) check proposes the valid parts based on the date and ordered quantities (can be configured as a pop-up with selection).
The parts availability can be seen at the plant level, and now at storage location(new in DBM7.0) level too. Here you see (and also change), is the price, discounts and surcharges. For detailed pricing view, the pricing condition pop-up is always available at a click of the pricing icon .
Parts tab: Typically there are parts(e.g. large or high-valued) which the dealer would either source it from the Vendor or may stock in another location within the dealer network. Well you can trigger the request for procuring such parts seamlessly from the DBM order (Parts tab Procurement section).
Item Fast Entry tab: This is a lean view to maintain the items on the order and lets the user quickly process the order.
Parts Backorder Processing
A new UI now enables the parts clerk to reprioritize and redistribute parts quantities in an easy to use environment that includes mass processing options and other features. This new feature allows clear visibility on the DBM orders items (with parts) which were not fulfilled. An un-fulfilled order implies that one or more parts item has either a partial stock availability or no stock availability.
The web-UI for the Backorder list is based on the POWL(Power Worklist) concept and requires a new user role Parts Backorder Processor.
- Backorder: Perform availability check(ATP) on the selected line items directly from the list.
- Redistribute: Distribute the confirmed quantities from one order line item to another order line item(s)
- Goods Movement: Perform Goods Issue for the selected line items directly from the list.
- Lock status: Check if the selected order(s) line items are locked.
- Sort: Allows the list to be sorted(priortized) by certain criteria/weightage.
- Refresh: Re-execute the query to update the list.
Apart from the above functions, the POWL list can be personlized. You can create a new query or change an existing query.
- Personalization: Lets the user define a new layout for the list. A default layout is delivered with the application.
- Show Quick Criteria Maintenance: Use the available filters to limit the list entries e.g. by customer, advisor, date range, etc. Further you can specify the “Fully confirmed” (order line items for parts with confirmed qty) and a “Sort Id” – criteria which displays the list priortized by certain criteria/weightage.
Parts Return Process
In DBM the return parts process is based on the original parts order. Simply use the copy order functionality to use the original parts order which can be used to generate a parts return order. The system can be configured to perform the necessary checks (surely you remember the SD copy control concept, if not time to brush up on those skills).
In summary, the Parts Backorder processing was a significant enhancement to the Parts process. Checkout Martin’s blog What’s new with SAP DBM 7.0 to read the highlights of SAP DBM7.0