Background: Receipt Tolerance Codes Maintenance
Use the Receipt Tolerance Codes Maintenance (TRTCM) program to add or change, copy, and delete codes that establish tolerance levels for over-receipts of manufacturing orders and vendor purchase orders.
By establishing tolerances, with the ability to specify the limit by item, operator errors (e.g., entering 100 instead of 10) are prevented and vendors are held accountable for over-shipments and over-charges. Different limits are defined for manufacturing order receipts and PO receipts. See Road Map for work flow.
Receipt tolerances are the parameters used to alert the planner or buyer when more is received than was ordered. Decisions can then be made to reduce future orders or take other action. An email is sent to the planner/buyer for the item. If no planner is specified for the item (in Branch Item Maintenance) (or the planner does not have an email address), email notification is sent to the buyer specified on the purchase order header.
Upper and lower tolerances may be defined as:
a percentage (Receipt extension - PO extension / PO extension x 100)
a straight quantity overage (Qty received - PO qty ordered)
an extension (Qty received x PO unit cost - qty ordered x PO unit cost)
After installation the system default manufacturing receipt tolerance code (maintained in System Options Maintenance - Manufacturing Options) is blank. A blank receipt tolerance allows unrestricted manufacturing over-receipts with no advisory message displayed by the receiving programs or by WIP Movement when good and scrap pieces are reported against an operation.
The system default purchasing receipt tolerance code (maintained in System Options Maintenance - Purchasing Options) is the pre-established PURCHTOL code. If unchanged, the receiving programs display an advisory message and let the operator continue in the event of an over-receipt against a PO line.