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Chapter 2: Item Tracking − Transparency

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CHAPTER 2: ITEM TRACKING − TRANSPARENCY Objectives

The objectives are:

• Trace posted serial/lot numbers throughout the supply chain. • Navigate with serial/lot numbers. • Print serial/lot number documents. • View all expired items.

Introduction Transparency and traceability of serial/lot numbers is important for the effective item tracking and a requirement in certain industries under the rules of the FDA and EU. Item Tracking in Microsoft Dynamics� NAV 5.0 introduces several improvements and new features with the common purpose of increasing the transparency of item tracking information in the system. New advanced search functions help users track an item's current position anywhere in the internal or external supply chain. This includes information about how it got there and where it is going. Specialized item tracking reports can be printed for selected order documents, and a toolset is provided so developers can add a generic item tracking report to any printable document that hold serial/lot numbers. This chapter provides training on all the new features within the theme of item tracking transparency and is taught as part conceptual description and part demonstration of actual use, and exercise labs on selected functionality.

NOTE: The term "Item Tracing" is introduced as a suitable name for the new feature objects that does not conflict with the use of "Item Tracking" as the overall name of all features that relate to serial/lot number management. Conceptually, "trace" is synonymous with "track," and the two terms are therefore used interchangeably in this training material.


What�s New in Microsoft Dynamics NAV 5.0 − Application Part II

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Item Tracing There is a growing demand for the ability to track items from the vendor to the customer. This is due in part to new directives from the European Union (EU) toward businesses dealing in perishable goods. Also, requirements from the United States Food and Drug Administration (FDA) and consumer requests are pushing the need for traceability. Moreover, when errors occur during item flow, the errors must be identified and affected items must be prevented from leaving the company. If defective items have already been shipped, it is important to trace who received them and, if it is required, to recall them. The first aspect of defects management is to investigate where the defective items were used. This investigation is based on historic data and is facilitated in Microsoft Dynamics NAV by searching through item tracking entries using the Item Tracing window. The second aspect of defects management is to determine if the tracked items are planned for in open documents, such as unposted sales orders or consumption journals. This work can be done in the extended Navigate window. Refer to the topic titled "Navigate with Serial/Lot Numbers." The item tracing feature is designed with three basic limitations:

• It uses posted documents only (not open documents). • It tracks items with serial/lot numbers only. • Items must be set up for specific tracking.

Accordingly, the item tracing feature tracks through the history of item ledger entries carrying serial/lot numbers and answers questions such as:

• Where did the defective component come from? • In which products and sales is the defective component used?

The answers are presented in the Item Tracing window as a chain of all the posted documents the item flowed through � sorted either backward or forward in the chain depending on the trace method.



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FIGURE 2-1: THE ITEM TRACING WINDOW The most important user requirement in item tracking is to present data in a transparent way where the user controls the view. A search in item tracking entries can result in many records, and if all records are presented at one time, they can be difficult to use. It is also important for a search engine to have effective search filters and functions and also the ability to keep track of the search history. The Item Tracing window fulfills these requirements with the following features.

Expandable/Collapsible Lines To reduce complexity of search results, the Item Tracing window is designed to only show the highest level of the item ledger entry chain first. From this initial overview, the user can then investigate lower levels by expanding the lines. Expanded lines are indented under their preceding trace line in order to provide additional transparency of the item's flow through a supply chain. The different views are selected from the Functions button, or by clicking +/- icons in the Expand/Collapse field of each line.

Search Filters Four main filters can be used to delimit the search:

• Serial No. • Lot No. • Item • Variant



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All four filter fields have lookup buttons for selecting data from master data records. Accordingly, only serial/lot numbers with information card records can be selected from the Serial No. Filter and Lot No. Filter fields. However, any serial/lot number can be entered directly in the fields.

NOTE: The lookup from the Serial No. Filter and Lot No. Filter fields opens the new Serial No. Information List and Lot No. Information List windows respectively. This new feature is also described in the chapter titled "Usability" in the topic titled "Serial/Lot Numbers and Reclassification."

In addition to the basic filters, users can define to what extent production components are included by selecting one of these trace settings under the Show Components field:

• No � to not include components in the trace result • Item-tracked Only � to only include components that have serial/lot

numbers (this is set as default) • All � to include all components

BEST PRACTICES: Because items without serial/lot numbers cannot be used for additional tracking, the All setting is mainly used to obtain an overview of the whole component list of a particular production order being traced.

Two Search Directions Business flows vary from company to company and the Item Tracing feature is therefore designed to search either forward or backward in the supply chain. To support, for example, the quality control tasks of first determining where a defect was introduced, and then, where the defect was used, two trace methods exist.

Usage − Origin The Usage � Origin method traces the item starting from where it was used in the program and backward to where it came from. For example, if a manufactured item was sold to a customer, the trace result shows the sales shipment line first. This can then be expanded to show from which production order it came.

Origin − Usage The Origin � Usage method traces the item starting from where it came into inventory and forward to where it was used. For example, if a manufactured item was sold to a customer, the trace result shows the finished production order first. This can then be expanded to show in which sales shipment lines it was used.

Search History In between the header and the lines part of the Item Tracing window is a narrow band that shows at all times which filters and settings are used to generate the trace result. This ever-changing string of settings works as a kind of search history to provide overview as users browse through trace results.



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Functions The following functions are available from the Functions button.

Set Filters with Line Values This function inserts the values of the selected line in the respective filter fields in the header and executes a trace. This function is useful, for example, when the origin of the defective item is found and that particular trace line must form the basis of additional tracking with the same trace method.

Trace Opposite − From Line This function resembles the Set Filters with Line Values function, except it executes the trace in the opposite direction. This function is useful, for example, when the source of a defect is found and the usage of that defect must be found � by tracing in the opposite direction. Refer to the demonstration titled "Trace from Origin to Usage."

Next/Previous Trace Result These two functions move through the history of trace results, as shown in the search string under the header, and change the display of the trace result accordingly. Clicking the forward/backward arrows to the left of the search string has the same effect as these functions.

Integration to Navigate The Item Tracing feature searches through historic data only. Therefore, most item tracking processes at some point incorporate the Navigate feature for a listing of all records and documents where a particular serial/lot number occurs. For this purpose, the Navigate window is extended with an Item Tracking tab. Refer to the topic titled "Navigate Serial/Lot Numbers." The Navigate window can be opened directly from the Item Tracing window and will then be preset with Navigate results based on the serial/lot numbers that are used as filters in the Item Tracing window.

Item Tracing Specification Report The trace result (lines in the Item Tracing window) can be printed directly from the window. The report is a one-to-one reproduction of the trace result. This means that collapsed lines are only included if they are first expanded in the window. The report can only contain eight of the columns available in the Item Tracing window. But the user can easily define which to include. The report request form contains eight lookup fields in which users can define for which columns the trace result is shown in the report, for example:



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FIGURE 2-2: DEFINING WHAT TO DISPLAY IN THE REPORT The report definitions made in Figure 2-2 results in the following report:

FIGURE 2-3: ITEM TRACING SPECIFICATION REPORT Notice that the report also has options to include the number and name of the customer or vendor of traced sales or purchase documents. Accordingly, it is a useful printout to reference when investigating an item flow.



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Opens from Multiple Places The Item Tracing window can be opened from:

• All relevant History menu folders in the navigation pane • Serial number and lot number information cards

When it is opened from, for example, a lot number information card, the lot number and item number in question will be preset in the filter fields of the Item Tracing window, and an initial trace with the default trace method is executed. This completes the conceptual descriptions of the Item Tracing feature. In the following are two short demonstrations illustrating a complete item tracking process, starting with a trace of usage to origin and then a trace of origin to usage. A demonstration of item tracking with Navigate based on the same scenario is provided in the topic titled "Navigate Serial/Lot Numbers."

Demonstration − Trace from Usage to Origin

ATTENTION: Continue in the Cronus database created during the Usability chapter. This demonstration shows how the system supports the initial defects management task of identifying which items were defective and which vendor supplied them. This demonstration is based on the trace method Origin � Usage. Scenario: Ricardo, the quality controller, is acting on a sales return of item 1002, Racing Bike. The customer, Selangorian Ltd., complained that the frame has cracked welding seams. QC engineers have confirmed that the racing frame of the returned bike is defective. The quality controller must now determine:

• Which lot of racing frames was faulty • On which purchase order was the faulty lot received

From the sales department, the quality controller knows which sales shipment the returned racing bike was shipped on and he knows that the serial number is SN1. From the usage of item 1002 on that sales shipment, he must first trace the origin to establish which lot number the faulty racing frame came from. The results of this first item tracking task identify which items were defective and which vendor supplied them. Afterward, but in the same overall tracking process, the quality controller must find all the sold racing bikes that contain racing frames from the faulty lot so that those orders can be stopped or recalled. This second item tracking task is performed by tracing from source to origin. Refer to the demonstration titled "Trace from Source to Origin."



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To prepare the demonstrations of Item Tracing and Navigate, start by creating two new items and then continue to purchase, produce, and sell the new items in different transactions to create a varied item tracing foundation.

Steps Start by creating these two new items:

• 2000, Racing Frame: lot-specific tracking, component of 1002 • 1002, Racing Bike: serial number-specific tracking

1. Open the existing item card of item 1900, Frame.

2. Click Edit, then click Select, and then press Ctrl+C to copy all selected data.

3. Press F3 to open a new empty item card, and press Ctrl+V to paste the copied data into the new card.

4. Click OK to the two messages, and then overwrite the No. field with the number of the new item, 2000.

5. In the Description field, enter Racing Frame.

6. Look up from the Base Unit of Measure field and select PCS.

7. Click the Item Tracking tab and select LOTALL in the Item Tracking Code field.

Continue to create item 1002, Racing Bike

8. Open the existing item card of item 1000, Bicycle.

9. Click Edit (in the menu bar), Select and then press Ctrl+C to copy all selected data.

10. Press F3 to open a new empty item card, and press Ctrl+V to paste the copied data into the new card.

11. Click OK to the two messages, and then overwrite the No. field with the number of the new item, 1002.

12. In the Description field, enter Racing Bike.

13. Look up from the Base Unit of Measure field and select PCS.

14. Click the Item Tracking tab and select SNALL in the Item Tracking Code field.

15. Click the Replenishment tab and look up from the Production BOM No. field.

16. Modify production BOM 1000 to contain item 2000, Racing Frame (remember to recertify the BOM).



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FIGURE 2-4: MODIFIED PRODUCTION BOM WITH COMPONENT 2000 Continue to purchase racing frames.

17. Create and post the following purchase order from the vendor Custom Metals Incorporated.

Item Location Qty. Lot No. 2000 BLANK 10 LOT1

18. Create and post the following purchase order from the vendor

Coolwood Technologies.


Continue to produce the Racing Bikes

19. Create the following released production order.

Item Location Qty. Serial No. 1002 BLANK 2 SN1 SN2

20. Click LINE→ PRODUCTION JOURNAL.

21. In the Production Journal window, select the consumption line of item 2000 and then click LINES→ ITEM TRACKING LINES.



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22. In the Item Tracking Lines window, look up from the Lot No. field, select LOT1 and close the window.

25. Leave all other defaults in the production journal and post it.

Continue to create one more production order using racing frames from LOT1.

26. Create the following released production order.

Item Location Qty. Serial No. 1002 BLANK 2 SN3 SN4

27. Click LINE→ PRODUCTION JOURNAL.

28. In the Production Journal window, select the consumption line of item 2000 and then click LINES→ ITEM TRACKING LINES.

29. In the Item Tracking Lines window, look up from the Lot No. field, select LOT1 and close the window.

30. Leave all other defaults in the production journal and post it.

Continue to sell racing bikes

31. Create and post the following sales order to Selangorian Ltd.

Item Location Qty. Serial No. 1002 BLANK 1 SN1

32. Create and post the following sales order to The Cannon Group PLC.

Item Location Qty. Serial No. 1002 BLANK 1 SN2

Continue to sell racing frames. The Cannon Group PLC also orders four separate racing frames for their own assembly line.

33. Create the following sales order.


ATTENTION: Do not post the last sales order (for five racing frames).

This completes the preparation of data to demonstrate the Item Tracing and Navigate features. Now continue to the actual demonstration of the functionality.



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Steps Start the demonstration by determining which lot was faulty:

1. Click MANUFACTURING→ HISTORY→ ITEM TRACING.

2. Enter 1002 in the Item Filter field and SN1 in the Serial No. Filter field.

Keep the default setting of Item-Tracked Only in the Show Components field, and keep the default trace method of Usage � Origin.

3. Click Trace.

FIGURE 2-5: COLLAPSED TRACE RESULT OF USAGE � ORIGIN

Notice that one sales shipment header matches the search criteria. Before continuing the trace, verify that shipment 102033 is the one that shipped the faulty racing bike to Selangorian Ltd.

4. Put the pointer on the tracing line and then click LINE→ SHOW DOCUMENT (or press Shift+F5) or use the lookup button in the Description field.

Now continue to trace the origin of this sales shipment.

5. Click the + icon in the Expand/Collapse column or press Shift+Ctrl+A to gradually expand and trace backward in the chain of transactions that sales shipment 102033 originates from.

The next posted document backward in the chain is the output posting from a released production order.



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The next posted document backward after that is the consumption posting from a released production order. Here the quality controller sees that the racing frame carries LOT1. He can now continue to determine which vendor supplied LOT1. The lowest posted document in this trace is the posted purchase receipt on which racing frames with LOT1 entered inventory. The complete supply chain with all trace lines expanded looks as follows:

FIGURE 2-6: EXPANDED TRACE RESULT OF USAGE � ORIGIN The quality controller has now established which lot of racing frames was faulty and he can look up from the last tracing line to see which vendor supplied them, namely Custom Metals Incorporated.

ATTENTION: Do not modify the trace result any more. At this point, QC engineers will examine the rest of LOT1 and then suggest a purchase return process though the purchasing department. The quality controller must now continue to determine if other posted documents carried the faulty racing frames. Refer to the demonstration titled "Trace from Origin to Usage."



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Demonstration − Trace from Origin to Usage This demonstration shows how the system supports the defects management tasks involved in determining where the defective items were used because they arrived. This demonstration is based on the trace method Usage � Origin. Scenario: The quality controller has established that the faulty racing frames came from LOT1. He must now determine which other end items and/or other sales shipments contain item 2000, LOT1. One way to prepare the next trace is to manually enter LOT1 in the Lot No. Filter filed and 2000 in the Item Filter field. However, this demonstration will use the Trace Opposite - from Line function.

Steps Start with the trace result of the previous demonstration, then:

1. In the Item Tracing window that contains the results of the initial trace of usage to origin, put the pointer on the line of the purchase receipt (the last trace line) and then click FUNCTIONS→ TRACE OPPOSITE � FROM LINE.

FIGURE 2-7: COLLAPSED TRACE RESULT OF ORIGIN � USAGE

Notice that the created trace result is based on the filters of the trace line for the purchase receipt (LOT1 and item 2000) and on the opposite trace method, namely ORIGIN → USAGE. To obtain an overview of all uses, continue to expand all trace lines.



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2. Click FUNCTIONS, EXPAND ALL.

FIGURE 2-8: COLLAPSED TRACE RESULT OF ORIGIN � USAGE

The first four trace lines refer to the sales shipment to Selangorian Ltd., which is already resolved. The last line indicates to the quality controller that one more racing bike, SN2, was produced in the same released production order, 101004, and then sold with sales shipment 102034. He immediately informs the sales department so that they can initiate a recall of the defective racing bike from the customer, Cannon Group PLC. At the same time he can see from the last three trace lines that another two items, SN3 and SN4, have been produced based on racing frames from LOT1. He takes action to block these end items in inventory from being handled any more. Fortunately, the trace result reveals no other orders affected by the faulty lot of racing frames � at least no orders that are represented by posted documents. The item tracking tasks for this demonstration are now complete regarding the Item Tracing window. However, as the item tracing feature is based on posted entries only, the quality controller must continue to the Navigate feature to make sure that LOT1 is not used in unposted documents. Refer to the demonstration titled "Find all Occurrences of LOT1." This completes the description of the Item Tracing feature and demonstrations of how to use it for typical item tracking tasks.



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Navigate with Serial/Lot Numbers To support many different item tracking tasks, the Navigate feature in Microsoft Dynamics NAV 5.0 has been extended to provide global search through all records that contain serial/lot numbers. Contrary to the Item Tracing feature, Navigate will find posted and open documents, and will even find master data such as serial/lot number information cards. However, it does not provide information about item flows or document relations as the Item Tracing window does. Refer to the topic titled "Item Tracing." This global item tracking functionality is provided by extending the Navigate window with the Item Tracking tab.

FIGURE 2-9: NAVIGATE WINDOW, THE ITEM TRACKING TAB This tab enables a global search in the database for all records that contain either the serial number that is specified in the Serial No. field or the lot number that is specified in the Lot No. field. Notice that when both fields in the header contain a value to find, only records where both values occur will be displayed. Accordingly, the search typically yields more results when only one field is filled. This search limitation does not apply to records of type Serial No. Information or Lot No. Information. They will both be included in the result if an information card exists for each serial number and lot number that is specified.



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Integrated with Serial/Lot Number Information Cards When the Navigate window is opened from, for example, a lot number information card, the Lot No. field will be preset with that lot number. Refer to the demonstration titled "Find all Occurrences of LOT1."

Demonstration − Find all Occurrences of LOT01 This demonstration shows how Navigate can be used in defects management to find serial/lot numbers in database records other than posted entries. It is a continuation of the item tracing demonstrations. Scenario: With the Item Tracing feature, the quality controller found out that LOT1 contained the faulty racing frames. He must now determine if LOT1 exist in any open documents.

Steps Start from the trace result of the previous demonstration:

1. In the Item Tracing window, put the pointer in the first trace line, the purchase receipt of LOT1 (last step of ion1).

2. Click Navigate.

FIGURE 2-10: NAVIGATE RESULT FOR LOT1



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Notice that the window is preset with the search result for LOT1. The quality controller recognizes most of the found records as pertaining to documents already identified in the Item Tracing window. For example, the last Navigate line of Production Order refers to the two released production orders that consumed racing frames from LOT1. However, the second Navigate line of type Sales Line stands as an unposted document line, and the quality controller continues to investigate.

3. Put the pointer on the second Navigate line and then click the Show button or drill down from the No. of Records field.

FIGURE 2-11: UNPOSTED SALES LINE FOR DEFECTIVE RACING FRAMES

Here the quality controller sees one open sales line for the faulty racing frames. He immediately suggests to the sales department that this order be canceled and a new production order initiated � based on good racing frames. This completes the description and short demonstration of the extended Navigate function for item tracking and how it ties in to a complete defects management process.

Serial/Lot Numbers in Printed Documents and Reports In earlier versions, it was not possible to include serial/lot number information in printable documents or reports. This was a serious shortcoming in many different printouts, such as inventory picking lists and customer correspondence like order confirmations and sales shipment documents. In the current version, all printable documents and reports that hold item information can be set up to also print related serial/lot number information by these features:

• The generic Item Tracking Appendix report can be printed for relevant sales and purchase documents carrying serial/lot numbers.

• In selected warehouse activity documents, the request form has a Show Serial/Lot No. check box to include serial/lot numbers in the report.



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• The Item Tracking Appendix report can be used to customize existing reports. A suggested customization using this generic report is implemented in the Sales � Shipment report as inspiration. Refer to Appendix A for development instructions.

The Generic Item Tracking Appendix Report For the most common printable sales and purchase documents that display item information, the Item Tracking Appendix report can be printed and appended to, for example, the order confirmation printout, before it is sent to customers. The feature is based on a generic report that can be set up to print serial/lot numbers for a certain document type and number defined on the request form. The report is accessed from the Documents menu folder of sales and purchases navigation pane menus. For example, SALES AND MARKETING→ ORDER PROCESSING→ DOCUMENTS→ ITEM TRACKING APPENDIX.

FIGURE 2-12: REQUEST FORM OF THE GENERIC ITEM TRACKING REPORT Refer to the demonstration titled "Print an Item Tracking Appendix." The Item Tracking Appendix report can be generated for business documents based on the following tables:

• Sales header • Sales Shipment Header • Sales Invoice Header • Purchase Header

This means that the report can be printed for all relevant sales and purchase documents that use any of these four tables. These include quotes, invoices, credit memos, returns, and blanket orders.



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Foundation for Customization As illustrated with the Sales � Shipment report, the generic Item Tracking Appendix report can be used to customize existing reports. Refer to Appendix A for development instructions. The suggested solution provides order handlers with the option to append additional report pages that specify serial/lot numbers assigned to the items specified in the main document printout, such as, for example, an order confirmation. Figure 2-13 is an example of the request form and printout of such a customized report, namely the Item Tracking Appendix report for posted sales shipments (included in the W1 release).

FIGURE 2-13: REQUEST FORM OF THE SALES SHIPMENT REPORT

FIGURE 2-14: SALES SHIPMENT REPORT THAT SHOWS SERIAL/LOT NUMBERS



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NOTE: The actual development steps to customize a serial/lot number report are described in Appendix A of this training manual.

Printing Serial/Lot Numbers from Warehouse Activity Documents Printable warehouse activity documents, including those printed from worksheets and journals, are based on split lines. Therefore, the generic Item Tracking Appendix report cannot easily be used to print serial/lot numbers for such documents. Instead, the most common printable reports for warehouse activities have been modified to include a Show Serial/Lot Number check box on the report request form. Any serial/lot numbers assigned to the items being handled in the warehouse activity will then be displayed in additional report lines under the item. Figure 2-15 shows a Picking List report that displays serial/lot numbers.

FIGURE 2-15: PICKING LIST THAT SHOWS SERIAL/LOT NUMBERS Warehouse reports that have this option are:

• Put-away List • Picking List • Warehouse Movement • Internal Pick • Internal Put-Away • Phys. Inventory List • Whse. Phys. Inventory List



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NOTE: Together with the Show Serial/Lot Number check box, the Phys. Inventory List reports include additional improvements for counting serial/lot numbers in inventory. Refer to the chapter titled "Usability."

Show Serial/Lot Number Option Combined with Sum up Lines The supported warehouse report request forms have an existing option, the Sum up Lines field. This will group the warehouse report lines by major dimensions, such as activity type, bin code, or item number. Serial/lot numbers will be displayed in different ways in warehouse reports depending on the setting of the Sum up Lines field in combination with the new Show Serial/Lot Number field. Figure 2-16 outlines the functionality of the Sum up Lines field.

FIGURE 2-16: SYSTEM REACTIONS WHEN USING THE SUM UP LINES OPTION The three system reactions indicated in figure 2-16 are explained in the following.

1. A pick created from a sales order will split the lines by lot number because the item is set up with Lot Whse. Tracking.

2. The user selects the Sum up Lines field in the request form of the Picking List report.

3. The picking list shows one summed up line, not specifying the lot numbers.

As illustrated, the Sum up Lines option basically counteracts the Show Serial/Lot option. Therefore, the following display rules are implemented for situations where the two report options are combined.



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Sum up Lines

Show Serial/Lot No.

Report displays

No Yes Individual lines of the related warehouse document, with related serial/lot number line underneath (see figure 2-17)

Yes Yes Lines of the related warehouse document summed up, with serial/lot number lines grouped underneath (see figure 2-18)

FIGURE 2-17: DISPLAY WHEN SUM UP LINES IS NO AND SHOW SERIAL/LOT NO. IS YES

FIGURE 2-18: DISPLAY WHEN SUM UP LINES IS YES AND SHOW SERIAL/LOT NO. IS YES

Demonstration − Print an Item Tracking Appendix This demonstration shows how to prepare a printout of serial/lot number information related to a specific sales order. The report is generated as a stand-alone. This means that it is not appended directly to the sales order printout. Scenario: The Cannon Group PLC has requested that lot number information be included with the order confirmation of their recent order for Ethernet cables.

Steps Start by identifying the sales order number to reference, then:

1. Open the existing sales order for ten Ethernet cables to The Cannon Group PLC.

2. Notice that the sales order number is 1002.

3. Click SALES & MARKETING→ ORDER PROCESSING→ DOCUMENTS→ ITEM TRACKING APPENDIX.

4. In the Item Tracking Appendix request form, enter Sales Order in the Document field and 1002 in the Document No. field.



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If no document number is defined, the report will print Item Tracking Appendix report pages for all sales orders with serial/lot numbers.

5. Preview the report.

FIGURE 2-19: ITEM TRACKING APPENDIX REPORT FOR SPECIFIC SALES ORDER

The report can now be printed and/or sent to the customer as a specification of serial/lot numbers together with the sales order confirmation. Alternatively, if the order confirmation report is customized to include serial/lot number information, the appendix will automatically be printed after the order confirmation � if the option was selected. This completes the description of new functionality for including serial/lot number information in different printable business documents and warehouse reports. Also, the topic included a short demonstration of how to use the generic Item Tracking Appendix report that may also be used by developers to connect to existing reports � as illustrated with the Sales - Shipment report.



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Item Expiration Report In the current version, the system will sort or auto-pick serial/lot numbers according to their expiration date to make sure that items that expire first are sold first (FEFO). With this feature also comes the ability to create reports that display when inventory items expire. The report can be used for customers to make informed decisions based on expiration date and by partners to build more advanced FEFO reports. The Item Expiration � Quantity report provides an overview of the quantities of selected items in inventory whose expiration dates fall within a certain period. The list shows the number of units of the selected item that will expire in a given time period. For each item specified when the report is prepared, the printed document shows the number of units that will expire during each of three periods of equal length and the total inventory quantity of the selected item.

NOTE: The report is identical to the Item Age Composition - Qty report in layout. However, the Item Expiration - Quantity report is based on expiration date and not on posting date.

The Item Expiration - Quantity report will only display inventory items with expiration date.

Demonstration − Preview When Inventory Items Expire This demonstration shows how to prepare a report that shows which inventory items have expiration dates and when they expire. Scenario: A purchaser in charge of replenishing items with expiration date control decides to run a report to check which items have expired and if any reordering is needed.

Steps Start by opening the report request form:

1. Click PURCHASES→ INVENTORY & COSTING→ REPORTS→ ITEM EXPIRATION − QUANTITY.

2. In the report request form, enter the following options without setting any filters.

Ending Date Period Length work date (01/24/08) 1Y (year)

The report calculates backward from the date in the Ending Date field and sets up three periods of the length specified in the Period Length field. Accordingly, this particular report will compare the current year with the two previous years.



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3. Preview the report.

FIGURE 2-20: ITEM EXPIRATION REPORT FOR THE YEAR OF 2008

Notice that the 17 inch M780 monitor is the only inventory item that carries expiration dates. One piece expired in 2006, two pieces expired in 2007, and one piece will expire in the year of the work date, 2008. This completes the description and short demonstration of the Item Expiration - Quantity report that is aimed at users who manage or handle items with expiration dates.



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Conclusion Microsoft Dynamics NAV 5.0 contains valuable features and improvements that enhance the transparency of item tracking information, whether for FEFO-managed inventory or for quality control processes. The new Item Tracing feature in integration with Navigate means that Microsoft Dynamics NAV can more easily meet certain traceability requirements of the FDA and the EU. In all circumstances, it will greatly minimize the work load involved in finding and recalling defective items.