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How to manage Sales order priorities
How to manage Sales order priorities

Optimize sales operations in Katana by managing order priorities to align with inventory and production schedules.

Dayvid Lorbiecke avatar
Written by Dayvid Lorbiecke
Updated over a week ago

Mastering sales order priorities in Katana ensures that your inventory and production align seamlessly with your sales strategy, whether you're working on a Make-to-Stock or Make-to-Order basis. This guide explains how to adjust order priorities directly in the Sell screen, impacting product availability and manufacturing scheduling, thereby enhancing operational efficiency and customer satisfaction.

Changing order priorities

You can drag and drop Sales orders (SO) in the Sell screen to quickly change their priority.

Order priorities (rankings) on the Sell screen

Depending on whether you are applying a Make-to-Stock (MTS) or Make-to-Order (MTO) approach, the priority of a SO has different effects in Katana.

The importance of priority in sales orders

In Make-to-Stock, Sales items availability affects Sales orders

Higher priority sales orders reserve products in your inventory before those with a lower priority. This only applies to sales orders that aren't connected to an MTO Manufacturing order (MO).

Examples:

  1. You create 3 sales orders, each requiring 3 pcs of the same product. From the Production column, you DO NOT select + Make → + Make to order for any of these Sales orders.

    Sell screen's Production column with Make to order crossed out

  2. From the Inventory tab in the Stock screen, the product shows 4 pcs within In stock and 3 pcs under Expected. Also, the Committed column shows 9 pcs, which are related to the 3 created sales orders.

    Stock screen with In stock, Expected, and Committed highlighted

  3. The SO with the highest rank will show Sales items availability as In stock since the quantity (4 pcs) is larger than required by that SO (3 pcs).

  4. The SO below this one shows Sales items availability as Expected despite the In stock quantity being 4 pcs. This is because the SO above already reserved 3 out of the 4 pcs and there is not enough left for the next SO. However, 3 pcs have already been ordered from manufacturing and are expected in the future.

  5. The SO with the lowest priority of the 3 shows Not available under Sales items availability although In stock quantity is 4 pcs and Expected is 3 pcs. The other two sales orders with higher priority have already reserved 6 out of 7 pcs and there isn't enough left for this SO. In this case, you should create a manufacturing order for this product.

    Sell screen with the Sales items column highlighted

Note: If you change the priority of these sales orders, the Sales items availability status also changes.

Enable priority management using the Make-to-Order approach

From the Sell screen, if you click on + Make Make to order under the Production column, a MO for all products required by the SO will be created. This MO will be directly linked to the applicable SO.

The priority of a MO in the Make screen should match with the priority of the linked SO in the Sell screen. The relative position of a MO linked to a SO will change according to the SO priority and vice versa.

Note: The priority of Make-to-Stock manufacturing orders in the Schedule tab will not be affected by re-prioritizing Make-to-Order Manufacturing orders.

How priorities affect Ingredients availability statuses

Materials are committed to orders based on their priority. Ingredients availability takes into account the ingredient requirements (i.e. materials and subassemblies) of both manufacturing and sales orders.

If you change the priority of a SO, the Ingredient availability is recalculated for orders based on the updated priority.


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