Setup and Configurations

Purchase Orders: Vendor Maintenance

First determine if you want to price based on Purchase Order date or Receiver Date.

Access the vendor setup MASTER -> PAYABLES -> VENDOR, select the desired Vendor

Make sure the Vendor has a Type of Supplier. Only SUPPPLIER vendors can create Purchase Orders.

Next select the Desired Pricing Date.

• Delivery date and Purchase Order date will calculate price on the Purchase Order.
• Receiver date and Receipt date will calculate price on the Receiver. This option will allow access to the price field in the PO Receiver Entry.

General Ledger:  Inventory Type Setup

AEROS ERP set up for General Ledger accounts will need to be done for the Inventory Type and the Adjustment Codes used to transfer and relieve inventory.

Navigate to Master è Inventory è Inventory Type and select Inventory Type code 20 for Water Meds.  At the bottom right are the G/L Account Assignment options to be filled as shown below.

You will want to check the box to post the units to GL account.

Item codes for Inventory Type

Item Codes need to be set up under your inventory types.  These are the actual items/products that will be used.

Configured in the Item Master Sources tab. Refer to Master -> Inventory -> Item, select an item

Inventory Locations and Warehouse Bins

To set up additional inventory locations, go to Master à Payables à Vendor

Find “CIRCLE ‘S’ RANCH INC” select ok.  Go to the Inventory Location tab.  Here you can add additional Inventory Locations.

To select whether warehouse bins are required for each location

Select the location and edit.  Deselect/Select Warehouse Bin tracking check box

Add Warehouse bins to an inventory location

Go to Master à Inventory à Warehouse Bin

Select the location you want to add bins to, and then select the tab, “Warehouse Bins”

Select new and add

Vendor Product Codes (optional)

Vendor product Codes allow the operator to specify the vendor’s code for a Circle S item code when creating a Purchase Order.  You can apply multiple vender’s codes to one item.

Vendor Items are also configured in the Item Master Sources tab. Refer to Master -> Inventory -> Item, select an item, then click on the Sources tab

Select a Vendor then click the Save button followed by the Vendor Item Detail button

Adjustment Code Setup

Next to set up are the Adjustment Codes used during Inventory transfer and relief transactions.  A code for each farm will be set up pointing the transaction to an AEROS LIVE Farm and an AEROS LIVE expense code.  Mapping will be shown in the next section, and below is a display of how to set up the adjustment codes. 

In this document we will show an example for farm G010300

Navigate to Master è Inventory è Adjustment codes

Set up adjustment codes for usage and include the correct GL account the inventory adjustment should hit. 

AEROS CONNECT Configuration

Aeros ERP to Aeros Live Mapping

After adjustment codes are set up, navigate to AEROS CONNECT (Aeros Application Interface) to map these codes to AEROS LIVE

Select ‘Aeros – Inventory Control’ for the Source Product and ‘Aeros Live’ for the Target Product

Set the Vendor’s Item code and click the Save button

Aeros ERP to Connect Mapping

Select ‘Aeros – Inventory Control’ for the Source Product and ‘Aeros Connect’ for the Target Product

AEROS LIVE Setup Items

We will need a farm, an expense code and a component in AEROS LIVE

Farm

Farm Navigation:  Facility Management è Company Circle S Farms è Division Circle S Farms è Farm G010300

Expense code

We will need a farm and an expense code in AEROS LIVE

Expense Code Navigation:  System è Expense Settings è Expense Codes

Components in Aeros Live

We will also need to set up components in Aeros Live, this will be all the items that are set up under your ERP inventory type ‘WATERMEDS’

Go to System à Components (located on ribbon bar)

To set up a new item:

Select ‘Add New’

Details Tab

1. Enter a component code:  (should match ERP product code)
2. Enter a component name
3. Reference: This is the ProductID from ERP (optional)
4. Component Type:  Select what type of product this is: ‘Medication – Water’ or ‘Disinfectant’
5. Status: Active
6. Must enter a start date to start using this product
7. End date is optional.

Miscellaneous Tab

1. Default Unit Type:  Select a default unit type
2. Default Expense Code: Enter your water Meds or disinfectant expense code

Save your new component

Vendor Pricing (optional)

You can preset fixed or market based prices for items. The sample data provided is only for fixed pricing so the sample below will only reflect this type of pricing.

Proceed to MASTER -> PAYABLES ->VENDOR PRICING

Provide a Pricing Name (NC Pricing), select a vendor and the desired Company and Division. Active From and To dates are optional.

Next insert a line for each item that you purchase from this vendor. In my sample above I inserted 4 items. Each item is set with an Active Date only PO’s with a date on or after this date will be priced. Set Pricing Method to Fixed and the Amount Differential is the negotiated price.

This step is only needed if predetermined prices exist for the items and the vendor.

If no pricing is configured the operator can enter the price in the Purchase Order or the Receiver based on the Vendor Master Pricing date documented above.

You can find more information on pricing on our User Manual located online here:

http://kba.rcm.culturatech.com/display/ERP/Master

Processing Inventory through the systems

Now that all of the setup is complete, we can walk through each software step:

1. Medications and Disinfectants will be purchased through a PO set up for each vendor that remains open. 
   1. POs can have each item purchased from each supplier set up with their item codes and Circle S item codes.
   2. POs remain open until quantities for items have been received. However, POs with a status of complete can still have receipts applied
   3. Receipts against the purchase orders will put the items into inventory
   4. Pricing can be done at a standard rate and overwritten per receipt
   5. Once the items are in inventory, they can be transferred to medication truck inventory
   6. When medication tickets are received
      1. Usage adjustment will be keyed using an adjustment code mapped to an AEROS LIVE farm and Expense Code

                                                               i.      If the medication is administered directly from the warehouse, the process is the same.

Purchase Order

Create a Purchase Order

Access the PO Entry screen Purchasing -> Purchase Order

Click the New button to create a new Purchase Order

Select the supplier this will set the Shipping Terms and any Freight Method configurations.

Click the Save button which is the diskette on the menu bar.

This will assign a PO number.

Entering items on the Purchase Order

You can optionally select the supplier number or specify the item number.

You can enter a quantity here OR Leave the Quantity as zero to use the same Purchase Order for an unlimited number of Receipts. The last price paid is display only. The cost will remain at Zero for this supplier because I set the pricing date to Receipt date. This will allow me to access the price field in the receipt program.

To add another item save the current item and then select new.

Once done you can go to the Purchase Order line List tab to see all your items included in the P.O.

Once all the items have been entered exit the purchase order.

PO Receiver

Once you receive your items you can then receive against the PO to bring in the inventory

Access the PO Receiver via Purchasing -> Receive Against PO

Click the New button to create a new Receiver.

Set the desired Supplier, select Status of Open and click Retrieve button. Then select the desired Purchase Order. You should only have one. Next Click the OK button.

Receiver Screen

Set the Accounting period and Receipt Date. Then click on the Inventory Units tab.

Drag down the desired item, set the received quantity, and then set the Lot (optional) and the Unit Cost as desired.

Note:  The unit cost can be modified in the unit cost box even though it looks greyed out.

Based on your configurations the Lot can be left blank or automatically assigned by the software. Additional the Unit Cost can also be defaulted if Vendor Pricing is configured.

Notice that the Status for each item is completed. This is because the original PO quantities were zero. This is normal.

Direct Receipt

Inventory à Receipts à Direct Receipt

Select New

Select or enter Accounting Period, Receipt Location, Receiver Date, and Inventory Receipt Date.

Move to Inventory Units Tab

Once in the Inventory Units Tab, Select Insert

Select your Inventory Type, right click in the box under all to select your item.

Enter in the Quantity and Unit Cost

Select Insert to receive another item and once done click Save.

Exit through the door on the ribbon bar.  The system may tell you, you have duplicate inventory, click yes to continue.

The system will then ask if you want to print your receiver.  Select Yes or No

INVENTORY

TRANSFER TO TRUCK

Once the inventory is in the warehouse, we need to move it to the trucks weekly through weekly inventory transfers.  These are all done within the same division so it is merely a matter of updating the inventory location.  In this example we will move some of the items to a truck, keep some in the warehouse, and do a relief of inventory from both places to see how it looks.  Circle S sometimes bypasses the medication trucks and dispenses directly to the flocks.

Go to inventory  à transfer inventory. 

Enter in the company, division, location and inventory type and click retrieve to return available inventory.

Pick a company, division, location to send the items (truck), Period and then key the quantity and adjustment code.  Transfer adjustment code?

Select New Transfer to transfer to a different truck or location.

Inventory Usage

Go to Inventory à Inventory Usage Adjustment

Select Inventory Type, Post to Period Accounting period and as of date (needs to be inside of accounting period)

Select retrieve.  You will get all the items that have been transferred to a truck as well as other available inventory.

Enter in a usage quantity and the adjustment code for the producer that will receive the inventory.

Click save and the screen will set the new available inventory.

You can continue to use inventory or you can close

Must post usage for AEROS CONNECT to retrieve the data

Bring in Inventory Adjustments to create Aeros Live expense

Go to Aeros Connect

Navigate to Inventory è Inventory Adjustment to AeLive à New Batch and a wizard will open

If you have saved parameters, you can load those or choose next

Select by dates or by the accounting Period

You can set this up however is logical

On the last step, you can save your parameters you just set or select finish

Inventory Expense Staging

You will return batch results of all the inventory that has been used for the period or date range

If you select the expand button under a row, it will show you possible flock ID options that can be used to create an inventory expense.

In the Mapped Flock column, if there is only one flock possibility it will automatically choose that flock, otherwise you will need select a flock that this expense will go to.  Make sure to save.

Make sure that the include in batch check box is checked to include them in your commit or test commit.

Check the import messages to see if you get any errors that you can fix prior to committing.

You can then select Test Commit to see if the commit will go through smoothly or go ahead and commit.

Once committed, the ones that went through will be greyed out and the committed check box will be checked.

For those that did not commit, you can check the commit results for messages as to why they did not go through.

Expenses in Aeros Live

If I go to the flock I wanted to get the expense from inventory, I wll view that flocks expense form and see that those went through using the expense code, the component code, the cost and units.  I can also see in the create Type that it was imported from inventory and the G/L account.

Inventory Reports

1. Inventory Listing Summary
   1. Total inventory summary
   2. Transaction Register
   3. Historical Valuation
      1. Give inventory balance
      2. Global Inquiry
         1. Inventory as of today
         2. Inventory Listing Detail - FIFO (coming soon)

Resulting Journal Entries

Journal for the purchase

Journal entry for usage CSR à CRS Flocks

You can run the Distribution Register to check your GL postings.

Will expense be included in Settlement?

For the expense to be included in the flock cost, the expense code will need to be configured in the settlement configuration.  If it is not included it will not be taken into account in the settlements flock cost.

This is where it is determined how the expense will be a part of the settlement.  We will just exclude the expense code from the configuration form so it does not get calculated in to the flock cost.

i)        Standards form.

• This form is used to determine if an expense code has a standard $amount/unit when calculating settlements or if the actual $amount entered for an expense code should be used. 
• The expense codes used in settlements should be entered.  These would be expense codes for payment, average or company cost determination. 
• If a standard $ amount and units are entered then this will be used to calculate the cost for that expense code when processing settlements.  If no standard $amount and units are entered then the actual cost will be used.
• The units available for selection are birds, lbs., tons and expense log.
  •  Birds are the head placed.
  • Pounds are the net pounds.
  • Tons are the feed consumed tons.
  •  Expense log is the total component units for the expense code.
  • At least one of the costs must be selected; payment, company and/or average.
    •  The payment cost is used to determine if the expense code should be posted when a settlement commitment is done; this will take the “standard” $ amount times the units and post the $ amount to the groups expense. 
    • The company cost will be included in the calculation of “actual” company cost; this will be used for reporting purposes. 
    • The average cost will be included in calculations of averages.

Example of Standards:

• Payment Cost:  Administration expense code with a standard $amount=.0020, standard units=pounds, and net weight=310,000.  When committing a settlement, the net weight * .0020 will be posted to the groups expenses.  Posted $Amount of $620.00 = 310,000 * .0020
• Company Cost:  Poult expense code with a standard $amount=.1400, standard units=birds and head placed=22,000. Water Medication expense code with NO standard $amount and actual expense cost of $478.18. The $amounts reported for each of the above would be Poult expense= $3,080 and Water Medication expense=$478.18 If expense codes with a standard $amount already have an expense code posted for them then use the actual $amount when reporting instead of standard; if poult expense of $4,500 already existed then Poult expense reported would be $4,500. 
• Average Cost:  Poult expense code with a standard $amount=.1400, standard units=birds and head placed=22,000.  Water Medication expense code with NO standard $amount and actual expense cost of $478.18.  The cost for each expense will be added together and compared to the cost for the flocks used for averages.   The groups average cost of $3,558.18 will be used to calculate the group cost/unit.  This will be average flocks cost/unit.

For Bleach and specialty water meds, you will then create an ‘other payment’ w/ deduction so it will be removed from the total settlement payment.