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Hi,

I’ve been experimenting with 'Manual Pegging of Shop Order Material Line'.

I’ve grasped the basic mechanics, which is to search for a part and assign it (by allocating the full qty. ‘available’ to the level above (selecting the relevant order no).

 

The only discernible change is when I check ‘Inventory Part Availability’ the ‘Pegged’ column is whatever qty. you assigned (both for the supply and demand elements). Are there other benefits besides this? I hope there is, otherwise, you wonder what the point of this somewhat manual practice is.

 

Any thoughts would be greatly appreciated.

 

Many thanks,

Jay

The main purpose of pegging is to ensure that a future supply (whether Purchase Order or Shop Order supplied) is first Reserved to the order that you want.

Reservation and Pegging are similar, but have different boundaries.

Reservation can be done against inventory and will allocate available inventory to that order first, then create a shortage for any material not available.

Pegging is going further out to material you know isn’t available, but is on order on another order.  When you peg a Purchase Order for example to a Material Line on a Shop Order, as soon as the Purchase Order is received, it will automatically be reserved to the shop order.

You can peg purchase orders and shop orders to Shop Order Material.

You can peg purchase orders and shop orders to Customer Order demand lines also. Same principle applies.

Yes it is manual work, but if you have a critical supply you want to make sure isn’t taken for another order, pegging is a method to lock the supply to your desired order.

This is exactly what I’m looking to do. Does anyone have instructions on reserving and pegging so that I can test and figure out which one works better for us?

 

Thanks,

Mike

 

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