Panasonic is manufacturing Emergency Lamps based on the Orders received from the Customers.

Panasonic has received an Order from Rayon Corporation for supply of Panasonic Emergency Lamps. Panasonic Purchases Raw materials from five suppliers to manufacture Panasonic Emergency Lamps Battery is purchased from OkayaInd LED lamps are purchased from Crompton External case from ASup PCB from DigiCorp Power Unit and Switch from Anchor The Cost Prices and the Process of Manufacturing is detailed below: Assumptions: 1. It is assumed that for this cycle all the Basic set ups required in Oracle Applications are in order. (i.e) Business group, Set of Books, Operating Unit, and Inventory Org. Business Group Vision Operations Set of Books Vision Operations Legal Entity Vision Operations Operating Unit Vision Operations Inventory Org M1-Seattle Manufacturing 2. Basic Set up required in Application Modules like (PO, INV, AP, MFG, OM, AR & CM) are in place. 3. For this exercise, we are using Standard Costing which is set in the Inventory Org M1- Seattle Manufacturing

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Panasonic is manufacturing Panasonic Emergency Lamps and their manufacturing Process is as follows:

Panasonic Emergency Lamps

(M) - FG

Assembly Dept (2 hrs @ INR100 per hr)

Battery (P)

Lamp (P)

External Case (P)

Electrical Unit (Sub Assembly)(M)

PCB (P)

Switch (P)

Power Unit (P)

Soldering Dept (2 hrs to INR50 per hour) Fixing Dept (1 hr to INR100 per hour)

Overheads apportionment for each of the departments: Soldering Department: INR 100 Fixing Department: INR 50 Assembly Department: INR 150

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The Purchase Cost of Electrical Unit Item: PCB Power Unit Switch Purchase Item Cost: INR 100 INR 300 INR 100 INR 500

The Manufacturing Cost of Electrical Unit Item: Purchase Item Cost: Operations Cost Soldering Dept. Cost: INR 100 Fixing Dept. Cost : INR 100 INR 500

INR 200 Departmental Overheads INR 150

Manufacturing Cost of Electrical Unit: INR 850

The Purchase Cost of Emergency Lamp Item: Electrical Unit Battery Lamp Outer case Purchase Item Cost: INR 500 INR 350 INR 100 INR 150 INR 1100

The Manufacturing Cost of Emergency Lamp Item: Purchase Item Cost: Operations Cost Soldering Dept. Cost: INR 100 Fixing Dept. Cost : INR 100 Assembly Dept. : INR 200 INR 1100

INR 400 Departmental Overheads INR 300 (Fixed Cost Apportionment)

Manufacturing Cost of Emergency lamp: INR 1800 Selling Price of Panasonic Emergency Lamp is INR 2200

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A) Created Items : Battery_EL , Lamp_EL, ExtCase_EL, PCB_EL, Power_EL, Switch_EL Navigation: Inventory -> Items -> Master Items B) Created Items : Electrical_Unit_EL ( Sub assembly type) & Panasonic_EL ( Finished Goods) Navigation: Inventory -> Items -> Master Items C) Set up Selling Price for Panasonic_EL Navigation: Pricing -> Price List -> Price List setup D) Define Customers Navigation: OM -> Customers -> Standard E) Create SO Navigation: OM -> Order / returns -> Sales Order

F) Enter Item Costs Navigation: Manufacturing & Distribution Mgr -> Cost -> Item costs G) Define Resources (Soldering, Fixing & Assembly ) Navigation: Manufacturing & Distribution Mgr -> Bill of Material -> Routings -> Resources H) Define Departments & Attach the resources to the Department Navigation: Manufacturing & Distribution Mgr -> Bill of Material -> Routings -> Departments I) Define Routing for Electrical Unit ( Sub Assembly) Navigation: Manufacturing & Distribution Mgr -> Bill of Material -> Routings -> Routings

J) Define Bill of Material for Electrical_Unit_EL ( Sub Assembly) Navigation: Manufacturing & Distribution Mgr -> Bill of Material -> Bills -> Bills K) Define Routing for Emergency lamp (Panasonic_EL) Navigation: Manufacturing & Distribution Mgr -> Bill of Material -> Routings -> Routings L) Define Bill of Material for Emergency lamp (Panasonic_EL) Navigation: Manufacturing & Distribution Mgr -> Bill of Material -> Bills -> Bills M) Created Suppliers ( OkayaInd, CromptonInd, ASupInd, DigiCorpInd & AnchorInd) Navigation: Purchasing -> Supply Base -> Suppliers N) Created PR , PO & Receipt for all the Items

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O) Create, Release, Complete and close the discrete Job for Electrical Unit Sub assembly Navigation: Manufacturing & Distribution Mgr -> WIP -> Discrete -> Discrete Job P) Create, Release, Complete and close the discrete Job for Panasonic_EL Navigation: Manufacturing & Distribution Mgr -> WIP -> Discrete -> Discrete Job

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