Reference:
https://docs.microsoft.com/en-us/dynamics365/supply-chain/pim/tasks/create-predefined-product-variants Topic3, Adventure Works Cycles This is a case study. Case studies are not timed separately. You can use as much exam time as you would like to complete each case. However, there may be additional case studies and sections on this exam. You must manage your time to ensure that you are able to complete all questions included on this exam in the time provided.
To answer the questions included in a case study, you will need to reference information that is provided in the case study. Case studies might contain exhibits and other resources that provide more information about the scenario that is described in the case study. Each question is independent of the other questions in this case study.
At the end of this case study, a review screen will appear. This screen allows you to review your answers and to make changes before you move to the next section of the exam. After you begin a new section, you cannot return to this section.
To start the case study
To display the first question in this case study, click the button. Use the buttons in the left pane to explore the content of the case study before you answer the questions. Clicking these buttons displays information such as business requirements, existing environment, and problem statements. If the case study has an All Information tab, note that the information displayed is identical to the information displayed on the subsequent tabs. When you are ready to answer a question, click the button to return to the question.
Background
Adventure Works Cycles builds stock and custom mountain bikes and is headquartered in San Diego. It has the following assembly and warehouse locations:
Denver, Colorado, United States
San Diego, California, United States
Budapest, Hungary
Most manufacturing is outsourced, with each facility only assembling the bikes. Parts are stocked at all facilities and may be transferred between warehouses or legal entities. All of the parts are at standard cost.
Current environment. Organizational structure
The following diagram shows the structure of Adventure Works Cycles.
Each of the physical locations in the United States (US) is a warehouse.
Hungary assembles and distributes products to the rest of the European Union (EU).
The EU legal entity is expected to add additional warehouse locations.
All legal entities roll up to a financial consolidation company.

Current environment. Purchasing
Higher quality tires that are used in new orders have become popular. Due to the volume of orders, the company wants to negotiate pricing with VendorC. The vendor agrees to a discounted price for 500 tires purchased within the next six months. Once the 500 tires have been purchased, the discount will be re-evaluated based on demand.
Once a purchase is approved, for audit purposes it cannot be changed.
Whenever possible, parts are purchased from vendors also within the EU. A purchase order was placed for a bike seat manufacturer in Italy.
Parts for custom orders may not always be kept in stock and will need to be procured.
Current environment. Purchasing requisitions
The following flow chart depicts the purchase requisition process:

Requirements. Purchasing
Items for purchase requisitions are governed by each country. Each of the country-specific products will be grouped together for selection.
Purchase orders must follow the requisition process.
All existing purchase orders for brakes must account for the change to VendorB.
Requirements. Inventory
Standard costs are based on purchase fluctuations within a single month.
Tires use floating zones due to limited warehouse space.
Requirements. Operations
Due to recent brake failures, Adventure Works Cycles plans to purchase brakes from VendorB instead of VendorA. Although the brakes from Vendor B will continue to use the same item number as the brakes from VendorA, the price is slightly higher from VendorB. Adventure Works Cycles will pay list price from VendorB. The order for VendorB needs approval and the usual approver for purchase requisitions is on vacation.
All brakes from VendorA that are in stock must be tested. The process for brake testing must be implemented for all inbound orders. Quality orders must be automatically created upon receipt of the first shipment against a purchase order only.
UserC needs to consolidate brake inventory after it has been cleared for sale.
Ordering of the new brakes order will incur an additional cost because it is a rush order.
Requirements. Custom orders
Custom orders are placed for items that do not exist in the item master.
Hungary does not process custom orders.
The United States does process custom paint orders. Most custom paint colors are special order and require purchase requisitions.
Quotes must be obtained from a minimum of two suppliers per company policy and compared for the shipping, costs, and other variables. Quotes will not be selected based on lowest price only.
Issues
A special order for 26 high-end tires is received. This item is no longer in stock from the current vendor.
Goods have been received in stock, but the matching invoice has not yet been received at the time of month close.
UserA needs to set up pricing for the items purchased from VendorC and ensure that accounting validates the receipt and invoice against the agreement.
UserB needs to send out a request for quotation (RFQ) for custom paint. The vendor will be selected based on pricing, volume discounts, and lead time.

Explanation
Table Description automatically generated

Reference:
https://dynamicsunplugged.wordpress.com/2019/12/23/why-you-need-to-start-using-the-supply-schedule-in-msd

1 - Create a manual Demand forecast line for the total quantity to be allocated
2 - Select Allocate forecast
3 - Set Method as period
4 - Select Seasonality Period key and End date

Reference:
https://docs.microsoft.com/en-us/dynamics365/supply-chain/master-planning/planning-optimization/planning-optimization-fit-analysis
Topic 5, Trey Research
To start the case study
To display the first question in this case study, click the Next button. Use the buttons in the left pane to explore the content of the case study before you answer the questions. Clicking these buttons displays information such as business requirements, existing environment, and problem statements. If the case study has an All Information tab, note that the information displayed is identical to the information displayed on the subsequent tabs. When you are ready to answer a question, click the Question button to return to the question.
Background
Trey Research is a multinational manufacturer of health and dietary supplements based in Seattle, Washington. The company is experiencing a rapid expansion not only in its supplements but as a lifestyle brand that also sells apparel. The supplements and apparel businesses operate independently but manufacture and operate in the same legal entity.
Current environment
Current environment. Technology
Trey Research is migrating from an outdated, on-premises version of Dynamics AX to Dynamics 365 Supply Chain Management. The company wants to retain a lot of its current data structures and processes but adopt new efficiencies when the benefit is obvious. The company uses a third-party e-commerce site that is custom developed by an internal developer.
Current environment. Items
Product numbering
All items are numbered by using a smart numbering format: [Product SKU+Size+Color+Style]. For reporting, items are queried for sales and inventory reports by using the first six digits of the item number or until the first dash is encountered.
* A t-shirt could be 01001-S-Red for item 1001 in a size small with the color red.
* A single energy drink could be 02001-12oz or 02001-20oz for the different sizes that product 02001 is sold in.
Product attributes
* All clothing shares the same set of product attributes.
* Supplements may share the same Product SKU but can have different attributes for the different size, color, or style variations of the product.
* Product attributes that are unnecessary for an item should be excluded from the item.
Pricing
* All items always have a default price. This price will not expire.
* An item will have four different prices created for it every month, one for each customer tier, as detailed later in this section. The pricing expires at the end of the month. If no special pricing is created, the default item price will be used.
* The monthly sales price in which the additional price breaks are determined is based on the estimated cost of the manufactured items.
* Customers are categorized into four pricing tiers (A, B, C, and D) based on sales volume over the past 12 months.
* Customers can negotiate special pricing for items in 30-day, 60-day, and 90-day increments. Quantity restrictions may be placed, depending on the item discount and promotion.
* Promotional pricing is not used today. Pricing is restricted to monthly prices and customer-specific contract pricing.
Cost
Items use a FIFO costing model today in their current Dynamics AX 2009 environment; however, using the FIFO costing method has created problems.
Current environment. Warehouse and inventory
* Warehouse requirements are simplistic. There is only one site. The site has two warehouses.
* Trey Research needs to make sure that any energy drinks and nutritional supplements are manufactured and packaged with the highest standards. Trey Research automatically inspects products when all products are reported as finished. All products are inspected again when the items are picked.
* Energy drinks require independent tests to check for dents in packaging, carbonation levels, and fill level.
* Nutritional supplements require separate tests for packaging, expiration date, product seal, and product labeling.
* Government compliancy and consistency testing are handled outside of the Enterprise Resource Planning (ERP) system.
* Resalable products are placed on one of two racks in the warehouse.
Requirements
Requirements. Technology
* Trey Research will integrate all pricing and discount capabilities to its e-commerce website.
Requirements. Items
* Reporting on products should be streamlined as much as possible.
* The item numbering does not have to equate to the actual item number.
* The future costing methods adopted must be commonly accepted for manufacturers.
* Inventory costing should be done after a full inventory valuation is complete. It should take into consideration the direct materials, direct labor, and overhead that goes into an item.
* Any costing method used needs the ability to track cost records about an item, cost categories, and calculation formulas for indirect costs.
* The profitability for nutritional supplements manufacturing processes needs to be expressed in terms of the cost categories for routing operations and the calculation formulas for manufacturing overheads.
* If a vendor can no longer deliver the raw materials for the energy drinks due to supply chain issues, the costs for using an alternative vendor to source the raw materials should be used to determine the impact on profits.
* Apparel items will not be upgraded to the new costing method until after the go-live date due to resourcing and implementation limitations from the apparel team.
Requirements. Pricing
* Trey Research plans to do promotional pricing. Certain products will receive special pricing during the hours of extreme sporting events that Trey Research sponsors. Before or after the event, normal pricing will resume.
Requirements. White labeling
* Trey Research wants to start white labeling its products under the brands of major nutritional retail store brands. These products would only be sold to specific customers.
* Trey Research will provide and maintain a 'Compare to' price for customers to use to compare the white-labeled products. This Compare to price will also be the default item price for the customer if the customer accidentally lets a contract price expire.
* The configuration of these restrictions must be applied automatically when creating new products for those customers.
Requirements. Warehouse and inventory
* If products in the warehouse must be blocked from transactions for a specific reason, such as a health and safety review, warehouse users should be able to block the products quickly from the ERP system.
* All product quality tests should be processed in a uniform and consistent manner.
* Creation of any quality processes for products inbound to the warehouse, from the production line, or outbound from the warehouse to consumers should be automatically created to facilitate execution.
* Testing requirements:
* Requirement 1: 100 percent of all nutritional supplements and 50 percent of all energy drinks must be tested when production orders are completed. After a product is in testing, 100 percent of all tests must be completed.
* Requirement 2: 75 percent of all nutritional supplements and energy drinks should be tested against their required tests during an outbound process.
* Damaged products must be placed in one of four bins (based on product type) during the inspection process.
* You must define quarantine zones to optimize product visibility throughout the testing process.