Understanding The Engineer to Order Concept in Dynamics 365 F&O
![Understanding The Engineer to Order Concept in Dynamics 365 F&O](https://www.devitpl.com/wp-content/uploads/Understanding-The-Engineer-to-Order-Concept-in-Dynamics-365-FO.jpg)
In this blog, we will talk about implementing the Engineer to order concept in F&O. In Engineering order, the outcome is as per the customer’s need. So, the product, materials, and processes differ frequently.
Engineer to order is usually associated with projects. The project generally has activities like Designing, Planning, Installation, etc. In F&O, the above concept goes similarly. We create a Project, and through it, we can carry related project activities and production.
We will first create a project for which will carry Engineer to Order, in All Project form.
![Create a Project](https://www.devitpl.com/wp-content/uploads/Create-a-Project.png)
Then comes the work breakdown structure. In it, we will define activities to be carried out in the project.
![Work Breakdown](https://www.devitpl.com/wp-content/uploads/Breakdown-Structure.png)
![Breakdown Structure](https://www.devitpl.com/wp-content/uploads/Breakdown-Structure-2.png)
In the designing phase, the bill of material gets decided, and on that, production is carried out. We will then define the statement of material.
![bill of material](https://www.devitpl.com/wp-content/uploads/Bill-of-Material.png)
![bill of material lines](https://www.devitpl.com/wp-content/uploads/Bill-of-Material-lines.png)
We will also define the route for the production process.
![All routes](https://www.devitpl.com/wp-content/uploads/All-routes.png)
![Route details](https://www.devitpl.com/wp-content/uploads/Route-details.png)
Then based on work breakdown, structure forecasting will be done, which will provide activity-wise costs.
![Transfer from WBS](https://www.devitpl.com/wp-content/uploads/Transfer-from-WBS.png)
![All forecasts](https://www.devitpl.com/wp-content/uploads/All-forecast.png)
![project Forecast](https://www.devitpl.com/wp-content/uploads/Forecasts-detail.png)
In budgeting, we will set the budget for the project, which will go through the submission process for approval.
![Project Budget](https://www.devitpl.com/wp-content/uploads/Project-Budget.png)
![Project Budget information](https://blog.devitpl.com/wp-content/uploads/Project-Budget-2-1024x460.png)
In the planning phase, resource scheduling gets decided. The resource will be assigned and booked for the project.
![Project scheduling](https://www.devitpl.com/wp-content/uploads/Normund.png)
![Resource booking](https://www.devitpl.com/wp-content/uploads/Normund-2.png)
Post the hours of Designing, Planning, Installation, etc., and expenses like Travelling, Transportation, Meal, etc., related to the project through project journals.
![Project Jouranl](https://blog.devitpl.com/wp-content/uploads/Project-Journal-1024x143.png)
Create a Production order in a project to carry project-related production. We take Production orders as we usually do.
![Production order](https://www.devitpl.com/wp-content/uploads/Create-Production-order.png)
There will be a link between production order and project, as you will see the project ID in the production order for reference.
Quality order will be created for the item produced through Production order on reporting an item as finished. In Quality order, we will enter the results of the quality check.
![Quality Order](https://blog.devitpl.com/wp-content/uploads/Quality-Order-1-1024x389.png)
On ending the Production order, we will post the packing slip for the delivery in the sales order created with the production order.
![Packing slip](https://www.devitpl.com/wp-content/uploads/Packing-slip.png)
We will create milestones in on-account transactions for invoice proposals.
![](https://www.devitpl.com/wp-content/uploads/transactions.png)
![](https://www.devitpl.com/wp-content/uploads/on-account.png)
Then based on this milestone, we will create a Project invoice proposal and post it.
![Project invoice proposal](https://www.devitpl.com/wp-content/uploads/Project-invoice-proposal.png)
![Create invoice proposal](https://www.devitpl.com/wp-content/uploads/create-invoice-proposal.png)
![Post](https://blog.devitpl.com/wp-content/uploads/Post-1-1024x284.png)
And then, on the completion of the project, change the Project stage to Finished.
![Finished](https://www.devitpl.com/wp-content/uploads/Finished.png)
In case if you have any queries, do not hesitate to get in touch with a DEV IT expert.