NS creates SO + Project · drives MRP demand signal
The new SO is now a manufacturing demand on item SAT-002. The linked Project record begins accruing costs and CPI/SPI tracking. ARM auto-allocates the price across ASC 606 performance obligations.
Sales Order #
SO-2026-0501
$147.5M
Project ID
PROJ-ANDROMEDA-SAT-002
PM: Eduardo Garcia
CLIN line items
7
mapped from SF
ARM obligations
7
ASC 606 allocated
Drives MRP demand
SAT-002 × 1
need by 2028-06-30
📡 Demand Cascade · what just happened in NetSuite:
SO line item 4 (CLIN-004 · Bus Manufacture) references item SAT-002
Project PROJ-ANDROMEDA-SAT-002 created · pegged to SO
ARM created 7 revenue arrangements · auto-allocated $147.5M across obligations using SSP
MRP demand signal queued · waiting for next MRP run (or run-on-demand)
MRP reads the SAT-002 BOM (synced from Arena PLM) and explodes it against the new demand. For each component: need_date − lead_time − safety = PO release date. Long-lead components are flagged first.
BOM lines exploded
93
8 sub-assemblies + 85 components
Planned POs
~50
long-lead first
Planned Work Orders
4
3 sub-assy + 1 final integ
Critical path
40 wk
PROP thruster + PAY telescope
Action messages
Release: 14
Future: 36 · Expedite: 0
⚙ MRP Algorithm (this is what just ran):
for each component in BOM_explosion(SAT-002, qty=1):
need_date = LRD - assembly_buffer (12 weeks for sub-assy + final integ)
po_release_date = need_date - lead_time - safety_2_weeks
if po_release_date < today + 30: release immediately
elif po_release_date < today + 90: schedule for release
else: future plan
generate planned POs sorted by lead time descending
Buyer reviews + approves planned POs · NS transmits via EDI 850 to each vendor. Each PO is unique · DPAS-rated · ITAR-flagged. Vendors send back EDI 855 acknowledgments.
Each vendor receives the PO · sends EDI 855 acknowledgment. NS auto-matches the ack to the PO · updates status to "Open · Acknowledged". Vendor account YTD spend reflects new committed amount.
Each ASN triggers a receiving event. Receiving + QA (2-person rule for ITAR) record serial numbers · run incoming inspection · route to appropriate bin (cleanroom, ITAR cage, kitting). 3-way match runs automatically.
Financials reflect across AR · AP · GL · Project P&L
Vendor bills post against received POs. AP increases · cash projections update · project costs accumulate. ARM begins recognising revenue (cost-to-cost on long-lead). EVMS dashboard updates with new actuals.
AP balance
+$5.4M
vendor bills posted · DPO 31d
Project cost-to-date
+$5.4M
direct material · pegged to SO
Revenue recognised
+$1.7M
ARM cost-to-cost · CLIN-003
Cash · 90d forecast
-$5.4M
scheduled vendor payments
CPI
1.04
favourable · price discount
SPI
0.97
3% behind · watch PROP critical path
🧾 Sample JE (auto-posted on receipt + bill):
JE-2026-0816 · 2026-04-30 · Period 2026-04 (closed)
Dr 1320 · Inventory · raw materials · S-01 $5,400,000
Cr 2100 · AP · vendor bills · S-01 $5,400,000
Dr 1210 · Unbilled receivable · S-01 $1,700,000
Cr 4200 · Material Revenue · CLIN-003 · S-01 $1,700,000
(ARM cost-to-cost · 7.7% of CLIN-003 BAC)
WO released to MES · build progresses through 9 stages
When all materials arrive, NS releases the WO to MES. Operator clocks in · executes traveler ops · captures torques + serials + tests. NCRs flow back to Arena QMS. Each stage close-out triggers ARM recognition (units-of-production for CLIN-004).
After environmental + final assy + ATP witness, customer + DCMA QAR sign acceptance (DD Form 250). This triggers the FFP milestone: ARM recognises remaining CLIN-004 + CLIN-005 · invoice posts · 30-day warranty clock starts.
DD-250 status
✓ Signed
DCMA QAR · J. Ortiz
Final acceptance
PASS
47 of 47 ATP steps
Revenue recognised
+$58M
CLIN-004 · units-of-prod final
Invoice issued
$58M
to customer · Net 30
Warranty period
30 days
starts on signoff
Project margin
21.2%
$31.3M actual · on plan
🎉 End-to-end flow complete
A new opportunity created in Salesforce flowed through 10 systems / events to deliver a satellite. The architecture maintained traceability from contract value → BOM → POs → serials → build → revenue. Every dollar billed traces back to a specific contract milestone. Every part installed traces back to a specific PO. Every NCR traces back to ECO/CAPA in Arena.