We basically manufacture fabric. Due to process issues we have to reprocess or scrap some of our portions. For the movement we don't have a scrap process management. We want to know a best practice for this.
For reprocess we have a reprocess order type and we create the production order and then we change the routine on every order. We will be looking at whether there is a better way of doing these processes
Our reprocess is mosly dianamic, it seems we have to stick with the same. How do you handle scrap. we want scrap to be maintained as a stock in a separate location. whats your plan on this.
Handling scrap as stock is a tricky thing to consider here.
that means, before concluding, I want to know what do you do with this scrap???
do you use it internally for other production orders?
or do you sell it?
And this scrap is going to be constant? or each order generates its own kind of scrap???
Anyhow, if it is a constant scrap, then define a generic material code and assign to the BOM and mention the expected scrap in -ve value in BOM. you can change this expected -ve quantity in confirmation of order. This can be posted to a storage location and can be tracked. This is very similar as handling By product.
If the scrap is constant and if you sell to customer, then you need to define that as Co product. and you can track it under a storage location.
If the scrap is dynamic and you do not mind under which material code it is mentioned, as you mix all the scraps and do not need to track each different kind of scrap, then define a scrap material code and post all the different kinds of scrap under this material code.
For the movement we take the scrap as good fabric and then we downgrade it later. We sell this scrap as scrap material. This scrap is not constant. This is dynamic, and in the same time, I also looked at the BI product. What do you mean by Co product. How can we check in that. Please veryfy.
first, your scrap is dynamic. In that case, it is not practical to define a material code, everytime you have new type of scrap generated. Define a generic code and post stocks under this scrap material code.
Secondly, if you are going to sell your scrap, then this should be maintained as Co product.
co-product is something which is produced along with actual prodcut. The cost of manucturing the co product is generated and is used for evaluation in FI/CO and apportioned to your production order.
That means single production order produces two products and profits in selling this co product should be proportionately distributed to the production order.
you can also, define this co product in the BOM of the production order when you expect this. By this doing this way, you are expecting scrap/co product scrap from this production order.
Check in this forum for how to define a co product.
you can follow the same for BY product, in that you do not need to apportionate your production order.
Since you are identifying the scrap and storing it (for sell or reuse), It should be decided to use it as BI product or CO product.
And for reprocess, since it is dynamic, you cannot create static routings/production version for each re process situation......so better do the manipulation in the re process production order.
Thank you very much for the info, I missed the main thing, in the reprocess,
As i mentioned we have reprocess order type as ZP12,
When a reprocess orde to be done, what we do we create a order
original order 13899034
Reprocess order as 13899034QAA based on the reprocess type. But the issue the original order has the sales order link. But the reprocess orders the sales order number will go to the Long text field. It not get captured to the sales order cost. How can we do this. How can I link the sales order to the reprocess order. Please advice.
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