The challenge of managing multiple production outputs
Depending on the production process or the materials being used or produced, from a single production order multiple products can be produced as part of the product process or at the end of the process. Industry examples include
- A single mould produces a left and a right hand part - Plastic Injection Moulding
- The extruded material creates flash - Plastic Extrusion process
- Cutting onions creates slices and skins - Fresh foods
- Pouring molten metal produces steel bars and slag - Milling products
- Processing whole chickens, creates chicken wings, thighs, breast, etc - Food processing
- Grading wheat products, crates grade A, B and C - Food packaging
This type of ERP functionality is sometimes called 'V' shaped bills - i.e. can make many items from a single or a few materials or known as a "disassembly" bom.
ProcessForce manages this type of production, by:-
- Allowing the user to define CoProducts, ByProducts and Scrap within the product structure
- Link the production outputs to specific manufacturing processes (operations)
- Record each as a separate transaction within the manufacturing order (in-process) or as a single transaction
- Cost Calculation for all material types