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Microsoft Dynamics AX (Archived)

"Blank" production that ALWAYS produces the same part despite demand.

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All –

 

We produce Blank A and Blank A can only be cut down into 3 end items, Part B, C and D. These three parts ALWAYS are made by this blank no matter if there is only demand for one side we have to produce a full blank.

 

To make things more complicated Part C is a test panel that is tested and destroyed after every build to validate the quality of the blank, which in turn validates the quality of Part B and D.

 

For the examples I will leave out Part C since it is small enough that I don’t believe it plays a big enough roll, or at least not big enough where we cannot manage this.

 

Our site is set up to only use BOM type parts.

 

Blank A has a UOM of Pcs.

 

You cannot take the blank and make any other combination of parts (B,B,D or C,D,D etc.)

 

Part B uses .45 pcs of Blank A, .5 of Part C

Part C uses .10 pcs of Blank A

Part D uses .45 pcs of Blank A, .5 of Part C

 

My issues is we have poor yield on Part B (~85%) so we end up with a lot of inventory of Part D (yield of ~100%). When this happens and MRP runs, it plans to build two Part B’s out of one Blank A which we cannot do. This causes issues when ordering RAW material for this part since the Buyer only sees approximately half the demand necessary.

 

Is there a way and if so what is the best way to set up AX in a way the it always plans to build a single

Blank A weather there is demand for 20 Part B’s and no Part D’s or there is demand for 20 Part B’s and Part D’s.

 

Example:

Demand: 20 x Part B, and 0 Part D

Derived requirements: 20 x Blank A

 

Demand: 30 x Part B and 30 x Part D

Derived requirements: 30 x Blank A

 

Demand: 17 x Part B and 13 x Part D

Derived requirements: 17 x Blank A

 

Thank you in advance and please let me know if there is any additional information needed.

 

Alex

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  • Suggested answer
    STA Profile Picture
    250 on at

    Sorry to say that, but if what you say ("Our site is set up to only use BOM type parts.") is the case there's not much you can do to support scenario well. This is exactly why co-products were introduced, so to the best of my knowledge you won't find any nice way around it. I really gave it some thought and couldn't find any safe workaround to your issue. You can try to adjust the demand in Production BOMs manually, but if the demand for B and D changes frequently that will cause more bad than good. :(.

  • Community Member Profile Picture
    on at

    Thank you very much for the response. That is what I was affraid of.

    Since we currently only use BOM products if we wanted to incorperate Co-Products into the mix would there be any other ramifications? I am told that we would have to completly redo a lot of things like finance and other parts as well.

    Thanks again for the response.

    Alex

  • STA Profile Picture
    250 on at

    Certainly some additional tasks apply. Costing is indeed one of them. Others are all Item related setups of course, and some decisions (like - which of them B or D should be selected as the co-product and which one as a main one). It is always a matter of cost to benefit ratio, but if this scenario is your daily bread then it is usually worth it. ERP systems don't come cheap, but you have to earn your ROI sometimes :). Sorry for generalizing, but it always requires some deeper look to learn the details.

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