Hello so we have a production order that we are completely subcontracting out this time.
In the system on the Production BOM level I have entered the 3% scrap factor for each line item.
I know that when I "release" this production order it should consume the components with this additional 3%, am I on right track? Where does this scrap get recorded into?
Also on the routing to pay the subcontractor, they are charging $2.50 per bottle let's say. Do I need to enter 3% scrap again on the routing level? I left the Work Center info blank because I assume all this info is entered on the Routing level and also since set to "Manual"?
Please help for this entire order subcontracted out, we only purchase back the finished product which the costs will be the raw materials in our stock that we sent out, and the fees. Thanks!
