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Dynamics 365 Community / Forums / Supply chain | Supply Chain Management, Commerce / Can a co-product also ...
Supply chain | Supply Chain Management, Commerce
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Can a co-product also be a formula item (ie. the main output in production)?

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Posted on by Freddy Hubert 15

There are various posts about multiple outputs from a production/batch orders but I just want to be sure I know the limitations of D365 SCM before speaking to a VAR about adding a feature.

My customer has the following scenario: they have various batches/items of finished goods (fresh produce) that they need to re-pack as different items. The re-pack process consumes packaging materials as well as these finished goods. As part of the re-packing, multiple output items can be made. So, the input finished goods are first "disassembled" and then re-packed based on quality considerations and/or size.

Now, naturally, you would say, use process manufacturing with co-products, since you can have multiple outputs. The problem is that those "co-products" can also be main (single) outputs from other production orders at times. So, they're not always co-products, but they can be.

Is there any way to make this work in standard D365 SCM? As far as I can tell, as soon as you set an item to a production type of "co-product", you're locked in to that kind of manufacturing.

I appreciate any replies.

  • Guy Terry Profile Picture
    Guy Terry 28,779 Super User 2025 Season 1 on at
    RE: Can a co-product also be a formula item (ie. the main output in production)?

    By the way, this is not a 'workaround'; this is how you do it in F&O; it's what Planning items are designed for. But whether it meets your customer's need entirely is another matter! (I think it was Planning items which prompted one end user to tell me that AX must stand for 'Almost Xceptable'. Which is better than 'not at all acceptable', I suppose).

  • Freddy Hubert Profile Picture
    Freddy Hubert 15 on at
    RE: Can a co-product also be a formula item (ie. the main output in production)?

    Thanks, Terry. We'll give your workaround a shot. Either way, if this doesn't work, or doesn't make the customer happy, I know that an extension/mod is what I need, so my question is answered.

  • Verified answer
    Guy Terry Profile Picture
    Guy Terry 28,779 Super User 2025 Season 1 on at
    RE: Can a co-product also be a formula item (ie. the main output in production)?

    Hi Freddy,

    For these scenarios, you probably already discovered that you can't set the item as a Formula item (which you would do if it was the main item on a production order) AND and co-product item. For such cases, F&O has a concept called a Planning item.

    Create the Item as a Co-product item, and assign it as a Co-product to the Formulas where you are re-packing.

    But also create another Item with Production type = Planning item (I like to suggest using an item number which means that you can tell not only is this a Planning item, but also which Co-product item it is linked to. For example, if your Co-product item is ABC34412, your Planning item could be ZBC34412; Z indicating that it is a planning item, and the other digits indicating which Co-product it is the planning item for).

    Then create a Formula for the Planning item, putting the Co-product item as a Co-product output. If you want to make the Co-product as the main (single) item on a Production order, create a Production order for your Planning item.

    Planning items are special, in that you cannot RAF the Planning item; you will only RAF co- or by-products on the Production order of a planning item. Planning items are not held in stock; they are just a container that is used when a Co-product should be manufactured as a Main item.

    On the Co-product, you can also set a Planning formula. Here, you are indicating to the Master Planning module which 'main' item to use when the planning module sees unfulfilled demand for a Co-product item. Often, the Planning formula for a Co-product would be set to a Planning item.

  • Suggested answer
    Charlotte X Profile Picture
    Charlotte X on at
    RE: Can a co-product also be a formula item (ie. the main output in production)?

    Hi Freddy Hubert,

    My understanding is that this is handled via customization, extensions, etc. or Partner Add-On.

    Best Regards,

    Charlotte

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