Supply chain | Supply Chain Management, Commerce

Capturing Raw Material Scrap on Production Orders

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Posted on by Community Member Microsoft Employee

Hello Experts,

I am looking for a way to capture scrap for BOM line in production orders.

Lets not talk about Constant/Variable scrap in BOM since it doesn't help in our scenario.

For example:

Lets say one of the BOM line Item A is picked (using Work) for the production order. (1 PL which has 10 boxes). when we pick noticed that 2 boxes is damaged.

Other 2 boxes is picked to compensate the damaged boxes.

Now the production order transactions will display, 12 boxes are picked whereas 10 boxes are estimated which will end up in Variance.

is there a way to see in the production order that 2 boxes are scrapped?

Instead of adjusting out using Adjustment/Movement journal those 2 boxes, is there any other way?

Is there a report that displays how any BOM lines are scrapped per production order?

Options Tried:

1. There is a Scrap field in picking list which doesn't do anything. Is it useful in anyways?

2. Mobile device menu option 'Production scrap'. Which is again like normal picking list deduction.

How to handle this scrap? please suggest.

Thanks in advance.

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Junaid Idrees 12,746 on at

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RE: Capturing Raw Material Scrap on Production Orders

Hi Hrithi Sara,

If you have already consumed those scrap boxes then logically and financially it should be part of your production order cost and i totally agree with Alesandro.

You can create a seperate picking list specifically to report scrap material, it can be used for any scrap RM and traceability would be easy from reporting perspective.
Aparisi82 2,180 on at

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RE: Capturing Raw Material Scrap on Production Orders

you would need to create a new picking journal called Scrap and then consume the stock using that picking list.

So essentially it is a normal consumption de facto but using a journal called Scrap.

If you consume from the mobile device you would probably need to use the menu "Register Material Consumption" . Now, what I don't know is if you can actually link that menu to that specific picking list journal .
Community Member Microsoft Employee on at

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RE: Capturing Raw Material Scrap on Production Orders

Thank you Junaid and Alessandro for your response.

@Alessandro,

Yes now we do consume the extra 2 boxes in a new picking list but how do we know that this picking list is for scrap?

I tried 'Production scrap' mobile device menu which is again doesn't differentiate form the normal picking list.

Is there a way/field that identifies that a certain picking list is scrap?

Please advice.
Aparisi82 2,180 on at

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RE: Capturing Raw Material Scrap on Production Orders

What I would suggest is for you to post the extra boxes using a new picking list journal called Scrap.

So anytime they report a scrap , they will need to use that journal consuming the 2 extra.

That gives you traceability of all the scraps reported and it is financially correct as within the batch order
Aparisi82 2,180 on at

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RE: Capturing Raw Material Scrap on Production Orders

that would be wrong financially as the scrap should be linked to the batch order/production order
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Junaid Idrees 12,746 on at

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RE: Capturing Raw Material Scrap on Production Orders

Hi Hrithi Sara,

There is no impact of Scrap field available in picking list. You need to write off 02 boxes from movement journal, that is how we handle in AX 2012/D365.