Christian,

In essence the basic manufacturing process for producing an end product is
the executing of a happy flow. When registering a new production run of
e.g. 1000 washers it is the intention to register (as output of that
production run) 1000 washers into inventory.

With predefined inputs (components, production resources like machines and
workers) the defined output is generated. This is based on the BoM (the
what) and the associated production schema (the how).

Deviations of the happy flow leads to a diminished quality of the end
product (not only when assessing the end product with regards to its
acceptance parameters, but also when taking the cost of the product into
consideration).
Yes, the average cost of quality inspection and rework can be incorporated
into the standard cost price. But these are based on statistics. The actual
cost of the real inspection and rework on the (intermediate) product of a
production run can deviate enormously from the standard calculation.

With current functionality in the manufacturing component only the happy
flow is addressed, with only a few predefined deviations. These deviations
are also predefined, namely the registration of by and waste products and
rejected end products.

Now, back to your 'rework' scenario. Executing this scenario is hardly a
happy flow. The amount of effort in this is difficult to define up front,
and the output can be vary from scenario to scenario. So this is difficult
to define in a BoM and related production schema. For that you can add
tasks, components and resources to a production before confirmation.

Moreover, given the variance of tasks, components and resources applicable
from rework to rework you could regard it (in a way) as product development
or (re-)engineering. But definitely not manufacturing.

Regards,

Pierre Smits

*ORRTIZ.COM <http://www.orrtiz.com>*
Services & Solutions for Cloud-
Based Manufacturing, Professional
Services and Retail & Trade
http://www.orrtiz.com

Reply via email to