Calculation of Assembly Scrap (SAP Library - SAP Advanced Planner and Optimizer (SAP APO))

Calculation of Assembly Scrap

Use

For a product produced in-house, you can specify in the product master, how much scrap is produced when manufacturing the product, independently of the manufacturing process used. If scrap is produced, a larger quantity of the product has to be produced to receive the required yield. The system automatically corrects the quantity to be produced in the following places:

In the lot size calculation, which is performed during automatic planning and the Product Heuristic function

When manually creating an order

The system calculates the total quantity to be produced using the desired yield and the assembly scrap according to the following formula:

Total quantity = Yield x 100% / (100% - scrap in %)

When the system increases the total quantity, it also increases the following accordingly:

The quantity of the components that are required to manufacture the product

In the case of quantity-dependent processing times, the net duration of the activities

In the case of quantity-dependent resource consumption, the resource consumption of the activities

Prerequisites

You have entered the assembly scrap percentage in the location-specific product master of the product on the Lot Size tab.

You should define scrap either at assembly level or at activity level as otherwise too much scrap is calculated.

Example

You create an order and enter a yield of 100 pieces. In the product master, you have entered assembly scrap of 20%. The system therefore creates an order for 125 pieces.