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Definition

Scrap that is expected to occur during production if the material is a component.

Use

Component scrap is used in MRP to determine the input quantity of the components. When you produce an assembly with this component, the system increases the component quantity to enable you to reach the required lot size. You can enter component scrap in the BOM item or in the material master. When exploding the BOM, the system increases the input quantity of the components by the scrap quantity calculated.

The unplanned component scrap is shown as input quantity variances at period-end closing in Product Cost by Order and Product Cost by Period,.

( ) For components in an assembly with assembly scrap , the following applies:

The system first calculates the assembly scrap, then the component scrap. The scrap quantities calculated are added and the quantity required is increased accordingly.

You can specify the component scrap in the following ways:

  • In the BOM item

    In this case the component scrap is only relevant for that particular BOM.

  • In the MRP 4 view of the material master record

    In this case the component scrap is relevant for all the BOMs that contain that material.

    Note Note

    If component scrap was included in the BOM, the value entered there applies. Otherwise the value entered in the material master record applies.

    If you maintain component scrap in the BOM item and in the material master record, the entry in the BOM takes priority.

    Component scrap does not affect the production time.

    End of the note.

( ) Example 1

For the component Raw Material C of Semifinished Product H, component scrap of 10% has been entered in the material master. The system therefore costs 100 pieces of the finished product at 275 grams (250 + 10%) of Raw Material C, not at 250 grams. The component scrap is 25 grams.

For the component Raw Material X of the finished product, component scrap of 10% has been entered in the material master. The system costs 110 pieces of Raw Material X (100 pieces plus 10%) The component scrap is 10 pieces.

This graphic is explained in the accompanying text.

( ) Example 2

For the finished product, you have entered assembly scrap of 10% in the material master. For the components Raw Material X and Raw Material C, you have entered component scrap of 10%.

This graphic is explained in the accompanying text.

( ) Example 3

For the finished product and for Semifinished Product H, you have entered an assembly scrap of 10% in the material master. For the components Raw Material X and Raw Material C, you have entered component scrap of 10%.

This graphic is explained in the accompanying text.

See also:

For more information, see the following sections in the SAP Library: