We have a number of parts we have changed from ‘Manufactured’ to ‘Purchased’. The method of manufacture has been left in place, in case we want to build the part internally one day.
After changing to purchased part, we do a cost adjustment to remove the labor/burden/subcontract costs, and change the material cost to the price we will be purchasing the part at. This is as instructed by our consultant.
The problem is that when I perform a cost rollup against my manufactured parts, these purchased parts (which appear in the BOM of some make parts) are rolled back up with values from the MOM, adding the labor/burden/sub costs back against the part.
Has anyone had this issue in Epicor before? Maybe I’m missing something simple here? Sorry if I haven’t described this clearly enough. Let me know and I can attach pictures and step by step examples.
Do you mean the “old” MOM for the part, before it was changed to purchased?
If so, I wonder if creating a new blank revision for the purchase part(s) would get rid of the unwanted costs rolling up?
You could specify not to roll up the methods for purchase part (company wide) when you do a cost roll using costing workbench.
Under Inventory management > Setup > Site Cost Maintenance.
In this way, if a part is coded as purchase it will ignore it’s method (BOM/BOO)
althomas I think this is what I’m looking for!
Thanks pal I will give it a try and update the post with results
Kind of related to this; what is the general consensus when setting up a part that depending on the shop load at production time can be either manufactured or purchased? Our design happens well ahead of production, so we want to be able to change on the fly if possible.
This is exactly why we do this as well.
Seems to work fine as long as you are making the correct cost adjustments / rollup when making the change
If turning from Make to Buy, youll need to do a cost adjustment and change the mtl cost to your sub price, and remove labor/burden/etc…
If you use the setting shown above, you should simply be able to switch from Purchased to Make and do a rollup to recapture the labor/burden/etc