I have two sites, both manufacturing approximately the same product mix. We have some 6000 fastener packs that get included with products. Until lately, they were created as child jobs by MRP, and those jobs were executed first each morning. The cost method is FIFO.
Plant management decided to get these made by a subcontractor on a vendor managed inventory program, where the packs are in our building but not in inventory, until we use them. When I inherited the system they have been changed to “purchased” and had been generating thousands of job exceptions as their bin cannot go negative.
Finance is happy for the parts to be set to average costing/ backflush, but even with zeroing out inventory the system allows some parts to be changed and not others.
I’d appreciate any help or ideas and have attached an overview in the hopes it makes my desired outcome clearer. The “VMI” field is just a true/false flag for the buyers’ purposes.
CFK setup.pdf (150.3 KB)