I need some help understanding what we need to do. This is probably very simple, but I have never gotten a really good answer…
Scenario
We have a job for 100 EA of Part X
We issue all the materials to said job.
We clock in/out of each operation and report quantity.
In our next to last step, we have two that fell outside of tolerances and had to be “scrapped”.
We reported 98 in the labor quantity, and 2 in non-conformance. (We marked the operation complete).
The last operation we report 98 in the labor quantity and mark the operation complete.
We then receive 98 to inventory.
The job will not complete because This Job has parts in WIP. In addition, there is still costs on the job.
We had three Ops consultants during implementation, one of which I had to train for most of what we were trying to accomplish. One which was decent on most things, but not strong towards the financial links between MFG and GL. The last one was really good, but he was only there for a couple of months and he had to try to work with us to undo a lot of the damage done by the previous ones.
It was my understanding from all of this that by reporting Scrap was useless for our purposes, and that by reporting non-conformance we would be removing the costs (the setting is checked) AND the quantities from the job using the DMR process. There are still parts and costs in WIP.
We do not ever go back and produce the rest of the job if we lose some to non-conformance. I have taught my teams that they must follow this procedure in order to have the jobs complete properly, and now the jobs are still failing to complete.
I know about the yield recalculation, but we don’t want to lose the data of how many the jobs were planned for, and how many we actually received. I guess we could get that info through a calculation though…
Wait… you can close ANY job “short” without receiving parts… unless you have a BPM or something prohibiting you from doing so. I have done it many times:
create a job
partially complete
Partially receive
Close the job.
Any charges (value) left in wip will go to variance.
UNLESS… MAYBE? Do you have by chance Serialized parts that were issued? Wondering if maybe that causes a problem?
In any case, SCRAPPING is the correct way to reduce the quantity that is currently in WIP.
I can manually close it out, but in reality we want a process where the right amounts are reported by the operators and then the Auto Job Completion process can complete them. In the ERP system we switched from earlier this year the scrap quantity was considered part of the total quantity. What we’ve found is even if it’s scrapped, it still is showing in WIP.
In any case, SCRAPPING is the correct way to reduce the quantity that is currently in WIP.
Does this mean that scrapping the 2 instead of reporting non-conformance will remove the 2 from WIP?
I ran the capture process. The job still shows “This Job has parts in WIP.” The WIP costs are still showing on the job, even though the non-conformance is supposed to pull those costs out.
100 pieces were supposed to be made, and 100 pieces are accounted for. I’m not sure what the system is expecting that we’re not doing. The only possibility that I can see is that the job expects 100 good pieces, and we’re only reporting 98 good pieces. The process of scrapping/non-conformance seems to be irrelevant to the status of the job. One just accounts for costs [nc-if set to] while the other method pushes the costs on to the other parts being completed [scrap].
The Non-Conformance DOES NOT pull the costs and quantities out. It is actually the DMR that does that. So, if you have something in Non-Conformance, you need to either accept it back to the job or reject it to a DMR. If it is in a DMR, you need to disposition the DMR and close it out before you can close the job.
Epicor does not allow a job to close while there is an open Non-Conformance or DMR.
Yes, you are correct. When I said non-conformance, I meant the entire DMR process. In this case the two were actually rejected and the DMR is closed. That’s why I’m confused as to the cost still being on the job.
Although looking at the WIP recon for the job it does show the DMR costs. So I am not sure what the remaining costs are.
At this point, I would accept/reject (forget which one) the DMR and put the material back on the job. Then I would report a scrap of 2, close the job, and run the capture.
I ran the same job, the same way. I scrapped 2 in the QC operation, when it got done it failed to complete because 2 were in WIP.
Non-conformance (from earlier test):
I ran the yield recalc, and it did change the qty to the 98 and the job completed. The 2 that were scrapped went to variance.
Scrap:
On the non conformance, the costs were removed with the DMR process, which is preferred by management. I guess our only choice is to start using the Yield recalc on our final operations.
