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Enhancement to shop order generation in a batch production environment

Written by Pieter Hamans on . Posted in Exact Online

BATCH-000

A bill of material (BOM) for a make to order or assemble to order product is often designed for a quantity one. There are products where the capacity or material is better utilized when we produce them in batches of a certain quantity. In that case we design the BOM for that batch quantity. A new enhancement for Exact for Manufacturing supports the shop order generation in a batch environment.

Benefits of batch production

In industries like food manufacturing, we will mix ingredients in vessels of a defined size, like a in a dough mixer of 200 liter. In industries like metal manufacturing, we could best get 25 cuttings out of a metal sheet of 2 meter by 1 meter. Orders that are not multiples of these quantities do not lead to an optimal use of capacity or best cost price. Our BOM is should be designed for that batch quantity:

Batch-002

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In the above example, we have chosen a batch quantity of 100 piece, which may take benefit of material size (number of pieces out of a steel bar), setup time (the fixed amount of time needed to set up or tear down the machine to produce this batch), or for example packaging units (100 piece on a pallet). In this BOM we see that we can get 50 cog wheels out of a single bar:

Batch-003

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Creating a shop order for a batch

Until recent, shop orders created via Manufacturing, Planning | Create shop orders would default to quantity one. A new enhancement to Exact for Manufacturing (all editions) defaults to the batch quantity of the chosen BOM version. It is therefore also supported to create BOM versions for different batch quantities:

Batch-004

(Click to enlarge)

 

Future enhancements

The creation of planned shop orders via Material Requirements Planning, which will be realized in Exact for Manufacturing premium, will advise to produce in (multiples of) batch quantities. Updates on the premium release will follow from time to time in this product blog.

 

More information with Pieter Hamans, pieter.hamans@exact.com

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