Optimum 'routing-alternate' for the appropriate Lot Size of Shop Order

  • 18 November 2019
  • 3 replies
  • 408 views

Userlevel 3
Badge +4

We often pre-define product routings based on traditional routing operations for all lot sizes. However, what if the ERP application can select the correct routing for the defined lot size in your shop order? IFS Applications has the ability to simulate ‘Unit Cost Per Alternate’.

Now, if we can gain cost benefit via Economies Of Scale, then why not use a selection of routing alternates to cater the varying scale of your operation.

Solution: Unit Cost Per Alternate functionality

Define several Alternates in your Routing; Simulate Cost Per Unit based on the Cost Set (2); Define alternate recommendation for the varied range of lot sizes.


3 replies

Userlevel 5
Badge +9

There is a setting in Routing window where you can define the minimum lot size and the routing alternate you want to select for that lot size.

This is under the routing lot size tab in Routings window.

Userlevel 5
Badge +8

We often pre-define product routings based on traditional routing operations for all lot sizes. However, what if the ERP application can select the correct routing for the defined lot size in your shop order? IFS Applications has the ability to simulate ‘Unit Cost Per Alternate’.

Now, if we can gain cost benefit via Economies Of Scale, then why not use a selection of routing alternates to cater the varying scale of your operation.

Solution: Unit Cost Per Alternate functionality

Define several Alternates in your Routing; Simulate Cost Per Unit based on the Cost Set (2); Define alternate recommendation for the varied range of lot sizes.

This is a good tool for customers to use in their manufacturing activities. Thank you for sharing this!

Userlevel 3
Badge +4

There is a setting in Routing window where you can define the minimum lot size and the routing alternate you want to select for that lot size.

This is under the routing lot size tab in Routings window.

Hi Naveena,

Yes - thanks for the input here. The ‘Unit Cost Per Alternate’ is simulated hand-in-hand with the setup in the aforementioned ‘Routing Lot Size’ tab. However, it is imperative to simulate the unit cost per alternate along with the understanding of breakpoints between alternates. This gives an idea of when it is best to switch to an alternate to obtain benefits via economies of scale.

Best regards,

Damitha

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