Planning for defect material

Hi,

Let say i have a Product A using material Coil (in BOM line). My Coil on hand have 1500kg. When i run MRP, AX will plan based on my requirement, minus the coil on hand from the 1500kg.

However, the Coil when i buy in will have 10% defect, meaning i only want system to plan for 1350kg.

10% defect is NOT scrap, i still can use it for other purpose, let say it is alternative material for Product X.

BUT Product X, the bom line is Coil B, not Coil A.

Is there any workaround for this? Kindly advice.

You can plan for co/by products using the Process MDIS modules. In standard the only option you have to plan in this manner is scrap.

I will try to test using scrap. Will this affect my costing??

Yes depending uponhow you configure the scrap posting.

Hi Adam,

i tested use the scrap %, AX will propose to me to buy more material due to scrap. In another word, my product cost will be higher. Do you have any other workaround?

There is no other workaround if scrap does not work for you apart from manual processing, a modification or a module that does this.