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How to capture Qty before shrinkage rate on a Contract Manufacturing Work Order — Cloud Customer Connect
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How to capture Qty before shrinkage rate on a Contract Manufacturing Work Order

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edited Oct 11, 2022 3:39AM in Manufacturing 10 comments

Summary:

How to capture Qty before shrinkage rate on a Contract Manufacturing Work Order

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We are releasing planned orders for Make items from Supply Chain Planning and creating Contract Manufacturing Work orders in the MFG module. These contract manufacturing work orders are available to the Contract manufacturers via Supplier Portal for reporting production completion. Further, We are using shrinkage rate feature in Planning to inflate the quantity of planned orders in comparison to demand (Forecast or sales orders) since Contract Manufacturers are allowed to overcomplete by a certain percentage.

With this shrinkage rate feature, all planned orders will be inflated by a certain percentage. It is not mandatory that Contract Manufacturers have to overproduce however the qty after shrinkage rate sets the upper limit of the quantity which Contract Manufacturers can produce.

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