RE: steel usage

Jeff, we backflush coils too.  We are different in that we run out coils
w/in MO and end the MO when a coil runs out.  At the end of the MO we add up
the actual weights from all the coils used (we save the coil tags) and
compare them to the backflushed IPs.  Often we get variances which for the
most part are guage fluctuations.  We then IP the variance into the MO to
get actual usage into the MO and then close the MO.  This is more
appropriate than an IA.  For you to do something similar you would need to
weigh the coil going into the MO and upon return to stock and compre the
actual usage to your backflush.  Better yet yurn off backflushing, IP the
whole coil into the MO and then use return to stock RS to put the residual
coil back into raw material inventory.

I see location control not directly involved in this but I might be missing
something.  In my shop we are very generalized in our steel locations.  Our
coils are large and our press room is not very large.  We don't misplace
steel.  We record RMs at shift change based on counters on the presses and
of course the steel is flushed out then.

If you have any more questions please fire away.  Backflushing coils of
steel in a press room is right up my alley.

Les

-----Original Message-----
From: mapics-l-bounces@xxxxxxxxxxxx
[mailto:mapics-l-bounces@xxxxxxxxxxxx]On Behalf Of Jeff Snyder
Sent: Thursday, August 05, 2004 11:22 AM
To: mapics-l@xxxxxxxxxxxx
Subject: steel usage


   Here's another one, we are grappling with:  Steel usage variance.

   We currently back flush coils from 'std' bom, at RM of finished item
   time.  No location cntrl and a physical once a yr.

   We would like to have better control of the perpetual onhand balances,
and
   usage variances.

   To this end we will :

   1.  establish location control of store rm , and floor locations.

   2. record receipts, and movements as they ocur.

   The major issues we have is on consumption.  A coil may be used for
   multiple MOs, i.e. we may put up a 15K coil and run 2 - 5 MOs.  We run
MOs
   1 - 4 complete, but only 1/3 of MO 5, which could finish with another
   coil.   This prevents us from doing a discrete issue, (we'd have to
   reweigh the coil between jobs)

    We are thinking of measuring the actual coil wt used (from packing slip)
   to the std Back flush qty for the MOs run. and recording the var. at that
   time.  This would give us accurate Inventory at all locations , and a var
   . to the jobs run.
   example we used a 15K coil and Backflushed only 13K, based on MO qty
   reported.
   we could 'IA' the 2K right then,  and report it as a matl variance,  not
a
   cycle count variance.

   Does any body have thoughts, solutions they'd like to share.

   looking for input.

   Jeff Snyder,  CPIM
   Mapics Consultant


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