Adding standard fixed costs to Item Process

["McCready, Joan" <Joan.McCready@xxxxxxxxxxxxxxx>]

To all -

We are wanting to account for "anticipated" scrap costs when we create an
Item Process (EPDM Routing), so that historic scrap costs can be included in
our standard cost and passed on to customers in our pricing. However, we do
not want to set a "yield" on our routing operations, because if we do the
job right, there will not be any scrap! Setting a yield means that to
service a 10-piece order, MRP will expect an MO for 11 or 12 pieces, when we
only want to make 10 pieces. BTW, we manufacture to customer order - we have
almost no stock inventory...

How are you folks getting this scrap factor rolled into your costs without
messing up the actual routing?

        Thanks - Joan

Joan McCready, IS Manager      phone:  636-479-4499
MetalTek International               fax:  636-479-3399
The Carondelet Division             www.metaltekint.com
<www.metaltekint.com> 
8600 Commercial Blvd
Pevely, MO  63070