Flow Manufacturing Costing
Oracle Applications support flow manufacturing and costing for Flow Manufacturing in both standard and average costing organizations.
Work Order-less Assembly Completions and Return Transactions
You can complete assemblies in Work in Process without referencing a job or repetitive schedule. You can also reverse work order-less completions by returning repetitive assemblies. Work order-less completions, which incur costs and relieve costs and variances, are processed and reported with respect to this completion transaction. This costing methodology differs from that used for discrete jobs, which track and report costs by job, and repetitive schedules, which maintain and track costs by repetitive assembly/line combination and allocate them across repetitive schedules.
Transaction Processing
Component backflush transactions, triggered by work order-less completion transactions, are automatically costed. The resource and overhead transactions that are also triggered by the completion transaction and are likewise automatically costed. These transactions are processed only these transactions as a set by the cost processor. Resource and overhead transactions from any other flow schedule or any other completion transaction of the same flow schedule must not be processed in this set.
Only one completion transaction and its associated component, resource, and overhead transactions must be processed each time a work order-less completion is transacted. This ensures that period balance information is properly maintained. If any transaction associated with a work order-less completion should fail to process, all associated transactions are rolled back.
Zero Balance
Under standard costing, all cost transactions and variance transactions associated with work order-less completions are processed at the same time as the Assembly Completion. Therefore the net balance associated with work order-less completions is always zero. Work order-less Assembly Return transactions are similarly processed.
Assembly Scrap
Scrap transaction are not supported for work order-less completions in this first phase of flow manufacturing.
See Also
Comparison of Manufacturing Methods
Performing Work Order-less Completions
Oracle Flow Manufacturing.
