Plan Considering Yield of Product at a Manufacturing Operation
In various industries, there may be instances where a manufacturing operation doesn’t yield the entire planned quantity. For example, you start to manufacture operation for a quantity of 10 for a particular product. However, due to various manufacturing losses, only a quantity of 9 is expected to be useable for subsequent operations. With this update, the supply planning and production scheduling processes consider the expected operation yield when planning and scheduling subsequent operations. The material required in the subsequent operations is then appropriately scaled down. As a result, manufacturers in environments with significant operation-level yields can ensure the availability of the right quantities of raw materials and finished goods to satisfy demand and begin production.
Perform the following to consider operation yield for planning:
- Collect discrete work definition operations with operation yield from Oracle Fusion Cloud SCM and external source systems (including from E-Business Suite).
- Collect discrete work orders with considering operation yield from Oracle Cloud SCM and external source systems (including from E-Business Suite).
- Recommend make planned order supplies considering operation yield.
- Plan work order supplies with component demand and resource requirements considering operation yield.
- Release make planned orders with operation yield to source systems to create work orders considering operation yield for component and resource requirements.
You can also plan supplies scheduled in Oracle Production Scheduling, considering the operation yield in supply plans and demand and supply plans.
This planning feature applies only to specific types of discrete supplies:
- Discrete standard and nonstandard work orders.
- Discrete work orders with single or multiple outputs (although operation yield applies only to the primary product in the latter case).
- Discrete work orders with resequenced operations (note that component or resource requirements based on operation yield are not recalculated during resequencing).
- Discrete work orders with project, task, and planning attributes.
This feature is applicable to unconstrained and constrained supply plans and demand and supply plans.
If your source instance is Oracle Cloud SCM, you can set up operation yield to consider operation loss in the Oracle Fusion Cloud Manufacturing work definition setup. Operations with count point enabled support configuring operation yield in the Oracle Manufacturing.
For external source instances, you can prepare routing operation CSV files that include operation yield.
If your source instance is E-Business Suite, operation yield is configured in the Bill of Materials module, and the data will be extracted in the routing operations CSV file.
Additionally, you can define and collect work definitions with operations having different operation yields across various date effectivities from Oracle Cloud SCM or external source systems.
Perform the following steps to collect work definitions and work orders with operation yield from Oracle Cloud SCM:
- Perform the following steps to collect work definitions with operation yield from Oracle Cloud SCM:
- Enable the opt in Define Operation Yield at Work Definition to Model Expected Quantity for an Operation in Discrete Manufacturing in Oracle Manufacturing and Oracle Cloud SCM.
- Define operation yield for count point operations in existing or new work definitions.
- Run targeted or net change data collections for work definition reference data entity to collect work definition or routing operations with operation yield to Oracle Fusion Cloud Supply Chain Planning.
- The Routing view in the Plan Inputs work area will display the operation yield collected from Oracle Cloud SCM or external source systems.
- Perform the following steps to collect work orders with operation yield from Oracle Cloud SCM:
- Create a work definition with operation yield per the defined process.
- Enable Include operation yield in material and resource requirements on the Manage Plant Parameters page.
- Create a work order considering operation yield to calculate component and resource requirements.
- Run targeted or net change data collections for work order supplies to collect work order supply, work order component demands, and work order resource requirements considering operation yield from Oracle Cloud SCM.
The data collection process performs the following for work orders from Oracle Cloud SCM:
- Derives cumulative operation yield for a work order from the Oracle Manufacturing.
- Applies the yield to the remaining quantity of the work order to derive the order quantity. The remaining quantity is computed as start quantity – maximum of (start quantity x shrinkage of the item or scrapped quantity) – completed quantity.
Examples of Supply Plan Considering Operation Yield at Manufacturing Operation
Example 1: Collect time-phased operation yield from the Oracle Manufacturing
For operation number 30, different operation yields are collected and displayed in Plan Inputs. An operation yield of 0.8 is effective for operations from April 13, 2024, until February 2, 2030. After February 2, 2030, the operation yield changes to 0.6.
Time-phased Operation Yield Collected for an Operation with Different Date Effectivities from Oracle Manufacturing
Example 2: Collection of an in-progress work order with operation yield from Oracle Manufacturing
The in-progress work order M1-1301 collected from Oracle Manufacturing has the following values:
- Start quantity: 100
- Scrapped quantity: 11
- Completed quantity: 10
Since there's no shrinkage defined, the remaining quantity to be processed is 79 (100-11-10).
The work order has a cumulative operation yield of 0.72. When you apply cumulative operation yield to the remaining quantity, you get:
79 * 0.72 = 56.88
So, the expected order quantity after applying the cumulative operation yield of the work order would be 56.88.
In-progress Work Order with Operation Yield Collected from Oracle Manufacturing
Perform the following steps to collect work definition and work orders with operation yield from external sources (including E-Business Suite):
- Prepare a CSV file for routing operations and provide the operation yield.
- Prepare the work order's CSV file and provide the cumulative operation yield. Alternatively, include the operation yield in the work order resource requirements CSV file. Run the Load Planning data from Flat Files scheduled process in Oracle Supply Chain Planning to collect routing operations CSV and work order supplies CSV.
- To collect work definition or routing operations with operation yield and work orders supplies with operation yield from E-Business suite to Oracle Supply Chain Planning:
- Create a profile option in E-Business Suite named Include Operation Yield in Supply Chain Planning Cloud Extraction with profile option code MSC_INCLUDE_OPERATION_YIELD_SCP_CLOUD and set the value to Yes.
- Select routing and work order supplies, then submit concurrent request Extract data for Oracle Supply Chain Planning Cloud. A zip file with selected entities is generated.
- Collect this zip file and load planning data from files to the Oracle Supply Chain Planning.
External source data collection performs the following validations to derive cumulative operation yield and order quantity for work orders:
- Utilizes the cumulative operation yield specified in the work order supplies CSV file. If this is not specified, it calculates the cumulative operation yield by multiplying the operation yield specified for resource requirements across distinct operations.
- Applies the derived cumulative operation yield to the calculated remaining quantity of the work order to obtain the order quantity.
This feature is supported by E-Business Suite releases 12.1.3.9.2 and 12.2.6, as well as later versions.
RoutingOperations CSV Enhanced with Operation Yield
The RoutingOperations CSV file in the ScpRoutingsImport template for Oracle Supply Chain Planning now includes enhancements to specify and collect operation yield values for routing operations from external source systems.
RoutingOperations CSV File Enhanced to Collect Operation Yield from External Source System
WorkOrderSupplies CSV File Enhanced with Cumulative Operation Yield
The WorkOrderSupplies CSV file in the ScpWorkOrderSuppliesImport template for Oracle Supply Chain Planning has been enhanced to specify and collect cumulative operation yield values for work order supplies from external source systems.
WorkOrderSupplies CSV File Enhanced to Collect Cumulative Operation Yield from External Source System
The Supplies and Demands view displays the cumulative operation yield for plan inputs and outputs. Also, the Resource Requirements view has been enhanced to display the resource requirement's operation yield.
Example 3: Operation yield for work order resource requirements collected and displayed in Plan Inputs
The data collection process has collected operation yield associated with work order resource requirements from the Oracle Manufacturing to Oracle Supply Planning.
Operation Yield for Work Order Resource Requirements Collected and Displayed in Plan Inputs
The work order component and resource requirements are collected from Oracle Cloud SCM or an external source system. Oracle Supply Planning won’t perform any additional computations to derive these requirements.
You can edit the operation yield for an operation in a simulation set. You can also edit a copied work definition operation in a simulation set to update or edit the operation yield. Simulation sets with updated operation yields can be assigned to plan options to consider the updated operation yields in the planning computation.
Operation Yield Updated in Simulation Set
Oracle Supply Planning performs the following while recommending planned orders considering operation yield:
- Selects the operation yield effective on the supply start date from the operations associated with the selected work definition. For unconstrained supply planning, the primary work definition is chosen by default, while constrained supply planning can recommend primary or alternate work definitions.
- Derives the cumulative operation yield based on the operation yield of the selected operations of the planned order supply.
- Applies the cumulative operation yield to derive the start quantity.
- Computes operation start quantities for each operation based on the operation yield.
- Computes planned order component requirements and the component demand based on the operation start quantity where the component is included.
- Computes resource requirements based on the operation start quantity where the scheduled resource is included.
Oracle Supply Planning does not apply operation yield for outside processing operations. Suppose a work definition contains both in-house operations with operation yield and outside processing operations. In that case, the predecessor in-house operation's end quantity serves as the reference for the outside processing operations. For in-house operations following an outside processing operation, the start quantity remains the same as the preceding outside processing operation.
Additionally, Oracle Supply Planning supports time-phased yield by selecting operation yield based on the operation's date effectivity and the start date of the supply.
Example 4: Planning supplies with component and resource requirements considering operation yield in an unconstrained supply plan
Oracle Supply Planning has calculated operation start and end quantities by applying operation yield to each process. The cumulative operation yield, computed as 0.648, results from multiplying the operation yields of all processes together.
To determine the planned order start quantity of 154.321 units, the planned order quantity of 100 units is divided by the cumulative operation yield.
Operation start and end quantities are then computed by applying the cumulative yield to calculate component and resource requirements. For instance, in operation 20, the start quantity of 138.889 units is derived by applying cumulative operation yield up to the last operation. This quantity is computed by dividing the planned order supply quantity by the cumulative operation yield (100 / (0.8 x 0.9)).
The component requirement of 171.468 units for component C1 is calculated from the operation 10 start quantity by multiplying by the usage and then dividing by the component yield (154.321 * 1 / 0.9).
Similarly, the resource requirement for resource R1 in operation 10 is determined based on the operation start quantity and resource usage while incorporating resource utilization and efficiency:
Resource R1 – resource hours = operation start quantity x resource usage = 154.321 x 1 = 154.321 hours
Adjusted resource hours for resource R1 = resource hours / (utilization x efficiency) = 154.321 /(0.9 x 0.9) = 190.20 hours
Planning Supplies with Component and Resource Requirements Considering Operation Yield in Unconstrained Supply Plan
Example 5: Planning considering time-phased operation yield in a constrained supply plan
The planning process respects the time-phased operation yield. Operation 10, for instance, has a yield of 0.7 from Day 1 to Day 10 and a yield of 0.9 from Day 11 onwards.
Starting on Day 1, the planning process calculates a cumulative operation yield of 0.56 for a planned order supply of item FG. Similarly, starting on Day 12, the cumulative operation yield is computed as 0.72.
The planning process uses the time-phased operation yield to calculate the component and resource requirements associated with the planned order of item FG.
Planning Considering Time-phased Operation Yield in a Constrained Supply Plan
Example 6: Planning work order supplies with operation yield in an unconstrained supply plan
Oracle Supply Planning has planned work order supplies with cumulative operation yield.
For work order number M1-1301, with a start quantity of 100 units, a scrapped quantity of 11 units, and a completed quantity of 10 units, the order quantity is computed as follows:
(Start quantity – maximum of expected scrap quantity or scrapped quantity – completed quantity) × cumulative operation yield
(100 - 11 - 10) × 0.72 = 56.88 units
Similarly, for work order 1195, with a start quantity of 50 units and no scrapped or completed quantity:
(50 - 0 - 0) × 1 = 50 units
For work order 1196, with a start quantity of 100 units, a scrapped quantity of 50 units, and no completed quantity:
(100 – 50 – 0) × 0.99 = 49.5 units
Planning Work Order Supplies with Operation Yield in an Unconstrained Supply Plan
The Plan Inputs, Oracle Supply Planning, and Demand and Supply Planning REST services now retrieve the cumulative operation yield for work order supplies using the GET operation.
In Production Scheduling, you can schedule planned orders that have operation yield enabled. This scheduling ensures that resource and material requirements affected by operation yield are properly considered.
In Oracle Supply Planning, you can now incorporate operation yield-enabled planned orders scheduled in Production Scheduling within a user-specific firm window.
You can now release the make planned orders recommended by a plan considering operation yield to Oracle Cloud SCM or to external source systems. The process releases start quantities of the planned orders to the source system to create work orders. Oracle Manufacturing applies operation yield to compute estimated component and resource requirements when creating work orders.
Steps to Enable
You don't need to do anything to enable this feature.
Tips And Considerations
- Supply planning does not refer to the Manufacturing plant parameter Include operation yield to calculate component and resource requirements.
- Instead of using shrinkage, set up operation yield for modeling operation loss.
- Oracle Supply Planning calculates the supply quantity of planned co-products or by-products based on the end quantity of associated operations with operation yield in work definitions.
- If a work order's cumulative operation yield value is null, greater than 1, or less than zero in a CSV file, it's set to 1 by default during data collection.
- Operation yield values that are null, greater than 1, or less than zero in work order resource requirement CSV files are defaulted to 1 during data collection.
- Operation yield values in work definition or routing operations CSV files that are null, greater than 1, or less than zero are defaulted to 1 during data collection.
Key Resources
- Refer to Define Operation Yield at Work Definition to Model Expected Quantity for an Operation in Discrete Manufacturing readiness training from Manufacturing update 24C.
- Refer to Plan Considering Yield of Product at a Manufacturing Operation readiness training from Production Scheduling update 24C.
- Refer to Respect the MTQ Within and Across Work Definitions readiness training from Supply Planning update 24C.
- Refer to Plan Multiple Outputs from a Discrete Manufacturing Work Definition readiness training from Supply Planning update 24C.
Access Requirements
Users who are assigned a configured job role that contains these privileges can access this feature:
- Monitor Supply Planning Work Area (MSC_MONITOR_SUPPLY_PLANNING_WORK_AREA_PRIV)
- Monitor Demand and Supply Planning Work Area (MSC_MONITOR_DEMAND_AND_SUPPLY_PLANNING_WORK_AREA_PRIV)
These privileges were available prior to this update.