FIFO Log Question For Candy Manufacturer
Ok, maybe I'm missing something here, but my brain's not grasping the solution for this one today (haha)!
What do we do with products/raw materials coming back into the Warehouse from the Production Floor that might come back in LESS THAN the unit of measure we originally established on our FIFO LOG Excel Spreadsheet?
For example, let's say the Cookies we use were setup in FIFO LOG as a "box" -- what do we do with say a half of box? Should all products/raw materials be in pounds (a.k.a. the same unit of measure) in order to avoid this potential mess? I mean, the same could also apply to cases of Pretzels we have (or any product for that matter!).
Any and all thoughts would be greatly appreciated.
JKR
Maybe a little clarification would be helpful - what are you planning on doing with this half box of cookies that is returning from the warehouse to the production floor.
Was the box full going into the warehouse?
Is the product open??
(Did someone eat the other half?)
Do you commonly have this problem?
Sorry. It's a hypothetical situation that could certainly occur and I'm just thinking ahead.
In this case, the full box would be brought out to the Production Floor for product development, but let's say that for some reason we don't use the full box of Cookies and need to return the half a box that's left back to storage in the Warehouse.
So, it was FULL when it came out of the Warehouse and was staged for use on the Production Floor. Is OPEN because half the box was used in creating our product. Now HALF A BOX is left and OPEN to be returned to storage in the Warehouse.
Hope that helps.
I would say it would depend on what sort of system you are using i.e. hand written, SAP, Navision, etc. If you're dealing with an MRP system it's best you deal with the units that are used on the system. If it's handwritten it would make more sense to return it as the quantity you use on your formulas. Hopefully it doesn't say something like use one case or half a case in your formulas, but rather some unit of measure. In the long run this will help with traceability. What makes sense with your traceability program? Also keep in mind that after the bag is open, it may affect shelf life.
RG3 hit it on the head - once opened, how is shelf life affected. Some GFSI standards even delve into aspects that. Not that this helps your situation - but for us a unit is a case. Once removed from inventory, there is no returning it because of FIFO / FEFO irregularities. Its just policy. Any remaining product is disposed of. (Not the practical, economic or environmentally forward thing to do, but it cuts the hassle. ) For us, if it's for R&D work, or quality studies, and there are leftover materials - if they are safe for consumption we put them in the break room for the employees to enjoy.
You want UOM in lbs, not ea
We had this problem with cookies - some brilliant data entry tech on the other coast decided our cookies should be in each.
As though anyone in a manufacturing setting is counting out cookie by cookie.
We also had this problem with flavors when they were being entered by jug / container instead of weight. We grind our pretzels, and inventory couldn't figure out why I was mad that they were in each !
As always, FANTASTIC feedback, folks! Thanks!
I just pictured someone sitting there counting cookie-by-cookie (haha!).
JKR
As always, FANTASTIC feedback, folks! Thanks!
I just pictured someone sitting there counting cookie-by-cookie (haha!).
JKR
You should have seen the warehouse guys trying to put the pretzel dust back to together...
That image is even funnier!