What is scrap factor in SAP SRD-SCM-WME - SCM-Warehousing and Manufacturing Execution?

SAP Term: scrap factor

• Component: SRD-SCM-WME

• Component Name: SCM-Warehousing and Manufacturing Execution

• Description: A factor that expresses the quantity of input products that are expected to be waste products or rejected items upon receipt from a vendor, during production, or at completion of production. It increases the required quantity of the input products for the operation. It is usually expressed as a decimal value, for example 30% is 0.3.

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• Key Concepts: 
  Scrap factor is a term used in SAP's SCM-Warehousing and Manufacturing Execution component. It is a measure of the amount of scrap material that is produced during the manufacturing process. It is calculated by dividing the total amount of scrap material produced by the total amount of material used in the process. 
  
  How to use it: 
  The scrap factor can be used to measure the efficiency of a manufacturing process. It can be used to identify areas where improvements can be made to reduce the amount of scrap material produced. It can also be used to compare different processes and determine which one is more efficient. 
  
  Tips & Tricks: 
  It is important to track the scrap factor over time in order to identify trends and areas for improvement. It is also important to ensure that all scrap material is properly accounted for in order to get an accurate measure of the scrap factor. 
  
  Related Information: 
  The scrap factor can be used in conjunction with other metrics such as cycle time, throughput, and yield rate to measure the overall efficiency of a manufacturing process. It can also be used to compare different processes and determine which one is more efficient.