Alternative Material Management 


Alternative materials are the most common management difficulty in the traditional machinery manufacturing industry and the electronics industry.

In the production organization process, it is inevitable that there will be material quality or procurement abnormalities, and at the same time it is necessary to ensure the smooth progress of production, so the situation of material substitution will often occur.

Material substitution must follow the corresponding substitution strategy, and the substitution strategy should usually be a preventive measure set in the product design stage.

There are usually several scenarios for material substitution:
1. Material A needs to be replaced by material B due to quality problems in a certain period of time.

2. A group of materials are interchangeable in function and structure within a certain range.
3. For interchangeable materials, purchase or inventory balance in multiple material sources (suppliers).


Material substitution rules:
1. A group of materials consumes inventory proportionally and is used to balance multi-source inventory scenarios.

2. Complete replacement according to priority.
When performing MRP calculations, check the inventory, check the inventory according to the priority in the substitution group, and consume the materials that are satisfied by the current inventory.
3. Partial replacement according to priority.
Check the inventory when performing MRP calculations, and consume the inventory of all the materials in the substitution group in turn according to the priority in the substitution group. The previous stock material is insufficient, and the next priority material replenishes the stock, and so on.


4. Manual designation. The planning department manually specifies which material in the substitution group to use within a certain period of time.
5. The material is out of service.
It is usually used for quality abnormalities. When a quality abnormality occurs, the planning department manually specifies that a certain material should be stopped within a period of time.





Set material substitution in the BOM  line


According to the material substitution rules, automatically replace in the documents in the production organization process