In many organizations, it occurs that components and sub-components used in one product can be used interchangeably depending on the requirement and the usage.
Moreover, in the case of rejection, the entire product may not be defective. So, instead of scrapping off completely, organizations can be dismantling the product and can use its sub-components in any other way. This can be very cost-effective to many small and mid-level organizations.
What is ‘Dismantling’?
Dismantling is the process of disassembling or breaking up a product and segregating its components. The segregated components can be further dismantled individually in their sub-components.
This process looks quite easy and regular. Nevertheless, it is not the case. It comes with its own set of complexities, not materially but procedurally. The immediate complexity is that the output becomes the raw material and the components become the output. The entire production order is reversed.
Another complexity is the cost of the product. It must be in mind that the cost of the product must be placed on the restored components equally.
Other components are a disadvantage to the organization. If not handled thoroughly, this can change the average costs of the components and their sub-components.
We, at Intech Systems, have built a solution that takes care of these complexities. It allows you to dismantle a product and segregate its components as well as its costs. It allows the user to dismantle a product based on the original production process and costs. The user can take the restored components into the inventory and non-required components as rejections. The process can happen in the loop for all the components up to the nth level.
How to set up a Dismantling Process?
As this process is not included in the standard ERP solution, you can follow the video below, once you have our solution and our technical team has integrated the code to link it with the ERP.
This is the way how your organization can re-use the unused products and lower the cost of new production. To understand more about our solution, contact us at firstname.lastname@example.org. You can also visit Microsoft Appsource to know more about our solutions.