QM in jewelry industry

[maverick007]

I have a scenario in jewelry industry. We buy the gold bullion from different vendors. The vendors are expected to supply gold of 99.5 % purity (24 carat gold). At the time of procurement there will be a quality inspection. If the gold is found to be impure, i.e. Less than 99.5%- the gold bullion is accepted but a lower price. Impure gold is then sent for purification process. Please suggest how to map this in QM.

Thanks in advance

[Craig]

I would think that this would be simple posting to a new material. I'd create a quality notification that would capture the defect and have a workflow step to send it to your buyer to get a credit issued on the original purchase order.

When the material is received, you inspect it. At the UD you post the material to a different material representing the lower cost gold. You then have a process order to do the purification with the final product be the 24K gold product.

Craig

[MIGO101]

I would suggest to implement active ingredeint management in standard SAP. This would valuate each batch of gold from the vendor separately according to its purity. There are several steps in config, but I would highlight few basic things here...
Create 2 units of measure, %Gold and ActualGold. The price is set-up for Actualgold in t-code MWB1.
Everytime you receive a batch from vendor, QC would record the result on characteristic that updates %Gold and it would auto update the Actualgold of that batch and the batch will get a new value. The you simply run t-code MWBK to update the P.O price.

[Craig]

Crap.. I forgot all about active ingredient! But I guess the purity of a metal is no differnt then the solids content of a slurry in the chemcial industry.

Nice catch!

Craig

[prakashpal]

Hallo Mavrik,

When you want to process IMPURE gold for Purification process, I will suggest you to create new rework Storage location, say PUR.

Assume, you inspect 10kg of gold, Out of which 9 Kg is OK, 1 Kg is Impure.

Post 1 Kg quantity to Blocked, And while sending it to Purification process, transfer it from Blocked to Unrestricted of PUR, and Consume it against Rework Order.

Thanks

[Craig]

Why would you resurrect an old post like this?

We ask in forum rules that you don't do this. The posting was over 8 months old. Are you really expecting the OP to still be needing a design for this?

Thanks,

Craig