Calculate Alternate Component Factor from Direct Supply

Explanation

Use this activity to calculate the Alternate Component Factor for components in a remanufacturing structure based on expected supply, defined as direct supply.

In a  Product Structure of type Remanufacturing, the Alternate Component Factor indicates to which extent the component is expected to be possible to be replaced by its defined alternate components. This percentage is then used in the cost calculation process.

When using this method, you can select which, one or more, of the registered direct supply parts you will base the calculation on and also the quantity for each of those. Direct Supply parts can be either of type Disassembly or Remanufacturing.

The calculation will loop through all defined direct supply structures and calculate the expected outcome for each component defined as the produced part (Disassembly) or remanufactured part (Remanufacturing), considering scrap factors. In a disassembly structure that is the scrap factor in the Produced Parts tab and for a remanufactured part it's the inventory part scrap factor. The expected supply for each component will be the sum of supplies from all direct supply parts. 

This supply will then be compared with the total possible usage of that component as alternate component to the main components in the remanufacturing structure. If multiple remanufacturing structure components share same alternate component, the calculation will consider the total usage, from all those main components and divide the supply accordingly, i.e. the Alternate Component Factor will be lower, than if only one structure line had that alternate component defined.
That percentage is the Alternate Component Factor for one alternate component.

The total Alternate Component Factor for each main structure component will then be calculated as the sum of alternate component factors for the alternate components.

Note that the Alternate Component Factor cannot be more than 100% even the calculation would indicate more supplies than demand.

A bit simplified the formula then looks like below:

Alt Component Factor(Main component) =     Sum supply Alt1 from all Direct Supplies  + Sum supply Alt2 from all Direct Supplies  +  Sum supply Altn from all Direct Supplies
                                                                  Sum demand Alt1 from all structure lines    Sum demand Alt2 from all structure lines      Sum demand Alt2 from all structure lines

For each line in the remanufacturing structure you can decide if it will be update by the calculation or not by changing the toggle Fixed Alternate Component Factor. Note that the line will still be included as a demand in the calculation, but the existing Alternate Component Factor will not be updated.

Prerequisites

System Effects

As a result of this activity, the Alternate Component Factor is updated for all records that do not a have Fixed Alternate Component Factor.