Defining a formula

  1. Open the Process Manufacturing Formulas form.
  2. In the header, specify a Formula ID and Formula Version number, to create a unique formula. For simplicity, it is best to use the same ID as the item that the formula produces. Specify this additional information about the formula:
    Formula Type
    Select one of these options:
    • R&D Formula: Select this option for new formulas that will be used to create batches.
    • Production Order: Select this option if the formula can be used when a batch is created. Production batches are affected if you change this option later. If this option is selected, the Job and (suffix) fields are displayed.
    • Revision History: Select this option to create a snapshot of an R&D formula. This option is used to record historical changes. The formula can be converted back to an R&D formula.
    Sync Status
    This read-only field displays a message if the formula lines are different than the associated BOM lines from the WIP Item.
    Description
    Specify a description for the formula. The description is used on several reports, including the batch ticket.
    Revision Number
    If you make a change to a defined formula and version - for example, adding more salt - you can change the revision. The current revision level of the formula is automatically incremented when a revision is saved. When you want to move to a new revision, save the current revision; at that point it becomes static. The static revision can be used in production, but it cannot be changed.
    Warehouse
    The formula is only used in the warehouse that you select here.
    Created On
    This field displays the date when the formula was created.
    Update Date
    This field displays the most recent update date, or the current date for new formulas.
  3. On the Main tab, set up parameters for the formula as a whole:
    Manufacturing Class
    Select a class to associate with this formula. For example, if this formula is used to produce chamomile tea, you could associate it with the BEV class. Classes are defined on the Process Manufacturing Classes form.
    Manufacturing Subclass
    Select a subclass to associate with this formula. For example, if this formula is used to produce chamomile tea, you could associate it with the TEA subclass of the BEV class. Classes and subclasses are defined on the Process Manufacturing Classes form.
    Approved for Production
    This field must be selected before the formula is available for selection in batches. The Approved By field is populated automatically when this field is selected. Authorization to update this field might be limited to certain users.
    Note: Unapproved formulas can be added to specifications so that costing scenarios can be run, using the Manufacturing Specification Costing Report. However, a formula cannot be used in creating a batch until it is approved.
    Approved By
    This field displays the name of the user who marked this formula as approved for production.
    Status
    Specify the formula status:
    • Active: This formula is active and can be used for production.
    • Inactive: This formula is no longer being produced. However, you can still change the status to Active.
    • Discontinued. This formula is no longer being produced and cannot be changed back to Active.

    Inactive and discontinued formulas can be included in specifications, but no orders can be created for them.

    Route Item
    Select an item that you defined as a routing item.

    See Setting up routing items for Process Manufacturing.

    Route Item Source
    Select the source of operations for the routing item: Current or Standard.
    WIP Item
    Select an item to use as the WIP item. See Setting up WIP items for Process Manufacturing. If you leave this field blank, the Default WIP Item from the Process Manufacturing Parameters form is used.

    Click Update WIP Cost BOM to update the cost definition for the WIP item. See Updating cost definitions for a WIP item or job order in Process Manufacturing.

    Job and (suffix)
    These read-only fields are displayed if the formula type is Production Order.

    Click Update Formula From Job to update the Formula based on any changes you have made to the BOM.

    Use Weight for Conversion / Use Volume for Conversion
    Select one of these options:
    • The Use Weight for Conversion method scales a production batch using the weight of the included materials. This is the preferred method, because weight does not change with environmental conditions. If the stock unit of measure for a component material is volumetric, either a density or a U/M conversion must be indicated in the Process Manufacturing Item Extension form for the component.
    • The Use Volume for Conversion method scales a production batch using the volume of the included materials. If the stock unit of measure for a component material is a weight measure, either a density or a U/M conversion must be indicated in the Process Manufacturing Item Extension form for the component.

    If you are only formulating by one method in this formula, then weight and volume conversions are not needed for each item. However, if you use both weight and volume in your materials for this formula, every item used in the formula must have both weight and volume conversions.

    If this is a BOM-only formula, neither Use Weight for Conversion or Use Volume for Conversion should be selected. A BOM-only formula is a formula with no lines. You might use this type of formula if you prefer to create a Process Manufacturing batch using the Workbench, instead of using standard job order functionality.

    Loss Constant
    This value indicates a fixed amount of loss that occurs when the formula is processed, regardless of the size of the batch. For example, you might set a Loss Constant of 5 LB. If you want to produce a batch of 100 LB, 105 LBs of material are required, to account for that loss. The additional material requirements are spread evenly across all formula items.

    If Use Weight for Conversion is selected, then this value is in the system base weight U/M. If Use Volume for Conversion is selected, then this value is in the system base volume U/M.

    This is a theoretical loss, used in setting the theoretical yield of the formula.

    If you update this field, your changes to the formula are saved when you move to the next field.

    Loss Percent
    This value indicates a percentage of loss, based on the total formula quantity. This value is used to scale up total formula requirements. For example, if a 2% loss is assigned and a production batch is created for 100 LB, 102 LBs of material are required to account for the loss. If the batch is set for 200 LB, 210 LBs of material are required.

    This is a theoretical loss, used in setting the theoretical yield of the formula.

    If you update this field, your changes to the formula are saved when you move to the next field.

    Yield Percent Under Tolerance / Yield Percent Over Tolerance
    Specify the tolerance percentages. If the calculated yield, based on raw materials issued and finished goods recorded as produced, is above the Yield Percent Over Tolerance value or below the Yield Percent Under Tolerance value, users are prompted with a warning. For example, you might set your high yield warning to 105%. When you close the batch, if the yield is 107%, you receive a warning that says the yield is higher than expected. Similarly, if you set the low yield warning to 80%, and the yield for a batch is lower than that threshold, a low yield warning is displayed. The warnings do not stop the batch from closing.
    Revision Notes
    As you make changes to the formula, use this field to enter notes about each change and then click Save Revision. Include any notes about why or when this formulation was created or updated. You can see these notes on the Revision History tab.
    Note: This field is required if you are creating a revision.

    See Revising a formula.

  4. In the Materials tab, set up information about one step in the formula:
    Sequence
    Indicate the sequence of this material or instruction in the formula. The sequence indicates the order in which the materials will be processed. By default, the sequence is incremented by 10 for each new line. You can manually adjust this sequence to insert additional records between two existing records.
    Formula Line Type
    Select one of these options for the step:
    • Text: Indicates an instruction,
    • Item: Indicates that the line contains a material. The item must exist in the Items form.
    • Boilerplate: Indicates the use of a boilerplate. Boilerplate is text that is defined and saved in the system so that you don’t have to type it in multiple times in different formulas.
    • Subformula: Indicates the use of an intermediate formula. If Explode in Production is selected, the materials from the subformula are added to the main formula’s WIP Item Job when you create the production order. Otherwise, the materials from the subformula are treated just like any other raw material.
    Item
    If the Line Type is Item, select the item to be included as an ingredient in the formula.
    Text
    This field depends on the Line Type value:
    • If the Line Type is Item and an item is selected, the item description is displayed.
    • If the Line Type is Boilerplate, select the boilerplate text to use.
    • If the Line Type is Text, specify the instruction for this step of the formula.
    In Sync
    This read-only field indicates whether the formula line matches the associated current material line on the WIP Item. If the formula line or current material line has been updated since the last time either the Update WIP Cost BOM process or the Update Formula from Job process was run, this field is cleared, indicating that the process should be run again to resynchronize the line.
    Units
    Specify either Unit or Lot to be used in the formula. If the Line Quantity is Fixed check box is selected, units is set to Lot and can not be changed.
    Quantity / UM
    If the Line Type is Item or Subformula, specify the quantity of the item to use in a standard production batch. The U/M defaults to the base unit of measure that is defined for this item. However, any valid U/M with an appropriate weight or volume conversion can be used.
    Note: Even when using baker's percentage, start with a quantity here and then edit the quantity using the Recalc by Pct button.
    Percent of Total
    This value indicates the percentage of the total formula weight or volume that comes from this line item. If Is Percent Basis is selected for this line item, then specify this value. Otherwise it is calculated.

    If you are calculating by volume, then a soluble item such as sugar does not contribute to the total percentage because it dissolves into the batch and does not change the total volume of the formulation. Items that are marked with Line Weight/Volume is Net Zero are also not included in the calculation. However, both items that are soluble and items marked as Line Weight/Volume is Net Zero are scaled appropriately when a batch is resized.

    Select for Recalc by Pct
    Select this option to specify the material lines that are recalculated when the Percent of Total is updated on any material line. You can select this option for any number of lines. When the Percent of Total field is updated on any material line, the material lines with Select for Recalc by Pct selected are updated to compensate for the changes, and material lines that are not selected for recalculation remain at the same quantity and percentages. If no material lines are selected for recalculation, then all lines are recalculated when you update a material line’s Percent of Total or when you click Recalc by Pct.
    Unit Cost
    This is the actual current item cost from the Items form.
    Item Planned Unit Cost
    The default unit cost for this item is displayed here. You can override it in the field at the bottom of the tab. You can use this value to estimate how the material cost for the formula would change if you changed the unit cost for this line.

    Both the Unit Cost and the Item Planned Unit Cost are based on the item U/M, not the U/M that is defined on the formula line.

    Is Percent Basis
    If this field is selected for an ingredient line, then that ingredient is used as a basis for the scaling of other material percentages. This is commonly used in the bakery industry. If this field is selected, the Percent of Total field on the formula cannot be edited. The total of all Is Percent Basis items equals 100%.
    Boilerplate Text Code / Text
    If the Line Type is set to BP, the boilerplate text is displayed in the Text field.
    Gross Weight
    This field shows the weight of the line item in the formula, in the system base weight, before any loss. (The system base weight is defined on the Process Manufacturing Parameters form.) This is a calculated field.
    Gross Volume
    This field shows the volume of the line item in the formula, in the system base volume. (The system base volume is defined on the Process Manufacturing Parameters form).
    Loss Constant
    If Line Type is set to Item or Subformula, this value is the expected quantity of this item that will be lost each time the formula is produced, in the line item’s U/M. For example, if 5 pounds of the item is always lost during production, the value in this field for the item line would be 5. Any amount entered as a loss constant for a line is calculated in addition to the total formula loss on the Main tab.
    Loss Percent
    If Line Type is set to Item or Subformula, this value is the expected percentage of this item that will be lost during this step each time the formula is produced. For example, if approximately 25% of the water added to a batch evaporates during processing, the value for the water line item would be 25.00. Enter the percentage as a whole number. Any amount entered as a loss percent for a line is calculated in addition to the total formula loss that is specified on the Main tab.
    Net Volume
    This is a calculated field: gross volume considering solubility minus line level loss, in the system's base volume unit of measure.
    Net Weight
    This is a calculated field: Gross Weight minus line-level loss, in the system base weight U/M.
    Line Solubility Percent
    A solubility percent of zero for a material indicates that the material is insoluble. A number greater than 0 indicates that this material is included in the formula weight calculation, but is only partially included in the volume calculation. A solubility of 100% means that this line does not affect total volume.
    Recalc By Pct
    Click this button to recalculate all formula line quantities based on the Percent of Total field on the formula line. If you select the Select for Recalc By Pct on certain formula lines and then click this button, only the selected lines are recalculated.
    Note:  This process is now automatically run when the Percent of Total field is updated on any formula line that is defined with a Formula Line Type of Item.
  5. At the bottom of the Materials tab is a set of line controls, which apply only to the currently selected line:
    Explode in Production
    This field applies to WIP items. If this field is selected, then this line is assumed to be an intermediate step. If the formula Line Type is Subformula, the materials used in this intermediate step are brought into the batch's formulation job. If the formula Line Type is Item, a sub-job is created on the batch.
    Line Quantity is Fixed
    If this field is selected for a step, then the ingredient quantity for this step does not change if you resize the formula up or down. This is used, for example, for active ingredients in drug formulations. If this field is selected, the Units field is set to Lot and can not be changed.
    Line Weight/Volume is Net Zero
    Select this field if you do not want the item to be included in the total weight or volume calculations for the formula. For example, if you put tea bags in during the processing but remove them before the end of the process, then you do not want to include them in the calculations.
    Item Planned Unit Cost
    Specify a different unit cost here to override the default unit cost for this item. This value is used in the estimated cost calculation for the formula.
    Oper Num
    Select an operation associated with the selected formula line. The list of operations is the current operations for the route item.
    Subformula ID / Subformula Version
    If Line Type is set to Subformula, select a formula and formula version. This associates the WIP item with the line.
    Quantity Variance Method / Under Variance / Over Variance
    In Quantity Variance Method, specify whether low and high variances are expressed in terms of percent or quantity for this line in the formula. If a variance method is not used, select None.

    Then, in Under Variance and Over Variance, specify the under and over amount or percentage allowed for the line. If the variances for this item are over or under the specified percentage or amount, then an error is displayed when the batch is closed.

    For example, if Quantity Variance Method is set to Percent and Under Variance is set to 80, an error is displayed on batch close if less than 80% of the expected quantity for this line has been issued for the batch.

    Line Totals
    The Line fields for Total Gross Weight and Total Gross Volume show the selected line's gross weight and volume, while the All Lines fields show the aggregate sum of all the lines' gross weights and volumes.
    Line Text
    This field is an alternative to the Text field in the grid. This is a multi-line text field where you can more easily view and edit the text. It contains the item description, boilerplate text or free form text, depending on your selection for Line Type.
  6. In the grid, right-click and select New to add a line for the next step. Repeat steps 4 and 5 until all formula steps are defined. You can resequence the formula steps in the grid as needed.
  7. All of your totals for the formula, including planned losses, are summed in the Totals tab, which also calculates your theoretical yield. Perform these actions in this tab:
    • Verify that the Total Gross Weight and Total Gross Volume totals look reasonable. The Total Gross Density is calculated based on the percentages in the formula.
    • Look at the yield calculation for the formula. This can be set up either in the main tab for yield at the formula level, or in the lines (through the Loss Constant or Loss Percentage). The yield should be less than or equal to 100%; otherwise, an error is displayed when you save the record.
    Note: When you go into production with this formula, it will not necessarily use these quantities, because the formula can be scaled up or down to get a different result.
    Last Produced
    This field shows the last completion date of a production order that used this formula.
    Total Material Cost
    This field shows the sum of the material estimated costs for the lines in this formula. Any planned unit costs that were entered override the current unit cost of the item.
    Total Net Volume
    This field shows the volume of materials after line level loss, but before formula level loss, in system base volume U/M. This value takes solubility into account.

    It calculates the net volume from the lines in the formula. Net volume is the gross volume minus loss on the lines only. The final volume also takes into account formula loss.

    Total Net Weight
    This field shows the weight of materials after line level loss, but before formula level loss, in system base weight U/M.

    Similar to Total Gross Weight, this is the sum of the lines' Net Weights, taking into account density:

    • If Use Weight for Conversion is selected but Use Volume for Conversion is not selected, the calculation is the sum of the lines' Net Weights.
    • If Use Volume for Conversion is selected, or density is specified, the calculation is the sum of the Net Weights * density.

    This value also takes into account the weight of by-products. It does not take into account formula loss. Formula loss is calculated in the Total Final Weight.

    Total Gross Weight
    This field shows the total material weight before any loss, in the base weight U/M, of all material lines in the formula.

    This calculation takes into account density. If Use Weight for Conversion is selected but Use Volume for Conversion is not selected, the calculation is the sum of the lines' gross weights. If Use Volume for Conversion is selected for the formula, or if a density is specified, the calculation is the sum of Gross Volume * Density for the lines.

    Total Gross Volume
    This field shows the total material volume before any loss, in the base volume U/M, of all material lines in the formula. This field does not take solubility into account.
    Total Gross Density
    This field shows the resolved calculated density of the combined materials, which is used in calculations.
    Total Final Weight
    The calculated weight of the formula materials after line and formula loss is shown in the system base weight U/M. This is the expected output that can be filled into a finished product.
    Total Final Volume
    The calculated volume of the formula materials after line and formula loss is shown in the system base volume U/M. This is the expected output that can be filled into a finished product. If only Use Weight for Conversion is selected for the formula, then this field takes density into account. However, if both Use Volume for Conversion and Use Weight for Conversion are selected, then this field uses the item’s unit of measure conversion.
    Total Final Density
    This field shows the resolved value that will be used in calculations. This is either the calculated final density or a density that was specified by the user as an override.
    Yield Percent
    This field shows the expected yield percentage for this formula.
  8. On the Revision History tab, you can see the list of revisions and notes. You can select a revision and revert back to it if needed.
    See Viewing formula revision history and details.
  9. After the formula is fully defined, save it.
At any time after a formula is defined, you can use these buttons on the form:
  • Click Resize Formula to resize an existing formula.

    See Resizing a formula.

  • Click Recalc Stats to recalculate the statistics after you make a change to the formula.
  • Click Formula Report to print the formula information.

    See Printing a formula.

Related topics