Grading Add-On Solution for Agri-Tech
Effectively Manage Product Grading and Wastage Allocation with SAP Business One at Core
Purpose of Grading Add-On
Clockwork’s Grading Add-on for Agri-Tech streamlines the segregation of mixed quality material received from suppliers. Integrated with the Goods Receipt PO (GRPO) in SAP Business One, the Add-on enables grade-wise classification of materials at the warehouse. During segregation, it reduces wastage and weight loss from the received quantity. The associated cost of wastage is proportionately applied to the good quality material, ensuring accurate inventory and cost valuation. The production team can then use this grade-wise material efficiently for finished goods manufacturing.
Business Challenges the Grading Add-On Addresses
Many manufacturing companies receive mixed quality materials from vendors, making it difficult to:
- Track and record quality grades at the time of receipt
- Segregate material and adjust stock accurately
- Apply wastage and weight loss costs in costing
- Ensure accurate consumption in production based on material grade
- This leads to inaccurate inventory, improper costing, and reduced visibility in the material quality flow
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Solution that the Grading Add-On offers
Clockwork’s Grading Add-on simplifies the entire grading and cost allocation process:
- Seamless integration with Goods Receipt PO (GRPO) for initiating the grading process
- Grade-wise segregation of received material
- Deduction of wastage and weight loss quantity
- Wastage cost allocation on good quality material
- Supports grade-wise material consumption in the production process
Outcome / Business Benefits of Grading Add-On
- Accurate Inventory Valuation: Ensures that warehouse stock reflects the true usable quantity.
- Improved Production Planning: Production team uses quality specific material for finished goods.
- Effective Costing: Wastage and weight loss cost is applying correctly for better product-level costing.
- Operational Transparency: Grade-wise tracking improves quality control, audit readiness, and decision-making.