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Deduct Operation
Deduct Operation
The deduct operation is a means of tying a component or group of components to a specific step in the manufacturing process of a just-in-time (JIT) parent part. This allows component inventory relief before the parent is received. Deduct operations may be identified for parents with long lead times if inventory balance records must be kept accurate at all times.
If the component is a produced component (by-product), then this indicates the operation step at which a by-product of the process is received. This is an appropriate structure if there is considerable leadtime between the receipt of a part's by-product(s) and the receipt of the parent part itself.
A deduct operation cannot be specified for a lot-controlled component or multi-level backflushed component.