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Make/Buy Flag
Make/Buy Flag
The Make/Buy flag is used for parts that are typically purchased but may occasionally be manufactured. These parts should be defined as manufactured parts, since a routing cannot be defined and manufacturing orders cannot be raised for purchased parts (may have a bill of material for reference purposes). In addition, these parts should have a bill of material and routing defined for them.
If the part is generally manufactured, the Make/Buy flag should be set to Make. The planning modules will generate planned manufacturing orders when creating a supply schedule, but a purchase order may be raised manually at any time. If purchase orders are raised manually, the planning modules will reduce the planned manufacturing orders accordingly when the plan is next regenerated.
If the part is generally purchased, the Make/Buy flag should be set to 'Buy'. The planning modules will then generate purchase requisitions as the supply schedule, but manufacturing orders can be created manually as desired. If manufacturing orders are raised manually, the planning modules will reduce purchase requisitions accordingly when the plan is next regenerated.