Defining Product Structures or Formulas
Product structures attach component items to the parent item and define the quantity to use. The information in a product structure is used to calculate lower-level costs. For more information on product structures, see
QAD Manufacturing User Guide.
For costing purposes, product structures provide the following information:
• Component items and the quantity required to make one of the parent item
• Start and end effective dates for component items
• Structure types defining component/parent relationships
• Component scrap factor
• The operation number in the routing or process where the component is used
Use Product Structure Maintenance (13.5) to identify raw materials or subassemblies required to produce a finished product or subassembly. Use Formula Maintenance (15.5) to identify ingredients or intermediates required to produce a finished product or intermediate.