Product Development

Session 1

Confidential Sierra Atlantic, Inc.

 After this session you will understand
Product Development An Overview
Formulas in OPM
Scaling of Formula
Formula Phantoms
Version Control
Indented Bill of Material
Formula Inquiry
Simulator
Product Development Workbench
Mass Search and Replace

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 Product Development

Product Development includes-

Formula Management - used for refining existing Formulas and Recipes or
developing new Formulas and Recipes with an intent to enhance product
consistency, reduction of cost, reduction of time to market, to improvise
product quality and to ensure optimum utilization of material resources.
Process Engineering used for maintenance of Recipe components by
building routing steps and step dependencies to ensure optimum utilization of
non-material resources by organizing operations into an orderly set of activities.

In OPM the process model consists of two components

Formulas Where relationship of material resources are maintained
Routings Where process steps and activities of non-material resources are
defined

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 Process Model

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 Formulas in OPM
Formulas contains a list of standard ingredients together with quantities
required for production of specified quantity of product / co-product and
includes processing instructions and ingredient sequencing. It also contains list
of by-products that can be derived during the process
We define formulas for use in Laboratory, Production, Costing and Planning
We can maintain version control for formulas in OPM
We can monitor formula approval status through workflow.
We can configure and maintain e-records and e-signatures for Formulas
We can define both standard and packaging formulas
We can import formulas from external systems through APIs (Application
program interface)
We can scale item quantities in a formula
We can define phantom item as ingredient in formulas and explode it while
creating production batch

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 Defining Formula
Navigate: Formulator Formulas
Enter name of the Formula (Current Status is
New)
Enter Version number
Enter Description for the Formula
Select Formula Class under which this
formula is grouped
Select Organization for which this formula is
defined

Enable Scaling Allowed Check box

Indicate whether it is standard or packaging
formula
In Products region, select the product and
enter quantity. Specify Scale type and yield
type. Specify cost allocation if co-products
are defined.
In Ingredients region, enter Ingredients
together with quantity required to be
consumed. Specify Scale type, Contribute to
yield, Consumption type, phantom type and
Save
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 Defining Formula
Scale Type
Proportional If quantity scaling is required
Fixed If quantity scaling is not required
Integer If quantity is to be scaled to the nearest multiple
Yield Type
Manual When products are yielded manually
Automatic When products are yielded automatically when the batch is completed
Incremental When product yield is calculated by incremental backflush
Consumption type
Manual When ingredients are consumed manually
Automatic When ingredients are consumed automatically when batch is completed
Incremental When ingredient consumption is calculated by incremental backflush
Contribute to Yield
Yes When line contributes to yield calculation
No When line does not contribute to yield calculation
Contribute to Step Quantity
Yes When line contributes to step quantity calculation
No When line does not contribute to step quantity calculation

Packaging Indicator:
Determines whether formula is packaging formula or not. When packaging formula is defined, the
ingredients would be end product and packing material

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 Changing Formula Status
Select Change Status from Actions menu
The current status is displayed as New
Select Change status to Approved for
General use
Choose OK

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 Scaling of Formulas
Scaling in formula is used to increase or decrease item quantities in formula
ingredients, Products and By-products
Scaling allowed checkbox in formula details determines whether item quantities
can be scaled or not.
We can scale formula by using Scale Formula Dialog box
Scaling factor can be specified either in percentage or item quantity
Scale type of item quantities in a formula can be -
Proportional All scalable item quantities are scaled by scaling factor
Fixed Item quantities are fixed and are not altered on scaling
Integer Item quantities are scaled based on scale multiple, rounding
variance and rounding direction specified for the item

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 Scaling with Proportional scale type

Navigate: Formulator Formulas

Select Formula to be scaled

Formula has both product and ingredient quantities

with scale type as Proportional

Ingredients 1 and 2 contribute to yield

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 Scaling with Proportional scale type
Select Products tabbed region
Select Scale from Action Menu
Choose Item Quantity Option
Specify New quantity to which you want to
scale ingredients and Choose OK
Old quantity = 250 kgs
New quantity = 500 kgs

Item quantities for both and product and

ingredients are scaled proportionally using
the scaling factor of 2

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 Scaling with Fixed scale type

Navigate: Formulator Formulas

Select Formula to be scaled
Select Ingredients tabbed region

Case -1
Ingredient 2 CMIC Chloride is defined
with Scale type as Fixed and Contribute
to Yield as Yes
Other ingredients and Product are defined
with scale type as Proportional

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 Scaling with Fixed scale type
Navigate: Formulator Formulas
Select Products tabbed region and choose
Scale from Action Menu
Choose Percentage Option and specify
percentage to be scaled and choose ok.
In Ingredients tabbed region, the ingredients
with scale type as fixed is not scaled.
Ingredients with scale type as proportional and
contribute to yield as yes is scaled by an
amount necessary to produce new product
quantity to maintain the yield ratio

Product Qty: 500 kgm Scaled : 50% to 750 kgm

Ingredient Qty (contribute to yield)
50001 1000 - 1625 (62.5%)
50004 250 250 (Nil)
------ ---------
1250 * 50% 1875
Yield ratio 1:2.5 1:2.5
Ingredient quantity (do not contribute to yield)
50002 - 50 *62.5% 81.25
50003 - 1500 *62.5% 2437.50
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 Scaling with Fixed scale type
Case -2
Ingredient 3 Pivolyl Chloride is defined with Scale
type as Fixed and Contribute to Yield as No
Other ingredients and Product are defined with scale
type as Proportional
Scale by specifying percentage.
The ingredient with scale type as fixed is not scaled.
Other Ingredients and product with scale type as
proportional are scaled proportionally as ingredient
with fixed scale type do not contribute to yield

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 Scaling with Integer scale type

Navigate: Formulator Formulas

Select Formula to be scaled
Select Ingredients tabbed region

Ingredient 5 Fibre Drums 50 kgs is

defined with Scale type as Integer with
scale multiple of 1 and rounding
direction as up
Other ingredients and Product are defined
with scale type as Proportional

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 Scaling with Integer scale type

Navigate: Formulator Formulas

Select Products tabbed region and choose
Scale from Action Menu
Choose Percentage Option and specify
percentage to be scaled and choose ok.

In Ingredients tabbed region, the item with scale

type as Integer is scaled and is rounded up to
nearest scale multiple.
Fibre drum of 50 kgs each
Qty before Scale Qty after Scaling (rounded
to nearest multiple)
5 8 (7.5)

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 Formula Phantoms

Phantom refers to an intermediate item that is produced in a formula and for

which no inventory is tracked.
Phantom item is produced only during the production of a product. It is not
manufactured separately and stored.
We can track ingredients to a phantom batch and not to its output. The output of
a phantom batch becomes the ingredient or an intermediate to a parent batch.
Steps involved for using phantom
Build a formula with one or more ingredients as Phantom
Build separate formulas for each phantom
Phantom type in formula ingredients
Automatic A phantom batch is automatically generated when a parent
production batch is created
Manual Phantom batch is required to be manually created through action
menu after parent production batch is created.
All actions applied to a parent batch are also applied on all associated phantom
batches

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 Phantom Item

Ingredients Phantom Item Other Ingredients Product

Apple APPLE
blend BREAD
Flour

BASIC
Carrot CARROT
Water DOUGH
blend BREAD

Yeast Pineapple PINEAPPLE

blend BREAD

Phantom Batch Normal Batch

Output quantities of Basic Dough (a phantom item in Apple bread, Carrot bread and Pineapple
bread formula) phantom production batches are not tracked in inventory. While consumption
of flour, Water and Yeast in phantom batch are tracked.

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 Phantom Item
Navigate: Formulator Formulas
Enter name of the Formula (Current Status is
New)
Enter Version number
Enter Description for the Formula
Select Formula Class under which this
formula is grouped
Select Organization for which this formula is
defined

Enable Scaling Allowed Check box

Indicate whether it is standard or
packaging formula
In Products region, select the product and
enter quantity.
In Ingredients region, enter Ingredients
together with quantity required to be
consumed.
For Phantom item, specify Phantom type
as Automatic / Manual
Save and change the formula status

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 Version Control

Version Control generates Audit trial

Formulas, Recipes, Routing, Operations are version controlled in Product
Development
Version control is active only when document status is Approved for General
Use
Version control does not validate document
Once document is saved, version number cannot be changed
Profile options to enable or disable version control are
GMD: Recipe Version Control
GMD: Formula Version Control
GMD: Routing Version Control
GMD: Operation Version Control
Version Control can be set at Site, Responsibility or organization level.

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 Version Control
Navigate: Formulator Formulas
Select Formula to be changed
Formula should have status of Approved for
General Use
Profile option for Version control should be set
to yes

Ingredients tabbed region for the

formula

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 Version Control
The current version of the formula is 1
In the Ingredients tabbed region, change the
ingredient quantity for methanol from 50 to 60
Save the document.
A Caution note is displayed Choose OK, if
you would like a new version created, Cancel
if you wish to discard changes
Choose ok to create a new version with status
as New.
Review the new version created and change
status

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 Indented Bill of Materials Report

This report displays ingredients and ingredient quantities that are used in manufacturing
an item. Ingredients which are of phantom type are exploded into their ingredients.

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 Formula Inquiry

Formula inquiry window is used to

obtain information about any formula.
To perform inquiry, we enter selection
criteria in Formula Inquiry box.

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 Simulator

Simulator is used for simulating changes to an existing formula without actually

affecting the formula. We can save simulations and later update formulas if
required. Simulator can also be used for simulating production batches.
Steps for using simulator
Define organization for Laboratory use
Define profile options
Define and assign technical class and sub-class category set to all Item in the
formula
Define Technical Parameters for the Laboratory organization
Sequence Technical parameters
Define Item Technical Data for all items in the Formula
Query formula in the simulator
Simulate changes
Save simulation
Upload simulation to formula

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 Product Development Workbench

Workbench is a tool which facilitates us to create and view both summary and detail
information of formulas, Recipes, Routings and operations by name version, description,
product, class and status
Data organizer in workbench groups objects like Formula, Recipes, Routings and
Operations and are identified by a unique icon. Each object has its own hierarchy which
can be expanded or collapsed in a data organizer tree

Navigator tree displays both parent and child nodes in the hierarchy and represents

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 Product Development Workbench

When we click on the top node, a

summary window is opened and
displays information at the highest
level.

The detailed view lets us to view

and also edit information

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 Mass Search and Replace
Mass Search and Replace window allows us to search for and replace components in Recipes,
Formulas, Routings and Operations

Select Formula from the find list

Enter one or more search parameters in Basic or Advanced tabbed region and choose find. The
result of search is displayed
In Replace region, specify old and new components. Choose replace to perform the changes
A concurrent request is submitted to perform the changes

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