How to Set Up Co-Products and By-Products in Infor SyteLine
Co-products and by-products in Infor SyteLine support process manufacturing scenarios where a single production run yields multiple output items. Co-products are intentional outputs with significant commercial value, while by-products are secondary outputs with incidental value. SyteLine's process manufacturing features handle joint cost allocation, multi-item receipts, and yield tracking for these complex production scenarios. This guide covers the complete configuration from BOM structure to cost allocation methods.
Configuring Process BOM with Co-Products and By-Products
Navigate to Production > Bill of Materials > Process BOM (SLProcessBOM) to create the multi-output bill of materials. Define the primary process item as the parent and add co-products and by-products as output items on the Outputs tab. For each output item, specify the expected yield quantity and unit of measure. Set the Output Type field to Co-Product or By-Product to control cost allocation behavior. The processbom table stores output definitions with quantity ratios that determine yield expectations. Link input materials on the Materials tab just like a standard BOM. SyteLine uses the process BOM structure to calculate material requirements and generate job materials during job creation.
- Create process BOMs in Production > Bill of Materials > Process BOM (SLProcessBOM)
- Add output items on the Outputs tab with Output Type set to Co-Product or By-Product
- Specify expected yield quantities for each output to establish standard cost allocation ratios
- Link all input materials on the Materials tab with consumption quantities per batch
Configuring Joint Cost Allocation Methods
SyteLine supports multiple cost allocation methods for distributing joint production costs across co-products. Navigate to the Process BOM Outputs tab and set the Cost Allocation Percentage for each co-product. The total allocation across all co-products must equal 100%. By-products typically receive zero cost allocation, with their sales value credited back to reduce the joint cost pool. Configure the cost allocation method in Production Parameters to use either percentage-based allocation or market-value-based allocation. The processbom_output table's cost_pct column stores the allocation percentages. For market-value allocation, the system calculates shares based on each co-product's standard selling price multiplied by its yield quantity.
- Set Cost Allocation Percentage on each co-product output ensuring total equals 100%
- Assign zero allocation to by-products and configure sales credit offset in GL accounts
- Choose between percentage-based or market-value allocation in Production Parameters
- Review cost allocation results on the Job Cost Summary report after job completion
Processing Co-Product Receipts and Yield Tracking
Receive co-products from completed process jobs using the Process Job Receipt form (SLProcessJobReceipt). This form displays all expected output items with their target quantities. Enter actual yield quantities for each co-product and by-product. The system calculates yield variance by comparing actual output to the standard process BOM quantities. The ProcessJobReceiptSp stored procedure allocates job costs to each output item based on the configured allocation method and posts inventory receipts to the designated warehouse locations. Track yield efficiency trends using the Process Yield Analysis report to identify opportunities for formulation optimization. Most process manufacturers target yield efficiency above 95% for primary co-products.
- Use Process Job Receipt form (SLProcessJobReceipt) to receive all output items simultaneously
- Enter actual quantities to calculate yield variance against process BOM standard quantities
- Route each output item to its designated warehouse location during receipt processing
- Monitor yield efficiency on Process Yield Analysis report targeting 95%+ for primary co-products
Frequently Asked Questions
What is the difference between co-products and by-products in SyteLine?
Co-products are intentional outputs of a process manufacturing run with significant commercial value and receive a share of joint production costs. By-products are incidental or secondary outputs with lower value that typically receive zero cost allocation. In SyteLine, co-products share 100% of joint costs based on allocation percentages, while by-product sales revenue is credited back to reduce the overall production cost pool. Most process manufacturers have 2-4 co-products and 1-3 by-products per process BOM.
How does SyteLine calculate cost allocation for co-products?
SyteLine allocates joint costs using either fixed percentage or market-value methods. Fixed percentage uses the Cost Allocation Percentage defined on each co-product output in the process BOM, where all percentages must sum to 100%. Market-value allocation calculates shares based on standard selling price multiplied by yield quantity for each co-product. A batch producing 3 co-products with equal quantities but selling prices of $10, $30, and $60 would allocate costs at 10%, 30%, and 60% respectively under market-value method.
Can I modify co-product yield quantities after receipt in SyteLine?
Yes, you can adjust received quantities by processing a receipt reversal on the Process Job Receipt form and re-entering corrected quantities. Alternatively, use inventory adjustments on individual co-product items if the cost allocation does not need recalculation. Receipt reversals should be processed within the same accounting period, as cross-period adjustments require approximately 4-6 additional reconciliation entries. Most implementations restrict receipt modifications to users with production supervisor security roles.
Key Takeaways
- 1Configuring Process BOM with Co-Products and By-Products: Navigate to Production > Bill of Materials > Process BOM (SLProcessBOM) to create the multi-output bill of materials. Define the primary process item as the parent and add co-products and by-products as output items on the Outputs tab.
- 2Configuring Joint Cost Allocation Methods: SyteLine supports multiple cost allocation methods for distributing joint production costs across co-products. Navigate to the Process BOM Outputs tab and set the Cost Allocation Percentage for each co-product.
- 3Processing Co-Product Receipts and Yield Tracking: Receive co-products from completed process jobs using the Process Job Receipt form (SLProcessJobReceipt). This form displays all expected output items with their target quantities.
Leverage Netray AI agents to analyze your SyteLine process manufacturing yield data, optimize cost allocation percentages based on market values, and identify formulation adjustments that improve co-product yield efficiency.
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