Need definite answers on Scrap Management

I just wanted to chime in here. I’m not looking for anything comprehensive, a simple Stock Entry type with a purpose of “Scrap”.

The entry would relieve inventory and charge the value to a scrap account.

Something simple like this would make my life SO much easier.


I made some tests to make scrap management work as described in documentation article Scrap Management. Unfortunately I couldn’t make it work.
I used mtata’s method to transfer the scrap to a Scrap Warehouse. I also enabled the Work Order link from customization. This can help to track the relation between the stock transfer of scrap with the work order.

Hi. Can you share more information on the exact steps you took to allow scrap management to work with work orders? I was unable to find a way to do this myself.

Hi mtata, all I did is click Customize menu on Stock Entry and add Material Transfer to the Depends On field as below.
eval:in_list(["Material Transfer for Manufacture", "Manufacture","Material Transfer" ,"Material Consumption for Manufacture"], doc.purpose)
This way, it is possible to select the Work Order in Stock Entry when doing a Material Transfer for scrap items from workin wrh to scrap wrh.


That’s quite cool! Great job spotting that.

Hi Team,

Does anyone know if this feature has been added as of yet?

I have a requirement which bkm has outlined to the ‘T’.

What happens once a job card has been issued but there was wastage during the manufacturing process and the total amount of product produced is less than the original order?

This is something that happens often in this particular environment(Polymer manufacturing) due to having to purge the extruders of a different colour polymer. This can waste up to 50Kg’s of the ordered amount, depending on how stubborn the previous colour is to purge.

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For your use case, ERPNext’s built in manufacturing module is a poor fit. It is designed to follow the Discrete model of manufacturing; you want Process manufacturing. There are several posts on the forum describing an application the community has built to accommodate this method.

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That is fantastic news, thank you Tyler.

I realise you mentioned that there is a specific app built for this process. What is the Applications name?

Here’s the thread with the details.

Sadly, Ranjith, one of the original authors of the app has passed away but the Earthians team and the community and has been maintaining the app since it was published.

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The Process Manufacturing app seems to be abandonware at this point.

  • It has not been updated in several years
  • It does not work on v12 or v13 systems
  • it still has some very serious accounting problems that were reported 2 years ago and never fixed.
  • in fact not a single issue ever raised on github was ever addressed.

To get this app working again would take a great effort to dig in and figure out how it was done in the first place then try to fix the errors and then get it to work with the latest releases. However, it does not look like it will be supported for future updates.

Unfortunately, that does not appear to be the truth of the matter. Just visit the github repo to see for yourself.

Just my observation.


@bkm I think you’re overestimating the problems; I’ll take a look and see if I can’t get it working on V12. Not making any promises about V13. I don’t see an accounting issue, which one are you referring to?


There is an issue with cost accounting. When a process takes in the cost of 3 raw materials to produce 2 subsequent output finished products, the app is making entries that assign the entire production cost of manufacturing to both products. This essentially doubles the accounting cost of the actual production in the ledger when actually the cost should be split across the 2 products.

There is more to it but that is the kernel of the problem.


Could you try direct Stock Transfer?
For raw materials, place the Source Warehouse, but the Target Warehouse is blank.
For the Final products, place the Source Warehouse blank , and place the Target Warehouse.
You may manually update the costing of inidividual final products - the costs of which should be equal to raw materials.

For example, I have whole chickens which are processed into legs, thighs, breasts. Whole Chicken will have the Source Warehouse but blank Target Warehouse. Legs, Thighs, Bests will have blank Source Warehouse and have Target Warehouse. The quatities reflected will be based on the final cut quantities. The costs may also be distributed to the three cuts.

From here, you may get an idea of how to develop a siimple customization. for process manufacturing.

No. I removed the Process Manufacturing application from my servers last year due to lack of support.

Even the work around you suggest requires the intervention of a higher permission accountant user in order to keep the books straight. So, the work-around is not really workable in a live production environment where there are more than a hundred transfers in a shift. Businesses cannot sequester an expensive accountant type user to fix manufacturing accounting bugs all day. That should be fixed in the manufacturing app so it happens automatically.

Anyway… I promised I would not let this thread get me upset a long time ago, so I need to go back to ignoring it until there is a REAL manufacturing function in ERPNext.



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We would also like to see a proper process manufacturing with variable inputs/outputs being implemented in ERPnext and I assume it will benefit many businesses (have seen this issue in many posts dating back several years). IMHO it is a fairly basic feature for a proper ERP software (remember: ERP has its historic roots in material requirements planning and manufacturing).


Agreed, @tmatteson if you can get this up and running again you would be helping the community allot.