Glossary Term: Formula Management


Doing something to a product during the production process, such as heating or mixing.

By Product

An item is produced using a formula to supplement the product. Byproducts differ from products in that you don’t plan to make byproducts. Byproducts may or may not have value, …

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Co-products are desirable secondary goods that are generated during the manufacturing process and can be sold or reused profitably. They might also be products that are usually manufactured together or …

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Component Class

Method of bifurcating item cost. Cost Component Classes are used to identify individual buckets. E.g, Overhead cost, freight charges etc

Cost Analysis Code

An analysis that generally specifies whether an activity is value-added or non-value-added.


A set of parameters that specify when a formula in a formula library can be used. This includes the date of production and product quantity. Effectivities also link formulas with …

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A formula is a collection of products, ingredients, and, optionally, by-products. The formula also specifies the quantities of each item. Formulas are used by the Costing and Material Requirements Planning …

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Formula- Use

The module to which the formula will be applied, either Production, Costing, Material Requirements Planning, or Material Safety Data Sheets.


An item that is used in BOM / Receipe for the production of a product.