Process Loss Report

Overview

Below is a business‑focused explanation of the Process Loss Report, written for users of Dafater.

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Process Loss Report

Module: Manufacturing
Report Type: Analytical / Management Report
Based on: Work Orders

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What Business Information This Report Provides

The Process Loss Report shows how much material is lost during the manufacturing process compared to what was planned. It highlights the difference between input quantity (raw materials issued or expected) and output quantity (finished or semi‑finished goods produced).

From a business perspective, this report answers key questions such as: - How much material is being lost during production? - Which products, work orders, or production stages have higher losses? - Are actual losses within acceptable or standard limits?

This visibility helps management control waste, cost overruns, and production inefficiencies.

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When and Why to Use This Report

When to Use

• After completing work orders
• During periodic production reviews (daily, weekly, monthly)
• Before cost analysis or margin evaluation
• While investigating high material consumption or low yields

Why to Use

• To monitor manufacturing efficiency
• To identify abnormal or excessive process losses
• To support cost control and pricing decisions
• To improve production planning and material standards

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Key Columns and What They Mean for Business

Typical business‑relevant columns include:

• Work Order
  Identifies the specific production order where the loss occurred.

• Item / Product
  The finished or semi‑finished item being produced.

• Planned Quantity
  The quantity that was expected to be produced according to the plan.

• Actual Produced Quantity
  The quantity actually produced on the shop floor.

• Input Quantity
  The total raw material consumed for the work order.

• Process Loss Quantity
  The difference between expected output and actual output.
  This represents wastage, evaporation, shrinkage, rejection, or handling loss.

• Process Loss Percentage
  Shows loss as a percentage of input or planned quantity.
  This is critical for comparing efficiency across products or periods.

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Available Filters and Their Business Purpose

Common filters and how they help the business:

• Date Range
  Analyze losses for a specific period such as a shift, month, or quarter.

• Work Order
  Focus on a particular production job to investigate issues.

• Item / Product
  Identify products with consistently high or low process losses.

• Manufacturing Location / Warehouse
  Compare performance across plants or production units.

• Company
  Useful for businesses operating multiple legal entities.

These filters allow managers to narrow down problem areas and take targeted action.

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How to Interpret the Results for Business Decisions

• Low and Consistent Loss Percentage
  Indicates a stable and efficient production process.

• High Loss on Specific Items
  May point to issues with product design, material quality, or machine setup.

• Sudden Increase in Loss
  Could indicate operator issues, equipment malfunction, or process changes.

• Loss Above Standard or Benchmark
  Signals a need for corrective action, such as revising standards, retraining staff, or adjusting supplier quality.

Management can use this insight to: - Improve costing accuracy - Reduce waste and scrap - Adjust selling prices or margins - Optimize production methods

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Common Use Cases and Scenarios

• Manufacturing Review Meetings
  Used by production heads to review efficiency and waste.

• Cost Control and Budgeting
  Helps finance and operations teams understand true production costs.

• Quality and Process Improvement
  Identifies stages where material loss is higher than expected.

• Audit and Compliance
  Supports internal audits by explaining material variances.

• Capacity and Planning Decisions
  Helps planners account for realistic yields when scheduling production.

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Summary

The Process Loss Report in Dafater is a critical management tool for understanding manufacturing efficiency. It provides clear visibility into material losses, supports better cost control, and enables informed decisions to improve productivity and profitability.

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Report Information

• Module: Manufacturing
• Related DocType: Work Order
• Report Type: Script Report
• Standard: Yes