Integral Logistics Management — Operations Management and Supply Chain Management Within and Across Companies

17.2.4 Work Center Master Data

Intended learning outcomes: Present the work-center business object. Describe the attributes of the work-center master record relating to capacity, concerning costs, and for calculating the lead time.


The work center business object is introduced in Figure 1.2.4 together with the other business objects. This section provides a detailed description of the object, particularly its most important attributes.

The work center object class generally comprises different types of information relating to capacity and costs, plus information used for scheduling, particularly for calculating lead times. These different types of information may, in turn, be administered by different people, depending on how the company is organized.

The information relating to capacity includes the following attributes:

  • Work center ID
  • Work center description
  • Position within the hierarchy of workshops (see also Section 17.2.5)
  • Work center type (store, parts production, assembly, external, etc.)
  • Number of work centers or machines
  • Number of working hours per shift and per day (often measured in 1/100 hour or industrial periods)
  • Capacity unit (see Section 1.2.4)
  • Number of capacity units per shift and per day (machine capacity or labor capacity, depending on the work center type
  • Number of shifts per day
  • Various factors: capacity utilization, work center efficiency, or the efficiency rate; see Section 1.2.4)

Capacity may change its value after a certain date. Capacities that change over the course of time are administered in a separate object class.

The information concerning costs includes at least the following attributes (see also Section 16.1.4):

  • Fixed labor costs per capacity unit for personnel
  • Variable labor costs per capacity unit for personnel
  • Fixed labor costs per capacity unit for machinery
  • Variable labor costs per capacity unit for machinery

This information is needed in order to analyze the standard or actual times for cost estimating or job-order costing. Conversion factors and different overhead rates are also needed when operating multiple machines or if the machines are operated by several people. It may also be necessary to specify different overhead rates for the setup time.

The following attributes are administered for time management (see Section 13.1), particularly for calculating the lead time (see Section 13.3.2):

  • The move time from and to the work center. This time incorporates both the actual handling time (administration and transportation) needed to move a commodity from one work center and another and the time needed to move it between two successive operations. See also Section 13.1.5.
  • The nontechnical wait time before the operation or queue time, that is, the average time a job remains in the queue upstream of the work center before being processed.

Other attributes concern alternative work centers, for example. As for the item, it is also possible to record the most recent modifications.



Course section 17.2: Subsections and their intended learning outcomes

  • 17.2 The Master Data for Products and Processes

    Intended learning outcomes: Describe master data of products, product structure, components, and operations. Explain the data structure of item master, bill of material, and where-used list. Disclose the data structure of work center master data, the work center hierarchy, as well as for operation, routing sheet, production equipment, bill of production equipment, and bill of tools.

  • 17.2.1 Product, Product Structure, Components, and Operations

    Intended learning outcomes: Present the concept of master data. Explain the production order as a collection of master data. Describe a simple product structure. Identify the intermediate product used simultaneously as a component in higher-level products.

  • 17.2.2 Item Master Data

    Intended learning outcomes: Present the concept of the item master record. Describe the attributes of the technical information and the stockkeeping information of the item master record. Identify attributes of the item master record for information on costs and prices.

  • 17.2.3 Bill of Material, Bill-of-Material Position, Where-Used List, and Where-Used-List Position

    Intended learning outcomes: Present the concepts of the bill of material and of the bill-of-material position, the where-used list, and the where-used list position. Differentiate between the single-level bills of material, the multilevel bill of material, and the summarized bill of material. Differentiate between the single-level where-used list, the multilevel where-used list, and the summarized where-used list. Describe the bill-of-material position logistical object and its most important attributes.

  • 17.2.4 Work Center Master Data

    Intended learning outcomes: Present the work-center business object. Describe the attributes of the work-center master record relating to capacity, concerning costs, and for calculating the lead time.

  • 17.2.5 The Work Center Hierarchy

    Intended learning outcomes: Present the concepts of workstation and cost center. Explain the work center hierarchy.

  • 17.2.6 Operation and Routing Sheet

    Intended learning outcomes: Present the concepts of the operation business object in association with the routing sheet. Describe the most important attributes of the operation master object. Produce an overview on the work center where-used list.

  • 17.2.7 Production Equipment, Bill of Production Equipment, and Bill of Tools

    Intended learning outcomes: Present the concepts of bill of production equipment and bill-of-production-equipment position as well as production equipment where-used list. Produce an overview on collective tool, bill of tools, bill-of-tools position, and tool where-used list.

  • 17.2.8 Composition of the Basic Master Data Objects

    Intended learning outcomes: Explain the breakdown of the master data into individual classes and their associations using the example of the ball bearing. Describe the basic object classes for planning & control.

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