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Engineering Change Types
Your vendor may change, alter or Engineering changes typically fall into
obsolete a supplied part requiring a three categories: those affecting item
design change. data only, those affecting bill of material
data only, and those affecting both. For
example, a dimension change for a
better fit affects the specification and
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routing of the item without affecting the This information is visible to all affected
bill of material in which the item is departments and management to
used. On the other hand, a change in ensure sound decisions are made.
the item quantity required per assembly
affects only the bill of material or ECOs Online
structure records.
It is important to have all ECO History
A typical change may involve many item maintained in one place. Assign an ECO
usages and replacements, all of which number and record all relevant
must be coordinated. The actual information in a database. This provides
changeover quantities and dates may a searchable audit trail of all current
vary from the plan if inventory accuracy and historical ECOs. You can track ECOs
is not correct. from creation to approval to execution.
By reviewing options and run out Let’s look at some of the challenges you
quantities, PO cancellations, vendor face in controlling and tracking the
return policies and product substitutions Engineering Change Process.
the cost impact can be often be
eliminated or minimized. 1. Paper is the enemy. It adds time,
hassle and inefficiency to the
engineering change process. You can’t
track its progress as paper gets lost and
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accountability is impossible to enforce. Don’t rely on manual reconciliation. Fold
Electronic routing and tracking is the changes into the product specification
solution. as soon as they are approved.
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inventory cost adjustment to a specific
ECN or effectivity of a stock run out • Develop more innovative and
requires tight integration to the ERP personalized products to increase
system. revenue
Collaboration
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