Operational Workflows & State Machines

The In-House Manufacturing domain executes production through clearly defined workflows and state transitions. Every Manufacturing Order and Routing Operation follows a controlled lifecycle that enforces business invariants and provides full traceability.

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1. End-to-End Production Lifecycle

The following diagram illustrates the complete lifecycle of a Manufacturing Order from demand signal to closed, costed production.

flowchart TD
    A[Demand Signal<br/>Sales Order / Forecast / Replenishment] --> B[Planned MO]
    B --> C{Material & Capacity Check}
    C -->|Available| D[Confirmed MO]
    C -->|Shortage| E[Material Shortage / Awaiting Staging]
    E -->|Reservation Complete| D
    D --> F[Material Staged<br/>WMS Trigger: RawMaterialsRequested]
    F --> G[Production In-Progress<br/>Floor Run & Time Logging]
    G --> H{Routing Operation Complete?}
    H -->|No| I[Next Operation]
    I --> G
    H -->|Yes| J[Inspection / QC]
    J -->|Pass| K[Finished Goods Transfer<br/>GRN to Available Stock]
    J -->|Fail| L[Scrap / Rework Decision]
    L -->|Rework| M[Rework Work Order]
    M --> G
    L -->|Scrap| N[Scrap Bin / Variance Log]
    K --> O[Costed & Closed]
    N --> O

Lifecycle Stage Descriptions

Stage	Description	Key Domain Event
Planned	MO created from demand signal; BOM and routing exploded.	ManufacturingOrderPlanned
Confirmed	Material and capacity availability validated; order authorized for execution.	ManufacturingOrderConfirmed
Material Staged	Components allocated or physically moved to production location.	RawMaterialsRequested
In Progress	First operation started; labor and machine time logged.	WorkOrderOperationStarted
Inspection / QC	Output inspected against quality specifications.	QualityInspectionCompleted
Finished Goods Transfer	Accepted output received into inventory as FG or WIP.	FinishedGoodsProduced
Costed & Closed	Costs finalized, variances calculated, ledger sealed.	ManufacturingOrderClosed

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2. Scrap & By-Product Handling Flow

Scrap, rework, by-products, and co-products are managed through a dedicated disposition workflow that preserves traceability and cost accuracy.

flowchart TD
    A[Defect Detection<br/>During Operation or Inspection] --> B{Disposition Decision}
    B -->|Reworkable| C[Quarantine Hold]
    B -->|Non-Reworkable| D[Scrap Bin Assignment]
    B -->|By-Product| E[By-Product Receipt]
    C --> F[Rework Work Order Created]
    F --> G[Rework Operation Executed]
    G --> H{Re-Inspection}
    H -->|Pass| I[Return to Production Flow]
    H -->|Fail| D
    D --> J[Scrap Quantity Logged]
    J --> K[Cost Variance Recorded]
    E --> L[By-Product Valuation & GRN]
    K --> M[Order Closure]
    L --> M
    I --> M

Disposition Rules

Disposition	Condition	Next Action
Accept	Output meets specification.	Transfer to next operation or finished goods.
Rework	Output can be corrected through additional processing.	Create rework work order; original quantity remains linked.
Scrap	Output cannot be economically corrected.	Move to scrap bin; log variance; deduct from expected yield.
By-Product / Co-Product	Secondary output intentionally produced.	Record receipt, valuation, and disposition separately from primary output.

Scrap & Rework Cost Treatment

Scenario	Cost Treatment
Normal Scrap (within scrap factor)	Cost absorbed into good output; no separate variance.
Excess Scrap (above scrap factor)	Recorded as material or operation variance; may require write-off.
Rework	Additional material, labor, and overhead costs attributed to the original order or a dedicated rework order.
By-Product	Valued at net realizable value or standard cost; credited to the producing order.
Co-Product	Production cost allocated between co-products based on a defined split ratio.

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3. Manufacturing Order State Transition Table

Current State	Trigger / Event	Next State	Business Validation Rule
Draft	Planner creates MO from demand signal.	Planned	Item, BOM revision, routing, and quantity are valid.
Planned	Material and capacity availability confirmed.	Confirmed	All critical components have allocation or firm supply.
Planned	Material or capacity unavailable.	Awaiting Staging	Shortage must be resolved or order revised.
Awaiting Staging	Reservation complete; components available.	Confirmed	Allocation covers gross BOM requirements.
Confirmed	Material physically issued or staged.	Released	WMS confirms staging or GIN issued.
Released	First operation started on shop floor.	In Progress	Work center and operator assigned.
In Progress	Operation reports scrap or defect.	Awaiting Disposition	Disposition decision required before continuation.
Awaiting Disposition	Rework path authorized.	In Progress	Rework work order linked to original MO.
Awaiting Disposition	Scrap decision finalized.	In Progress	Scrap quantity logged and variance recorded.
In Progress	All operations complete; inspection passed.	Completed	Output quantity within tolerance; QC gate cleared.
Completed	GRN posted; costs finalized.	Closed	FMS acknowledges capitalization; no open labor/material corrections.
Completed	Quality failure discovered post-completion.	Rework Order Created	Original MO remains closed; correction via compensating order.
Any non-Closed state	Order cancelled by authorized actor.	Cancelled	No materials consumed, no operations started, or cancellation protocol followed.

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4. Routing Operation State Transition Table

Current State	Trigger / Event	Next State	Business Validation Rule
Not Started	Prior operation completed or MO released.	Ready	Setup materials and tooling available.
Ready	Operator/machine starts setup.	Setting Up	Work center calendar valid; operator skill verified.
Setting Up	Setup complete; production run begins.	Running	Setup time logged; first-piece inspection optional.
Running	Operation paused (breakdown, material wait).	Paused	Reason code mandatory (downtime, no material, etc.).
Paused	Issue resolved.	Running	Resume time logged; downtime attributed.
Running	Operation output reported.	Awaiting Inspection	Mandatory if inspection flag set.
Awaiting Inspection	Inspection passed.	Completed	Accepted quantity released for next operation.
Awaiting Inspection	Inspection failed.	Awaiting Disposition	Rework or scrap decision required.
Awaiting Disposition	Rework authorized.	Ready	Operation re-enters at appropriate step.
Awaiting Disposition	Scrap finalized.	Completed	Scrap logged; accepted quantity adjusted.
Completed	Next operation started.	Closed	Quantity and time data sealed for the operation.

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5. Parallel Operation Workflow

When operations are configured for parallel execution, the strict sequential gate is relaxed while capacity and material constraints remain enforced.

flowchart LR
    A[Operation 10<br/>Cutting] --> B[Operation 20<br/>Machining]
    A -.->|Parallel Flag| C[Operation 25<br/>Deburring]
    B --> D[Operation 30<br/>Assembly]
    C --> D

Parallel Execution Rules

Rule	Invariant
Overlap Definition	Parallel operations must declare the predecessor operation and the allowed overlap percentage or time window.
Material Gate	A parallel operation cannot start until its required materials are available, even if the predecessor has started.
Convergence Gate	The converging operation cannot start until all parallel branches have completed.
Capacity Check	Parallel scheduling must respect combined load on shared work centers or machines.

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6. Cancellation & Exception Handling

Not all production plans execute as intended. The domain supports controlled cancellation and exception paths.

Exception	Handling Rule
Order Cancellation (no activity)	MO returns to cancelled state; reservations released; no cost impact.
Order Cancellation (partial activity)	Consumed materials and labor are costed as-is; remaining reservations released; closure reason recorded.
Material Substitution	Approved alternate item substituted via BOM revision or engineering waiver; original and substitute recorded.
Engineering Change Order (ECO)	Active MOs may continue on old BOM revision or be re-exploded per ECO policy; new MOs use latest revision.
Machine Breakdown	Operation paused; downtime event emitted to CMMS; MO rescheduled or reassigned.
Operator Absence	Operation reassigned to qualified replacement; labor ticket attributed to actual operator.

These workflows and state machines ensure that every production run is executed, measured, and corrected through a consistent, auditable, and invariant-preserving process.