Figure 16-7 also shows an alternative way of describing the conversion of raw materials or parts into finished products. Asset Structure is the fact that a particular Asset is a component in another Asset. In this case, one instance links the component with the assembled product. This is different from the Material Movement representation, because that shows that Consumption and Product Completion are separate instances, linked only by the fact that they are for either the same Production Step or the same Production Work Order.

The Material Movement approach allows us to describe a Work Order that would require 9 instances to combine, say, 5 components to produce 4 different finished products. The Asset Structure approach would ...

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