Jeff,
Whether you use WO or PM your question remains the same. If I understand you the question is "How do I take 1 sheet of steel and divvy it up into several different finished goods/work tickets".
One possible solution:
· Have an item code (example: 24 gauge Stainless 4' by 8') for the sheets of steel - that sheet of steel should always have the same weight. This item is inventoried in "each" or "sheet" etc.
· Create a second item code (example: 24 gauge Stainless LB) this is the same type/gauge steel but this item is inventoried in pounds.
· When they are ready to cut a sheets into several finished goods, Take the 24 gauge Stainless 4' by 8' sheet(s) out of stock and add the equivalent pounds of 24 gauge Stainless LB into stock.
o This could be an inventory adjustment, BOM disassembly, or work order transaction.
· Create the bills of material/work orders for the finished goods the steel component would consume X pounds of 24 gauge Stainless LB
o These work tickets will pull the pounds of steel out of inventory.
o Whatever 24 gauge Stainless LB pounds are left in inventory at the end of the run will represent the leftover scrap
§ Issue that scrap out of stock daily/weekly/monthly to a scrap GL account
Some of these steps can be eliminated by simply creating one inventory item for each gauge/type of steel and purchase it in Sheets (or whatever), but always inventory and consume it in pounds.