Production of item that consists of make to order items

SOLVED

Hi, this might be basic and I hope you have an insight for us.  This pertains to Production Management (Scanco version)

We have a standard inventory item (=not kit type) consisting of a few components that have to be manufactured to order. Think of a custom dining table set that consists of a table and a few chairs. 

The issue is, we write a work ticket for the set, and when a complete production is booked, Sage draws the inventory from the table and the chairs, instead of producing them and issuing them to the set, or drawing inventory from their components.  In other words, the in inventory count of the table and the chairs go into negative, while their components inventory are unchanged.

We have to be missing something very basic.

How can we properly alleviate the raw materials??  Or what are other ways to handle a production, bom, or work ticket for this item?

Ken

  • +1
    verified answer

    Idea:

    • Table item, has QoH to start.
    • Chair item, has QoH to start.
    • Dining Set item, no QoH to start, using Lot/Serial valuation.
    • Build a Dining Set item, consuming the Table & Chairs.
      • Dining Set item now has QoH.
      • Lot/Serial valuation allows tracing the individual / order specific Dining Set after production, so you ship the correct inventory.
  • 0

    Thanks Kevin,

    So I guess the process should be like below. 

    Create a "make for sale order" work ticket for a dining table set. 

    Create "make for work ticket" work tickets for its components (table and chairs).

    Make completion transactions for the components first, to increase the qty of components,

    Complete the set ticket to draw from the components inventory

  • 0 in reply to Kentaro

    That's the general idea.

    If you need to schedule the Dining Set production (assembly of the pieces), or you need the ability to customize the Dining Sets for each order, that is where you'd want a WT for the Dining Set step.

    You could also explode the Dining Set on the SO, listing the tables / chairs on the SO, and build the kit components without having to post a production entry for the Dining Set.  (An exploded kit consumes inventory from the components without having to "build" the main kit item).