Excellent Plains Distribution – Functioning With Kits Part 1

Setting Up a Kit Item Or a Bill of Material in Wonderful Plains I have had numerous of my consumers ask me about the ideal way to set up products in Wonderful Plains to track Sales data for multiple goods, however be able to manage just one item on the production and getting side.

Let me give you an example. I had a client that was shipping out demo units to their customers as a way to sell their buyer on the benefits of their and entice them to ultimately get their item. The product had to be identified especially as “Demonstration Unit” on the Order in Sales Order Processing. The solution nevertheless was not manufactured as a Demonstration Unit . It was basically a repackaged version of the original item that was already becoming developed. In addition, they needed to minimize inventory for the true product going out the door.

There are a lot of options for sure. There are two solutions that I suggest for this variety of situation. The 1st alternative is to set up an Inventory Bill of Material (BOM) in Fantastic Plains for the demonstration item. The second selection is to setup a Kit item for the demonstration item. Let’s look at each alternatives.

How a BOM Functions.

1st you want to setup each things in the Inventory module as Sales Inventory things. That implies that each the genuine item and the demonstration item must be setup in the Inventory module 1st. Subsequent, in Bill of Supplies Upkeep develop a Bill of Material (BOM) for the demonstration item and then add the true item as a component.

Now go to Assembly Entry by going to Transactions,Inventory,Assembly Entry. You will require to produce an assembly entry to add inventory for the demonstration item and minimize inventory for the genuine manufactured item. By undertaking this, we have on hand quantities for the demonstration item and we have decreased inventory for the actual manufactured item. This is a nice clean way to deal with this approach, especially if we are considering added expenses for packaging the item and we want to add those costs to the end product.

What most men and women do not like about this is that you want to setup the Inventory Bill of Material. This means that you have to go into Bill of Material Maintenance and setup every single individual BOM. If there are “demo” versions of each and every item, then every item would require to have its personal Bill of Material. This does not need a lot overhead, but it is nonetheless an further step.

In addition, for each item that we have on order, we will need to generate an assembly transaction and post that transaction. This would involve managing every single of the demonstration things that are on order and generating assembly transactions for all of these things. This is generally not a large deterrent if the quantity of products is small. Nonetheless, if there are a huge quantity of items that need to be managed this way then the overhead to manage these assembly transactions can be pricey.

One more way of handling this issue is by making use of kits within Wonderful Plains. Kits can supply a lot of flexibility and can be extremely simple to manage. But with the upside of using kits, there is some downside as nicely. In part two of this report, we look at kits and how what it indicates to your company.
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