|
Stock Assembly Item |
|
|
Topic: Products/Services > Working with Items
Many companies build products from raw materials that they stock, or assemble products from a set of sub-parts that are stocked. The assembled product is itself usually held in stock. This type of product is represented by using a Stock Assembly Item.
The Stock Assembly Item, as the name suggests, is essentially a Stock Item that has a list of associated sub-items that are used in its construction. This list is usually referred to as the Bill Of Materials. The Bill Of Materials is held in its own Tab on the Stock Assembly Item Document.
NOTE: The Bill Of Materials can itself contain Stock Assembly Items as well as Stock Items. This allows you to model assemblies and sub-assemblies of arbitrary complexity.
The Bill Of Materials The Bill Of Materials can contains any type of Item. The cost is automatically calculated and entered into the Item Cost field under the Purchasing tab.
IMPORTANT: For all Stock Items average costing is used to determine the cost of Stock Items sold. This is the same for Stock Assembly Items. The actual cost used in sales will be the sum of the average costs of the constituent Stock/Assembly Items on the associated Bill Of Materials.
Building Stock Assemblies Typically when your company manufactures, or builds a product from stocked items (e.g. raw materials you have purchased) two things happen to your stock.
This process is modeled in your system so that the stock count and stock valuation can be recorded accurately. The following steps are used to defined and build a Stock Assembly Item.
1. To create a new Stock Assembly Item either use the Items Shortcut, or from the Explorer click Products/Services->Items and click 'New Item' from the Item List.
2.The New Item Page will now be displayed. Simply click on 'Stock Assembly Item' to display a new Stock Assembly Item Document.
3. Fill in the usual details on the Sales Tab such as Item Code, sales price etc.
4. From the BOM tab add the required Bill Of Materials. Typically this is composed of either Stock Items or other Stock Assembly Items. You will notice that as you add Items to the BOM the Cost on the purchase tab is automatically calculated. Once you have added the Bill Of Materials you can save the Item.
5. You can now build your assemblies; this ensures the stock count is correct. From the Items Actions drop-down simply click Build Assembly. This shows the Build Assemblies page which allows you to specify how many Assemblies you want to build. Building the assembly will adjust the Stock (and Stock Asset Accounts) appropriately. Form more information on building assemblies click here.
6. Once the assemblies have been built you can now sell them in the usual way by placing them on Invoices etc.
Breaking Stock Assemblies Sometimes you may wish to dismantle assemblies and return the constituent parts to stock. This is called breaking the assembly. Breaking assemblies reduces the assembly stock count but increases the count of stock listed in the associated Bill Of Materials. For more information on breaking assemblies click here.
Related tasks and information Working with Transactional Documents |