Assembly

The product record identifies a stocked item, kit or repacked output. A bill of materials lists its components and base quantities. Routing operations hold the ordered work instructions and labor basis. A work order freezes the selected bill, routing, output product and standard cost for a planned quantity and warehouse.

A distributor can use this path to assemble a saleable kit from stocked components. The work order’s component lines show required, issued, returned and consumed quantities. Actual production entries record start and end times, good and scrap quantities and labor hours against an operation.

• Define the version. Warehouse Manager reviews the active bill, routing and output standard before releasing work.
• Record actual work. Warehouse Operator submits operation evidence and material use rather than treating a planned quantity as finished stock.
• Close the cost. Production completion assigns actual work-in-progress cost to accepted output and records variance for review.

Agree which products can be assembled or repacked and which warehouse performs the work. Maintain component units, standard costs and effective versions. Assign a Warehouse Manager for release and a separate Finance Manager for cost decisions that need independent review. Decide what operator evidence is required for a completed operation and how residual material or variance is resolved.

The output cannot rely on a future bill or a changed routing after release. A new version belongs to a new reviewed work scope. Cost entries and stock movements retain their source so the team can reconcile work in progress with finished stock.

Create a work order for a kit that uses two stocked components. Confirm both are active products with available stock. Review the bill, routing, standard and planned quantity, then release the order. Issue only the required component quantity and log the actual terminal operation. Record a partial good output and scrap separately.

Compare material consumed, remaining reserved stock, actual cost and output quantity. A partial completion should not claim the whole planned quantity or relieve the same work-in-progress source twice. Before close, resolve the residual quantity and variance through the recorded decisions. The final stock position should show only accepted output.

• Production Schedule — Released and active work orders show their planned windows and output product.
• Warehouse Availability — The manager checks components before release and accepted output after completion.
• Period Close Work — Accountant follows unresolved work-in-progress reconciliation.

See stock control and financial close.