Key Manufacturing Concepts
- Item: ERPNext allows you to manage all sorts of items like raw materials, sub-assemblies, finished goods, item variants, and service items.
- Bill of Materials (BOM): A Bill of Materials is a list of items and sub-assemblies with quantities required to manufacture an Item. A Bill of Materials (BOM) is at the heart of the Manufacturing system and the most important document that will help to create other document types like Work Orders and Job Cards.
- Sales Order: A Sales Order is a confirmation of an order from your customer.
- Production Plan: A Production Plan helps in production and material planning for the Items planned for manufacturing. These production items can be committed via Sales Order (to Customers) or Material Requests (internally).
Production Plan helps the user to plan production against multiple Sales Orders or the Material Requests. Also, it helps in Material Procurement planning for the raw material item, based on the quantity of finished products to be manufactured.
- Work Order: A Work Order is a document given to the manufacturing shop floor by the Production Planner as a signal to manufacture a certain quantity of a certain Item.
The Work Order also helps generate the material requirements (Stock Entry) for the Item to be produced from its Bill of Materials.
The Work Order can be generated from the Production Plan based on Sales Orders.
- Job Card: A Job Card stores actual production information about a particular Operation performed on a particular Workstation.
A Job Card is created from the Work Order and given to each of the Workstations on the manufacturing floor to start the production of an item with a certain quantity in each of the operations defined in the Work Order.
- Operation: An Operation refers to any manufacturing operation performed on the raw materials to process them further in the manufacturing path.
The Operation master stores a single manufacturing operation, its description, and the Default Workstation for the Operation
- Work Station A Workstation stores information regarding the place where the workstation operations are carried out.
- Warehouse Warehouse is a location where Items are stored.
