After the item formula and item routings are set up, the work order to create the finished product will automatically populate the work lines for components and outside services.
Creating a Work Order
Open the App Launcher. Search for Work Orders.
Create a work order for the Parent Item (Finished Good). Click on New.
Fill out the UOM, quantity, starting and ending date/time, and co-packer’s warehouse as needed. Confirm that the Work lines for the finished good are populated correctly with the Item Formula and the Item Routing step.
Note: If you want to use a different formula version that was set up, you can click on the Batch Manufacturing tab to select a different version.
Processing Outside Service Purchase Order
Click Insert Requisition from the Work Order.
On Requisition, choose the Vendor and review the Order Date. Click Create Orders.
Note: The vendor name should be automatically populated using the default vendor from the Outside Service item. If the vendor is blank, then manually choose the right vendor.
After successfully creating the Purchase Order, go to the Purchase Order tab and click on the Purchase Order you just created.
Print/email the Purchase Order to your vendor.
The Work Order No. and the Finished Good No. will be printed on the description field.
It is also possible for the Purchase Order pdf to be customized as needed.
On receiving the Purchase Invoice, click Create Invoice.
Review and update the Unit Cost on the Purchase Invoice, and then click Post.
After posting the purchase invoice of the outside service, the document status should state Posted. Click on the purchase line, then click on the work order field to return back to the work order.
When you return to the Work Order, scroll to the Costing section. The posting routine updates the Capacity WIP for the Work Order.
Outside service Purchase Invoice cost will be included to calculate Finished Goods' cost.
Next, click on Create Production Journal to report the output of the finished goods and the consumption of the components.
Review Process Output Journals for more details on how to update and post Output Journals.
After you post the Prod. Journal, scroll down to the Output section and click on the Work Order field to return to the work order.
Notice that on the Work Order page, the Material WIP has been updated.
Confirm that you have finished reporting all the outputs and the consumption of the components and that you have posted all Purchase invoices for the Outside service. Then, click on Finish to complete the Work Order. The final Unit Cost will be updated.