Creating make-to-stock-kit items

  1. Select Supply Management > Supply Management Setup > Inventory Control > Inventory Location Information > Inventory Locations.
  2. Open a company.
  3. On the Kit Items tab, click Create and specify this information:
    Kit Item
    Select a kit item.
    Make Code
    SelectMake to Stock.
    Quantity
    Specify the quantity tolerance percentage for a finished good.
    Zero Quantity
    Select this check box if zero tolerance is allowed for finished good quantity tolerance checking. Clear the check box if no tolerance checking is required.
    Cost
    Specify the cost tolerance percentage for the finished good
    Zero Cost
    Select this check box if zero tolerance is allowed for finished good cost tolerance checking. Clear the check box if no tolerance checking is required.
    Contiguous Process
    Select this check box if production spans multiple days. If production must occur on consecutive days, there cannot be any non-work days between the start and end production dates.
  4. In the Scheduling section, specify this information:
    Capacity
    Specify the maximum quantity of the finished good that can be produced for a work order. When you add a finished good, if no value is specified in this field, the capacity from the Work Order tab on Location is the default value for this field. This value is the default for the Capacity field on the Build tab of the Production Schedule.
    Period Length
    Specify the period length and the schedule increment to indicate the length of scheduling period for work orders. The period length is the number of days, weeks, or months in a period.
  5. In the Accounts section, specify this information:
    Variance Account
    Select the finished good variance accounting unit. This account is used to post variances in finished good cost when there is a difference between the cost from an original work order and the cost returned from inventory for a reversed work order.
    Production Credit Account
    Select the production credit account unit. This account is used as the default to work orders for a specific finished good.
    Burden Absorption Account
    Select the burden absorption account. This account is the default for the work order used in creating a specific finished good.
  6. Click Save.
  7. To create a required component, on the Components tab, click Create.
  8. Specify this information:
    Sequence
    This field shows the number that is assigned to each component item.
    Component
    Quantity
    Specify the number of component items are required to make one finished good.
    Start Date
    Specify the first date that this component is a valid component item for the finished good template.
    Stop Date
    Specify the last date that this component is a valid component item for the finished good template.
  9. Click OK.
  10. On the Byproducts tab, click Create and specify this information:
    Sequence
    Item
    Description
    Standard Quantity
  11. Click Save.
  12. On the Burdens tab click Create and select a Burden Code.
  13. Specify one of these burden types:
    Flat Amount
    Specify the flat amount cost for the burden.
    Amount Per Unit
    Specify the quantity of the finished good multiplied by the number of units that are required.
    Percent
    Specify the percentage of finished good inventory cost, which is the total of all inventory components.
  14. Specify this information:
    Tolerance Percent
    Vendor
    Select a vendor.
    UOM
    Select a unit of measure.
    Zero
    Select this check box if zero tolerance is allowed for tolerance checking.
  15. Click Save.
  16. To add a comment to the kit item select the Comment tab and click Create.
  17. Specify a Title and details for the comment.
  18. Click Save.