Use Microsoft Dynamics 365 Business Central for Effective Assembly Process
An assembly item is defined as a sellable item that contains an assembly BOM. An assembly order is an internal order, that is used to manage the assembly process and to connect the sales requirements with the involved warehouse activities.
The Assembly Management module of Microsoft Dynamics 365 Business Central contains features to assemble items that integrate with other existing features, such as sales, planning, reservations, and warehousing. This capability helps a company who practice the Just In Time Inventory Method to effectively manage their inventory and eliminate other relevant cost.
What is Just in time Inventory Method?
Just In Time Inventory Method is an inventory management method whereby labor, material and goods that to be used in manufacturing, are ordered or scheduled to arrive exactly when needed in the manufacturing process.
Company who intends to reduce the requirement to carry large amount of inventories and be incurred with carrying other related costs practice Just In Time inventory Method. In order to benefit from this exercise, an optimum synchronization between the manufacturing cycle and delivery of material is important.
How does Business Central help in Assembly Process?
To support company who practice Just In Time inventory Method, the Assembly Management feature of Microsoft Dynamics 365 Business Central enables the assembly orders to be automatically created and linked as soon as the sales order line is created.
The link between the sales demand and the assembly supply enables sales order processors to customize the assembly item on the fly, promise delivery dates according to component availability, and to post output and shipment of the assembled item directly from their sales order interface.
Upcoming article: Assemble to Order vs Assemble to Stock