Sage Pastel • Overview Manufacturing

Using the Manufacturing Process in Pastel Partner

When you perform a manufacturing process, the process take the raw items out of your stock, and adds them to the finished item.
In other words it decreases quantities of the component items and increases the quantity of the manufactured item.

Step 1
Go to Edit… Inventory Items…
Click on a NEW item

You need to create an inventory item code and description that you will sell to your customer as the finished product.
An example :
Code – CHOC/GAT/CAKE
Description – Chocolate Gateau Cake

Step 2
You need to create inventory items that are the raw or unfinished products that you will use when making up your finished product.
An example :
Code – EGGS – Description – Jumbo Eggs
Code – SRF – Description – Self Raising Flour
Code – IS – Description – Icing Sugar
Code – CFLAV – Description – Chocolate Flavouring

This is called specifying the components or the raw materials, which you require to “manufacture” the item.

Step 3
Go to Edit… Manufacturing… Bill Of Materials
Click on NEW
An example :
BOM Code – B/CHOC/GAT/CAKE
Description – Baking CHOC/GAT/CAKE

(THIS IS NOT THE SAME CODE AS YOUR INVENTORY CODES, THIS IS A BOM CODE AND DESCRIPTION FOR THE NAME OF YOUR RECIPE OR BOM)

It’s like when your mom had a recipe book that she kept of all the cakes and foods she liked to cook.
The Bill of Materials contains a list of the raw component item codes, in other words, the inventory items you made in Step 2.
You also specify the quantity or how much you need of these components required to make one manufactured item.
You can create as many bills of materials as you like.
This is called creating a bill of materials for the manufactured item.

Step 4
Click on the Manufacture Tab
Click on the Manufacture Item… Inventory Code block and search for your finished item code you created.

An example from the finished item we made in Step 1 :
CHOC/GAT/CAKE – Chocolate Gateau Cake… Because this is what you are going to be selling when you have finished making the product.

Step 5
Click on the Components Tab
Add the components to the list using all the raw items we created in Step 2

An example from Step 2 :
Code – EGGS – Description – Jumbo Eggs x 2
Code – SRF – Description – Self Raising Flour x 250ml
Code – IS – Description – Icing Sugar x 2 cups
Code – CFLAV – Description – Chocolate Flavouring x 2 tsp

And this will give you a breakdown of how much it will cost you to make 1 cake.
You can add up to 3 extra costs.
You can add extra costs to your BOM like the electricity used, and the man hours it takes to bake etc.
You create each additional cost item as a service inventory item.
The cost of the manufactured item is the sum cost of the costs in the BOM.

Save your Bill of Material.

Step 6
Then you need to do the actual manufacturing process.
Process… Manufacture…

Find the BOM Code that you made in Step 3 –
BOM Code – B/CHOC/GAT/CAKE
It will automatically bring up onto the screen the Item code that you will be selling it as –
Item Code – CHOC/GAT/CAKE
(Can you see that they are not the same codes? )

You can now enter how many of these you want to make at that time.
If you want to bake 10 cakes, you enter 10 in the quantity field, and Pastel will show you if you have enough ingredients to make them.

If there is anything in red, this means you must buy more raw materials to complete the process.
If everything looks correct, you can check that your date is correct and click the Manufacture button.
And it’s done.

When you go invoice this item, you look for the finished inventory item that will show that you have 10 baked cakes on hand.
Your customer does not see the component/raw items you used to make it.

You may need to reverse manufacturing (or un-manufacture) some or all of the manufactured items.
You do this if you manufacture with incorrect prices, or if you need some of the raw materials for other uses.
Pastel then decreases the quantity of the manufactured item and increases the quantities of the component items.