Assembly

Assembly

Assembly is when component products are assembled into a finished product. It tracks the components you use, the costs of any labor and overhead, costs of wastage, as well as the total cost of assembled finished products. Disassembly is the same process in reverse. This module is part of Cin7 Core Standard Manufacturing and is included in all subscription plans.

Assembly and disassembly are intended for simple manufacturing processes (e.g. assembling items into a gift box, T-shirts into a multi-pack, putting together furniture from pre-made components). For more advanced, multi-operation production processes, we recommend using the Advanced Manufacturing module, which takes into account resource capacity and component lead times, which can be added to your base subscription.

 

If an order is placed for a finished product whose components are not in stock, the missing components will be made available to backorder.

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If assembly components have been backordered, the assembly will not be automatically completed when the components are received. The assembly must be manually authorized once the required components are back in stock.


Prerequisites

  

Assembling a finished product

This article covers manual assembly. Cin7 Core also supports auto-assembly, where components are assembled into finished products automatically when the finished product is sold.

  1. Select Production from the main menu, then Assemblies.

  2. Click + Add to create a new assembly.

  3. Choose a Location where the product will be manufactured. Component products must be in the same location as the assembly in order to be picked.

  4. Select a product to assemble. This field only shows products with an assembly BOM.

  5. Enter a Quantity to assemble. Use Maximum quantity to calculate what you can assemble from available components.

  6. Optionally, select a Bin for the assembly output. You can still pick components from other bins at the same location.

  7. Choose a Work in progress account and a Finished goods account. These hold the stock value of the components while assembly is in progress, and the stock value of the assembled finished products when completed.

  8. Optionally enter a Work in progress date (assembly start date) and Completion date when applicable. Cin7 Core will auto-fill these with the dates you start and complete the assembly in Core.

  9. Enter a Batch/serial no. and Expiry date for the finished product if applicable.

  10. Click Load BOM to load the assembly components. You can also manually add components or scan to add. At this stage you can edit the BOM by either adding additional components, deleting components, or changing component and wastage quantities.

  11. Authorize the order to go to the Pick tab.

  12. Use Auto-pick to automatically select the components. You can also manually add components or scan to add. At this stage you can edit the BOM by either adding additional components, deleting components, or changing component quantities.

  13. Allocate the items to the assembly. This removes the components from your inventory and moves their stock value into your work in progress account.

  14. Optionally amend the Actual yield of the assembly if it was higher or lower than expected.

  15. Click Complete when you have finished assembling. This moves stock values from the work in progress account to the finished goods account.

 Costs shown on this screen are estimates and depend on your BOM settings. Sometimes this can lead to costs being estimated wrong on this screen, or displaying as 0 (e.g. if there was no last purchase price in the system.). This will not make the assembly incorrect.

The actual cost of finished goods is calculated using the costing method of each component allocated to an assembly. Actual costs associated with finished goods can be seen using the Production Cost Analysis Report. The Unit cost for each assembly is displayed on the Assembly list.

Backordering out-of-stock components

Authorizing an assembly order when some components are out of stock will make the missing components available for backorder.

If you are starting from a sale order for an out-of-stock finished good, start at step 1. If you are starting from manually assembling a product with out-of-stock components, start at step 6. For auto-assembly products, you may prefer the Using Out-of-Stock Components for Auto-Assembly Report .

Components for assembly must have at least one assigned supplier for this function to work. See Adding a Supplier for more information.

  1. A sale order is authorized for a finished good which is out of stock. The finished good may be set to manual assembly or auto-assembly.
         

  2. Upon authorization, a notification will appear telling you that requested stock exceeds available stock. Click Backorder to proceed. The finished good will now appear in the Reorder backordered section.
         

  3. Select Purchase from the main menu, then Reorder backordered. You can filter by the sale order location or the sale order customer to find the backorders relevant to this order. Select your own store name to make the finished good product visible.

    • If you have suppliers for the finished good, you will also be given the option to order directly from the assigned suppliers. This will give you multiple options to select. You only need to select one to proceed. If the system creates a PO task rather than a FG task, you have generated an order for the whole unit. Void the PO and try again to create the FG task.

  4. Select the finished good and click Reorder to generate an assembly.
         
         

  5. Follow the link in the notification or go to Production, then Assemblies, to see the newly created assembly. In the Notes field you will see which sale order the assembly order has been created for.

  6. Open the assembly.
         

  7. Components with insufficient quantities will be displayed in red. Click Authorize to authorize the assembly order and make the required component quantities available for backorder.
         

  8. Select Purchase from the main menu, then Reorder backordered. You can filter by the sale order location or the sale order customer to find the backorders relevant to this order. Select your components supplier to display the components to backorder.

  9. Select the required components and click Reorder. This creates one or more purchase orders.
         

  10. Follow the link in the notification or go to Purchase, then Purchases.

  11. Authorize the PO and process the purchase to receive stock. Make sure the stock is received into the assembly location. The received components will automatically be allocated to the finished good task.
         

  12. As soon as all required components have been received, you will be able to proceed with the assembly pick. You will need to manually authorize Pick to complete the assembly, even if auto-assembly is selected for the finished product.

Cloning an assembly

Use an existing assembly as a template to make it easier to create a new assembly by cloning.

  1. Select Production from the main menu, then Assemblies.

  2. Open the assembly you want to clone.

  3. Click Clone to create a new assembly from the existing assembly. You can then make any modifications per your requirements.
         


Multi-level assemblies

Cin7 Core supports multi-level assemblies. Enabling auto-assembly at different levels will affect the picking logic.

View the assembly list

View a summary of all historical assemblies selecting Production from the main menu, then Assemblies. This also shows the unit cost for each production run.

See the details of previous assemblies by clicking on each line.
     

Check component availability

Check how many finished goods can be assembled from available components when starting a new assembly. Press Refresh next to Maximum quantity to see how many finished goods can be assembled.

  

 

Production Cost Analysis Report

This report shows the number of finished goods with their costs split by the components and services used in the assembled product. Use this report to analyze finished goods yield quantity, production cost, and cost of component products and services for a selected reporting period.

This report shows both assembly and production finished goods.

By default, the report shows all finished goods that have been completed, authorized or are currently in progress for the last month. To narrow down the results, you can filter the report by either status = Authorized or status = In progress or status = Completed.

Learn more about Production Cost Analysis Report.

Print an assembly order

Once an assembly is complete, you can print the assembly order and product label.

  1. Select Production from the main menu, then Assemblies.

  2. Open the assembly.

  3. Select Print, then Finished goods.

  

It is not possible to bulk print Finished Goods/Product Labels in this format, however, you can print off information for multiple finished goods from the Finished Goods Analysis report. Simply set filters to show the entries you require and click Export.

  

Attach documents

Attach documents up to 10MB by dragging and dropping them to the Attachments tab for future reference. Any PDF documents generated by Print will be added to this tab automatically.

  

Transactions

View all accounting transactions generated by the system for this task.

  

View attributes and logs

View all actions by your organization users on this task or add values to additional attributes here.

  

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