Sage 100

Receiving assembled Kit Item whose parts are from different vendors Sage 100 Advanced Version 4.4. The inventoried item is assembled overseas and received complete. It consists of component items from different vendors. We need to be able to receive the main inventoried item but detail the cost portions to different component vendors for AP purposes. Any ideas on how this can be done?

Create a Standard Bill of Materials. Receive in the component parts. Do a BOM production entry to convert them to the assembled item.

Or you could enter a work order and do PO's to the work order for outside processing then complete it?

How long does the assembled item sit on shelf before being sold? You could explode the kit bill on the SO, ship and invoice. Invoice will pull the component items from inventory.

To further explain: My customer does not have BOM and the assembled part is only a one level kit. The factory that produces the assembled part, orders the components from vendors ""A"" through ""Z"". My customer does not send a PO to the vendors and they do not have the components in Inventory but they do receive an invoice from each of these Vendors with a description of the part, quantity and cost. The AP invoice is paid much like a telephone bill with no relationship to inventory or a PO. Currently there are 9 items that are assembled at the overseas factory. This is destined to grow to maybe over 100. So, could this be done with a script or custom programming that would look at the assembled part being received, compare the components of that part in a custom table and then send that portion of the cost to each designated vendor in AP? We are using DSD's multi-currency but all purchasing is in dollars.

Do they have purchase order module?

Bill of Materials is really the way to go on this one. The components being invoiced (>? owned parts), assembly charges to track as well as the sale. Setup components as drop shipped to assembler on the PO's or ficticious warehouse overseas to account for the material at assemblers, and finished product inventoried with one production entry. Sell them Bill of Materials. Why? Because from what I have read, they need it and are ready for it.. The business need is there and BOM offers the improvements: to process flow, on accountability, in tracking and in financial reporting. It sounds like the business is growing and ready to move to the next level. Or to put it shortly (cuz I don't know how) see Mr. Nottoli's comment. Also worth mentioning- I don't know the details but there are some businesses that obtain some financial 'tax' relief when product is assembled or has some processing done overseas. We use to do this manufacturing ICs by tracking product through Singapore assembly. In this situation material tracking and reporting is critical. If this applies to your customer - how are they tracking the goods now compared to how they could be with BM (or BM & WO).

I have a situation similar, the client never gets components, they are all shipped to a vendor who assembles the KIT, they do not setup any of the components in inventory. Most likely your client knows cost of each component, so on those vendor invoices you could code them to a prepaid inventory account and on the PO put the KIT on order at the total cost of all parts. Then on a second line use a misc code with a negative dollar amount to back out the component costs and set that code to the prepaid account. The net of this PO for the finished product to that vendor would equal what they would expect to pay that vendor. So when ROG happened, the item goes in at full cost and at ROI the misc code comes into play and nets the PO to match the vendor invoice. Hope that makes sense.