A common use for Unleashed is to use it for food or beverage manufacturing. One of the most common questions that comes up for new customers is how to set Unleashed up for food or beverage manufacturing.
To set this up in Unleashed, let’s keep three processes in mind: purchasing, manufacturing, and sales. In this article, we will focus on the first part of your set up, the product and purchasing process. Consider a beer brewing scenario. You run a beer brewery and you’ll need to add a small quantity of dextrose into each brew. However, when you purchase the dextrose from your supplier, it comes in a container.
Most people assume that a single product would be used for purchasing and used for manufacturing. However, in some food and beverage manufacturing firms, this is not the case.
Most customers purchase from their suppliers in bulk and use smaller quantities throughout their manufacturing processes. However, it can be tricky to work with smaller quantities in some cases. Let’s work through an example where we use the disassembly feature in Unleashed to create workable quantities.
When you purchase a product from your suppliers, you will need to create it as a product within Unleashed. This will include product descriptions, codes and more so that suppliers can easily identify them. Remember, when you purchase your products, you will buy them in the quantities as stated by the suppliers, regardless of how you plan to use it in your manufacturing process.
Consider our previous example where we have beer that needs dextrose. Our dextrose is purchased in a single 500g container. When we create a product within Unleashed, we would put the quantity as 1.
Next is the manufacturing process. We have purchased a container of 500g but we only need 3g in each brew. You can use Unleashed’s disassembly feature to split each container into the quantities we need for manufacturing. Disassembling the 500g of dextrose into 500 units so that 1 gram is 1 unit will result in 500 units of dextrose on hand. There are two ways to do this: auto-disassembly and manual disassembly.
We can use the auto-disassembly feature to automatically disassemble the product once it has been received into Unleashed. If this is the case, you will never have the container product on hand as it will always be broken down into its individual unit. One thing to note with auto-disassembly is that you will not know how many containers there are. You will only know the total unit you have on hand. So if you see you have 2000 units of dextrose on hand, this equates to 2000g of dextrose which is equivalent to 4 containers. You’ll have to do a bit of maths for this one!
If you want more control over when the purchased products are broken down into its individual units, use manual disassembly to create a disassembly when needed. This can be a good way to track unopened and unused containers of product.
Each product should have the unit of measure specified to tell you how you are measuring the product. In our beer brewing example, our unit of measure will be the number of containers. When reviewing the stock on hand reports and you see 1, you will use the unit of measure to let you know if this is 1 container of 500g on hand. The unit of measure field is really meta-data for your products and there is no unit conversion in Unleashed.
Now that we have broken down 500g of dextrose into smaller quantities, we have more manageable quantities to work with. This simple method of breaking down a container into grams can also be useful when purchasing in bulk quantities. For example, if you are purchasing in litres and only use a few milliliters in the manufacturing.
If you did not have the second product and use the disassembly feature then the amounts used in the beverage manufacturing process could be very small, difficult to manage and can sometimes exceed the decimal place limit we have currently. Let’s face it, if you did happen to purchase in a ton and only need 2 grams then the stock on hand could look something like this: 0.0005, not too easy on the eye right?
Now that we have been through the theory of what we need to do and why, let’s summarise how to do this.
- Purchase in the dextrose from the supplier
- Receipt the Purchase Order
- Set up the product for the purchased product
- Set up the product that will be used for the manufacturing
- Set up the disassembly
Article by Melanie Chan in collaboration with our team of Unleashed Software inventory and business specialists. Melanie has been writing about inventory management for the past three years. When not writing about inventory management, you can find her eating her way through Auckland.