What are the list of things you need to bake a cake:

  • For the cake: cake mix(200g), cream(100ml), eggs (3)
  • For decoration: Icing mix (100g), butter (50g), Milk (100ml)
  • Equipment: Mixer, cake form, baking paper, fondant, rolling pin

And lets consider different steps in the process of cake baking:

  • A customer places an order for a cake
  • Adam checks what ingredients are needed to fulfill the order and creates a list and procures them
  • Also check if a similar cake was baked in the past and what ingredients were used
  • Once everyting necessary is available the baking process starts and progresses one step at a time.
  • Once the baking is completed the inventory is updated and is prepared to deliver to the customer who ordered the cake

Bill of materials

BOM is basically the list of materials necessary to fulfill an order in manufacturing terminology

Production order

All the steps necessary to bake a cake and the sequence to follow along with the BOM will be the production order in the world of manufacturing.

Versioning of production orders helps in keeping track of the bill of material changes and routing changes

Once the production orders are completed the output is posted and inventory is updated with the finished goods. This can be done manually or automatically using backwad flushing.

Supply planning and Demand Forecasting

Based on the demand material requirements can be planned with the support of master production scheduling and materials requirements planning

Production and purchase orders are created considering demand forecast and inventory levels and other aspects of requirements planning.

Note that premium licensing of Dynamics 365 Business Central is necessary to use manufacturing capabilities.

That’s it for now about Manufacting… See you in the next one…

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