Overview

In the manufacturing and subcontracting processes, it’s not uncommon to encounter situations where a specific raw material or component is unavailable. iVendNext’s Item Alternatives feature provides a solution by allowing you to substitute unavailable items with similar ones, ensuring that production processes are not disrupted. This article will guide you through the concept of Item Alternatives, how to enable and use them in manufacturing, and their role in subcontracting.

First you need to enable the "Allow Alternative Item" in the Item.

What are Item Alternatives?

Item Alternatives are items that can be used in place of the original item specified in a Bill of Materials (BOM) or Work Order. This feature is particularly useful when the required raw material or component is out of stock or unavailable, but a similar item can be used to complete the production process.

Key Benefits of Using Item Alternatives

• Production Continuity: Ensures that manufacturing processes are not halted due to the unavailability of specific items.

• Flexibility in Procurement: Allows for greater flexibility in sourcing materials, especially in situations where suppliers may not have the exact item in stock.

• Cost Efficiency: Enables the use of cost-effective alternatives without compromising on quality or production timelines.

Prerequisites for Using Item Alternatives

Before you can use Item Alternatives in iVendNext, ensure that the following are set up:

• Item Master: Ensure that the items (both original and alternative) are created in the Item Master.

• Bill of Materials (BOM): The BOM should be created for the product you intend to manufacture.

• Work Order: A Work Order should be created for the production process.

Enabling Item Alternatives in iVendNext

To use Item Alternatives, you first need to enable the feature in the Item Master. Follow these steps:

1. Enable "Allow Alternative Item" in the Item Master

1. Navigate to the Item Master dashboard.

2. Select the item for which you want to allow alternatives.

3. Enable the "Allow Alternative Item" option. This will allow you to specify alternative items for the selected item.

2. Create an Item Alternative

1. Go to Home > Stock.

2. Under the Item Catalogue Section, click on the Item Alternative shortcut. This will take you to the Item Alternative List View Screen.

3. Click on the Add Item Alternative button to create a new Item Alternative.

4. Fill in the required information, including the original item and its alternative.

5. Click Save to create the Item Alternative.

Using Item Alternatives in Manufacturing

Item Alternatives can be used in both the BOM and Work Order processes. Here’s how you can configure and use them:

1. Allowing Item Alternatives in the BOM

1. Navigate to the BOM for the product you are manufacturing.

2. Enable the "Allow Alternative Item" option in the BOM.

3. When creating a Stock Entry, you can select the alternative item if the original item is unavailable.

2. Allowing Item Alternatives in Work Orders

1. Navigate to the Work Order for the production process.

2. Enable the "Allow Alternative Item" option in the Work Order.

3. Click on the Alternate Item button to select the alternative item for the Work Order.

3. Using Item Alternatives in Subcontracting

In subcontracting, raw materials are transferred to a subcontracted supplier to produce finished goods. If the required raw material is unavailable, you can transfer its alternative item instead. Here’s how:

1. Create a Stock Entry:

• Navigate to the Stock Entry screen.

• Transfer the alternative item to the subcontracted supplier.

2. Create a Purchase Receipt:

• When creating a Purchase Receipt from the Work Order, the system will show the alternative item that was transferred.

Important Points to Remember

• Two-Way Replacement: You can enable two-way replacement between an item and its alternative if both can be used as alternatives to each other.

• Disabling Item Alternatives: If the "Allow Alternative Item" option is disabled in the Item Master, you cannot set an alternative item for that item.

• Stock Levels: Ensure that the alternative item has sufficient stock levels before using it in production or subcontracting.

Conclusion

Item Alternatives in iVendNext provide a flexible and efficient way to manage production processes when specific items are unavailable. By enabling and using Item Alternatives in your BOMs, Work Orders, and subcontracting processes, you can ensure continuity in production, reduce downtime, and maintain cost efficiency.