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Creating Non-Inventory Items for Sales or Purchase Documents

Summary

 

Non-inventory items in Orchestrated do not track inventory in the system but allow you to apply fees, charges or costs to Item based documents such as Invoices.  Examples of when you'd use a non-inventory item: taxes,  CRV fees, mobile packaging canning fees, miscellaneous brewing supplies not tracked in inventory, office supplies etc.

We recommend creating generic descriptions whenever possible for non-inventory items to limit the number of items to create/maintain in your system.  A great example might be "Misc Brewing Supplies".  We can attach this to a non-inventory item number, EX1000 for example, and then track all brewing supplies together rather than having 10-15 or even 50 items to list separately.  You can use the same item multiple times in the same document with different names. 

The biggest determiner of whether to combine/split non-inventory items will be dependent on the GL account being used for expense/revenue account posting.  If all brewery supplies post to 60060-01, for example, then we should combine them on one item code.  If we need something to post to a different account, it should have a separate item number and corresponding GL account. Additionally, consider what insight you want into the fees. Specific non-inventory items allow you to have insight on the individual fees where General items roll all costs up to one item.

 

Options

First we will need to set up items in your Orchestrated database. In your Item Master Data, these new items will be non-inventory items.

 Specific Non-Inventory Items

    1. Item Master Data > Switch to Add Mode
    2. Make a code and input a name for the specific item
      1. You can group your codes however you'd like. Best practice is to keep your non-inventory items grouped with a similar alphabetic code like EX, X or NI and have the numeric values reflect specific categories of fees, charges or costs
      2. Example codes:
        • NI1000 = Standard Mobile Packaging
        • NI1001 = Mobile Fee per Can Processed
        • NI 2000 = Taxes
    3. Uncheck Inventory Item
      • If you'll be adding this Item to Sales documents, check 'Sales Item'
      • If you'll be adding this Item to Purchasing documents, select 'Purchase Item
    4. Set Item Group to:
      • Non-Inv: Sales for Sales Items
      • Non-Inv: Expense for Purchase items
    5. G/L Determination should be set to Item Level (Inventory Data tab)
      • Item Level determination lets you select the G/L Account for this specific item instead of being based off the Item Group.
    6. On Inventory Data tab, utilize Form Settings to bring in
      • 'Revenue Account' & 'Sales Credit Account' for Sales Items
      • 'Expense Account' & 'Purchase Credit Account ' for Purchase Items
    7. Select the G/L account you want this specific fee to hit.  The credit accounts will be the same as the respective Expense/Revenue account.
    8. You're done!

 

 Generic Non-Inventory Items

    1. Item Master Data > Switch to Add Mode
    2. Make a code and input a generic code into 'Description'
      1. You can group your codes however you'd like. Best practice is to keep your non-inventory items grouped with a similar alphabetic code like EX, X or NI and have the numeric values reflect specific categories of fees, charges or costs
      2. Example codes:
        • EX1000 = Packaging fee
        • EX2000 = CRV fees
        • EX3000 = Taxes
      3. Uncheck Inventory Item
        • If you'll be adding this Item to Sales documents, check 'Sales Item'.
        • If you'll be adding this Item to Purchasing documents, select 'Purchase Item'
      4. Set Item Group to:
        • Non-Inv: Sales for Sales Items
        • Non-Inv: Expense for Purchase items
      5. G/L Determination can be set to Item Level (Inventory Data tab)
        • Item Level determination lets you select the G/L Account for this specific item instead of being based off the Item Group.
      6. On Inventory Data tab, utilize Form Settings to bring in
        • 'Revenue Account' & 'Sales Credit Account' for Sales Items
        • 'Expense Account' & 'Purchase Credit Account ' for Purchase Items
      7. Select the G/L account you want this specific fee to hit.  The credit accounts will be the same as the respective Expense/Revenue account.
      8. Add a “Whse” as a placeholder (A1 should be fine)
      9. You're done!

 

Adding to Documents

Specific Non-Inventory Items

You'd add the Non-Inventory item the same way you'd add any other item. For more information, visit this support link https://support.orchestrated.com/hc/en-us/articles/115015923227-How-Do-I-Create-Non-Inventory-Invoices-

Generic Non-Inventory Items

There is a great feature in Orchestrated which gives you the ability to add this item number to a document and edit the name for just that document.  For more information, visit this support link 

https://support.orchestrated.com/hc/en-us/articles/115015979728-Can-I-Create-a-Generic-Non-Inventory-Item-and-Edit-the-Description-Per-Document-

 

* For more information on adding Non-Inventory Items to BoM's, such as Labor or Overhead costs visit this support article: https://support.orchestrated.com/hc/en-us/articles/216034707-Adding-Non-Inventory-Cost-Into-Production

 

Version 4.7.1.0

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