In ERP systems such as NetSuite or Acumatica, work orders for item assembly or product manufacturing products can be created, generated, and managed based on demand.
A work order specifies how many assembly items (build-to-stock inventory items) for a product should be manufactured (or “built”), and which component items will be used (or, “consumed”) to manufacture them. Component items are typically inventory items, but could be other assembly items in a multi-level bill of material (BOM). For instance, a work order could specify building 100 units of assembly item A. Each assembly item A is built using two units of inventory item B and two units of inventory item C. When 100 assemblies of A are built, 200 units of B, and 200 units of C, will be consumed. So, a build transaction (or build) is a single transaction that creates an assembly item, consuming its component items. Typically, a work order specifies a build, although a build but does not necessarily require work order if the WMS knows the BOM. (Conversely, an unbuild transaction disassembles an assembly item back into its component items.)
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