What goes into each product
Manufacturing starts with the recipe. In Predictiv you define a bill of materials for each product: the raw materials, packaging and part-finished goods used to make it, and in what quantities. Bills can have more than one level, so a part-finished product can itself be made from others.
Predictiv uses the same bill for production, costing and purchasing, so the business has one answer to what a product is made of.
Planning production
Production is planned against the orders and stock you hold. Planners see which products are needed, in what quantities, and which materials each run will use. Planners see materials that are short before the run starts, and buyers in procurement buy against the need.
Recording production as it happens
Each production run is recorded as it happens. Predictiv issues raw materials from stock for the run and receives the finished goods into it. Anything consumed beyond the plan, or produced short of it, is recorded against the run.
Because Predictiv moves production stock on the same record as sales and purchases, the stock you see in inventory is the stock you actually hold, and it is available to sell as soon as it is received.
Tracing batches
Lots and batches are recorded on materials as they are received and on finished goods as they are made. You can follow a batch from the materials that went into it to the customer who received it, and back again. When a supplier reports a problem with a material, you can see which runs used it and where the finished goods went.
Knowing the cost
Predictiv calculates the cost of each run from the run itself: the materials consumed at their current average cost, plus the production costs you assign. Predictiv adds that cost to the finished product and posts it to the ledger, so the margin on every sale reflects what the product cost to make.
Mistakes in costing happen. A receipt costed wrongly or a run posted out of order can distort average cost for months. Predictiv rebuilds average cost forward from a date finance has signed off, in the order goods actually moved. The run is posted, recorded row by row and revertible. The finance page explains how.
Keeping the lines running
Production lines, plant and utilities are recorded in the asset register used by planned maintenance. They are serviced by calendar or by meter, technicians take the parts from the same stores as production materials, and maintenance cost is posted to each asset as the work is done. You see what each line costs to run as well as what it produces.
What makes it different
Many manufacturers run production in one system, costing in a spreadsheet and the ledger in a third place, and reconcile them each month. In Predictiv, the bill of materials, the production run, the stock movement and the cost are all recorded on one record. Production figures and financial figures agree because they are the same figures, and analytics reports them on live data.