When is inventory considered "WIP"?

Is that the same terminology as when material is issued to a job?

Not sure if I fully understand the question… but I think the answer is “yes”?

Inventory is inventory (on your shelf).

Once you issue it to a job, the cost(s) hit the job and would be considered WIP costs.

Haha no worries, I think the answer is yes as well.

The reason I asked was because we needed to move “wip” inventory to different bins in mass via dmt. I figured returning the materials to stock first then re-issuing back to the jobs with the different bin locations would be the safest route.

Yeah, I’m still not 100% sure I’m following the phrase “WIP Inventory”.

The unfinished manufactured parts would be “in WIP”… the material parts are just issued to the job and their costs move to WIP… but I don’t think of material parts being issued as “in inventory” of any kind.

Are you looking to just return and re-issue material parts from different original bin locations?

Or are you looking to change your resource in/out bin locations?

Just piling on, What status is Parts Made Direct to Sales Order ? Not in Inventory… Does that get piled into WIP ?

Yes that is correct and the dmt seemed to do what we needed. With AMM there is an app called move wip, but that seems to only work at the assembly level.

I always think of WIP as any subcomponent that is used to make another component. That new component can be either sold and/or used as a subcomponent for the next step.

You guys are making me question myself :rofl:, but, again, I (personally) think of parts “being in WIP” meaning the final part(s) (or assemblies) being produced.

Material Parts (raw materials) don’t exist “in WIP”. They are in inventory until they are issued to a job. Then they disappear! They no longer exist “in inventory”. Their COST(s) move to WIP as material cost of the Assembly part being produced.

Again, it could just be the way my brain works and I think about things. But once a raw material is issued from inventory to a job, it doesn’t exist anymore. (unless you return material and it is brought back to life).

We were seeing material parts in WIP… I think. I’ll have to double check with my supply guy. :laughing:

When the part is issued to the Job, on the GL the cost is moved to your WIP account (assuming standard mapping on GL controls)

Moving WIP with AMM would be the top level part that your job is making. A good use case would be you just cut a part with your laser jet and now it needs to go to the press brake, you could use AMM to move the wip between wip bins for visibility of what parts are ready for press brake. This is also what the In and out bins on the resource/group can be used for.

WIP is any part/material that is “on a job”. So, that means anything that was issued from inventory, anything bought directly to the job, and any subassemblies.

“Make Direct” in Epicor means that a job is created specifically to fulfill a Sales Order Release. Once the job is completed, the items from the job are shipped directly from WIP and never hit on-hand inventory (that is, there is no GL transaction making them an asset). The GL transaction goes directly from WIP to the appropriate sales bucket.

And very important to note that the part cost will not be updated if you are Last or Average.

Thank you Mr Lowell :clap: Worded perfectly. Can i use these words to send to my supervisor(s) ? Every time I tell them this I get a blank stare :face_with_bags_under_eyes:. I wont mention you by name…

Dean

Feel free to use these words! Attribution not required.

Ernie,

Our accounting department makes adjustments to WIP at end of month because sometimes the job is finished and the product sits on the floor for 1-2 weeks and it’s not technically WIP cause it’s complete… I find it an extra step, manual adjustments, not sure how they undo-this… whether that’s adding it back in the next month or what.

Is the only way to get job costs to move to inventory for it to be received to stock? And you can’t receive a POTF (part on the fly) to stock right? So it’d have to be a real part number?

Any ideas here?

Thanks in advance for any brain power used reading and/or responding to this :folded_hands:

The physical act and the system transaction have to occur at the same time.

This is the problem you need to solve.

Oh I get it Garret, I had to ask though…

i know you know. Sometimes it bears repeating.

People doing voodoo black magic system stuff here is rubbing me a bit raw at the moment.

hahaha totally get it Garret, I don’t love it either, but to me it’s like man if I can stop the voodoo magic just a little, it’s better than what’s going on right now which is journal entries that don’t tie to material transactions.