Inventory management for manufacturing with Exact Online
Manufacturing companies deal with a fundamentally different form of inventory management than trading or distribution businesses. Raw materials must be purchased and received, materials are issued to work orders, semi-finished goods go through processing steps and finished products need to be booked into stock. Exact Online Manufacturing provides a powerful module for this, but on the production floor, barcode scanning is indispensable to make this process error-free and efficient.
The challenges of manufacturing inventory management
Complex bills of materials (BOM): A finished product can consist of dozens of raw materials and semi-finished goods. Each component must be available in the correct quantity before production can start. An error in material issue means downtime on the production line or a finished product that does not meet specifications.
Material issues and backflushing: For each work order, materials must be issued from the warehouse. In Exact Online, this can be done manually or via backflushing. Manual issue without scanning leads to errors; backflushing without verification can cause discrepancies that only become visible later in the stock levels.
Tracking production progress: It is essential to know what stage a work order is in. Which routing steps have been completed? How many hours have been spent? Which employee performed which step? Without real-time registration, this insight is missing.
Keeping raw material stock at the right level: Manufacturing companies must prevent production downtime due to raw material shortages. At the same time, you do not want to hold too much stock. Real-time insight into current stock levels in Exact Online is crucial for this.
Processing work orders with the Barcode Scan App
The Barcode Scan App integrates seamlessly with the Exact Online Manufacturing module. Here is how it works in practice:
Opening a work order: The production employee scans the barcode of the work order or searches for it in the app. The app immediately shows the bill of materials with all required materials and quantities from Exact Online.
Material issue: For each material on the BOM, the employee scans the barcode of the item. The app verifies that the correct material is being taken and registers the issue directly in Exact Online. If an item has a batch number, it is automatically captured via the GS1 barcode. Stock in Exact Online is updated in real time.
Alternative materials: Sometimes a raw material is not available and an alternative is used. The app signals when a scanned item is not on the BOM and offers the option to add it as an alternative material.
Smart Shop Floor: registering routing steps
With Smart Shop Floor, production employees register each routing step of the production process. Here is how it works:
The employee scans their personal badge to log in. Then they scan the work order barcode. The app shows the routing steps from Exact Online. When starting an operation, the employee scans the step and time registration begins automatically. After completion, the step is closed and the time spent is recorded in Exact Online.
This gives management real-time insight into production progress, utilisation per workstation and the actual costs per work order in Exact Online.
Completion reporting and storage of finished products
When all routing steps are completed, the finished product is reported complete. The employee scans the finished product, enters the quantity and the app books the stock into Exact Online. The putaway process can then be started: the app shows the preferred location and the employee scans the storage location to confirm storage.
Benefits for manufacturing companies with Exact Online
- Accurate material issues: Barcode scanning prevents incorrect materials from being issued to work orders in Exact Online.
- Real-time stock levels: Every issue and receipt is processed immediately, so you always know what is in stock in Exact Online.
- Production progress visible: With Smart Shop Floor, you can see at a glance which work orders are in which phase.
- Batch traceability: From raw material to finished product — every batch is registered in Exact Online for complete traceability.
- Less downtime: Real-time insight into raw material stock prevents production downtime due to material shortages.
Conclusion
Manufacturing inventory management goes beyond just counting and storing. It encompasses material issues, work order processing, production progress and completion reporting — processes that are closely intertwined with the Exact Online Manufacturing module. The Barcode Scan App brings these processes to the production floor with fast, error-free barcode scanning.
Want to take your production processes in Exact Online to the next level? Try the Barcode Scan App free for one month.