Recipes

The creation of recipes is achieved by using the Recipes und Recipe Line maintenance programs. Recipes are relevant only to stock keeping and administration. During posting of an article which is assigned to a recipe, the stock level of the components of the recipe will be reduced. Components of a recipe are normally not sold individually and have no selling price. However, they have to be created as articles in the system and assigned to a stock location.

For establishing and calculating the costs of a recipe, it is mandatory that all components of the recipe exist in the stock location.

In the following example for the Recipe 550 "Pina Colada", the setting up of a recipe is illustrated:

Eample:

·        Sales article 550 Pina Colada

·        Recipe article 550 Pina Colada (this is not an article)

1. Recipe component 500 pineapple juice
2. Recipe component 501 cream
3. Recipe component 502 coconut milk
4. Recipe component 504 cocktail cherry
5. Recipe component 505 Meyer's Rum

The following also applies:

All articles are purchased from Supplier 1. Stock location for all articles is Stock Location 1. When this article is posted, the stock quantities in Stock Location 1 are reduced.

The creation of the recipe is carried out in the following sequence:

  1. Create the Stock Table and assign Stock Types to the table to define the stock locations.
  2. Define with the Quantity Units maintenance program the respective quantity units. Note that units of the supplier articles, stock articles, and the sales articles have all to be defined.
  3. Create the articles 550, 500, 501, 502, 504, and 505 using the Item maintenance program. Note that only Article 550 is a sales article.
  4. Create Supplier 1 using the Supplier maintenance program and assign articles 500, 501, 502, 504, and 505 to this supplier. Define the cost prices of these articles.
  5. Perform an Order with Goods Received for the articles 500, 501, 502, 504, and 505. The articles have to be in the stock location, so that the recipe costs of the assigned recipe lines can be calculated when the recipes are created.
  6. Run the Recipes maintenance program and create Recipe 550 "Pina Colada" with articles 500, 501, 502, 504, and 505 as components and define their respective quantity units. Make sure that the option "Autom. Production" is activated when the recipe is defined, so that the stock quantities of the respective components of the recipe in the assigned stock location are reduced accordingly at posting time.
  7. Run the Item maintenance program and link Recipe 550 to the Sales Article 550. When Article 550 is posted, the stock quantities defined in the recipe will then be reduced in the assigned stock location.

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Salzufer 8
D-10587 Berlin
Germany