This article is relevant if you need to assess the potential buildable quantities of kits or assemblies when some components are already tied up in pre-built assemblies.

Background

A client we have served for years uses NetSuite assemblies to group finished goods into kits, but no actual formal manufacturing is involved. Instead, they preassemble components to simplify handling the bundle as a shippable kit.  In NetSuite parlance, this type of manufacturing is often called light assembly.

Since the items in the shippable kit are essentially packaged components, these components can also be useful for other finished assemblies or kits as they are effectively standalone components with packaging wrapper.  Think of these components in a bag or a container box.

The client needed a tool to evaluate how they could fulfill the demand for finished shippable kits by reviewing both available component stock and components embedded in (packaged into) other existing (like-kind) assemblies.

With this envisioned tool, the client aimed to meet immediate demand by repurposing components from prebuilt assemblies and then, where desired, purchasing additional stock as needed.

Leveraging Prolecto’s Potential Buildable NetSuite Assemblies

We developed the solution by building on previous work for another client who needed insight into which assemblies could be constructed by reviewing all available components within a multi-level bill of materials. This tool, called the “Assembly Inspector,” allowed us to solve that challenge.

I detailed this solution in my 2023 article, “Determine Potential Buildable NetSuite Assemblies”. The key feature of the tool was its ability to analyze the entire assembly structure and identify the components preventing full builds from being completed.  I suggest reading the article as the background will inform this discussion.

We designed the Assembly Inspector to be extensible, allowing it to serve as a foundation for future projects. This approach allowed us to create a tailored solution for the current challenge more easily.

Solution to Inspect Available Components and Embedded Components in Built NetSuite Assemblies

Building on the concepts introduced by the Assembly Inspector, we outlined an enhanced tool to meet the specific requirements of this challenge. Key capabilities were identified as follows:

1. Model Like-Kind Assemblies: Using a custom item field, we grouped similar assemblies that shared nearly identical components. This approach narrowed the scope of potential assemblies from which components could be extracted, making the process more targeted and efficient.
2. Quantity Demand Factor: By selecting the appropriate assembly grouping, we could outline the related assemblies and then calculate demand based on existing sales orders. Additionally, we allowed the analyst to modify these quantity-demanded values to perform “what-if” scenarios, providing flexibility in planning.
3. Proportional Potential Build Inspection: We introduced a method to assess buildable quantities as a proportion of the desired quantity. By working with decimal representations, we can more quickly identify which quantities could be fully built as the analyst adjusts the demand factor.  This gave a clear view of potential outcomes as scenarios were iteratively tested.  Click the image to gain a better understanding.
4. Purchase Order Generator: Since the tool provides insights by extracting components from existing assemblies and by effectively allowing us to assess how we will consume existing stock and embedded assembly components, we included the ability to generate a purchase order to replenish stock that we are going to consume. This feature consolidates the list of components and their demand, presenting an editable list that can trigger a purchase order from a chosen vendor.  Long-time readers will recognize that our team is very strong at programmatically generating purchase orders.

This tool proves invaluable for making strategic decisions where components are reallocated from existing assemblies to fulfill new production needs.

Click the images for a detailed view of the tool’s functionality.

Other Envisioned Capabilities

With the enhanced Assembly Inspector in place, additional features can easily be envisioned:

1. Respect Existing Commitments on Assembled Inventory: By understanding current allocations and existing order demands, the tool could ensure that reserved assemblies are not disassembled. This would safeguard inventory that has already been committed to fulfill orders.
2. Consider Existing Purchase Orders: By incorporating the current supply plan and expected delivery dates, the tool could inform the analyst whether it’s better to wait for incoming stock or proceed with disassembling existing assemblies. Delivery timelines could even be offered to suggest the earliest possible production dates for desired assemblies.

These refinements would further streamline decision-making for production managers and inventory analysts, making complex scenarios even easier to navigate and act upon.

Get the Enhanced NetSuite Assembly Inspector

I’d like to acknowledge Elie C., Senior Technical Analyst, for his leadership in advancing the tool. His excellent work laid the foundation in the original article. We’ve included the Assembly Inspector as part of our Business Process Automation (BPA) Reports Suite, which bundles multiple accelerator templates that solve recurring challenges we see in our clients’ environments.

As with all the tools we provide, the Assembly Inspector is offered free of license charges as part of our service engagements. Our business model integrates these accelerators into our clients’ business processes, and as demonstrated in this article, we refine them to address specific emerging needs. By packaging our intellectual property in this way, we lower software distribution costs and focus on what truly matters to our clients: delivering elegant solutions.

If you found this article meaningful, sign up to receive notifications for future posts. If you’re facing similar challenges with NetSuite assembly items or kits or are interested in the Assembly Inspector, let’s have a conversation.

Marty Zigman

Holding all three official certifications, Marty is regarded as the top NetSuite expert and leads a team of senior professionals at Prolecto Resources, Inc. He is a former Deloitte & Touche CPA and has held CTO roles. For over 30 years, Marty has produced leadership in ERP, CRM and eCommerce business systems. Contact Marty to set up a conversation.

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