Workshop Inventory

Definition

A work order is authorization to transform inventory into new inventory. It is the control record that governs what is built, how much is built, and which BOM structure is used.

What It Does

• Consumes stock through ledger movements (stock_movements).
• Produces new stock for the finished product.
• Transfers cost basis from consumed components to produced output.
• Freezes BOM structure at planning/selection time for consistency.
• Locks inventory through reservations so demand cannot be double-allocated.
• Preserves financial auditability of each manufacturing run.

Lifecycle

Plan Work Order
  ->
Reserve Components
  ->
Execute Build
  ->
Record Consumption + Production
  ->
Close / Complete

This keeps planning, execution, and accounting connected in one traceable workflow.

Financial and Inventory Behavior

• Component lots are consumed with explicit quantity deltas.
• Finished output is created as stock with derived unit build cost.
• Historical costs remain immutable after execution.
• Availability checks use on_hand - reserved before build execution.
• Every material and cost event is reconstructable from ledger data.

Why It Matters

Without work orders, manufacturing becomes non-repeatable and difficult to audit.

• Build quantity and BOM choice can drift.
• Stock can be consumed without traceability.
• Cost rollup into finished goods can be inconsistent.
• Shortage planning and downstream procurement lose reliability.

Summary

A work order is the authoritative record that turns planned manufacturing demand into auditable inventory and cost transactions.

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