“Manufacturing” is a broader concept that refers to the process of creating / producing goods through the transformation of raw materials or components into finished products.
Bill of Materials (BOM): Tally Prime allows you to create and manage Bill of Materials, which is a detailed list of all the components, raw materials, and sub-assemblies required to manufacture a finished product.
Cost Tracking: Manufacturing involves various costs such as raw materials, labor, overheads, and more. Tally Prime’s manufacturing features help in tracking and calculating these costs accurately, providing insights into the overall cost of production.
Manufacturing means converting raw materials into a finished product. Â In TallyPrime, you can record the process of manufacturing using features like:Â
- Bill of Materials (BOM)
- Manufacturing Journal
- Stock Items & Units
- Cost TrackingÂ
Why Use Manufacturing in TallyPrime?Â
Using the manufacturing feature in TallyPrime helps you:Â
Purpose | Benefit |
Track material usage | Know how many raw materials were used |
Record finished goods | Maintain correct stock of manufactured items |
Calculate actual cost of production | Include all direct costs in finished product |
Save time | Automated material consumption entries |
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To make it efficient, TallyPrime uses a Bill of Materials (BOM), which is a predefined list of raw materials required to manufacture a finished product.
Step 1 Purchase Following Raw Material
GOT >> Vouchers >> Purchase
Step 2 Create A New Voucher
Gate Way Of Tally >> Create >>Voucher Type
- Select type of voucher
- Use as Manufacturing voucher journal
Step 3 Create Finishing Stock Item “Computer Assemble”
Set Up Components or Raw Materials Ratio Quantity
Step 4 Pass Manufacturing Voucher by Pressing ALT F7
Manufacturing Voucher will be like this
Example 1: Computer AssemblingÂ
Party: TechSource TradersÂ
Raw Material Purchase:Â
Item | Qty | Rate | Amount |
CPU | 10 | ₹20,000 | ₹2,00,000 |
Monitor | 10 | ₹10,000 | ₹1,00,000 |
Keyboard | 10 | ₹1,000 | ₹10,000 |
Mouse | 10 | ₹500 | ₹5,000 |
Total Purchase = ₹3,15,000Â
Production:Â
You assemble 5 Computer Sets using 5 of each component.Â
Used Material | Qty Used |
CPUÂ | 5Â |
Monitor | 5 |
Keyboard | 5 |
Mouse | 5 |
Finished Product:
5 Computer Sets @ ₹63,000 each = ₹3,15,000Â
Â
Balance Stock:Â
Item | Opening | Used | Balance |
CPUÂ | 10Â | 5Â | 5Â |
Monitor | 10 | 5 | 5 |
Keyboard | 10 | 5 | 5 |
Mouse | 10 | 5 | 5 |
Computer Set | 0 | — | 5 |
Â
Example 2: Car ManufacturingÂ
Party: AutoZone Parts Ltd.Â
Raw Material Purchase:Â
Item | Qty | Rate | Amount |
Car Engine | 5 | ₹1,50,000 | ₹7,50,000 |
Car Body | 5 | ₹2,00,000 | ₹10,00,000 |
Tyre Set | 5 | ₹25,000 | ₹1,25,000 |
Paint Material | 5 | ₹5,000 | ₹25,000 |
Total Purchase = ₹19,00,000Â
Â
Production:Â
Assemble 5 CarsÂ
Used Material | Qty Used |
Car Engine | 5 |
Car Body | 5 |
Tyre Set | 5 |
Paint Material | 5 |
Finished Product:
5 Cars @ ₹3,80,000 each = ₹19,00,000Â
Â
Balance Stock:Â
Item | Opening | Used | Balance |
All Items | 5 | 5 | 0 |
Car | 0 | — | 5 |
Â
Example 3: Cake Manufacturing in a BakeryÂ
Party: Fresh Bake SuppliersÂ
Raw Material Purchase:Â
Item | Qty | Rate | Amount |
Flour | 50 kg | ₹40 | ₹2,000 |
Sugar | 20 kg | ₹45 | ₹900 |
Butter | 10 kg | ₹200 | ₹2,000 |
Eggs | 100 | ₹10 | ₹1,000 |
Boxes | 20 | ₹20 | ₹400 |
Total Purchase = ₹6,300Â
Â
Production:Â
Bake 20 CakesÂ
Used Material | Qty Used |
Flour | 20 kg |
Sugar | 10 kg |
Butter | 5 kg |
Eggs | 40 |
Boxes | 20 |
Finished Product:
20 Cakes @ ₹315 each = ₹6,300Â
Â
Balance Stock:Â
Item | Opening | Used | Balance |
Flour | 50 kg | 20 | 30 kg |
Sugar | 20 kg | 10 | 10 kg |
Butter | 10 kg | 5 | 5 kg |
Eggs | 100 | 40 | 60 |
Boxes | 20 | 20 | 0 |
Cakes | 0 | — | 20 |
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