Feature Introduction
You manufacture goods for sale — baking cakes, sewing clothes, formulating cosmetics, assembling components — but at the end of each month, you still can't answer the simplest question: how much does one of my products cost to make? Raw materials are recorded in one place, labor is estimated mentally, and machinery costs are "approximated". And right now, in the middle of a production shift, you don't know where the line is, which station is bottlenecked, or which batch is about to finish.
From today, you don't have to guess anymore.
GTG CRM has a Manufacturing Management module integrated directly with your existing Inventory, Purchasing, and Accounting. You define product recipes (Bill of Materials - BOM), production orders automatically calculate the exact raw materials needed, deduct from inventory upon commencement, and automatically calculate the cost of goods manufactured (COGM) = raw materials + labor + overhead upon completion. Finished goods are entered into inventory at this exact cost, and the cost of goods sold journal entry is posted directly to the accounting ledger — no more finished goods with a "zero cost".
The latest update brings manufacturing directly to the shop floor: capacity-based scheduling with Gantt charts, and a real-time shop floor screen (MES) — touch screen terminals for operators at each station, along with a dashboard (andon) mounted on the wall to view the entire line at a glance.
Problems Businesses Face
| Old Method | Consequences |
|---|---|
| Recording raw materials in notebooks, mentally estimating labor costs | Unknown true cost, incorrect pricing, apparent profit but actual loss |
| Uncertainty about sufficient raw materials for upcoming orders | Running out of stock during production, or holding dead inventory of raw materials |
| Finished goods entered into inventory with "zero cost" because the software cannot calculate it | Incorrect profit and loss reports, inaccurate Cost of Goods Sold (COGS) |
| Not knowing the progress of the line or which station is bottlenecked mid-shift | Discovering delays only when orders are due, idle workers, managers having to go down to the shop floor to ask |
| Recording produced quantities, scrap quantities, and running times on paper and re-entering them at the end of the day | Delayed and inaccurate data, incorrect cost, inability to assign responsibility |
| Inventory, purchasing, accounting, and manufacturing residing in separate software | Multiple data entries, inconsistent data |
GTG CRM consolidates everything into one process: define recipe → schedule → issue orders to stations → operators start/complete directly on the shop floor → deduct raw materials → calculate cost of goods manufactured → inventory finished goods → post accounting entries — seamlessly within the same system you use for sales and invoicing.
Highlights
1. Multi-level Bill of Materials (BOM) — The Product's "Recipe"
- Define Once, Use Forever: list each raw material (quantity, unit, scrap percentage) and process steps (which work center, setup time + run time).
- Multi-level: a component in a recipe can itself be a semi-finished product with its own recipe — the system unfolds all levels.
- Activate When Ready: maintain multiple recipe versions, only use activated ones.
2. Production Orders Automatically Calculate Materials and Cost of Goods Manufactured
- Automatic Recipe Expansion: select product, recipe, and quantity — the system calculates the exact raw materials and process steps needed (including scrap).
- Deduct from Inventory Upon Commencement: raw materials are deducted from inventory when you click Start; shortages are immediately flagged.
- Automatic Cost of Goods Manufactured Calculation Upon Completion: enter the quantity produced and actual time taken — the system calculates unit cost of goods manufactured = (raw materials + labor + overhead) ÷ quantity produced, and finished goods are inventoried at this precise cost.
3. Cost of Goods Manufactured Posted Directly to Accounting (COGM) — Calculated Based on Actual Production
- No More Zero-Cost Finished Goods: self-manufactured goods always have a cost basis, ensuring accurate Cost of Goods Sold (COGS) and profit/loss reports.
- Accurate Roll-up from the Shop Floor: the quantity produced, scrap, and running time recorded by operators at each process step are rolled up accurately to the batch's cost of goods manufactured — no more end-of-day re-entry from paper leading to discrepancies.
- Automatic Journal Entries: the cost of manufactured goods (COGM) is automatically posted to the general ledger, matching your chart of accounts.
- Accounting and Manufacturing Integrated: no manual reconciliation between two systems.
4. Material Requirements Planning (MRP) — Including by Customer Order
- Set Inventory Levels (minimum/reorder point/target) for each product, then run Planning (MRP): the system compares demand with inventory and suggests purchase orders (to buy) and production orders (to make).
- Based on Open Sales Orders: enable "include demand from sales orders" for planning based on customer orders — the system deducts booked quantities from inventory and in-progress production, suggesting production for the remaining shortfall.
- Understand the Rationale Behind Suggestions: each suggestion clearly states the source (inventory levels, sales orders, or both).
5. Production Against Orders — Directly Linked from Sales Orders
- From Sales Order: open the order, view the Production Plan tab — it shows how much has been ordered, how much is in inventory, how much is in production, and how much is still needed. Click "Create Production Order" for the shortfall; the order is directly linked to that sales order.
- Track Progress: the plan line on the sales order shows "In Production" and then "Ready" when completed; a reminder is issued for delivery if not yet produced (does not block you from shipping).
6. Quality Control and Cost Variance
- Quality Inspection: record inspections during raw material receipt, production, or on finished goods (pass/fail, disposition: accept / rework / scrap / quarantine). Open Non-Conformance Reports (NCRs) with corrective actions and close them upon completion.
- Variance from Standard: if a standard cost is set for a product, each completed order clearly shows the variance (actual vs. standard for raw materials, labor, overhead) — immediately know why a batch exceeded or fell under budget.
💡 AI Assistant Support: explains cost variances, outlines corrective actions (CAPA), and interprets MRP results in easy-to-understand language.
7. Capacity-Based Scheduling — Gantt Chart for Coordination
Not just knowing what needs to be done, but also when: define work centers/production areas with their working calendars, and the system schedules operations based on finite capacity, drawing a Gantt chart — each operation is a bar on the timeline of the specific work center responsible.
- View by Timeframe: click Today / 3 Days / Week (or select a date range) to focus on the desired period.
- Visual Coordination: anticipate bottlenecks, identify overloaded work centers, and see the estimated completion date for each order.
- Includes Changeover Time: when a work center switches from one product to another, requiring cleaning/setup time — this time is factored into the schedule to make estimated delivery dates more realistic.
- Benefits: promise realistic delivery dates, avoid overloading work centers, reduce downtime due to changeovers.
8. Real-Time Shop Floor Screen (MES) — Operator Terminals and Andon Board
This is the step to bring manufacturing directly to the shop floor. Enable "Real-Time Shop Floor Screen" in Manufacturing Settings with a single toggle, then open the Shop Floor Screen application on tablets placed at each station (and a large screen mounted on the wall for the entire line).
Operator Terminals — touch screens that start with a tap, no need to navigate the entire CRM software:
- See Only Your Station's Work: a queue of operations for that specific station, with ready jobs appearing at the top.
- Check Materials Before Starting: open a job and immediately see if there are enough materials to proceed (required / available / shortage) — no starting and then discovering shortages.
- Start → Complete On-Site: tap Start, and upon completion, tap Complete and enter the quantity produced, scrap quantity, and downtime — data is entered into the system instantly, rolling directly into the cost of goods manufactured.
- Machine Status at Your Fingertips: change machine status between running / idle / changeover / stopped directly on the screen.
- One-Tap Incident Reporting (Andon): machine breakdown or material shortage — tap a button to alert management immediately, no need to search for personnel.
- Quality Inspection & Lot Label Printing at the Station: when required by the operation, perform quality checks and print lot labels on-site.
Shop Floor Dashboard (Andon) — a large screen for the entire line:
- The Entire Line at a Glance: all stations with their live status (running / idle / changeover / stopped), ongoing jobs, and progress.
- See Issues Immediately: stations that are stopped or experiencing material shortages are highlighted for timely resolution.
- Overall Line Productivity & OEE: quantity produced, scrap, and Overall Equipment Effectiveness (OEE) for the entire line, updated continuously.
- Automated Machines and Manual Labor Share a Single Board: whether operations are reported by machines or entered manually by operators, everything appears consistently on the same board — suitable for both lines with connected machines and lines where "machines are the people at the workstation."
ℹ️ Clear Role-Based Permissions: operators can only run operations at their station; scheduling and order issuance are for production managers — everyone performs their assigned tasks, ensuring safety and accountability.
9. Co/By-Products, Fractional Units & Lot Traceability
- Co/By-Products: a batch can yield multiple finished products or by-products — define them directly in the recipe.
- Fractional Units: entering fractional quantities (e.g., 1.25 kg) no longer corrupts product lists.
- Lot Traceability + Genealogy + Expiry Dates: each batch has its own lot, allowing tracing of raw material lots used (genealogy) and providing advance warnings before finished goods/raw materials expire.
- Benefits: in case of quality issues, trace back to the root cause in minutes; prevent expired stock.
10. Intelligent MRP Advisor, OEE/SPC, and Lot Label Printing
- MRP Advisor: suggests safety stock, lot sizing, material blending, machine changeover optimization, and demand forecasting — presented in easy-to-understand language, using actual product names, not cryptic codes.
- OEE/SPC: monitor equipment effectiveness and quality variations for continuous improvement.
- Lot Label Printing (PDF): print lot labels for finished goods for application and traceability.
- Benefits: make informed purchasing/production/inventory decisions based on clear recommendations, reduce waste and downtime.
Benefits for Your Business
| Feature | Actual Benefit to You |
|---|---|
| Multi-level BOM Definition | Standardized recipes, everyone produces according to the same BOM and cost |
| Production Orders Automatically Calculate Cost of Goods Manufactured | Know the exact cost to make a product — price for sale correctly |
| Cost of Goods Manufactured Posted Directly to Ledger (COGM) | Accurate profit and loss reporting, no more "zero cost" finished goods |
| Produced Quantity/Scrap Recorded at Each Process Step | Cost of goods manufactured accurately rolled up from actuals, no discrepancies from end-of-day entry |
| MRP Based on Customer Orders | No stockouts during production, no holding dead inventory |
| Direct Linking of Production to Sales Orders | Produce what customers need, when they need it, accurate delivery |
| Quality Control + Variance Analysis | Control scrap, immediately identify loss-making batches and their causes |
| Gantt Scheduling by Capacity + Changeover | Promise realistic delivery dates, avoid overloaded work centers, reduce downtime |
| Real-Time Shop Floor Screen (MES) | See line progress in real-time; operators report/complete tasks on-site |
| Entire Line Andon Board | Issues appear immediately, managers resolve promptly, no need to go to the shop floor to ask |
| Lot Traceability + Expiry Dates | Trace issues to the root cause, prevent expired stock |
| MRP Advisor + OEE/SPC | Reduce waste, reduce machine downtime, maintain optimal inventory levels |
Who Is It For?
- Small and Medium-Sized Manufacturing Shops: food, beverages, cosmetics, apparel, furniture, metalworking, printing, home appliances.
- Shops with Multiple Stations/Lines requiring real-time progress monitoring and capacity coordination, who don't want to constantly visit each station.
- Retail Owners Who Also Manufacture (cakes, handmade items, custom manufacturing) and want to know the true cost to set prices.
- Medium-sized businesses looking to move away from Excel/standalone manufacturing software and integrate with their sales, inventory, and accounting systems.
How to Get Started?
Go to Manufacturing in the system, define Units of Measure and Production Centers, build a Bill of Materials (BOM) for a product, and then create your first production order. Want to manage operations directly on the shop floor? Enable "Real-Time Shop Floor Screen" in Manufacturing Settings, then open the Shop Floor Screen app on a tablet at each station and a large screen for the andon board. Have existing raw material/BOM lists in Excel? Drag and drop the file, and let AI match the columns. See the step-by-step guide to Manufacturing Management, or read the case study From Raw Materials to Finished Goods — Know the Exact Cost, Price Without Guessing.
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