Job Work Out Order for a Stock Item with BOM in TallyPrime

Creating a Job Work Out Order (JWOO) for a stock item with a Bill of Materials (BOM) in TallyPrime helps you manage complex production processes involving multiple raw materials.

Here’s a detailed explanation with an example:

Scenario:

You want to send raw materials to a job worker for processing a finished good based on a predefined BOM.

The BOM specifies the exact components and quantities required.

1. Steps to Create a Job Work Out Order (With BOM) in TallyPrime:

1. Go to Voucher Entry:

Similar to the previous case, access the JWOO voucher through:

• Gateway of Tally > Vouchers > Press F10 (Other Vouchers) and select “Job Work Out Order”.
• Alternatively, press Alt+G (Go To) > Create Voucher > Press F10 (Other Vouchers) and select “Job Work Out Order”.

2. Enter Voucher Details:

• Party’s A/c Name: Select the Job Worker (Supplier) account.
• Order No. (Optional): Enter a unique JWOO number.
• Name of Item: Select the finished product (Stock Item) for which you’re placing the order.

3. Stock Item Allocation Screen:

Press Enter after selecting the finished product. This opens the “Stock Item Allocations” screen.

• Item Allocation For: This will be pre-filled with the selected finished product.
• Order Number: This will be pre-filled with the JWOO number.
• Track Components: By default, this is set to “Yes” as you’re using a BOM.

4. Fill Components Using:

This field displays the default BOM linked to the finished product. You can:

• Accept the default BOM: If the appropriate BOM is linked, press Enter to proceed.
• Change BOM: If you want to use a different BOM, press Alt+F1 and select the desired BOM from the list.

5. Components Allocation Details:

After selecting the BOM, you’ll see a table with details like:

• Item Code: The raw material codes from the BOM.
• Description: The names of the raw materials.
• Stock Item: Confirmation that these are stock items.
• Issue From: Godown (warehouse) from where these materials will be issued.
• Quantity: The pre-defined quantity of each raw material required as per the BOM.
• Rate (Optional): If known, enter the estimated rate per unit of each raw material.
• Amount (Optional): This will be calculated based on quantity and rate (if entered).

6. Example: Sending Materials to a Furniture Maker (Job Worker) to Assemble Chairs

You need to send materials to a furniture maker (Job Worker) to assemble chairs based on a BOM. The BOM specifies 4 legs, 1 seat, and 2 armrests for each chair. You plan to send materials for 20 chairs.

• Party’s A/c Name: [Select Furniture Maker’s Account Name]
• Name of Item: Chairs

In the “Stock Item Allocations” screen:

• Track Components: Yes (as you’re using a BOM)
• Fill Components Using: Select the appropriate BOM for chairs (assuming it’s already linked)

The table will display details like:

• Item Code & Description: Codes and names for Chair Leg, Chair Seat, Chair Armrest
• Quantity: Each set at 80 (4 legs/chair * 20 chairs) , 20 (1 seat/chair * 20 chairs), and 40 (2 armrests/chair * 20 chairs) respectively

7. Save the Voucher:

After reviewing the component details, press Ctrl+A to save the JWOO.

2. Additional Points:

• TallyPrime automatically calculates the estimated overall cost of the job work based on the BOM and entered rates.
• You can create a separate “Material In” voucher later to record the actual raw materials issued to the job worker.
• TallyPrime allows tracking the job work process and generating reports to analyze production efficiency and cost variations.

3. Benefits of Using BOM in JWOO:

• Ensures accurate allocation of raw materials for the job work.
• Provides a clear cost estimation for the finished product.
• Helps maintain better inventory control.

Remember to maintain updated BOMs for your stock items to ensure efficient job work processing in TallyPrime.