Manufacturing Finished Goods w/o By-Products/Co-Products/Scrap in TallyPrime

TallyPrime allows you to efficiently record the production of finished goods in scenarios where there are no by-products, co-products, or scrap generated during the manufacturing process.

Here’s a detailed explanation of the process with an example:

1. Scenario:

You want to record the manufacturing of 100 wooden boxes.

Each box requires 4 nails and 1 wooden plank.

2. Manufacturing Finished Goods without By-Products/Co-Products/Scrap in TallyPrime

1. Gateway of Tally (Alt+F12):

Launch TallyPrime and navigate to the Gateway by pressing Alt+F12 or clicking the menu icon (if applicable).

2. Vouchers (Alt+F9):

Select “Vouchers” from the Gateway menu or press Alt+F9.

3. Manufacturing Journal (Ctrl+F7):

Within the Vouchers menu, choose “Manufacturing Journal” (Note: You might need to enable this voucher type if not already active).

This opens the voucher creation screen for recording manufacturing activities.

4. Stock Item Selection:

In the “Name of Product” field, select the finished good you’re manufacturing (e.g., “Wooden Box”).

5. Bill of Materials (BOM):

Since you’re not dealing with by-products or co-products, you typically won’t have a pre-defined BOM in this case.

The application will likely skip the “Name of BOM” field.

6. Godown Selection:

Choose the godown or storage location where the finished goods will be stored after production (e.g., “Finished Goods”).

7. Quantity:

Enter the quantity of finished goods you’re manufacturing (e.g., 100 wooden boxes).

8. Cost Tracking (Optional):

If you’re using cost tracking features, you can select the appropriate cost tracking number here.

9. Components (Consumption) Section:

This section is crucial for recording the raw materials consumed during production.

1. Name of Item:

Select the first raw material from your stock items list (e.g., “Nails”).

2. Godown:

Choose the godown where the nails are stored.

3. Quantity:

Enter the quantity of nails required per finished good (e.g., 4 nails per box) and multiply it by the total number of boxes being manufactured (100 boxes * 4 nails/box = 400 nails).

5. Repeat:

Perform the same steps for the remaining raw materials (e.g., “Wooden Plank”).

Enter the quantity needed per box (e.g., 1 plank) and multiply by the total number of boxes.


Field NameDetails
Name of ProductWooden Box
Godown (Finished Goods)Finished Goods
Components (Consumption)
– Name of ItemNails
– GodownRaw Materials
– Quantity400 (100 boxes * 4 nails/box)
– Name of ItemWooden Plank
– GodownRaw Materials
– Quantity100 (1 plank/box * 100 boxes)

10. Save and Submit:

Once you’ve entered all the details, save and submit the Manufacturing Journal voucher.

This records the production activity and deducts the consumed raw materials (nails and wooden planks) from the respective godowns in your inventory.

3. Benefits of Using Manufacturing Journal in TallyPrime:

1. Accurate Production Recording:

Tracks the manufacturing process for finished goods.

2. Inventory Management:

Ensures proper stock level updates for both finished goods and consumed raw materials.

3. Costing Analysis (Optional):

Allows for cost analysis based on the cost tracking feature (if used).

4. Additional Considerations:

  • Ensure the selected godowns have sufficient stock of raw materials before recording production.
  • You can utilize reports like Stock Enquiry or Godown Summary reports (accessible through the Reports menu) to analyze inventory levels and identify potential stockouts.
  • While TallyPrime doesn’t directly account for scrap in BOMs, you can manage scrap using Stock Journals (explained in previous sections) if scrap is generated during the production process.

By effectively utilizing the Manufacturing Journal in TallyPrime, you can efficiently record the production of finished goods without by-products or co-products, maintain accurate inventory levels, and gain valuable insights into your production processes.


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