Production Document: Assembly vs. Disassembly

This article describes the business logic of the Production document for Assembly and Disassembly operations when the Separate Inventory and Financial Documents option is enabled for the relevant warehouses.

1. Assembly

When Separate Inventory and Financial Documents is enabled, an additional Goods Receipt Note (GRN) must be created to register the produced goods in the warehouse.

The process can be represented as follows:

Components → Production (Assembly) → Goods Receipt Note → Finished Goods

After posting the Goods Receipt Note, the produced goods are correctly reflected in warehouse stock.

2. Disassembly

The Disassembly process is different from Assembly.

When Separate Inventory and Financial Documents is enabled, the Disassembly operation involves two separate warehouse processes:

1. Issue of the finished good that is being disassembled.

2. Receipt of the goods and scrap obtained as a result of the disassembly.

Therefore, two separate warehouse documents are required:

• Goods Dispatch Note (GDN) — to register the issue of the finished good for disassembly.

• Goods Receipt Note (GRN) — to register the receipt of the components and scrap resulting from the disassembly.

The process can be represented as follows:

Finished Good → Goods Dispatch Note → Production (Disassembly) → Goods Receipt Note → Components + Scrap

Goods Dispatch Note

The Goods Dispatch Note is used to register the issue of the finished good from the warehouse for disassembly.

The GDN is required when the Separate Inventory and Financial Documents option is enabled for the issuing warehouse specified as Write Off Warehouse on the Finished Goods tab.

In other words, the GDN represents the outgoing side of the Disassembly process: the finished good leaves the warehouse and is provided for disassembly.

Goods Receipt Note

The Goods Receipt Note is used to register the goods and scrap obtained as a result of the disassembly.

The GRN is required when the Separate Inventory and Financial Documents option is enabled for the receiving warehouse specified as the Recipient warehouse.

The GRN represents the incoming side of the Disassembly process: the components and scrap resulting from the operation are received into the warehouse.

3. Why are both GDN and GRN required?

The need for both documents is related to the fact that Disassembly consists of two different inventory movements.

Unlike Assembly, where the main warehouse action is receiving the finished product, Disassembly involves both:

• issuing the original finished good from the warehouse; and

• receiving the resulting components and scrap into the warehouse.

When Separate Inventory and Financial Documents is enabled, these warehouse movements are handled through separate inventory documents rather than being fully completed by the Production document itself.

Therefore:

This separation explains why both documents are required to complete the warehouse-side process.

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