[GNC] GNC] Question about Assemblies

[Michael or Penny Novack]

On 3/22/2022 9:46 AM, davidvernonlong at gmail.com wrote:
> Hi Derek,
> I meant that a half decent accounting system which has an inventory system would have those features, and am sorry if my statement was misunderstood. I use GnuCash to maintain a set of accounts for a boat club with nearly 100 members and it is excellent for that, and I use the business aspects as I have members as customers for service/fees etc.
> On your points, of course GnuCash can track costs of inventory in its G/L, but when it comes to recording inventory levels to manage a manufacturing business, quantities are really needed ,either in the system , or in an external system.  Then you would need to link the 2 systems, either automatically or manually. If manually then ,to move raw materials after manufacture to finished product, calculations would have to be done outside GnuCash to multiply  quantity and unit cost of each item consumed to provide total cost , and then manual postings to GnuCah General Ledger for total cost (Cr raw materials/ Dr finished goods) and the same for sales to move from finished inventory to cost of sales (Cr finished goods/Dr Cost of goods sold).
> To make it more complicated this has to be done on as FIFO or average cost basis, depending on the jurisdiction, as particular items will be purchased many times for inventory and taken out of inventory for consumption, at different times and different quantities. An accounting system with inventory management does this for you. To do this semi manually in Excel and then use the result to make a journal to GnuCash could  be a lot of work depending on the number of transactions.

A business operation needs all sorts of record keeping. The accounting 
package is just part of that. Gnucash is an accounting package. If 
inventory is involved, then also an inventory package, if employees, a 
payroll/human resources package, etc.

Yes, these systems interact, and if only manually a lot of work. If they 
can send and accept "feeds" between the parts, a LOT less as that part 
of it can be automated << and that's where my professional days were 
spent -- in my case, at a "financial">>

You are missing that a proper inventory system needs/should have MUCH 
more than the part that would interact with general ledger. Where 
shelved, what';s the reorder level, who is the supplier, who are 
alternate suppliers, etc. Similarly the payroll system/HR needs more 
than what interacts with general ledger. Who is the emergency contact, 
who is the bene on the employee insurance policy, etc. .

 From MY point of view, all that gnucash is missing in this regard is 
the ability to accept "feeds" << normally "general ledger" accepts feeds 
but does not send feds to other parts of the business system -- most of 
them send feeds to general ledger and send to and accept form each other 
 >> If gnucash can do THAT, then it is up to other teams to create 
inventory systems, POS systems, payroll systems, etc. that will pay well 
with gnucash handling general ledger.

Michael D Novack