Products with UoM Conversion

If you buy/sell products that does not use the standard Unit of Measure (UoM) and you need to define how your products are bundled together, this feature is perfect for you. In our system, there are two ways in which you can set your parameters.


Standard UoM Conversion

This means that this conversion factor is applicable for all products with the same UoM.

Let’s say you sell drinks and each carton has 24 units. Then the conversion UoM which you use should have a ratio of 24

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Individual UoM Conversion

This is useful if you have products with individualise UoM. Examples include fish (fillet), cables (rolls) or even steel bars (bundles). What ever they may be, this feature allows you to convert the UoM easily.

Example 1 – Fish Fillet

For example, if you sell fish

  • Sale order uom can be fillet
  • Sale invoice uom can be kg

And the conversion factor is used to convert fillet => kg 

If all fillets have different conversion, you can already use the Standard UoM Conversion. However, in this case, the factor is probably different for all types of fish.

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Example 2 – Steel Bar

Let’s say you need steel bars that has

  • Different thickness
  • They are sold only in bundles
  • Each bundle is 12 meters long
  • All bundles are sold at $5,000 (that means all bundles weight the same)

With that, this how you can fill in your product information.

Go to: Main Menu > Product > Dashboard > + New Product

Fill in the basic information.

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Go to Purchasing tab

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In this case, we knew that each Y20 steel bar bundle had 32 pcs of bars (32 x 12m = 408m). (32 pcs per bundle is a pre-defined number by the customer – it probably represents a physical layout of 4 pc x 8 pc)

This also meant that you have the cost (RM12.255 per meter).

Once that is done, each time you do an automated Purchase Order (from your Inventory Dashboard), you get the system to automatically fill in the form for you.

However, when you receive your goods, the UoM is converted back into Meter – which is what your staff would need to do a stock count.

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8 thoughts on “Products with UoM Conversion”

  1. Question #1: How should I set the default UoM of each of my product?

    a) Based on how I purchase
    b) Based on how I sell
    c) Based on how I stock and count

    • Correct Answer: c) Based on how I stock and count

      Explanation: It is always the best to set the UoM unit as how we would normally count the stock. At the same time we can set up a separate Purchase UoM and Sales UoM for each product. Once done, conversion and calculation will be done automatically each time there is a need and the system will automatically update our stock count for us.

    • Correct Answer: a) True

      Explanation: If the UoM in purchase order is no different from default UoM, then we can leave it blank. Same applies for Sales Order UoM

  2. Question #3: If I purchase Product A, which has the UoM “Box”, and I count the products in warehouse by “Bottle”, what do I need to do when setting up the system?

    a) Set up the UoM “BOX”
    b) Set up the UoM “Bottle”
    c) All of the above

  3. Question #4: If I purchase Product A, which has the UoM “Box”, and I count the products in warehouse by “Bottle”, what is the next required information?

    a) Purchase Order UoM
    b) Sales Order UoM
    c) Box to Unit Conversion rate
    d) Box to Bottle Conversion rate
    e) Unit to Box Conversion rate
    f) Box to Unit Conversion rate


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