NetSuite - Kit Items, Item Groups. Assembly Items (for Work Orders), and Configured Items?

My work is currently going through the scoping process of integrating a new business unit, and the bad thing is - everyone is lost.

The headache is caused by multiple systems that my company and the new business unit carry.

While we use NetSuite OneWorld as CRM (which is somewhat waste) and Infor Visual Manufacturing for backend ERP, the new business unit uses an Excel spreadsheet (if I heard correctly) with a home-grown validation tool, then uploads the spreadsheet into JDE for drop ship and/or manufacturing orders.

The challenge comes in because as manufacturing companies, both "configure" items to sell. And now, the operations team from my company started showing the configurator tool CSRs use, then the new BU people started explaining their configuration process.

Well, the business people may have had more discussion and probably understand the issue better than I do, but hold on, what the heck is a configured item, really? My one hour was almost completely wasted - lucky that I was able to wrap up my thoughts in my head.

The term configured item is used in various ways, but in manufacturing I believe a configured item is basically some sort of a finished good that can be built from multiple component and/or raw items. For example, a desktop can be a configured item with independent parts (but that can be different combination based on customer's needs).

So, with that in mind, the very basic task I am assigned is to 1) load the component items, then 2) have a way for the new BU sales people and order entry people to configure the finished good. Whole lot better to understand than the hour spent to explain what's really going on.

With above in mind, I immediately thought of supported item types in NetSuite - Kit/Package, Item Groups, Assembly Items and maybe Matrix Items. Matrix item, however, may be out of scope because the ultimate finished good will not be a single item. (NetSuite provides an example of selling T-Shirts with different color and size combinations). So, what are these item types?

1. Kit/Package Item
Kit items are sold together as one unit. You can have parts A, B, C, D, and E to form a kit item 1. The issue here is that if kit item 1 is added to the transaction, it lists parts A, B, C, D, and E that cannot be replaced (or kit items cannot be sold/fulfilled or purchased separately), while each individual part's expense account is respected, and each component is also displayed as line items in transactions.

2. Item Groups
Item groups are similar to kit items, except the component can be changed. This means that the specific group of items can be modified and/or removed during the order entry. Hmm... doesn't this sound like configuration? This is a manual order entry, but isn't configuration manual anyway? I'll probably have to bring this up to my meeting.

3. Assembly Items
I'm fairly new to NetSuite, and I can't tell whether assembly items ever existed or not. But, this is definitely an important item type that is needed in order to process a manufacturing work order. And what kind of ERP can NetSuite be, without providing the manufacturing work order module? Assembly items are actually the finished goods which need component to be added to item. However, if I remember correctly, each assembly item always carried the exact same quantity and exact same parts in order to create one. However, this will allow the company to track the inventory at component part too.

Just to get the new users up and rolling, I will definitely start with the Item Group, as Item Group is probably the easiest way to pull the standard list of parts then to configure, while I still believe entering the line items one by one without any kit, group or assembly, can be a perfect configurator to meet the new BU's needs.