Manufacturing and MRP in Odoo
Bills of materials, production orders, work centers and subcontracting. What decides whether the project works is not the module: it is how well your bill of materials is defined and whether your costing reconciles with accounting.
What does the Odoo Manufacturing module do?
iTechDev implements Odoo Manufacturing, and the first thing we say in discovery is that this module does not fail because of software: it fails because of the bill of materials.
- Bill of materialsWhich components and how many go into a finished good. The piece that decides whether everything else reconciles.
- Production orderThe instruction to manufacture. Reserves components, records actual consumption and produces the finished good with its cost.
- Work centerThe machine or station with capacity and hourly cost. Only configured if you will genuinely measure times.
- RoutingThe sequence of operations. Gives control and requires someone to capture on the floor.
- SubcontractingWhen a third party performs a step. Odoo handles it, but it changes how inventory moves and how you cost it.
See in detail
Odoo produces from a list declaring which components and how many go into each finished good, and on that it raises the order, draws down inventory, records actual consumption and calculates cost. All of that works. What is almost never ready is the list: in most Mexican plants it lives in the production manager’s head, with scrap nobody has measured and substitutions made on the fly. If the list is wrong, the order requests material that is not used, inventory drifts and cost of goods sold is wrong — and that surfaces at close, when months of data already exist. The second heavy decision is how far to go: producing to order with simple lists is a short project; adding work centers with times and capacity is a different size, and it is better known before signing.
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When this module solves something
What the module includes
Bills of materials
Components, quantities, variants and nested lists when a semi-finished good feeds another product.
Production orders
Component reservation, actual-versus-planned consumption, and production of the finished good with its cost.
Demand-driven replenishment
Odoo proposes what to buy and produce based on sales orders and configured minimums.
Work centers and routings
Operations per station with times and hourly cost. Optional: only if you will measure capacity.
Subcontracting
Sending components to a third party and receiving the semi-finished good, with inventory reflected where it is.
Traceability
Which lot each finished good came from and which customers it went to. Both directions.
Production costing
Materials plus operations, with journal entries if you enable real-time valuation.
Scrap
Recording what is lost in the process — normally why inventory never reconciles.
Decisions to make first
1Who builds the bill of materials?
The real bottleneck. Decided at the start whether your team does it, we do with your production manager, or both — it moves the timeline more than any configuration.
2How far does scope go?
Produce to order with simple lists, or also work centers and capacity. Different projects, better phased.
3How consumption is recorded
Operator captures on the floor or someone transcribes at shift end. It changes cost accuracy and how error-proof the screen must be.
4Scrap
Declared as a percentage or recorded as it happens. The first is convenient and lies; the second is accurate and demands discipline.
5Costing method
Decided together with inventory. Production cost inherits component costing, so changing it later drags manufactured goods too.
6Do you subcontract?
Define how in-transit inventory is reflected and how the third-party service is costed. Among the most omitted in discovery.
Tech stack
The tools and platforms we build it with — chosen for your problem, not for hype.
Questions about Manufacturing in Odoo
Can't find your question? Talk to an engineer — no sales script.
Contact us →Community or Enterprise?
Base manufacturing ships in Community: lists, orders, replenishment and lot traceability. What pushes companies to Enterprise is usually not production but the official accounting your cost must reconcile with.
Real manufacturing or only simple assembly?
Considerably more than assembly: nested lists, subcontracting, work centers with capacity and full traceability. Where honesty is warranted is fine shop-floor scheduling, which is specialist territory. The right question is whether your operation needs that level.
What is the most expensive mistake?
Starting with lists nobody validated against the floor. A badly built list contaminates inventory, cost and reports at once, and the drift is found at close when months of data exist. We push to validate before configuring, even when it delays go-live.
Do I need work centers?
Only if you will genuinely measure times or capacity. Configuring them without floor capture gives false data, worse than none. Many companies start without them and add them in a second phase.
How does it connect to inventory and accounting?
Production draws down components and produces finished goods, and with real-time valuation each movement posts its entry. That boundary is agreed with your accountant before the first close.
What about contract manufacturing?
Odoo handles subcontracting: you send components and receive the semi-finished good, with inventory where it actually is. Discovery must define how that service is costed and what happens to material at the contractor at month end.
How long until it is running?
It depends almost entirely on how many lists must be built and validated, not on the software. Our packages publish price and timeline by scope; the real range comes out of the technical analysis.
Request your technical analysis
Three fields and we schedule the first session. You leave with a closed written quote — yours, whatever you decide.
The packages, with published pricing
- Arranque Odoo $29,900You are coming from Excel and want to get CRM, sales, purchasing and inventory in order before dealing with tax compliance.
- Fiscal Esencial $44,900RESICO individuals, RESICO companies up to $35M, or Title IV individuals with income below $4,000,000.
- Empresa MX $89,000Companies under the general tax regime, or Title IV individuals with income from $4,000,000: those required to file electronic accounting and DIOT.
- Empresa MX · Odoo.sh $98,000General tax regime with at least one of the five triggers: retailer addenda, payroll inside Odoo, your own PAC, an accountant on Contpaq, or selling on Mercado Libre.
- Comercio MX $139,000Retail and commerce selling on the floor and online, needing to invoice both.
Plus VAT. You pay the Odoo license directly to Odoo, not to us. Which one applies depends on your tax regime, not your size.
More from Odoo
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