How to Configure Manufacturing Orders in Odoo

Manufacturing orders (MOs) are the core of production in Odoo. An MO tells your production team what to make, what components to use, and tracks the entire process from start to finish. Here's how to configure and use them effectively.

Prerequisites

• Manufacturing module installed.
• Products created for both finished goods and raw materials.
• Bills of Materials (BOMs) defined for your manufactured products.
• Optionally: work centres and operations configured if you need work order tracking.

Creating a manufacturing order

• Go to Manufacturing → Operations → Manufacturing Orders.
• Click New.
• Select the Product to manufacture.
• Odoo automatically loads the BOM. If the product has multiple BOMs, select the appropriate one.
• Set the Quantity to produce.
• Set the Scheduled Date — when production should start.
• The Components tab shows all required materials based on the BOM.
• The Work Orders tab shows the operations to be performed (if your BOM has operations).
• Click Confirm to confirm the order and reserve components.

Automatic MO creation

You don't always need to create MOs manually. Odoo can generate them automatically:

• Make-to-order — Set the product's route to "Manufacture" + "Replenish on Order." When a sales order is confirmed, Odoo creates an MO automatically.
• Reorder rules — Set a minimum stock level on the product. When stock drops below the minimum, Odoo creates an MO to replenish. This is the make-to-stock approach.
• From sales orders — If the product is configured as "make to order," confirming a sales order triggers an MO for the exact quantity ordered.

Managing component availability

• When an MO is confirmed, Odoo tries to reserve the required components from stock.
• The availability status shows whether all components are available: green (fully available), yellow (partially available), or red (not available).
• If components aren't available, you can: wait for incoming shipments, create purchase orders for missing materials, or check availability again later.
• The Check Availability button re-checks stock levels against the MO requirements.

Work orders

If your BOM includes operations, each MO generates work orders that operators complete on the shop floor:

• Go to Manufacturing → Work Orders to see all pending work orders across all MOs.
• Operators can also access work orders through the Shop Floor interface — a tablet-optimised view.
• Each work order shows: the operation to perform, which work centre to use, component consumption instructions, and quality check points.
• Click Start to begin timing the operation. Click Pause for breaks. Click Done when the operation is complete.
• Work order duration is recorded for cost calculation and efficiency analysis.

Recording production

• Component consumption — By default, Odoo uses the BOM quantities. If actual consumption differs, you can adjust quantities on the MO before completing it.
• Producing output — Set the quantity actually produced. If you produced fewer units than planned, Odoo offers to create a backorder for the remaining quantity.
• Lot/serial tracking — If the finished product uses lot or serial tracking, assign the lot/serial number during production.
• Scrap — Record scrapped components or finished goods directly from the MO. Scrapped items are removed from stock and recorded separately.
• Click Produce All (or Validate) to complete the MO and update inventory.

Backorders and partial production

• If you can only produce part of the planned quantity (e.g., 80 out of 100 due to a component shortage), record the actual quantity produced.
• Odoo asks if you want to create a backorder for the remaining 20 units.
• The backorder is a new MO linked to the original, with the remaining quantity.
• This keeps your production tracking clean without losing the original order reference.

Production scheduling

• The Manufacturing Planning view shows all MOs on a timeline.
• Odoo schedules MOs based on: the requested delivery date, manufacturing lead time, and work centre capacity.
• Drag and drop MOs to reschedule.
• Work centre capacity planning shows if any work centre is overloaded.
• For complex scheduling needs, the Planning module adds Gantt chart views and resource allocation.

Production reporting

• Cost Analysis — Compare planned cost (from BOM) vs actual cost (actual material consumption + actual labour time) per MO.
• Overall Equipment Effectiveness (OEE) — Track production efficiency per work centre.
• Production Analysis — Filter and group MOs by product, date, status, or responsible person.
• Traceability — From any finished goods lot, trace back to the MO, the raw material lots consumed, and the operators involved.

Manufacturing orders are where your BOMs come to life on the shop floor. If you need help configuring production workflows in Odoo, reach out.