Here you can find short definitions of terminology used in Katana. More detailed descriptions, guides, and recommendations for most of those topics can be found in Katana Knowledge Base.

Arrival date

The date when the items included in a Purchase Order are expected to arrive (in full) in your warehouse.

Average Cost

The Average Cost of an item in your Stock. Average Cost = Value in Stock / In Stock.

Blocked (Manufacturing Order status)

A Manufacturing Order status which indicates that there is a problem with the production and you wish to put the production process on hold for a certain period. This means that the production is not ongoing. Changing the status from "Not started" or "Work in progress" to "Blocked" does not trigger any movements in inventory. Read more about Understanding Manufacturing Order statuses.

Category

Categories can be assigned to products and materials. They give you a possibility to group similar items. Categories are useful for better organization and identification of similar items inside Katana. Read more.

Committed quantity

The quantity of stock that is committed to open Sales or Manufacturing Orders. Increases when Sales or Manufacturing Orders are created, but not yet packed/delivered or marked "Done". Decreases when Sales Orders are packed/delivered or Manufacturing Orders marked "Done". Read more about inventory.

Cost per hour

The average hourly cost of performing a step in Production Operations. Typically includes salary cost, but could also include the average hourly maintenance and electricity costs of the workstation, for example. Does not include material costs. Read more.

Created date

The date when a document is created (Sales Order, Purchasing Order or Manufacturing Order).

Customer

A person or entity that is purchasing your products.

Delivered (Sales Order status)

A Sales Order status which indicates that the products are shipped out to the customer. Changing the status from "Packed" to "Delivered" does not trigger any inventory movements. Changing the status from "Not shipped" to "Delivered" means that both "In Stock" and "Committed" quantities in the inventory list for those items are decreased by the relevant amount. Read more about Understanding Sales Order statuses.

Delivery deadline

A date when the items included in a Sales Order are required to be delivered to the customer.

Done date

The date of completing a Manufacturing Order or a Sales Order. Automatically assigned when marking the Manufacturing Order as "Done" or Sales Order as "Delivered".

Expected (Material Availability status)

A Material Availability status which indicates that there are not enough materials available in the inventory to for a Manufacturing Order, but you have open Purchase Orders for the material in the required amount and, thus, the material is expected to arrive in your warehouse. Read more about Understanding Material Availability.

Expected (Product Availability status)

A Product Availability status which indicates that there are not enough products available in the inventory for a Sales Order, but you have open Manufacturing Orders (either Make to Stock or Make to Order Manufacturing Orders) for the product in the required amount and, thus, the products is expected to be produced. Read more about Understanding Product Availability.

Expected quantity (Inventory list)

Amount of stock that is expected to arrive in the warehouse. Increases when Purchase or Manufacturing orders are created, but not yet marked as "Done". Decreases when Purchase Orders are received or Manufacturing Orders marked as "Done", Read more about inventory.

In Stock (inventory list)

The quantity of stock you currently have on hand. Increases when Purchase Orders are received or Manufacturing Orders marked "Done" (for an item produced). Decreases when Manufacturing Orders are marked "Done" (for item ingredients) or Sales Prders are packed/delivered. Read more about inventory.

In Stock (Material Availability status)

A Material Availability status which indicates that you have enough materials available in the inventory for a Manufacturing Order. Read more about Understanding Material Availability.

In Stock (Product Availability status)

A Product Availability status which indicates that you have enough products available in the inventory for a Sales Order. Read more about Understanding Product Availability.

Ingredient

A material or subassembly included in the product recipe. Read more about Product Recipe.

Item

Items in Katana are products and materials. Read more about Products and Materials.

Item card

Item cards are product cards and material cards. They gather all the relevant information about a product or material, including Name, Category, Variant code, Sales or Purchase Price, Variants, Reorder Point. You can also access your Product Recipes and Production Operations on item cards. Read more about Creating products and Creating materials.

Make to Order Manufacturing Order

Used for making products for specific Sales Orders. This Manufacturing Order can be created via a "Make to order" button on a Sales Order. This Manufacturing Order will be linked directly to the underlying Sales Order, meaning that the priority of the Manufacturing Order is synced with the Sales Order, and the produced product will be permanently linked to the Sales Order.

Make to Stock Manufacturing Order

Used for making products to stock to satisfy future sales. This Manufacturing Order can be created via a "Make to stock" button accessed from the global "+" sign. This Manufacturing Order is not permanently linked to any Sales Orders. Product made by Make to Stock Manufacturing Orders can be booked by any open Sales Order (bookings are made based on Sales Order priorities).

Manufacturing order #

A unique identifier for a Manufacturing Order. If MO is linked to a Sales Order then it displays the underlying Sales Order number with a suffix, for example "/ 1". For MOs that are making to stock, Manufacturing order # can be changed manually by the user. Read more about Creating a new Manufacturing Order.

Manufacturing Order status (Production status)

Each Manufacturing Order has a status, which can be manually changed by the user. Statuses include "Not started", "Work in progress", "Blocked" and "Done". Statuses trigger specific movements in the inventory and also help to monitor and manage production activities. Read more about Understanding Manufacturing Order statuses.

Material

Materials are items purchased from suppliers and typically used in producing your products (i.e. included in Product Recipes). One material can have multiple variants (e.g. colors, sizes). If you have not enabled multiple variants for a material, then the material is considered to have a single variant. Read more.

Material Availability

A status of materials on a Manufacturing Order, which indicates whether the required materials are "In stock", "Expected", "Not available" or "Processed". Read more about Understanding Material Availability.

Missing/excess quantity (Inventory list)

In the "Inventory" list, Missing/Excess quantity indicates whether your stock level is above or below an optimal level. A calculated field in Katana, cannot be manually edited by the user. Missing / Excess = In stock - Committed + Expected - Reorder Point.

Not available (Material Availability status)

A Material Availability status which indicates that there are not enough materials available in the inventory for a Manufacturing Order and you are also not expecting those materials from your suppliers. You should create new Purchase Orders. Read more about Understanding Material Availability.

Not available (Product Availability status)

A Product Availability status which indicates that there are not enough products available in the inventory for a Sales Order and you are also not expecting those products from manufacturing. You should create new Manufacturing Orders. Read more about Understanding Product Availability.

Operation cost

The cost of an operation step in Production Operations for a product. A calculated field in Katana. Operation Cost = Cost per hour * Operation Duration in minutes / 60. Read more.

Operation duration

The duration of an operation step (in minutes) in Production Operations for a product. Read more.

Option values

Values of a variant option. E.g. if you have inserted "Color" as a Variant Option, values might be "Red" and "Blue". These can be set in Variants configuration and assigned to product or material variant items. Read more.

Packed (Sales Order status)

A Sales Order status which indicates that you have packed the items for delivery, but they have not yet been shipped out. Both "In Stock" and "Committed" quantities in the inventory list for those items are decreased by the relevant amount. Read more about Understanding Sales Order statuses.

Picked (Product Availability status)

A Product Availability status will change to "Picked" when the related Sales Order status is changed to "Packed" or "Delivered". Read more about Understanding Material Availability.

Price per unit

A Purchase Price (excluding taxes) for a material or a Sales Price (excluding taxes) for a product. Price per Unit column is shown (and can be edited) for line items on Sales Orders and Purchase Orders. Each product or material variant can have a different price.

Processed (Material Availability status)

A Material Availability status will change to "Processed" when the related Manufacturing Order status is changed to "Done". Read more about Understanding Material Availability.

Product

A product is an item you produce in your factory. Each product can be sold to customers, used in producing your other products (i.e. included in other products' recipes) or both. One product can have multiple variants (e.g. colors, sizes). If you have not enabled multiple variants for a product, then the product is considered to have a single variant. Read more.

Production Deadline

The expected completion date for a Manufacturing Order. Read more about Production Deadlines.

Product recipe

Sometimes also called Bill-of-Materials or simply BOM. Recipes are lists of the ingredients you use in manufacturing your products. Recipes can be created for products and modified for each product variant. You can also include subassemblies in product recipes. Read more.

Production operations

The operations you need to complete to produce your product. Production operations are necessary for tracking the production process in detail, calculating the manufacturing cost of your items and estimating Production Deadlines. Read more.

Production time

The total duration of production operation steps for a product. It is the sum of Operation Duration of operation steps. Can be set and edited in Production Operations section on a Product Card. Excludes lead times for purchasing raw materials. Read more.

Profit

Profit = Sales Price - Manufacturing Cost of a product.

Profit margin

Profit margin = Profit / Sales Price of a product.

Purchase price

The purchase price (excluding taxes) of a material from suppliers. Different purchase price can be assigned to each material variant. Read more about purchase price from articles Creating a new material and How to edit a material?.

Purchase order #

A unique identifier for a purchase order. Read more about Creating a new Purchase Order.

Priority (Manufacturing Orders)

The order of Manufacturing Orders in "Schedule". Affects the Material Availability status of Manufacturing Orders (higher ranking MOs have a priority in booking the materials in inventory) and enables managing production schedule for the team. Read more about Using the Schedule.

Priority (Sales Orders)

The order of Sales Orders in the "Sell" screen. If you have created a "Make to order" Manufacturing Order for the Sales Order, changing the priority of Sales Orders also affects the production plan in the "Schedule" view. For Sales Orders for which you are not making to stock, the priority of Sales Orders affects the Product Availability status (higher ranking SOs have a priority in booking products in inventory). Read more about Using the Sell screen.

Receiving

Completing a Purchase Order, which increases the "In Stock" and decreases "Expected" inventory levels for the materials included in the Purchase Order. Read more about Purchase Order statuses.

Reorder Point

The level of inventory for a product or a material that indicates a need to replenish that particular item's stock. When the inventory level equals or falls below the Reorder Point, you should create a new Manufacturing Order for a product or Purchase Order for a material. It is used to ensure that you always have sufficient stock to protect the business against spikes in demand or shortages in supply. Read more.

Resource

A Resource is either a workstation or an employee, for example, who is responsible for completing a Production Operation. You can assign Resources to Production Operations. Read more about Managing work orders for Resources.

Sales order #

A unique identifier for a sales order. Read more about Creating a new Sales Order.

Sales Order status (Delivery status)

Each Sales Order has a status, which can be manually changed by the user. Statuses include "Not shipped", "Packed", and "Delivered". Statuses trigger specific movements in the inventory and also help to monitor deliveries. Read more about Understanding Sales Order statuses.

Sales price

The sales price (excluding taxes) of your product to customers. Different sales price can be assigned to each product variant. Read more about sales price from articles Creating a new product and How to edit a product?.

Subassembly

A product (or product variant) that is included in a Product Recipe of another product (or product variant). Do not confuse subassemblies with materials: subassemblies are produced in your factory and classified as products in Katana, materials are purchased directly from suppliers. One product can be a subassembly and also sold to customers simultaneously. Read more.

Tax %

A tax % (e.g. VAT, GST) that is added to the price of the product you sell or materials you purchase. In Katana, Tax rates can be created and edited by the user to reflect the country and industry specifics of the respective business.

Unit of measure

A definition of measuring the quantity of products or materials. Examples: pieces (pcs), kilograms (kg), meters (m), euros (€).

Value in Stock

The total value of items you have In Stock. This is the sum of Purchasing or Manufacturing cost of items (not the sum of sales price).

Variant options

The attributes of the product or material. E.g. color, size, type. These can be set in Variants configuration on an item card together with Option Values and assigned to product or material variant items. Read more

Variant code

Variant code (also called SKU) is a unique identifier for your product or material variant. If the item has multiple variants, then each variant has a unique code. If multiple variants are not enabled, then a material or product is considered to have a single variant. Variant code is unique to your company and should typically be human-readable, which facilitates accurate stock keeping and more efficient order fulfillment. Read more

Variants

Variants refer to groups of the same product or material, categorized by specific attributes like color and size. For example, you might have a product called "Table" with variants "Table Black Large", "Table Black Small", "Table White Small". Variants are not separate products or materials but are managed on the parent product or material card. If you have not enabled multiple variants for an item, then the item is considered to have a single variant. Read more

Weekly throughout

Total effective hours available for completing production operations in your workshop in an average week. Read more

Work in progress (Manufacturing Order status)

A Manufacturing Order status which indicates that the production has started and is currently ongoing. Changing the status from "Not started" to "Work in progress" does not trigger any movements in inventory. This status is mainly used for managing the production activities and to have a better overview of order and shop floor status. Read more about Understanding Manufacturing Order statuses.