There are 4 ways to create a new product:
1) Click on the global "+" sign and select "+ New product card".
You will be directed to a product card page with the following tabs: General info, Product Recipe / BOM, and Production Operations.
2) On a Sales Order or Stock Adjustment card, type a name of a new product to an item field and select "Create new: [product name]" from the drop-down list. This will open a pop-up window where you can enter basic details of your product (Name, Unit of Measure, Variant Code / SKU, Sales Price). When you click "Done", a new product will be created and also automatically added to the Sales Order. To enter more details about the product you just created, go to the "Items" screen and click on this product in the "Products" list.
3) Import products from your Shopify store. You can either import your entire product portfolio from Shopify at the initial connection or only import products that appear on imported Sales Orders. Read more about the Shopify integration
4) Import products in bulk using our spreadsheet template. Read more
Product name - unique name of your product. If your product has multiple variants, we do not recommend including product attributes in the product name (like color, size etc). You can use our variants feature for creating these kinds of variations.
Recommended: Chair "Choir"
Not recommended: White chair "Choir" with black seat cover
Category - group your products into distinct categories. These are useful for better organization and analysis of similar products inside Katana. Read more about what are categories, creating categories, editing and deleting categories.
Example categories: Tables, Chairs
Unit of Measure - the unit you use to measure the quantity of your product (e.g. pcs, kg, m). You can manage the list of units (add, edit and delete) in the "Settings" screen.
Make it / Buy it - you can choose whether you make the product in your workshop, buy it from suppliers for resale, or both. Selecting "I make this product" enables creating Product Recipes and Production Operations for the product and adding it to Manufacturing Orders. Selecting "I buy this product" enables adding it to Purchase Orders.
Batch tracking - you can choose whether you wish to track batch information for the item (all variants of the item). This is an Advanced or higher plan feature. Read more about Batch Tracking in Katana.
Default supplier (only appears if you have activated "I buy this product") - the supplier from whom you are purchasing the product by default. This supplier is added to a Purchase Order automatically when the related product is added to the order.
Variant Code / SKU - a unique identifier for your product variant. If you have not enabled multiple variants for a product, then the product is considered to have a single variant. You can change and use it to create your own product identification system. Read more about Variant Codes
Default Sales Price - sales price of your product to customers. Different sales price can also be assigned to each product variant. This is a default sales price included in Sales Orders and used in the "Product" list to calculate profitability.
Default purchase price (only appears if you have activated "I buy this product") - the purchase price of your product from suppliers. This is a default purchase price added to Purchase Orders but can be changed manually on each PO. Different purchase price can be assigned to each product variant.
Variants - groups of the same product, categorized by specific attributes. Attributes could be color and size, for example. Using the variants feature (compared to creating separate product items for each variant) can save you a lot of time, as they enable changing product recipes and production operations globally for all variants of the product. Activating the variants for a product opens a Variants Configuration, where you can enter Variant Options (e.g. color, size) and Option Values (e.g. red and blue for "Color" option). Variant Options will appear as new columns in the table at the bottom of the product card and Option Values can be chosen from the drop-down menu in the text fields of those columns. Those columns and values also appear in the Product Recipe. If you have not enabled multiple variants for a product, then the product is considered to have a single variant.
Note: Reorder Point for products can be set in the "Stock" screen. It's the level of inventory for a product that indicates a need to replenish the product's stock. It is used to ensure that you always have sufficient stock to protect the business against spikes in demand. Read more about Reorder Points and determining the appropriate level for Reorder Points.
Product Recipe / BOM
Product Recipe (sometimes also called bill-of-materials or simply BOM) is a list of the ingredients and the quantities you use in order to create your product. Recipes can be created for products and their variations.
Katana supports subassemblies, which means that you can add products to a recipe of another product. Read more about using subassemblies.
You can create different recipes for each product variant. Read more about creating variant-specific recipes.
Fields in the Product recipe:
Material or product - the raw material or subassembly you use in creating the product. You can select existing materials and subassemblies or create new by inserting an ingredient name and selecting "Create new: [item name]" from the drop-down menu. Then select whether you wish to create a material or product (subassembly) and insert the basic information about the item. Read more about creating a material.
Quantity - the quantity of the material or subassembly you use in creating one unit of your product. The quantity is in the same Unit of Measure that you have chosen for the respective material or subassembly.
Cost = Average Cost of Item in Stock * Quantity. If "In stock" for the ingredient is zero, then the default Purchase Price will be used for materials and Manufacturing Cost for subassemblies in cost calculations.
Production Operations are the step-by-step operations you need to complete to produce your product.
Operation - the name of the operation you perform to produce your product. Examples: Cutting, Assembly, Quality control.
Resource - a workstation (e.g. cutting table, assembly machine) or a person (e.g. John), who is responsible for completing the Operation. Can be edited on each Manufacturing Order if needed. Assigning Resources to Operations enables creating tasks lists for Resources. Read more about Managing tasks for Resources
Cost per hour - the hourly cost of performing the operation. This typically consists of the salary cost of the employee performing this operation, but can also include the average hourly maintenance and electricity costs of the workstation, for example. This cost is used in calculating the total manufacturing cost for your product and, consequently, affects the product profit and margins. The decision of what to include in this cost ultimately depends on your own preferences and your manufacturing cost calculation policy.
Time / duration - the duration of an operation step to produce one unit of the product. This is useful for calculating the manufacturing cost of the product. As this is input to manufacturing cost calculations, only include the duration of actions that are related to additional cost. For example, you should not include the expected time the raw material or subassembly is waiting in the queue, but you might include the setup time of the operation, if relevant.
Cost = Cost per hour * Duration. An automatically calculated field, cannot be edited by the user. This is the cost of completing the operation and is an input to the total manufacturing cost.