Full Kitting

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Essentially, kitting refers to collecting or gathering various products into a single set or kit needed to complete a job or create a product. The kitting process usually entails picking and delivering each necessary component to facilitate product assembly. Therefore, full kitting ensures all pieces or items for the assembly task are availed together.

The kitting process typically applies in manufacturing and order fulfillment. It is also a vital component of warehouse management operations. It is performed as a general function in SAP logistics that can be achieved with or without Extended Warehouse Management.

Kitting Process in SAP

SAP stands for Systems, Applications, and Products that facilitate a seamless flow of information and data processing across an organization.SAP is crucial in logistics and refers to a collection of management systems that guide the supply chain of goods and services through a company.

SAP, when used with EWM, forms SAP EWM, which is the integration of automated processing support into the Inventory Management and Delivery Processing of various goods. As these goods move throughout the warehouse, EWM allows you to organize, control, and monitor the movement’s progress from one point to another.

SAP EWM allows kitting to be done in two categories, kitting to order or kitting to stock; thus, kits can be stored, transferred, and sold.

Kit to Order

This process aims to automate the assembling of kits to order, after which the kit is always delivered to the customer after full kitting. Kitting to order can be fulfilled in the following scenarios:

• Kit to Order with VAS Order at a work center
• Kit to Order without VAS Order
• Kitting During Picking without VAS order

The VAS Order in this context refers to Value-Added Services, which usually include assembling, packing, labeling, or Kitting.

Kit to Stock

On the other hand, kitting to stock creates kits that are then transferred to the store. The process simplifies and streamlines the kit creation process, often executed and documented in a warehouse. You can create a kit manually via an ERP system to satisfy a production order or do it directly from the EWM system with the support of a VAS Order.

It is also possible to perform reverse kitting, whereby you use the process of splitting a kit into its disintegrated form or individual components.

What is Kitting?

Kitting refers to preparing a collection of items that were initially separated by picking them out, assembling, packaging, and supplying them as a single unit. To complete this inventory technique, you must package and ship together individual but related items. Kitting services are ideal for businesses that sell things that come with more than one item.

For example, In the boat and automobile manufacturing industry, the manufacturers often double as the distributor and thus have to assemble pieces that meet customer expectations and ship them together.

Another example is when a customer orders a computer; they might call a keyboard, mouse, or a CPU. These components must be delivered to the customer as one, and that is made possible through the kitting process. The order cannot be sent when one of either component is missing from the package.

Kitting in logistics, supply chain, or warehousing can help businesses grow their revenue, increase their sales and ultimately grow the business by trimming the cost of picking and packing while reducing errors.

Kitting Process Meaning

The straightforward kitting process can be used in any industry or at home. Most people have practiced kitting in their daily lives. For instance, when you walk to a grocery store and select the ingredients necessary for a specific recipe, that is a practical example of kitting. The formula would be incomplete if any components were lacking, and you would have to run back and get it.

Similarly, the kitting process in manufacturing and order fulfillment is used to conveniently gather the necessary parts of an item to create a valuable package for the consumer.

The kitting process can also ensure employees have all they need to complete a task. It is as practical as it gets when a technician carries their tool kit whenever they are called to perform a job like a repair or installing something.

In manufacturing, the kitting process can be handled by the manufacturer or by a third-party logistics partner (3PL). Kitting is highly recommended for production businesses which often require several smaller parts to make a full or complete product or customize products for their clients. It becomes easier for them to fulfill orders directly to them while saving the company time in the production line.

What is kitting process in manufacturing?

The kitting process is an inventory management process that groups specific manufacturing components into kits. The kits may be equipment or tools used to assemble a product or a portion of the product. Knitting is a popular trend for various types of manufacturers. For example, a furniture company can create a kit containing all the parts and the instructions for assembling a single piece of furniture.

This type of kitting is known as material kitting. It is an essential part of the manufacturing process. The company may also assemble raw materials and other components. The process benefits manufacturers who do not have ample floor space, whereby they can stack complete kits together in preparation for delivery.

Knitting also saves workers time by availing all the required screws and sub-parts, thus eliminating the need for unnecessary movement while looking for parts in the facility

3pl companies offer various kitting solutions to manufacturers. Their primary role is to collect parts and materials and gather them into a single package which is then allocated its own SKU number. The product is then delivered to a specific part of the assembly line, the point of use. The complete kitting process can significantly increase the efficiency of the entire supply chain.

Kitting Warehouse Meaning

Kitting and assembling processes may be crucial, but they can easily monopolize valuable time and space and hinder the efficiency of a company. A kitting warehouse is where all the value addition and other fulfillment processes are done. These activities involve picking, packaging, assembling, and distributing or delivering products to their point of use.

A vital part of kitting in manufacturing is light manufacturing, otherwise referred to as production-as-a-service. This is whereby a kitting service provider may offer to build packaging for your product or make a few necessary changes, like touching up the paint before sending the package to your customer.

Kitting warehouse services are further customizable depending on the type of product. For example, some kitting service providers may offer food-grade kitting, which involves specialized handling of consumables or food items before they are sent out to customers.

Once products are gathered, they are countable as single units or kits, which are then organized through a process known as inventory kitting. Each package gets a new SKU number which must be unique to the rest. The inventory kitting technique inherently adopts the benefits of the kitting process, which include reduced costs, increased revenue, and better customer satisfaction.

Kitting Job Descriptions

Generally, warehouses offer various job positions. To be part of a kitting process, you can seek a job as a warehouse worker or a kitting clerk. Typically, a kitting job description entails picking various SKUs, gathering them into one package, and creating another SKU for the new package. On the other hand, a kitting clerk has more responsibilities which may vary depending on the industry. In a manufacturing company, their main job is to ensure materials needed for a job process are issued accurately and on time and to maintain the inventory daily.

Another significant warehouse employee is the stocker. Other warehouse workers can easily claim this title. A stocker’s job description entails receiving, sorting, and packing items to stock shelves, ensuring each item has an SKU number, maintaining accurate log sheets of inventory, and in some cases guaranteeing the products are attractively displayed on shelves based on their price value.

Working at a warehouse, especially in providing kitting services, requires much attention to detail to reduce the chances of errors. Additionally, most of these functions are visual and thus may not require technical training unless while handling complex tools and equipment. Employees can also work in shifts, which means that kitting jobs are considerable contenders when one is looking for a full-time or part-time job.

Kitting Meaning in Logistics

Kitting in logistics refers to the ecommerce process of fulfillment whereby individual items are pre-assembled into usable kits before shipping.

Kitting Logistics companies are dedicated to helping businesses manage complicated fulfillment operations. They allow them to outsource different solutions which aid the supply chain but would otherwise need a lot of time and resources.

A typical example of kitting is when a client orders several items from an e-commerce website. The business can outsource kitting services from a third-party logistics company that gathers the individual items and packs them into a single box before sending the package for delivery.

The second example is when a company needs to deliver electronics to customers in various countries. They can seek the assistance of a local or international logistics company which then reverse packages the whole shipment and organizes them according to their order.

Kitting experts offer warehousing, manufacturing, and logistics kitting services depending on the company’s needs.