Production Management connected to real inventory and real cost
Production should not run on a disconnected mix of formulas, stock checks, and manual cost sheets. Loribase connects blueprints, material reservation, FIFO costing, and finished-goods output so your team can execute with operational clarity.
Production
3 production runs recorded
Lavender Soap 200g
Mar 19, 2026
Units produced
18
Cost/unit
R$4.20
Total cost
R$201.60
Blueprint
BLP-042
Moisturizing Cream 150ml
Mar 15, 2026
Units produced
34(-2)
Cost/unit
R$8.90
Total cost
R$320.40
Blueprint
BLP-042
Body Oil 30ml
Mar 22, 2026
Units produced
0
Cost/unit
—
Total cost
—
Blueprint
BLP-042
Production Management
Production breaks when stock, reservations, and cost live in separate controls
Most teams don’t lose control of production because they lack a formula. They lose control because blueprint, material availability, reserved stock, execution status, and real cost are tracked in different places.
The practical effect is immediate: a work order starts without certainty that all inputs are actually available, the same stock is promised twice, cost discussions happen after the batch is finished, and managers still can’t explain why two runs of the same product produced different margins.
These aren’t edge cases. They’re the daily operating reality for manufacturers running production on spreadsheets, disconnected ERPs, or systems built only for inventory counts.
Loribase solves this by treating production as one connected operational flow: define the blueprint, reserve the right materials, execute the run, and calculate the real FIFO cost from what was actually consumed.
Blueprints
Reusable production blueprints
Every product you manufacture starts with a blueprint (also known as a bill of materials or recipe). A blueprint in Loribase defines the inputs (which materials, in what quantities and units) and the expected output. Blueprints are reusable: create once, use for every production run of that product.
Flexible yield definitions
Define output by fixed quantity, percentage yield, or container-fill logic. Loribase handles the conversion automatically.
Version control for recipes
When a formula changes, update the blueprint. Previous production runs retain their historical record; new runs use the updated specifications.
Multi-level bill of materials
Blueprints can reference semi-finished goods that themselves have blueprints. Loribase handles the full depth chain in a single production order.
Scale by batch size
Define quantities for a standard batch. When you run twice the batch, the system scales all component requirements proportionally and tracks the actual consumption.
How It Works
How real FIFO costing works in Loribase
Each purchase batch keeps its own cost
When raw materials arrive, the purchase event records the exact unit cost for that batch. 100 kg of cocoa butter at $18.40/kg on January 10th is a distinct lot from 100 kg at $19.20/kg on March 5th. Both are in your warehouse, but with different costs.
Production consumes the oldest batch first
When a production run starts, Loribase allocates the oldest available batches first (First-In, First-Out). If one batch is fully consumed and more material is needed, the next-oldest batch is consumed. The split is exact: the system never rounds or averages.
Cost is calculated from actual consumption
At the end of the production run, the system knows exactly which batches were consumed, how much from each, and at what unit price. The production cost is the sum of those actual values, not a standard cost from a spreadsheet.
Additional costs are added and allocated
Beyond raw materials, you can configure additional cost components: labor hours at a defined rate, energy consumption, equipment depreciation per hour. These are added to arrive at the total production cost per unit.
Costs
Full production cost breakdown
For every completed production run, Loribase provides a detailed cost statement:
Raw material cost (FIFO)
Sum of all consumed batches × their actual purchase price
Labor cost
Configured hourly rate × production hours logged
Energy cost
Energy rate × consumption recorded (or estimated by batch size)
Depreciation
Equipment depreciation per production hour, allocated to the batch
Total cost per unit
Sum of all components ÷ units produced = exact cost per unit of finished good
Suggested selling price
Total cost per unit × (1 + target margin %) = price that preserves your margin
Production Batch
Lavender Soap 200g · PB-2024-089
Started at
Mar 19, 2026, 09:41 AM
Inputs · FIFO
Coconut Oil
L-2024-008 · 2.5 kg
Caustic Soda
L-2024-011 · 320g
Distilled Water
L-2024-015 · 800ml
Lavender Essence
L-2024-009 · 120ml
Progress · Steps
Weighing
Inputs checked
09:41
Saponification
Mixing in progress
10:15
Curing (24h)
Waiting for previous step
—
Packing
Waiting for curing
—
Output · Batch
Planned qty
48 units
Batch cost
R$201.60
Cost / unit
R$4.20
Inventory impact
Integration
Connected to inventory in real time
Production management in Loribase is not a separate module. It is built on top of the same event-driven inventory foundation. When you start a production:
Raw materials are automatically reserved (they cannot be double-allocated to another order)
Available stock for each component decreases immediately
When production completes, consumption events are recorded for each input batch
Finished goods are added to inventory as a new lot, with the calculated cost as its unit cost
The new lot is immediately available for sale or for use as input in another production
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