Colour × Size Item Variants — no SKU explosion
ERPNext Item Variants eliminate the colour-size explosion problem. One base item — Polo Shirt Style A2 — with colour (10) and size (5) as variant attributes. All 50 variants are managed under one item code with their own stock, price and reorder level. One BOM covers all variants. No 50-row item master.
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One base item per style — colour and size as variant attributes. All 50 combinations under one item code.
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Stock per variant — live balance per colour-size combination. Low stock flagged per specific variant.
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Price list per variant — export price vs domestic price per colour-size. Customer-specific pricing supported.
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Reorder per variant — minimum stock and reorder quantity per colour-size combination
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One BOM for all variants — fabric and trim requirements same across sizes with adjustment factors
ERPNext · Items › Polo Shirt Style A2 · Variants
20 Variants Active
Item Variants — Polo Shirt Style A2 · Stock balance per colour-size
| Variant (Colour + Size) | Current Stock | Reorder Level | Status |
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| Navy Blue · M | 60 pcs | 30 pcs | OK |
| White · M | 8 pcs | 30 pcs | Below Reorder |
| Black · S | 6 pcs | 30 pcs | Below Reorder |
| Red · XS | 0 pcs | 20 pcs | Out of stock |
Multi-stage BOM — yarn to grey fabric to finished fabric to garment
ERPNext supports multi-stage production BOM for the complete textile value chain. Each stage has its own BOM — yarn to grey fabric (spinning/weaving), grey to finished fabric (dyeing/processing), finished fabric to garment (cutting and stitching). WIP is tracked at every stage.
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Stage 1 BOM — yarn (count, ply) to grey fabric (weave, width, composition). Yarn consumption per metre of grey.
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Stage 2 BOM — grey fabric to finished fabric after dyeing, printing or embroidery job work
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Stage 3 BOM — Garment — finished fabric per garment + trims (buttons, zippers, labels, thread). Cutting allowance included.
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WIP at every stage — quantity in spinning, weaving, dyeing, cutting and stitching all visible simultaneously
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Actual vs standard at each stage — weaving efficiency, dyeing yield, garment cutting wastage all tracked against standard BOM
Cutting wastage tracking — per Work Order, per style
The garment BOM in ERPNext includes a cutting allowance for each style — the standard fabric consumption per piece including expected wastage. When a Work Order is raised and fabric is issued, actual consumption is recorded. The difference between issued and consumed is cutting wastage — posted to a Cutting Loss account.
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Cutting allowance in BOM — standard fabric per piece including 5–10% wastage configured per style
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Actual fabric consumed per Work Order — recorded at cutting stage. Difference = cutting wastage.
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Cutting Loss account — wastage posted to P&L account. Visible in monthly reports.
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Style-wise wastage trend — improvement or deterioration per style per month. Actionable data for production managers.
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PS Digitise client result — cutting wastage reduced from 8% to 5.2% in 3 months using ERPNext trend data
ERPNext · Manufacturing › Work Order · WO-0284 · Polo Shirt Style A2
Cutting stage
Cutting Work Order — Polo Shirt A2 · 500 pcs · Oct 2026
| Item | BOM Qty (standard) | Issued (actual) | Consumed | Wastage |
|---|
| Cotton Jersey 180 GSM (Navy) | 210 m | 210 m | 194 m | 16 m (7.6%) |
| Collar Fabric (Rib) | 30 m | 30 m | 28.5 m | 1.5 m (5.0%) |
7.6%
Cutting wastage (actual)
+2.6%
Variance — action needed
Dyeing and weaving subcontracting — ITC-04 from ERPNext
Every dyeing, weaving, printing or embroidery challan raised when fabric leaves the factory for a job worker is tracked in ERPNext. Material returns close the challan. ITC-04 Tables 4 and 5 auto-prepare at quarter-end. Open challan ageing flags any challan approaching 180 days.
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Subcontracting Order — fabric quantity to send, process (dyeing, printing, embroidery), expected return date
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Delivery Challan — fabric despatched to job worker. Challan number, date, quantity and job worker recorded.
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Subcontracting Receipt — finished fabric received. QC inspection. Accepted qty to fabric store. Rejected → return challan.
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ITC-04 auto-prepared — Tables 4 and 5 from challan data. Ready to file in 45 minutes per quarter.
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Open challan ageing report — challans approaching 180-day limit flagged. ITC reversal risk avoided.
ERPNext · Manufacturing › Subcontracting Challan Tracker · Q2 FY27
ITC-04 Ready
Dyeing Subcontracting Challans — Jul–Sep 2026
| Challan | Dyer | Fabric | Sent | Returned | Status |
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| SC-0441 | Sri Murugan Dyeing | Cotton Jersey 200m | 2 Jul | 15 Jul | Closed |
| SC-0458 | Ravi Colour Works | Polyester 180m | 1 Aug | — | Open · 81 days |
| SC-0472 | Selva Print House | Cotton Voile 150m | 5 Sep | — | Open · 46 days |
Export GST — IGST, shipping bill and EXPWP in GSTR-1
Export Sales Invoices in ERPNext carry IGST (for export with payment of tax), shipping bill number, port of export and let export date. GSTR-1 EXPWP (export with payment) section is auto-populated from these invoices. Duty drawback claim reference tracked per export invoice.
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Export Sales Invoice with IGST — tax type set to IGST on export invoices. Rate per item (12% for garments above ₹1,000).
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Shipping bill details — shipping bill number, port of export (Chennai / Tuticorin / JNPT), let export date recorded per invoice
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GSTR-1 EXPWP section — export invoices auto-populated in GSTR-1 exports section. JSON export for portal.
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Duty drawback reference — custom field for drawback claim number per export invoice. Claim tracking in ERPNext.
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e-Way Bill for domestic dispatch — for goods above ₹50,000. Generated from Delivery Note via India Compliance app.
Style-wise costing — actual margin per style, live
ERPNext captures every cost element per style — yarn, fabric, dyeing job work, trims, cutting wastage and stitching labour. The Style-wise Costing report compares actual cost vs budgeted cost and shows actual margin per style per order. No month-end Excel cost sheet needed.
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Fabric cost per style — actual fabric consumed tracked in Work Order. Variance vs BOM standard.
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Job work cost per style — dyeing, printing and embroidery costs from Subcontracting Receipt per style
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Labour cost per style — piecework from Job Cards per tailor per style. Allocated to style cost.
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Trim cost per style — buttons, zippers, labels and thread from BOM. Actual vs standard per order.
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Actual margin per style — selling price minus all actual costs. Profitable and unprofitable styles visible immediately.
