Kitting
Quick facts
| Category | Component bundling for assembly or fulfillment |
|---|---|
| Used by | Manufacturing, distribution, electronics, medical devices, consumer goods |
| Also called | None widely standardized |
| Related standards | None specific |
| Related processes | Bill of materials, work order management, routing, manufacturing inventory control |
| Semantic match | kitting, kit assembly, pickable kit, manufactured kit |
What is Kitting?
Kitting combines multiple individual items into one grouped unit, or kit, streamlining downstream processes that would otherwise require picking and handling each component separately.
A pickable kit is assembled simply by gathering the specified components together, without any additional labor or overhead cost applied, essentially bundling existing inventory into a new sellable or usable unit. A manufactured kit, by contrast, is built through a formal work order, capturing not just the component materials but also the labor and overhead costs associated with assembling the kit.
Kitting can be performed in-house or outsourced to a third-party assembler, with the kitting organization generating purchase orders for outsourced assembly services and shipping documents to send raw materials and components to the external party for assembly.
Why is Kitting important?
Kitting reduces picking and handling time downstream, since a single pre-assembled kit can be picked as one unit rather than requiring separate picks for each individual component.
For manufactured kits, capturing labor and overhead alongside material costs provides more accurate product costing, reflecting the true cost of assembly rather than just the underlying component prices.
Kitting also simplifies inventory management for common component groupings, converting several separate line items into one manageable kit number for planning, ordering and fulfillment purposes.
How does Kitting work?
A typical kitting process includes:
- Kit definition. Define the components that make up the kit, similar to a bill of materials.
- Kit type determination. Decide whether the kit is pickable or manufactured based on assembly complexity.
- Work order creation. For manufactured kits, generate a work order capturing labor and overhead.
- Assembly. Assemble the kit in-house or through an outsourced assembler.
- Inventory update. Record the completed kit into inventory, consuming the component materials used.
- Fulfillment. Ship or use the kit as a single unit in downstream processes.
Pickable Kit vs. Manufactured Kit
| Comparison | Pickable Kit | Manufactured Kit |
|---|---|---|
| Cost captured | Component materials only | Materials plus labor and overhead |
| Process | Simple assembly at time of picking | Built through a formal work order |
Real-world examples of Kitting
A distributor creates a pickable kit bundling several frequently ordered accessories together, simplifying order fulfillment for customers who regularly purchase the same combination of items.
A manufacturer builds a manufactured kit through a formal work order, capturing the assembly labor cost alongside component materials to accurately price the finished kit.
A company outsources kitting to a third-party assembler, shipping raw components to the assembler and generating a purchase order for the assembly service performed.
Regulations and standards related to Kitting
Kitting is not itself a regulatory requirement, but in regulated industries such as medical devices, kitted products must still maintain the lot and component traceability expected of any other manufactured or assembled item.
How QT9 helps with Kitting
QT9 ERP kitting capabilities
- Support both pickable and manufactured kit configurations.
- Generate work orders for manufactured kits, capturing labor and overhead.
- Maintain full lot and serial traceability across kitted components.
- Connect kitting to bills of materials and inventory in real time.
- Support outsourced kitting with purchase order and shipping documentation.
- Track kit costs accurately for pricing and profitability analysis.
See QT9 Software in Action
Discover how QT9 Software helps manufacturers improve efficiency, strengthen compliance and connect quality management and ERP processes within one integrated platform.
Common mistakes with Kitting
Common mistakes include treating a manufactured kit as if it were a simple pickable kit, failing to capture the labor and overhead costs that genuinely went into assembling it.
Other problems include losing component-level traceability once items are combined into a kit, making it difficult to trace a specific component lot if a quality issue arises later.
Frequently asked questions
Related quality management terms
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