Within the Bill of Material module the users have the option to mark each item loaded to the BOM as Used in Kit Y, N or F. 

Y = Yes, this part is used in the Kit and will be considered fro MRP demands and appear within the Kitting module Qty Pick screen.  Once the parts have been issued to the kit  the system will automatically decrement it from inventory upon WO complete. 

N = No, this part is NOT used in the kit, but it will be considered by MRP for demands but will NOT appear in the Kit module Qty Pick screen.  This item will still be displayed on the Kit Pick Worksheet but it will have the “N” next to the item so users will know that it is not used in the kit.  Example:  you would use this option for Documentation.  NOTE:   Keep in mind that this item will be picked by the users on the floor but it will not be relieved from inventory in any way through the Kitting module. Users have to go make and manually adjust the inventory qty’s for this type of item.

MRP includes items with "N" flag in "used in kit" for Purchase Order Actions. The flag does not mean don't buy it, but instead, it means don't kit it. The part is still needed, or it wouldn't be on the BOM. Or the quantity would be zero. This feature is usually used by Users who have bulk stock on the floor, and the assemblers pull the parts out of floor stock.  But there still remains the requirement to get the parts in house so they can be put into floor stock.

F = Floor, this would be used for an item that is not kept in the Stock room but is physically stored out on the Floor in production.  “F” items will also be considered by MRP for demands, but will NOT be displayed on Kit Module Qty Pick Screen or the Shortage report.  This item will still be displayed on the Kit Pick Worksheet but it will have the “F” next to the item to indicate to the users that it is located on the Floor.  NOTE:  Keep in mind that this item will be picked by the users on the floor but it will not be relieved from inventory in any way through the Kitting module.  Users have to go make and manually adjust the inventory qty’s for this type of item.