Itemsmaterials

Itemsmaterials is a term used in discussions of manufacturing and supply chain management to describe the relationship between inventory items and materials. While not a formal standard with a fixed definition, it serves as a convenient shorthand for understanding how finished goods, components, and raw inputs are categorized, tracked, and planned within an enterprise resource planning (ERP) system.

Items refer to units kept in stock that may be sold, assembled, or used to fulfill orders. They include finished goods, assemblies, subassemblies, and spare parts. Materials refer to inputs consumed in production or operations, such as raw materials, components, packaging, and supplies. Distinctions can blur in practice when raw materials are treated as items in inventory, or when consumables are stored as part of a kit.

In data terms, organizations maintain item master data for items and material master data for materials. Production planning uses a bill of materials (BOM) that lists the materials required to build an item, while material requirements planning (MRP) uses inventory levels, lead times, and demand forecasts to compute replenishment orders.

Common considerations include unit of measure, valuation, procurement type, and lifecycle status. Accurate BOMs and clean master data are essential to prevent stockouts or overstock, ensure traceability, and support reporting.

Example: a bicycle item might be built from steel tubes, rubber tires, and handlebars (materials); the bicycle itself is the item. Standards and systems such as GS1 barcodes, ERP material masters, and SKU management support integration across procurement, production, and sales.