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What is Routing in Manufacturing ERP?

A routing defines the sequence of operations required to manufacture a product, specifying which work centre performs each operation, in what order and how long each operation takes. In Microsoft Dynamics 365 Business Central, routings are assigned to production items alongside a bill of materials and drive production scheduling, work centre capacity loading and manufacturing cost calculations. Together, the BOM and routing form the complete specification for manufacturing a product.

How routing works in Business Central

Each routing line specifies an operation number, the work centre or machine centre where it is performed, setup time, run time per unit, and any wait or move time. When a production order is created, the routing calculates the production schedule based on work centre capacity. Actual times posted against routing operations accumulate as costs on the production order, enabling comparison between planned and actual manufacturing costs.

Routing in practice

  • A precision engineering company maintains routings for each product family, with operation times validated against time-and-motion studies, enabling accurate delivery date commitments on sales orders.
  • A production manager uses routings to identify that a specific machining operation is the production constraint and investigates subcontracting to increase throughput.
  • A manufacturer uses routing version control to test revised operation sequences before activating them, comparing standard costs of old and new routing side by side.
  • A business uses subcontracting routing lines so Business Central automatically generates purchase orders to external processors when production orders with those operations are released.

How Advantage configures routing in Business Central

Routing setup requires accurate operation times, correct work centre assignments and careful sequencing. Advantage works with production engineers and floor managers to capture and validate routing data before go-live, and implements the subcontracting workflow for businesses that use external processing operations.

Talk to Advantage about manufacturing ERP →

Frequently asked questions

What is the difference between a routing and a bill of materials?

A bill of materials defines what materials are needed. A routing defines how the product is made: the operations, work centres and times. Both are required for full manufacturing functionality in Business Central.

What is subcontracting in Business Central routing?

A subcontracting routing line means an operation is performed by an external supplier. Business Central automatically generates a purchase order when a production order with that routing line is released, managing the send-out and return of goods.

Can Business Central routing handle parallel operations?

Yes. Business Central supports parallel operations through simultaneous routing links, allowing two or more operations to run at the same time on different work centres. This is important for accurate scheduling of complex products.