How to keep your production running when key components are out of stock

What’s the Cost of a Missing Bolt?

Let me ask you something simple –

What’s the cost of a missing bolt in your factory?

It’s not just the price of the part. It’s the cost of a stalled machine, a paused production schedule, frustrated employees, delayed customer orders and lost trust.

And it all starts with one simple, yet overlooked problem: a stockout.

Stockouts aren’t always dramatic. Sometimes they’re just a component or two missing, but the cost snowballs across your operations. If you’re still managing component shortages manually, you’re wasting time, money and risking your business flow.

But what if your system could automatically detect when a component is out of stock and switch to a backup option without anyone having to intervene?

That’s exactly what smart manufacturers are doing with Odoo + a simple automation layer.

Let’s understand how.

The Real Impact of Stockouts

When a key component is out of stock, production stops.
But the ripple effects are bigger than most managers anticipate –

Revenue Loss :  Downtime eats into profits. A Siemens study shows unplanned downtime costs large manufacturers over $50 billion annually.

Delayed Deliveries : Missed deadlines lead to unhappy customers and canceled contracts.

Increased Costs : Emergency procurement usually means higher prices and expedited shipping.

Team Frustration : Constant firefighting kills morale and productivity.

This is not a minor inconvenience. It’s an invisible leak in your manufacturing pipeline.

Why Traditional Solutions Fall Short

Let’s look at some conventional methods manufacturers use –

1. Safety Stock

You keep extra stock to prevent shortages. But this ties up cash, increases warehousing costs and still doesn’t guarantee availability of every item.

2. Manual BoM Adjustments

Every time a component is missing, your production team edits the BoM. This is error-prone and not scalable.

3. Just-in-Time Inventory

While JIT reduces inventory cost, it leaves no room for error. One delay from a supplier can halt the entire line.

These are reactive strategies. We need proactive, automated systems.

A smarter way with Odoo
Automated Backup Components

The Manufacturing Backup Components module for Odoo v18 solves this exact issue. Here’s what it does –

• Lets you define backup components right inside the BoM.
• Automatically checks stock availability in real-time.
• Auto-substitutes components when stock is zero.
• Keeps production running without manual intervention.
• Applies warehouse-specific stock logic to ensure accurate substitutions.

This means –

• No more calls from the floor asking for substitutions.
• No need to edit BoMs.
• No surprises in your production timeline.

How It Works : A Simple Workflow Explained

Here’s how the system functions step by step –

Step 1 : Set Backup in BoM

While creating or editing a Bill of Materials in Odoo, you simply add a backup product for any component you think may face stock issues.

Step 2 : Monitor Stock in Real-Time

When you create a manufacturing order, the system checks if all required components are in stock.

Step 3 : Auto-Replacement at MO Confirmation

If any component is missing, it automatically replaces it with the backup item and continues the manufacturing process.

Step 4 : Inventory Movement Updated

Stock moves are tracked in the system with full transparency — your warehouse sees the exact quantities picked.

Real Manufacturing Scenario – A Practical Example

Let’s say you manufacture electric bikes.

• One of your BoM components is a Lithium-ion battery.
• You define a Nickel-Metal Hydride battery as a backup.

Today, your Lithium battery stock is 0, but you have 200 units of the backup.

As soon as the MO is confirmed, Odoo auto-selects the backup battery and updates your work order.

No delays. No phone calls. No BoM edits.

You meet your production timeline without lifting a finger.

Key Benefits for Your Operations

• Zero Downtime : Production doesn’t stop when items are out of stock.
• Fully Automated : No manual checks or interventions required.
• Better Stock Utilization : Keeps excess materials moving.
• Improved Planning : Helps procurement teams stay ahead of needs.
• Warehouse-Specific Accuracy : Works with multi-location operations.
• Customer Satisfaction : Timely deliveries improve client trust.

Build Resilience Into Your Factory Floor

If you’re still solving stockouts by editing spreadsheets or sending urgent emails to your purchase team, it’s time to level up.

Your production line needs to be resilient. Not just fast. Not just lean. Resilient.

This Odoo module does one simple but powerful thing :
It makes sure your factory doesn’t stop because of a single missing part.

It helps your team stay focused on scaling the business instead of reacting to daily chaos.

Want to see how it works in your setup? 

Book a demo with us and let’s walk you through it live.

FAQs

Q1: What if both the main and backup products are out of stock?
The system will notify you. You can then choose to wait or manually assign a different product.

Q2: Can I have more than one backup component?
Currently, the module allows one defined backup. For more layers, a custom enhancement can be implemented.

Q3: Does this work for subcontracting manufacturing orders?
Yes, as long as stock logic and BoM structures are in place.

Q4: Can this be disabled for some BoMs?
Yes. You can choose not to define backups for specific products.

Q5: Will my production report reflect the used backup item?
Yes. All substitutions are tracked and visible in MO reports and inventory moves.