AX how to manage inventory - item receipts vs sales w/o production module

Hi. we are implementing D365 Operations (startup) that build/assemble industrial equipment (expect low transactions to begin with say 100s per month). As a first phase we are targeting Financial management with an ability to receive items and/or SO. We use different tool to design BoM and manage it there (plan to integrate with D365 at sometime in the near future).  Production module/MP/Manufacturing is not targeted for phase 1. Wondering what would be the best (simple) way to manage inventory and financials as it relate to item receipts and sale of assembled units (finished good). 

few open questions that I have: 

1. We don't plan on creating BoMs (sale units) at least in phase I release. How can we register inventory reduction when an item is sold (sale item typically consists of about 100+ raw materials).  Do we need to create a BoM and run through production w/costing sheet? I am wondering how others are handling this w/o production/manufacturing modules setup.  Manual inventory movement journals?  

Note that we ship the assembled items (not a lot to begin with say 15 to 20 assembled units in the first year).    we are going with standard costing model. Any thought would be appreciate it.   Your thoughts/feedback is appreciated. 

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  • So you are not creating BOM's but you are receiving stock, so the transformation does not happen in AX. Therefore your only real choice is to manually remove the used components and manually receive the finished item to sell it - if you use sales that will downdate the finished good stock. You will only get PO PPV with standard costing, your manufactured item is irrelevant as you are not manufacturing it, so variance there will be an issue, but you are not capturing labour anyway so not really an issue.
    If you want proper costing and production based usage of material and manufacturing variance then I would suggest you implement manufacturing, volumes are low, but I guess the BOM is extensive which brings you to the focus of the integration of the BOM.
    Assess the volume of stock movement, decide if manual adjustments are feasible, decide if losing production costing and variance matters and then plan the future phase.
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