Skip to content
Home / Contract Manufacturing

Manage inventory across contract manufacturers and co-packers

Track materials sent to contract manufacturing partners, monitor outsourced orders, and receive finished goods—all with real-time inventory visibility. Full supply chain control, no factory required.


icon

Track inventory at every stage

See what’s in your warehouse, in transit to manufacturers, in production, and on the way back. Connect with your existing tools for a complete picture.

icon

Maintain full traceability

Track batch and lot numbers from raw materials through contract manufacturing to finished goods. Critical for food, cosmetics, and other regulated industries.

icon

Keep sales channels accurate

Available inventory reflects reality across Shopify, Amazon, and all your sales channels including stock in production with partners.

Stay in control when production happens elsewhere

Outsourcing production to contract manufacturers and co-packers makes sense. It can mean lower costs, specialized expertise, faster scaling. But it creates a visibility gap that spreadsheets can’t solve.

Katana bridges that gap. Our inventory management platform tracks materials sent to contract manufacturers and updates inventory automatically when finished goods arrive.

Track outsourced orders from start to finish

Katana’s outsourced purchase orders work differently from standard supplier orders tracking both the materials you provide and the finished goods you expect back.

Tracking capabilities

  • Create outsourced purchase orders that track materials sent and finished goods expected
  • Receive partial shipments and track remaining quantities
  • Calculate true product costs including manufacturing fees and shipping
  • Set lead times that reflect real outsourced production timelines
  • Get alerts when orders are due or overdue
person looking through a list of purchase orders on a tablet computer

Always know where your inventory is

The biggest challenge with contract manufacturing is visibility. Materials leave your warehouse, production happens elsewhere, and you need to know exactly what’s where.

Multi-location inventory tracking includes:

  • Stock in your warehouses and fulfillment centers
  • Materials in transit to production partners
  • Inventory at contract manufacturer facilities
  • Finished goods being shipped back to you
an illustration of the Katana platform where different batches can be tracked and traced

Maintain compliance even with external production

Working with contract manufacturers doesn’t mean losing track of your products. Katana’s batch and lot tracking maintains full traceability across your supply chain.

End-to-end traceability features:

  • Forward tracing: Track which material batches went into which production runs
  • Backward tracing: Trace finished goods back to source materials and suppliers
  • Batch capture on receipt: Log batch numbers when receiving goods from manufacturers
  • Expiry management: Track expiration dates for food, cosmetics, and supplements
  • Recall preparation: Identify affected products quickly with end-to-end visibility

Integrate your tech stack and
simplify your operations

Build a system tailored to your workflow, with Katana unifying inventory across channels, ensuring accuracy, and automating the tasks that keep operations moving.


Stay on top of every order and stock movement with live updates across sales, inventory, and production


Save hours by automating order fulfillment in Katana and extending workflows with integrations


Unlock full customization with Katana’s robust API, connecting every tool to your unique workflows

Tools to success

Tools for contract manufacturing success

Everything you need to manage inventory when using contract manufacturers.

Outsourced purchase orders

Create orders that distinguish between materials you’re providing and finished goods you expect back. Distinct from standard supplier purchases.

Material
tracking

Log shipments to manufacturers, confirm receipt, and maintain visibility into materials at external facilities with multi-location tracking.

Multi-location inventory

Track stock across your warehouses, in transit, and at manufacturer locations in a unified view.

Bill of materials (BOM)

Define and manage BOMs for products made externally. Track component costs, monitor material availability, and plan purchases even when someone else handles production.

Batch & lot tracking

Maintain full traceability from raw materials through external production to finished goods receipt. Essential for food safety, cosmetics compliance, and recall readiness.

Receiving workflows

Log received quantities, capture batch numbers, flag discrepancies, and update inventory automatically when goods arrive from contract manufacturers.

Lead time management

Set accurate lead times for outsourced production. Improve demand forecasting and prevent stockouts by accounting for real production timelines.

Cost tracking

Calculate true landed costs including materials, manufacturing fees, shipping, and handling. Make pricing decisions with accurate cost data.

Sales channel sync

Keep available inventory accurate across Shopify, Amazon, and all your channels accounting for stock in production with external partners.


Get started with Katana

Create your account and start exploring Katana with the Free Plan, no credit card required, or book a personalized demo to see how Katana can help your business.

All Katana features

All Katana features

With the right software and workflows, it will feel like your products are selling themselves. Here are just some of Katana’s features that will make that feeling achievable

Purchasing

Maintain a perfect balance between supply and demand.

Order management

Manage orders seamlessly across all of your channels.

Warehousing

Reliably move stock in and out of warehouses.

Manufacturing

See, control and deliver every step of production on time.

See all features

Everything you need to sync inventory and track orders

Frequently asked questions

Yes. Katana is built for product businesses whether you manufacture in-house, outsource production to contract manufacturers, or buy finished goods from suppliers. Many of our customers don’t manufacture anything themselves.

Katana’s outsourced purchase orders let you track materials sent to contract manufacturers and monitor when finished goods are due back. You maintain visibility into what’s in production, track batch numbers for traceability, and update inventory automatically when goods are received.

No. While Katana has powerful manufacturing features, many customers use Katana without touching those features. Distributors, wholesalers, ecommerce brands, and any business managing physical products can use Katana.

Katana handles hybrid models. Use manufacturing features for products you make in-house, and outsourced purchase orders for products made by contract manufacturers. Everything flows into the same inventory and sales order system.

You can track materials sent to contract manufacturers and finished goods due back using Katana’s multi-location inventory. For real-time visibility into their facility, you’d rely on partner updates, which you can log in Katana to keep records current.

Get visibility over your sales and stock

Wave goodbye to uncertainty with Katana Cloud Inventory — AI-powered for total inventory control