Create a Production BOM – Setup

Production BOM Creation Steps

A production BOM holds master data that describe the components and sub-assemblies used in the production of a parent item. Once a production order is created for that parent item, its production BOM will govern the calculation of material requirements as represented in the Prod. Order Components window.

Prerequisites to create Production BOM

• Item cards are created for parent items and their components (see Create an Item Card – Setup Guide).
• Gather all data about item structures: Top-level items, sub-assemblies, components – and their interrelation.

To Fill in the Production BOM Header

1. From the Production BOM list page, click New to open a new, empty production BOM card.
2. In the No. field, number the production BOM (for example the same as the parent item).
3. In the Description field, name the production BOM (for example the same as the parent item)
4. Select the parent item’s unit of measure code in the Unit of Measure Code field.
5. The Status field must be New or Under Development to edit the BOM, and Certified to enable it.

To Fill in the Production BOM Lines

1. You can copy lines from an existing production BOM by clicking Actions, Functions, Copy BOM to select existing lines, or you can enter the lines manually:
2. In the Type field, select whether the item on this BOM line is an ordinary item or a production BOM. If the item on the line is a production BOM, then it must already exist as a certified production BOM.
3. In the No. field, look up and select the item or production BOM in question (or type it in the field).
4. In the Quantity Per field, enter how many units of the item go into the parent item (e.g. 4 wheels for 1 car).
5. In the Scrap % field you can enter a fixed percentage of components that are scrapped during production. When the components are ready to be consumed in a released production order, this percentage will be added to the expected quantity (in the Consumption Quantity field) in a production journal.

Note: This scrap percentage represents components that are scrapped during production (when picking from inventory) whereas, the scrap percentage on routing lines represents scrapped output (before putting on inventory).

• 6. In the Routing Link Code field you can enter a code to connect the component to a specific operation (see Create Routing Links – Use Guide 8).

Note: Apart from affecting the automatic consumption posting (flushing), routing links between operations and components ensure a nice process overview when recording operation data in the production journal. 

7. Certify the production BOM.

8. You can now attach the new production BOM to the card of the parent item in question.

Note: Remember also to recalculate the item’s standard cost (all levels). 

Tip: Avoid using BOM versions unless absolutely necessary.