BOM - Bills

Inv. item – Item Defining attribute. BOM allowed – Status attribute for an item to have a BOM.

Resources : Men, Material, Machine, Method and time.

Setup – parameters :
Max bills = 60. Choose suitable config options.

Resource Groups : Setup – Resource Groups.

Grouping of resources under a same name will facilitate capacity requirement / loading of resources.

Department Classes : Setup – Department Classes

Same as above.

Simulation Sets : Setup – Simulation sets

Temporary additions / deletions of resources in a department to offset the excessive loading of
resources in a department by the planning process. Re-launch the planning process by including the
simulation set. If they are permanent, they should be corrected in the resource availability of the
concerned department.

Cost Elements : Matl, MOH, Resource, Overhead and Outside Processing.

Material Cost : Purchase price of an item. MOH : Freight Charges, Loading / unloading charges,
Stacking charges.

SUB-ELEMENTS :
Material Sub-Elements : Classify the item as Plastic, Steel or Aluminum. Determine the basis type
( allocation charge method) and assign an appropriate amount. ( Preferable one sub-element for
material account) MOH Sub-Elements : Purchasing, duty, matl. Handling, freight.

Basis Type :
Item : Fixed amount per item
Lot : Fixed lot charge to items or operations. Cost per item = Fixed cost / standard lot size ( MTL and
MOH SE).
Total Value : Used only with MOH.

Activity : Used with Matl and MOH only. MOH calculation is based on activity.
Activity occurrences = No of items = Activity rate

If snap shot is enabled an alternate bill is created. we can run the indented bill for the alternate , even if
the primary bill has changed.

Standard BOM : Contain mandatory components. Eg. Bills for manu assemblies, PTO bills, kit bills and
phantoms. Configuration bills is a set of options made from a model bill which contains a buildable and
sellable product. Create configuration bills from a SO or manually.

Model BOM : Contains list of options and option classes. It specifies mandatory components or included
items that are required for configuration. A model bill can be either ATO or PTO.

Option Class BOM : An Option class is an item that groups optional components on a bill. This a level in
Model BOM. Option classes can also have mandatory components. Eg. In a computer model BOM,
Monitor is an option class and the specific make monitor you choose is an option within the option class
and the monitor stand is a mandatory component in the option class.

Planning BOM : It includes a percentage distribution of components. Cum % need not be 100%. we can
define alternate and common planning bills. MRP explodes level by level and applies plg. % at each
level.

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Engineering BOM : This can be an alternate to the manu BOM. This is to prototype variations from the
primary BOM. Catalog descriptive elements can be specified in an engineering bill. when they are
released to manufacturing, Cat. Descriptive elements are assigned values during configurations. Oracle
Engg. can use both Engg and manu items as components in an engg bill whereas BOM users can
assign only BOM items in a manu. Bill.

Phantoms : It is a non-stocked Sub assembly ( SA). we can define routings. we can compute manu and
cum lead times also. As a bill ( assembly) it behaves normally for creation of a discrete Job. But WIP
ignores phantoms and their routings during job or rep. Schedule creation if it is a sub assembly.( Its
components are only picked )

Substitute components : (N) Bills – Bills. Query for the bill. Choose the component. Press the button
substitutes. Enter component and qty.

Assigning Reference Designators : They are sequenced comments and instructions that pertain to a
component. If qty related, the max ref designators is limited to the qty of component.

Indented bills : displays all levels and displays item details, bill details, quantitiesd, effectivity, order
entry and shipping details.

Comparison of bills : The differences are compared and displayed.

Check for loops : (N) Bills – Bills. Query your bill. Tools – Check for loops. Identify the level and put an
end date to that level bill.

Assembly cost roll up : Aftet defining the bills and routings, the expected cost of production can be
found by rolling up. (N) Bills – Bills . Tools – Rollup Costs under a cost type.

Alternate bills : First define the alternate name tag. And mention that in the alternate field of the primary
bill. Create it as a normal bill.

Bill Revision : (N) Bills – Bills PB – Revision button. You cannot define a revision for an alternate bill.

Bill Copy : (N) Bills – Bills Choose an item. Tools – Copy from . Bills can be copied across organisations
also. Bills of same item type can only be copied. It is a single level copy. Every level has to be copied
separately. All components must also be assigned to destination organization. While coping across org,
the supply SI and locators are not copied.

Common Bills : Two items of same bill type can share common bills and routings. We can not reference
a bill, if that bill also reference another bill. ( Nested reference is not possible). A manu bill must refence
only a manu bill. The alternate name has to match in both the bills. If referenced across org, the
referenced bill can only be viewed and not altered from here. (N) Bills – Bills Tools – Assign Common
Bill.

Effecting multiple changes : (N) Bills – Mass Changes : Make changes for a set of items.

Component Supply types :

Assembly Pull : On completion of assemblies, components are issued to discrete jobs and rep. Sch.
This is choosen for In-Process materials that is pulled from a floor stock sub inventory. when we need
raw materials from main Inv, we prefer Push supply type.

Based on Bill : It is WIP specific. Changes from Based on Bill to Assembly pull are possible.

Bulk : They are not back flushed and do not default while issuing components for assembly. eg. Nails,
nuts, washers etc.

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Operation Pull : Pull components are issued to discrete jobs and rep. Sch. when you complete
backflush operations. If an assembly has no routing, this supply type can not be assigned. However if
an assembly has a routing with no operation or all disabled operations, this supply type can be applied.
But they are automatically changed to assembly pull. Normally for the In-process matl. From floor stock
SI, will have supply type of operation pull. If lead time is large, use push ( raw matl. from main SI to
shop floor)

Phantom : Phantom components can be assigned to BOM component SA. Phantom behaves normally
when master scheduled or manufactured on a DJ. As SA, they loose their identity. Set Phantom lead
time to zero to avoid lead time offset. when assembly costs are rolled up the routing costs of Phantom
SA are ignored for the higher level assemblies.

Push : Push components are issued directly to DJ and Rep. Sch.

Supplier : This is for indicative purpose only and they are not transacted. For report purpose.

Negative components : They are wastes and by-products generated from specific operation. Perform
“Negative Component Issue” by WIP transaction.eg. If the negative component nc1 requires a qty –100
with supply SI as waste godown, when we complete 10 assemblies with operation pull, a total 1000 nc1
will be sent to waste Godown SI. The reverse of this “Negative component return” which will have a
positive qty.

A hybrid model will have both ATO and PTO models and option classes. Any number of optional classes
with an option class. If any of the options under an option class is selected, the included item gets
selected.

ME = Yes ME = No
Optional = Yes Choose 0 or 1 Choose none or any
Optional = No Choose one and only one Atleast one option

ME can be checked only for a ATO or PTO optional class.

If the basis is Option class, we cannot modify the extended order quantity.

If check ATP is checked in the item, its value is updatable in a bill. Otherwise not. ATP components is
set to yes for both model and Phantom items for calculating the items with ATP check enabled below
them.

Use common bills to assemble ATO models in other organizations. Normally create common bills in
IMO and reference them in individual organisations.

ATO items can be catalogued with descriptive elements concatenated with hypen separation.

Component BOM Type

Parent BOM Type Planning Model Option Class Standard
Planning    
Model X   
Option Class X   
Standard X X X 

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