What is Bill of Materials (BOM)?

A bill of material (BOM) is a list of raw materials, sub-assemblies, or any labor required for manufacturing a specific item. It provides detailed information about the quantity, description, and specifications of each raw material required to manufacture the final product. The materials listed in the BOM get consumed to produce the final manufactured item.

There are typically two main types of BOMs:

1. Single-Level BOM: This type of BOM lists all the components or raw materials directly used in manufacturing a product.

2. Multi-Level BOM: In a Multi-Level BOM, some or all of the materials listed in the BOM can themselves be produced. This means that this BOM includes a sub-BOM for these materials, detailing the steps required to produce them

Creating a BOM

Creating a BOM entails entering the details of the manufacture item number, bill of material name, instructions, validity, and revision #. The details section allows you to add components, item qty, and instructions.

To create a BOM, go to Menu > Manufacturing > Bill Of Material

Entering a BOM

When entering a BOM, you'll begin by entering header-level information, such as the manufacture item number, bill of material name, instructions, validity, and revision #.

Section	Field	Description
Bill Of Material	Manufacture Item Number	Search and select an item that this bill of materials is for. Note that only items that are configured as manufacturable will be fetched in this field.
Bill Of Material	Revision #	Enter a revision for the BOM here, if necessary.
Bill Of Material	Bill Of Material Instruction	This field allows you to add the manufacturing instructions, if required
Bill Of Material	Bill Of Material Name	This field allows you give a name to the bill of material. This field should already be fetched once the manufacture item number has been selected. You can edit this, if required.
Bill Of Material	Time To Complete (Minutes)	Enter the time required for the completion of the bill of material.
Bill Of Material	BOM Type	This field allows you to select the type of the BOM.
Bill Of Material	Valid From Date	This field allows you to select a date from where the validity of this BOM starts.
Bill Of Material	PPE Notes	This field allows you to add specific instructions or information related to Personal Protective Equipment (PPE) that should be followed during the manufacturing or assembly of the product.
Bill Of Material	Memo	This field provides space for writing notes or any additional information related to the bill of material. This allows you to add important details or instructions that need to be considered during the manufacturing or assembly of the product.
Bill Of Material	Valid To Date	This field allows you to select a date from the validity of this BOM ends.
Revisions	BOM Name	This field shows the bill of material name.
Revisions	BOM Type	This field shows the bill of material type.
Revisions	Description	This field displays the description of the item.
Revisions	Is Revision	This field shows whether the item is a revision or not.
Revisions	Item Number	This filed shows the unique identifier for the BOM item.
Revisions	Memo	Any additional information recorded for the BOM item is captured in this field.
Revisions	Revision	This field captures the revision number of the BOM, if any.
Revisions	Valid From	This field shows the date from where the validity of this BOM starts.
Revisions	Valid To	This field shows the date from where the validity of this BOM ends.
Custom Fields	Custom Fields	This section allows you to enter data in the custom fields defined for the bill of material entity. This feature provides the flexibility to capture and store additional information relevant to the bill of material.

Adding Components to a BOM

Once the basics are set, you will begin to enter the raw materials to the bill of material. Click on "Add Raw Materials" to add the component, the item quantity and instructions for using the raw material.

Please note that only items configured as raw materials can be added to the bill of materials.

Add Items Fields

Field	Description
Item Type	Select the item type that you want to add to the bill of material (Inventory, Non-Inventory, Labor, etc.).
Item Number	Search for the item number that you want to add to the BOM.
Description	This field displays the description of the item.
Qty	Enter the quantity of the item to be added.
Instructions	Enter the instruction for the processing of this BOM item.
One Time Item	Check the "Yes" radio button if this item is only consumed once during the manufacturing process, regardless of the quantity being produced.

Use the convenient keyboard shortcut (Alt+A) for the "Add Item" option

Bill Of Material Components Fields

Field	Description
Alternative Item Number1	This field displays an alternative item number 1 for the item, providing additional identification.
Alternative Item Number2	This field displays an alternative item number 2 for the item, providing additional identification.
Alternative Item Number3	This field displays an alternative item number 3 for the item, providing additional identification.
Barcode	The barcode recorded for the item is captured in this field.
Description	This is an editable input field that displays the description of the item.
Instructions	This field displays the manufacturing instructions for the raw material.
Is Manufacturable?	If this item itself is manufacturable, then this box will be checked.
Item	This is the unique identifier for the item.
One Time Item?	Check this box if this item is only consumed once during the manufacturing process, regardless of the quantity being produced.
Prevent Sub MO	Select this checkbox to prevent auto-creation of sub-MO for this item line even if inventory is short when releasng the MO.
Qty	This field displays the quantity of the raw material added to the BOM.
Service Unit Cost	This is an editable field that allows you to enter/update the unit cost of the raw material.
Type	Specifies the type of item, such as inventory, labor, etc.
UOM	Specifies the unit of measure for the item (liter, unit, kilogram, etc.).
Revision	This allows you to select the revision of the sub-BOM for manufacturable raw materials. By selecting the appropriate revision, users can ensure that the correct version of the sub-BOM is used in the production process.

After completing the header fields and adding the components, click on "Save" to create a BOM.

Creating BOM Revisions

A BOM revision allows you to make continual updates to the specifics of a BOM during the entire product lifecycle. It also provides a user-friendly historical log of all revisions made. You can use the revisions to analyze and monitor cost reductions, especially when multiple BOM revisions are used in the production process.

BOM revisions can be created in two ways:

Creating BOM Revision from the Bill Of Material module

To create a BOM revision, open an already existing BOM and make the necessary changes, such as adding or removing items or adjusting quantities.

After the changes have been made, specify the Revision # and validity dates (Valid From Date and Valid To Date) in the BOM header section. Then, navigate to Options and select "Save as New Revision" to create the new revision.

Creating BOM Revision via upload

Fill in the details of the revision in the upload BOM file, making sure to enter the Revision, ValidFromDate and ValidToDate columns. Set the "Is Revision" flag to true.

Then, upload the file in the Upload Bill Of Materials module to create a new revision.

Updating BOM Items

Keeping an up-to-date and accurate Bill of Materials (BOM) is essential for ensuring that products are built efficiently and to specification. If the raw material or the raw material quantity used for producing a good has been updated, you can use the "Update BOM Items" module to change the raw material in a BOM.

To update the bill of material items, go to Menu > Manufacturing > Bill Of Materials > Update Bill Of Material Items

There is a dropdown for “Update Type” in the “Update BOM Items” module. The Dropdown has two values: Bill of Material & Manufacture Orders.

To change the item or the item quantity of the raw materials of a BOM, select the "Bill of Material" update type. The "Manufacture Orders" update type allows you to update the item quantity on a manufacturing order.

Update Type: Bill Of Material

• If the BOM option is selected, then the data is loaded based on Items used in the Bill of Material. From here, the Qty and Item of the Raw materials in BOM can be updated.

• Select the BOM you want to update and choose the Replacement Item# and Qty. Click on Update Selected Records if you want to update selected BOM Items.

• To make changes to all the related BOM Items, update the BOM Items and click on Update All Records from the drop-down menu.

Update Type: Manufacture Orders

• If the Manufacture Order option is selected, then data is loaded based on Items used as Raw Material in the Manufacturing Order.

• This will update the Qty of the Raw Material.

• Search the Raw Material Item Number for which you want to update the quantity.

• It will fetch all the MOs in which the Raw material is used.

• Select the MO you want to update, change the Qty, and click on Update Selected Records.

• To make changes to all the related MOs, update the quantities and click on Update All Records from the drop-down menu.

**Please note that you can only void the bill of materials that have not been utilized in the manufacturing of an item.

Deleting BOM Items

In XoroERP, deleting a BOM is subject to specific rules to ensure data integrity and avoid disrupting manufacturing processes:

1. General Rule for BOM Deletion: By default, a BOM can only be deleted if there are no Manufacturing Orders (MOs) created for that BOM. If an attempt is made to delete a BOM with active or historical MOs, an error message will be displayed, preventing the deletion.

2. If the "Is Manufacturable?" Flag Is Set to False: If the "Is Manufacturable?" flag for a BOM item is updated and set to false, the BOM can only be deleted under the following conditions:

   • There are no MOs created for the item.

   • Any existing MOs for the item have been completed (status: Produced) or reversed (status: Disassembled).

   If any MOs are in a status other than Produced or Disassembled, the system will display a specific error message. This safeguard prevents accidental deletion of BOMs linked to ongoing or incomplete manufacturing activities.