What is Bill of Materials?

Bill of Materials or BOM is a structured way of organizing all materials and processes required to build a product. It also enables estimating the total production cost based on the cost of work and each part or material cost. It consists of records of all the raw materials and their estimated costs and is represented in a hierarchical structure to better understand the manufacturing process and know the total production costs.

How to create BOM in SFactrix?

BOM creation is a simple step in the SFactrix application. With precondition, it is all about selecting the materials and processes to assemble the BOM structure.

SFactrix supports creating both Single level BOM as well as complex multi-level BOM with key indicators of level.

Pre- Conditions:

Parts / Items and Materials must be created in SFactrix.ai prior to BOM creation. You must be an Account Admin, Plant Manager, Work Center Manager, or Asset Manager to create a BOM.

The following section will guide you to create BOM step by step.

Steps to create BOM in SFactrix

  • Login to your SFactrix.ai account by going to SFactrix.ai | Login

  • From the setting page, under the organization settings, click on ‘BOM’ Card.

  • Next, click on the ‘Add BOM’ button.

  • Click on ‘Generate BOM Code’ in the BOM Code bar. A unique BOM code is auto-generated against each BOM. You can enter the BOM code manually too.

  • Click on ‘BOM Name’ and enter a BOM name.

  • Click on the ‘Part code’ to select the part code that already exists in the ‘Part/item card’. Please note that part code must be parent type to create BOM.

  • Click on the ‘Description’ bar and add a brief description of the part.

  • Next click on the ‘Submit’ button. Your Bill is created successfully.

Please note the details of each parameter required to complete the BOM creation.

Field

Description

BOM Code

Each BOM should have a unique code against a particular material/part that is auto-generated. It can be manually entered too.

BOM Name

BOM should be given a name for the identification of a particular material/part.

Part Code

The same part code is to be entered here that already exists in the ‘part/item’ code.

Description

Brief a description of each material against each BOM.

Revision No.*

Revision No. is changed each time you update the BOM.

Production Cost*

Production cost is the estimation of each material cost and the Total Labor cost is calculated as,

The total cost of Materials + Total Labor cost of all the processes.

Part Code/ Material Code

Part Code/ Material Code, either one is entered from the dropdown list to get the cost estimation of each part.

  • Part code can be entered if the part is a child part.

  • Material Code is entered if the part is a parent part.

Enter Qty*

The required quantity of part/ material is to be entered to calculate the production cost of each part.

  • Select the Part code from the drop-down list under the ‘Material Requirements’ tab. Here, part code should be either child part or material.

  • Select the ‘Material code’. ‘Material code’ can be entered if the part is a parent part.

  • Enter the quantity requirement of the material/part.

  • Click on ‘Add Material’. The production cost of the material/item is successfully generated. It is calculated as unit cost multiplied by quantity.

  • Quantity can be updated/edited for the material as and when the requirement changes.

How to edit or update the material quantity in BOM list?

  • Click on the ‘edit’ icon to change or edit the quantity requirement.

  • 'Update Material' page will appear.

  • Click on ‘Enter Qty’ and change the quantity.

  • Click on the ‘Update’ button. Quantity and its production cost are successfully updated.

The next step is to add Processes.

  • Click on the ‘Processes’ tab or click on the arrow icon under the Action that shows ‘Add Processes’.

  • Click on the ‘Part Code’ tab and select the part from the drop-down list.

  • Click on ‘Job Type’ and select the one from the drop-down list.

  • Enter the Job Order Quantity against the part.

  • Enter the ‘Labor Cost Per Quantity’.

  • Click on ‘Add Process’. You will have successfully created the BOM.

BOM Process estimates and assesses the Total Cycle Time, Total no. of parts/ materials used to make a parent part/ product, Total Labor Cost, and Total Production Cost.

Note:

Total Labor cost is calculated as, the Labor Cost per quantity multiplied by the Total Quantity.

Total Production cost is calculated as, The Total Cost of Materials + Total Labor Cost that includes all the processes.

How to edit or update Processes in the BOM list?

  • Click on the edit icon to edit or update the Processes.

  • The update Process page will appear, click on the ‘Job Type’ tab to change the job type from the drop-down list.

  • Click on the ‘Job Order Quantity’ tab and enter the new Job order quantity.

  • Click on the ‘Enter Labor Cost Per Quantity’ tab to enter the new cost.

  • Click on the ‘Update’ button. You will have updated the BOM Processes successfully. This will update the Duration and Total Labor Cost automatically.

How to delete the entire BOM from the list of BOMs?

  • To delete a BOM, go to the BOM page and select the BOM from the list you wish to delete.

  • Click on the edit icon ------> ‘Edit BOM’ page will appear ------> Click on ‘Processes’.

  • Select the Process you wish to delete.

  • Click on the ‘Delete’ icon to delete the BOM process.

  • Click on the ‘Yes’ button when you see a pop-up stating, ‘Are you sure to delete? The BOM process is deleted successfully.

  • Next, click on ‘Material Requirements’ then click on the part you wish to delete.

  • Click on the delete icon and then click the ‘Yes’ button on the pop-up stating, ‘Are you sure to delete?’

  • The BOM Material requirement data is deleted successfully.

  • Now click on the back button to go back to the BOM home page.

  • Select the BOM you wish to delete permanently and click on the delete icon.

  • Click ‘Yes’ when a pop-up appears stating, ‘Are you sure to delete?’. This deletes the BOM permanently.

Why am I not able to delete the BOM from the list?

You can delete the BOM only when the Material Requirements and Processes are deleted. You should be an Account admin, Plant Manager, Executive, Job Operator, Work center Manager, or Asset Manager to delete a BOM.

Can I retrieve the deleted BOM in SFactrix?

You will not be able to retrieve the deleted BOM by yourself, however, you can raise a support request and our support team will help you retrieve the deleted BOM. As this involves a lengthy process, we request you to mindfully delete the BOM only when the BOM is not required.

What are the benefits of BOM?

  • BOM helps with the estimation of production costs which is essential for the manufacturer.

  • BOM enables stakeholders, Plant managers, and operators to keep a track of materials and processes.

  • BOM helps to keep a track of stock availability of parts as well as raw materials.

  • BOM helps in work orders management, Job allocations, Production scheduling, etc.

What’s next?

Once you are done with BOM creation, you can proceed with creating the Work Order. Work Orders are the manufacturing orders given by Customers or Internal Team to produce and deliver to customers.

For any feedback and queries on features of the BOM and its functionalities, write to our support team at [email protected]


[1] Next to BOM creation, the Production Scheduling and Maintenance schedule will be automated shortly. The SFactrix Scheduler will provide finite scheduling functionality such as scheduling of jobs, work orders, maintenance, etc.[1]

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