Hi,
At first BOM item consist of combination of the materials by having a structure like header and sub u2013 items.
Different combination of the materials combined together to make one single object. The complete combination of
materials only called as a BOM item.
Ex: u201CComputeru201D as it contains monitor as a header item and keyboard, hard disk, mouse as sub-items. The BOM
items can independently sold to the customers separately.
Ex: If the mouse is going to participate as sub-item in the BOM.
But the customer requires same mouse as a u201Cstand byu201D (spare). So the business can offer.
In BOM the pricing, delivery can be carried out at header level item (above structure) or sub-item level (below
structure).
If BOM with above structure then system carries out delivery, billing process only for header item (item category
group ERLA). Then system treats sub-items as text items (no pricing and no delivery for text items).
Above structure: Item category TAQ for header item.
Item category TAE for sub u2013 items.
If BOM with below structure then system carries out delivery and billing process only for sub u2013 items (item
category group LUMF). Then system treats header item as text item.
Below structure:Item category group for header item TAP
Item category group for sub u2013 item TAN
Delivery group: The delivery group facilitates to confirm the quantities of all items in the BOM with best schedule
lines.
Ex: As the BOM contains number of items system can confirm the quantities for some items on required delivery
date, and it may not confirm the quantity for some items on required delivery date. In this context we can put all the
items in a single delivery in a delivery group by specifying delivery group as one in delivery group field at header
level of sales document under shipping tab in delivery group field.
NOTE: Item category group should only be changed for header item.
BOM can be exploded in application areas like production planning, material management and sales and
distribution. While configuring BOM we have to specify the application area where it has to explode. BOM can be
exploded single level or multilevel. Usually multilevel BOMu2019s are exploded in production planning.
Ex: Material is the u201CBikeu201D, as it has so many sub-items, again those sub-items will have some sub-items.
Configuration settings: [ABOVE structure]
Create a material with item category group ERLA
Create another 2 materials as sub-items with item category group NORM
Go to MB1C and maintain the stock for 3 materials
Go to VK11 and maintain condition records for 3 materials
Configuration settings: [BELOW structure]
Create material with item category group in the header item should be LUMF
Go to VA01 and raise the sales order by specifying header item
Check the BOM explosion
NOTE: For Below structure also we have to follow all the steps like above structure, except the creation of
LUMF material instead of ERLA material.
Important notes:
For Above structure in the material master record should have the item category group ERLA in the Sales:
Sales organization 2 screen.
This process ensures that pricing, inventory control and delivery processing is carried out at the u201Cheader level
itemu201D only.
That means the associated sub-items function only as text items, and thus is not relevant for delivery.
For Below structure item category group is LUMF.
In this process the sub-items are responsible for pricing, inventory control and delivery processing.
To ensure all the components in a u201Csingle deliveryu201D use the functionality of the u201Cdelivery groupu201D.
The delivery group: The sub-items of a BOM may be available at different times due to the lead times in
procurement (MM) and production (PP). You can use the delivery group to indicate that all the sub-items must be
delivered as a group (single delivery).
Hope this can help you to understand the BOM process and its configuration.
Regards,
Siva
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