what is menat by BOM? purpose of its?

[Former Member]

what is menat by BOM? purpose of its?

[Former Member]

Hai Deva Reddy,

I'm sure by the time this appears in print a lot of gurus would have given you a lot of info for BOM, so let me give you a small summary about what you asked.

Suppose if my client is manufacturing / trading in many items like TVs, DVD players, TV stands, Home Theater Systems and etc. One day he notices that many of his customers are buying only TVs and not many are buying the TV stand, then to promote his stand he may want to give a special price for any one who buys TV + stand.

In this scenario we create a BOM called 'TV combo' (Gen Item Cat - ERLA / LUMF) made up of TV and Stand (both TAN). Though both these items have their own price, since we created a new material called 'TV Combo' we will give it our new price in VK11 to give the customer a special price since he is buying both together.

Normally every one uses the example of a computer for a BOM since it is made up of so many other sub items (like CPU, Monitor, Keyboard and etc.) and the manufacturer / trader will also be selling all these sub items. So Finished Goods like CPU / Monitor..... have their own price and a BOM will have its own price (normally we give a better price).

Here there are many combinations like in ERLA price is what we give to 'TV Combo' but if we give LUMF, then price is picked according to the price given to each sub item and totalled.

How we do this, where we do this is a different matter, as here i am just trying to answer your small question.

Plz do reward if you found the info useful.

Thanks.

Venkat - HYD

yajee_venkat@yahoo.co.in

[Former Member]

Hi,

BOM is the bill of material .Sales BOM

A bill of material (BOM) describes the different components that together create a product. A BOM for a bicycle, for example, consists of all the parts that make up the bicycle: the frame, the saddle, wheels, and so on.

When you enter the material number of a bill of materials that is relevant for sales order processing, the system displays the material that describes the whole bill of materials as a main item. The individual components are displayed as lower-level items.

There are two ways to process a bill of materials in Sales. Once you have entered a bill of material in a sales order, the system runs pricing, inventory control, and delivery processing at: Main item level if the material is assembled, or - Component level if the material is not assembled.

*Processing at Main Item Level (ERLA)*

If you want the system to carry out pricing, inventory control, and delivery processing at main item level, enter ERLA in the Item category group field of the Sales: sales org. 2 screen in the material master record of the finished product. This means that the components only function as text items and are not relevant for delivery.

Processing at Component Level (LUMF)

If you want the system to carry out pricing, inventory control, and delivery processing at the component level, enter LUMF in the Item category group field of the Sales: sales org. 2 screen in the material master record of the finished product. In this case, only the components are relevant for delivery. During processing the system automatically creates a delivery group. The latest delivery date among all the components becomes the delivery date for the entire delivery group

Purpose:

· The purpose of this activity is to create bills of material (BOMs) for the configurable material which is known as ‘super BOM’

· Super BOM comprise all the variant as well as non-variant parts required for producing configurable material.

Procedure

1. Access the activity using one of the following navigation options:

SAP Menu Logistics ® Production ® Master Data ® Bills of Material ® Bill of Material ® Material BOM ® Create

Transaction Code CS01

· The Create Material BOM: initial screen appears. On this screen, data that identifies the bill of material are maintained as well effectivity data.

· In the Material field, the configurable material for which super BOM need to create is entered.

· Plant and BOM usage is entered. In general BOM usage 1 for production and 3 is for Universal.

· In Component screen list of variant and non-variant parts are entered along with that quantity is entered based on Base qty. of the configurable material.

· It is also possible to enter a class as a BOM component with item category ‘class Item’. This class must hold all characteristics and also classified with each material.

· Class type 200 and 300 can be used as a class item.

Following Procedure is followed for assigning class with BOM as a class Item.

· Enter the item category for class items in BOM.

· Make entries in the fields that identify the class

– Class types

– Class

· Enter the quantity.

- Enter a unit of measure if appropriate.

- The system determines the unit of measure from the additional data of the class.

- If a unit of measure without a dimension is maintained in the additional data of the class, you cannot change this unit

[Former Member]

Dear Deva,

In a layman's language, a Bill of Material is an complete list of components that make up a finished manufactured product. The Bill of material consists of the item number of each component, quantity required in the manufacture of a component and the unit of measure of the item. Such individual components which make up a manufactured product has a specific name in SAP. They are called Bill of Material Items BOM items. SAP R/3 allows creation of various categories of BOM Bill of Material. Some of the categories of BOM include, document BOM, material BOM, equipment BOM, Sales Order BOM and Functional location BOM.

Sales BOM Implementation

A bill of material (BOM) describes the different components that together create a product. A BOM for a bicycle, for example, consists of all the parts that make up the bicycle: the frame, the saddle, wheels, and so on.

Process Flow

When you enter the material number of a bill of materials that is relevant for sales order processing, the system displays the material that describes the whole bill of materials as a main item. The individual components are displayed as lower-level items.

There are two ways to process a bill of materials in Sales. Once you have entered a bill of material in a sales order, the system runs pricing, inventory control, and delivery processing at:

- Main item level if the material is assembled, or

- Component level if the material is not assembled

The type of processing used by the system is determined by the item category group that you enter in the material master record for relevant materials.

Processing at Main Item Level

If you want the system to carry out pricing, inventory control, and delivery processing at main item level, enter ERLA in the Item category group field of the Sales: sales org. 2 screen in the material master record of the finished product. This means that the components only function as text items and are not relevant for delivery. The following graphic shows how a bill of material is processed at main item level.

Processing at Component Level

If you want the system to carry out pricing, inventory control, and delivery processing at the component level, enter LUMF in the Item category group field of the Sales: sales org. 2 screen in the material master record of the finished product. In this case, only the components are relevant for delivery. During processing the system automatically creates a delivery group. The latest delivery date among all the components becomes the delivery date for the entire delivery group.

Hope this helps you.

Do award points if you found them useful.

Regards,

Rakesh

[Lakshmipathi]

Dear Deva

Many companies have only one universally applicable BOM structure for all areas of their company. This structure usually takes the form of complete single-level BOMs, created in the design department, and used in both material management and the assembly workshop.

The R/3 System allows you to maintain individual BOMs for any area of your company. These BOMs are maintained independently of each other and are assigned different internal BOM numbers. In this way, each area is only dealing with the specific data it requires.

In Customizing for Production, define individual BOM usages for the different areas within your company by choosing Basic data --> Bill of Material --> General data --> BOM usage --> Define BOM usages.

You can define BOM usages for the following scenarios:

=> You maintain separate BOMs for different areas within your company, such as design or production.

=> You create just one BOM for all areas within your company

Thanks

G. Lakshmipathi

[Former Member]

BOM means bill of materials: suppose if u purchase a computer it contains CPU and monitor and mouse and some devices all they contain individual prices but altogether shown in computer inorder to configure this BOM is helpful in SAP.

[Former Member]

Bill of materials (BOM)

1. In the SAP System, you can use BOMs to represent different objects (such as materials, equipment, functional location BOMs, and documents) and to maintain object-specific data.

2. Document BOM: A complex document may be made up of several documents, such as a program, technical drawings, papers, and photographs. These related information and documentation objects are grouped together as a unit using a document structure – a BOM for a document.

3. Equipment BOMs are used to describe the structure of equipment and to assign spare parts to equipment for maintenance purposes. Bills of material for functional locations group together the elements of a technical structure, such as the functional unit of an entire plant.

4. You work with order BOMs when you specially tailor the make-to-order production of your products to the requirements of your customers. In order to meet the customer requirements, sales order specific modifications to various assemblies are often required. Furthermore, assemblies are often specially constructed for a particular sales order.

5. Before you can create a BOM for the component parts of an object, the object must have a valid master record in your system.

6. A bill of material that you create for a material is known as a material BOM in the SAP System. A BOM explosion answers the question: What is the product made of? This question arises in various situations, such as when you want to:

Determine material requirements for a product

Look at the overall structure of a product in a design department

See an overview of the parts and materials required

Calculate the effects of changes to costs

7. BOM is a collection of materials that make up a product. For example – computer, home theatre system. Material BOM is complex and is dependent on sales and distribution, material management or production planning.

8. The most important rule is that the material type has to be a FINISHED PRODUCT (FERT) in order to categorise it as a BOM.

9. BOM processing is divided into two different ways – either at the MAIN item level if the item is assembled or at the sub-item level (i.e. at the component level) if the material is not assembled.

10. BOM is configured at the item category level (VOV7) and transaction code to create a BOM is CS01.

11. In case of single level BOM, main item categories TAQ and TAP should represent single level BOM in VOV7 and in case of multi level BOM, the main item categories should represent multi level BOM.

REWARD POINTS IF HELPFUL

Regards

Sai