BOM in ERP

For BOM in ERP, subordinate materials are usually defined at the product level, as shown in the following example:

The above is an example of the BOM of a circuit board. We assume that there is no hierarchical BOM for each process in ERP. Because production processes are not managed in ERP, all materials are defined under products, and processes are only described in the comment field. When ERP performs all-material analysis, if a material does not arrive in the warehouse, it cannot be produced.

In the APS system, products define production processes. The production processes and plans of the above products are as follows:

BOM in APS system

BOM in APS can be defined at the process level. PlanMateAPS has two BOM structures. If it cannot be classified, it is the same as ERP. It is defined at the product level and all material requirements are included in the first process of production. If the basic data can support classification, the BOM will be established at the process level, and the material requirements will be included in the process.

As can be seen from the figure above, the product production time of each process is different, and the time required for materials is also very different. From this the following results can be obtained:

  • If SMT materials arrive in the warehouse, AI materials are in the IQC section, and MI is in transit, production can be arranged as long as the estimated arrival date can meet production requirements. This can actually reduce the inventory on hand and reduce the proportion of shortages.
  • According to the above production plan, the time points of material demand are different, and the procurement time can be separated to further reduce raw material inventory.