Maintaining BOMs

BOM Type

Select the type of BOM you're creating. Values are:

• Production: Use manufacturing BOMs as the basis for manufacturing assemblies or end items.

• Rework: Create rework BOMs when you have a standard rework process that involves adding components.

  For example, if you have a repair kit of components that you always issue when an item is reworked, you can define that repair kit here. As with manufacturing BOMs, you can define a primary rework BOM and up to 98 alternates by creating BOM codes. Rework BOMs are not required to create rework production IDs.

BOM Qty (BOM quantity)

When BOMs contain a single-item output, you can use the BOM quantity in a particular way. The BOM quantity acts a scaling device that enables you to enter a product structure when the end item's specifications are in a base greater than 1 unit. The BOM quantity is the expected output quantity after all operation yield loss occurs. You determine the assembly quantity to which the system applies the components' quantity per assembly or per order. If the BOM quantity is greater than 1, enter the component quantity for the BOM quantity. If you set the BOM quantity to 1, the component quantity is the amount of the component required to make one unit.

When BOMs contain multiple outputs, you use the field differently. If a primary item and its co-products are specified as output items on the BOM, the BOM quantity must match the primary item's average order quantity (AOQ) as defined in the Define Business Unit Item - Manufacturing: General page. If you change the BOM quantity, the system prompts you to update the AOQ with the newly entered BOM quantity. Keeping the two quantities in sync ensures correct costing of the output items.

For serial-controlled items, the BOM quantity must be a whole number. The PeopleSoft system supports a calculated QPA precision of four to ten places to the right of the decimal point, depending on the installation setting on the Manufacturing Installation Options page in Set Up Financials/Supply Chain.

Sort Option

Select one of these values:

• Component

• Effectivity

• Op Sequence (operation sequence)

• Pos Number (position number)

Component ID

Select the component that you want to add to the BOM.

Click the View Related Links button to access the Item Search Criteria page to locate a different item.

Furthermore, you cannot add staged date-controlled items and configured items as components on BOMs.

When you add a component with item status of Hold or Discontinue, the system displays a warning message. Similarly, when updating components with item status of Hold or Discontinue, you will receive a warning message when saving the page. In both cases, the warning message does not prevent you from performing the action.

Comp Rev (component revision)

Indicates whether any component on the bill is under revision control. For items under revision control, you can associate a specific component revision with the assembly item.

Depending on how you set business unit-level manufacturing options on the MFG Business Unit Options page, the system allows you to leave the Comp Rev blank, select a default value, or select a different component revision for each revision-controlled component.

If the system is set up to default component revision, the Comp Rev column initially displays the current revision. When you enter effective dates, the revision is updated with the component revision effective on the date specified.

Op Seq (operation sequence)

Indicate where in the manufacturing or rework process you need the component. The operation sequence refers to an operation on the assembly item's routing.

For manufacturing BOMs, this is the item's production routing, and for rework BOMs, it's the item's rework routing.

The default operation sequence is 0 which is the first operation of the manufacturing or rework process. If you set the operation sequence for all items to 0, the system treats all items as required at the beginning of production. Therefore, the items need to be issued at the start of the first operation.

You define operation sequence on the item's routing by using the Routing Definition Summary page.

When maintaining the BOM, you can select any operation on the assembly item's routing. Once the routing has been established, the system lists the valid operation sequences for all corresponding routing codes and routing types in the operation sequence Detail column.

For production BOMs, the system displays operation sequences only for production routings.

For rework BOMs, the system displays operation sequences only for rework routings.

Because a work center is associated with the routing's operation, PeopleSoft Manufacturing uses the operation information to determine the work center to which the component must be delivered.

When the component's issue method is Issue or Replenish, the component is issued to the work center, and it is stocked in and consumed from the work center's WIP location storage area.

When the component's issue method is Kit, the work center is still used as the indicator for material delivery. The production ID, however, is charged directly for the component and is not consumed from the WIP location.

If the operation sequence specified for the component is 0 or does not exist on the routing, the system treats the material as required for the start of production. It issues the material to the work center associated with the production area where the item is being built.

When the operation sequence is set to 0, it is assumed that the component item is used at the first operation.

If you enter the BOM before the routing, you can return to the BOM Summary page and add the relevant operation sequence after entering the routing.

Eff Date (effective date) and Obs Date (obsolete date)

Enter dates for the components of the assembly item.

When replacing a discontinued (use-up) item on the BOM, the obsolete date of the discontinued item and the effective date of the replacement item must be manually set to the same date. Use the projected use-up date generated in PeopleSoft Supply Planning as the suggested obsolete date.

If you are using revisions, enter valid revisions in the Eff Rev (effective revision) and Obs Rev (obsolete revision) fields.

Quantity

Displays the quantity of the component required for the BOM. You can override this value if necessary.

Std UOM (standard unit of measure)

The system displays the standard UOM for this BOM component.

Per

Values are:

• Asy (assembly)

• Ord (order)

This field determines the number of each component that is needed in the parent assembly to manufacture or rework the specified batch quantity. If the quantity is per assembly, the quantity represents the number of that component required to manufacture one end item.

If the quantity is per order, it indicates that the component quantity is a fixed amount, regardless of the production quantity.

Additionally, if the component is serial-controlled, the Quantity Per field must be a whole number.

To provide greater flexibility when defining MBOMs, the system doesn't require the Quantity field to follow the quantity precision rules defined for the item. The system displays a warning if you define a decimal quantity value for an item whose quantity precision value is a whole number.

For example, if one B0004 component is required to make two assemblies called A0001, when you define the BOM, the QPA for B0004 would be 0.5. When the system applies the rounding rules to the QPA, it rounds the QPA for B0004 to 1, thereby inflating production costs.

While the Quantity Per field can be maintained with a precision of four places to the right of the decimal, a calculated QPA can be defined with a precision from four to ten decimal places. Calculated QPA is determined as (Component QPA) ÷ (BOM Qty).

This calculated QPA is used to determine the assembly items' cost and to plan and schedule components.

Pos (position)

(Optional) Enter a position number. This can be a number associated with a component on a BOM drawing or on a list of all components that appear on a BOM.

Yield

Displays the expected yield for the BOM component. If you are adding a new component, you can enter the expected yield.

Source Cd (source code)

Displays the source code associated with the component.

BOM Qty (BOM quantity)

Displays the default information from the Manufacturing BOMs- Summary page, but you can change the quantity here.

The detail portion of the page contains the end item as the item with the Primary output type, and this cannot be deleted. If you are not maintaining multiple outputs, you can simply bypass this page and the primary item is defined as the only output.

When there is only one output for a BOM (the primary output), all fields in the row are unavailable, with default settings of the beginning time to the end time for the effectivity dates, 100 percent for the percentage fields, and output quantity set to 1.

However, if another co-product is inserted, the primary item's allocation percentage and cost percentage fields are accessible.

Conversely, if all the co-products are deleted from the BOM, all the fields on the primary item, except the output quantity, are unavailable for input and set back to the defaults.

If you are maintaining a rework BOM, this page lists only the reworked item as the end item.

Output Type

Select the type of output that you are adding. Values are:

• Co-Product

• Primary

• Recycle

• Teardown

• Waste

If you have only one output on this BOM, then it is automatically the primary output.

A co-product is an item that is produced as part of the manufacturing process along with the primary output. It shares the cost of the process, and there may be independent demand in Planning for this item. Examples of co-products are orange juice and orange concentrate in drink-processing.

If the item is a co-product, the system checks to see whether the item's associated primary item is the item itself. (This is the default.) The system then prompts you to update the co-product's associated primary to this primary assembly item.

A by-product can be a waste product that needs to be disposed of, or it can be a recycle by-product that can be used as an input to other processes (for example, orange pulp). The by-product is incidental to the process and has either a relief (negative) cost for recycle by-products or a disposal (positive) cost for waste by-products.

Waste by-products might also have no cost associated with them. There would probably not be independent demand for by-products. Examples of recycle by-products are orange pulp.

Output Item

The item must be an existing, inventory, and standard costed item.

Output items cannot be floor stock or expense items.

Click the Item Search button to access the Item Search Criteria page to locate a different item.

Output Qty (output quantity)

Enter the quantity. The default quantity for the primary item appears, but you can change it if there are additional co-products.

You must enter a quantity for each output.

Primary and co-product quantities are expressed in relation to the BOM quantity. By-product output quantities are expressed in terms of the expected operation start quantity.

For single-output BOMs (no co-products), the BOM quantity on the primary item needs to be the same as the output quantity. Therefore, if you change the BOM quantity, the system checks to see if the primary item is the only co-product on the BOM. If so, the system updates the primary item's output quantity to the BOM quantity.

If the BOM already contains additional co-product outputs, and you delete all the additional outputs from the BOM, the system displays a warning that the primary output quantity will be reset to the BOM quantity.

In addition, if the output quantity is used, it should be identical to the item's average order quantity defined in the Define Business Unit Item - Manufacturing: General page.

Std UOM (standard unit of measure)

The system uses the output item's standard UOM.

Output Qty Per (output quantity per)

This display-only field is available for co-products only. Values are:

• Asy (assembly): This indicates that the output quantity has a relationship to the BOM quantity.

  If the output quantity for a BOM quantity of 200 is 3, and you produce a batch with a quantity of 400, it's expected that the output quantity would be 6.

• Ord (order): This indicates that the output quantity is a fixed amount, regardless of the BOM or batch size.

The quantity code for the co-products is based on assembly and cannot be changed.

Res % (resource allocation percentage)

Use this field to determine how much of the BOM quantity each co-product represents. It is used during completions to determine the percentage of the components that is consumed for each co-product and primary item.

Cost % (cost allocation percentage)

Use this to distribute the cost across the co-products. The cost percentage indicates the percentage of the total batch costs to be applied to the primary item or co-products.

By having two percentages, the resource allocation and cost can be distributed differently for each co-product.

Subcontract Supply

Select if an outside supplier supplies part of the manufacturing process and the component is supplied by the outside supplier.

Non-Owned Item

Select if you do not own the component, and you want to indicate that the customer supplies the component.

Subcontract Supply and Non-Owned Item are both selected.

A subcontractor supplies the component.

Subcontract Supply is deselected, and Non-Owned Item is selected.

You are the subcontractor, and the customer supplies the component.

Subcontract Supply and Non-Owned Item are deselected.

You supply the component.

Subcontract Supply is selected and Non-Owned Item is deselected.

This is not a valid combination.

Teardown

Select to indicate whether the component is an output from a teardown order.

When you select the check box, the system designates the component as a teardown output. If you do not select the check box, this indicates the component will not be an output of a torn-down assembly.

The Teardown check box applies only to teardown orders.

When you create a teardown order based on a BOM for this item, the system copies the teardown components on the BOM to the teardown output list when released to production. This enables the system to keep teardown outputs in sync with component changes in the manufacturing BOM.

However, the Teardown check box on the BOM is also copied down to the component list for regular production IDs (as the original production ID). That way, if you tear down based on an original production ID, the system can determine which components are used as outputs. The Teardown check box on the component list on the original production ID determines the structure of the teardown output list for the teardown production ID.

If you selected the Default Teardown BOM Component option on the Manufacturing Business Unit Options page, the system designates all components as teardown outputs on all BOMs for all items in the business unit. For all items where this default is in place, the system selects the Teardown check box when you add a component to a BOM.

Teardown components cannot be subcontractor-supplied because those components are not tracked within PeopleSoft Manufacturing.