Bill of Materials (BOM)

Agenda Introduction to BOM Purpose and benefits of BOM Steps to enable BOM Configure BOM for Single Item Configure Multi BOM Product walk through BOM Reports Q&A

BOM – 1 of 2 Introduction The Purpose/Benefits of BOM A Bill of Materials is a list of constituent items along with quantity details that can be allotted for the manufacture of a certain product, by- product or likewise. This process of listing the items that make up another item is made possible in Tally by enabling the Bill of Materials Facility. Bill of Material (BoM) is created only for those items that are being assembled in-house. Therefore, you need to specify a BoM at the time of creating a Stock Item or while altering the stock item. For trading items, you do not need a BoM. BOM provides set of instructions that contains a list of all the parts, items, components , product and by-product necessary to build a complete product that can be shipped to customers. The Purpose/Benefits of BOM Boosting overall business efficiency and profitability. Cost-effectiveness Control inventory levels Control and reduce manufacturing costs Reduce obsolete parts

Illustration As we mentioned earlier, BOM provides set of instructions that contains a list of all the parts, items, components , product and by-product necessary to build a complete product that can be shipped to customers. See below for an example of a bill of materials: Example : The BSA Cycle Company is the premier manufacturer, trader, exporters, wholesalers and retailer of Bicycles. BSA company purchase all parts, which are necessary to manufacture a bicycle.

BOM – 2 of 2 Product Walk through Reports Enabling BOM Configure BOM for Single item Record BOM transactions Copy BOM Reports Display  Statement of Inventory  Cost estimation. View Component /Finished Goods wise Display all BOM

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