1. MIS 381 - Topic # 5 1 Bill of Materials

2. MIS 381 - Topic # 5 2 Bill of Materials Definition It is an engineering document that specifies the ingredients (or subordinate components) required physically to make each part number or assembly. It has BOM file, structure and processor.. Who cares…?

3. MIS 381 - Topic # 5 3 Types Single-level BOM: Comprises only those subordinate components that are immediately required (not the components of the components). Indented BOM: Is a list of components, from the end item, down to the raw materials (it does show components of the components). Modular BOM: links components parts to options. Super bill: describes the related options or modules that make up the average end item.

4. MIS 381 - Topic # 5 4 Bill of Materials… Concepts Company should have one and only one set of BOM records [Product Structure Tree?] Low-Level Code number should be designated for each part, component, subassembly or finished item in the BOM. These numbers indicate where in the product structure a particular item is with respect to the end item. What is LLC?

5. MIS 381 - Topic # 5 5 Low Level Coding (7.4) In order to process all common parts at the same time low level coding is done. MRP record processing proceeds from one level to next starting with level zero. This ensures that all gross requirements have been passed down to a part before its MRP record is processed. The result is planning of component parts coordinated with the needs of all higher level part numbers.

6. MIS 381 - Topic # 5 6 Product Structure Tree Visual depiction of the requirements in a bill of materials, where all components are listed by levels. Chair Seat Legs (2) Cross bar Side Rails (2) Cross bar Back Supports (3) Leg Assembly Back Assembly LLC 0 1 2 3

7. MIS 381 - Topic # 5 7 Modular BOM When the combinations of end-item product are many, it is better to use the MPS at the option or module level. The MPS is stated in the terms in which the product is sold not built. The most widely used is called the super bill. (Next Slide)

8. MIS 381 - Topic # 5 8 The 4-horsepower Super Bill Super bill 4 HP Taylor Option Usage = 0.4 Safety stock = 150 Garden option Usage = 0.5 Safety stock = 200 OEM option Usage = 0.1 Safety stock = 200 Chain option Usage = 0.4 Safety stock = 100 Common parts Usage = 1.0 Safety stock= 0 Gear Option Usage = 0.6 Safety stock = 150 Source: Figure 6.14, Text: VBWJ

9. MIS 381 - Topic # 5 9 Available to promise logic with modular bill architecture (order for 25 T4G) Common ATP? Gear ATP? Taylor ATP? Book Order Try 1 week later No Yes Source: Figure 6.15, Text: VBWJ

10. MIS 381 - Topic # 5 10 Final Assembly Schedule (FAS) FAS job is to convert MPS records into FAS records as we roll through time. (Figure 6.17) FAS: states the exact set of end products to be built over some time period. It is a schedule that serves to plan and control final assembly and test operations.

11. MIS 381 - Topic # 5 11 FAS Example

12. MIS 381 - Topic # 5 12 Assembly Time Chart 12345 67 891011 Procurement of raw material D Procurement of raw material F Procurement of part C Procurement of part H Procurement of raw material I Fabrication of part G Fabrication of part E Subassembly A Subassembly B Final assembly and inspection Final Product A CE D F B HG I