Bill of Materials

Parent Category: Compiere

BOM or Bill of Materials

All manufacturers building products, regardless of their industry, get started by creating a bill of materials (BOM). The BOM, which is essentially a comprehensive list of parts, items, assemblies and sub-assemblies, can be understood as the recipe and shopping list for creating a final product. A BOM explains what to buy, how to buy and where to buy, and includes instructions for how to assemble the product.

A BOM may be used for communication between manufacturing partners, or confined to a single manufacturing plant. A bill of materials is often tied to a production order whose issuance may generate reservations for components in the bill of materials that are in stock and requisitions for components that are not in stock. 


A BOM can define products as they are designed (engineering bill of materials), as they are ordered (sales bill of materials), as they are built (manufacturing bill of materials), or as they are maintained (service bill of materials or pseudo bill of material). The different types of BOMs depend on the business need and use for which they are intended. In process industries, the BOM is also known as the formula, recipe, or ingredients list. In electronics, the BOM represents the list of components used on the printed wiring board or printed circuit board. Once the design of the circuit is completed, the BOM list is passed on to the PCB layout engineer as well as component engineer who will procure the components required for the design.

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