Simply put, the bill of materials or most often called as BOM is a list of parts, components, sub-assemblies and assemblies required in developing the product. The BOM is always core for any manufacturing process as it provides all the information required to build the product.
Developed to structure the manufacturing information, the Manufacturing Bill of Materials (MBOM) differs from the Engineering Bill of Materials, which is prepared to describe the design intent of the product.
As such, it is important to have a good MBOM to ensure that the manufacturing process doesn’t have to suffer from slow or incorrect development due to misinformation.
What is MBOM?
The MBOM or manufacturing bill of materials contains the details about all the parts and assemblies that complete the product that is ready to be shipped. Thus, it includes all the details about individual parts and their relations with each other.
Additionally, it also includes the equipments and tools required to build those parts. It also includes details about packaging materials, user manuals and brochures that make the product shippable.
All these details help manufacturing team to better understand the design assembly and packaging procedures. It helps in making critical decisions about procedures that will be performed within the organization and the ones that will be outsourced to vendors.
Why it is important?
MBOM provides comprehensive information of a product development right from concept to reality. The accuracy in contents helps in making better decisions about manufacturing the product efficiently and cost-effectively. It directly impacts the purchasing of components, available inventory and determines the process that will occur on the assembly floor during the production run.
The MBOM thus helps in figuring out trade-offs between time, cash flow and its control and the action required to improve the efficiency. Not to forget, the information obtained through manufacturing bill of materials can be directly fed to ERP systems that can further help in improving the manufacturing, purchasing and logistics operations for the product being manufactured.
An improperly developed bill of materials can lead to many problems: with wrong recorded values of parts or quantities, the manufacturing unit might not work to its full efficiency. There may be chances that the production unit might run out of resources stock required to build the product, leading to a drastic loss to the company.
How it differs from EBOM?
There’s a huge difference between the manufacturing and engineering bill of materials; however, both have their own importance in communicating crucial product information.
Some of the key differences are summarized below: