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Support for multi-level BOMs announced

Written by Pieter Hamans on . Posted in Exact Online

Products like machines, electronic devices and many consumer products including food are produced from semi-finished products or subassemblies. If the (finished) product is an agricultural machine, subassemblies may be the hydraulic system and the gear box. Even the hydraulic system may itself be composed out of subassemblies, like a hydraulic pump. In the food industry, we produce tanks full of ketchup as a semi-finished product used to produce (cartons with) ketchup bottles.

The above products are constructed from multi-level bills-of-material. On the highest level we have the finished product with a BOM, but for the hydraulic system we have an underlying BOM.

Multi-level shop orders in manufacturing advanced

Though technically we can construct multi-level BOMs also in Manufacturing Basic, we don’t have strong support for managing shop orders with multi-level BOMs. In practice this means that when we create a shop order for a machine, we will have to separately create shop orders for the subassemblies. In that case, we do not have shop orders for components linked to the shop order for the finished product. In Manufacturing advanced, we will be able to generate linked shop orders for subassemblies all at the same time.

Multi 01

Linked shop orders for subassemblies

On the materials tab of the shop order we will be able to view the linked suborders (if any). The behaviour of suborders is different with respect to the finish process (receiving). When we receive a shop order for a finished product, we either receive in stock or we deliver to the customer. A suborder however will directly issue the receipt to the parent order.

Multi 02

Shop order structure view

A new tab on the shop order is designed to show the full structure of all linked shop orders. Parents and children are not only displayed but also allow navigating directly to the order.

multi 03

The multi-level shop orders, together with related reporting options, will go into controlled release in early July. Manufacturing Advanced, which contains this functionality, is planned for commercial release in the fourth quarter of 2014.

More information with Pieter Hamans (pieter.hamans@exact.com).

Comments (2)

  • Bill

    |

    Hi

    Great feature but I have a question relating to this. If you select the option to generate sub-orders Exact Online creates them irrespective of physical stock on the shelf meaning that they have to deleted manually or worse case scenario is that the shop order is worked on meaning more raw materials are order when in fact they would not be needed.

    Are there any plans to incorporate the option to exclude sub orders if stock is available?

    Cheers Bill

    Reply

    • Pieter Hamans

      |

      Hi Bill,

      The business logic is as follows: an item that is Order Controlled is supposed to be produced for a specific customer request only, regardless stock (typically, it is (part of) a customer specific item). An item that is NOT Order Controlled (we call it sometimes Stock Controlled, though that term is not used on screens) is produced when the stock or the planned stock is insufficient. The resupply quantity does then also depend on reorder policies.

      Suborders are ONLY generated for components that are Order Controlled. For Stock Controlled components, we launch orders from the Demand planning screen, where stock is indeed taken into consideration.

      Your question was whether for Order Controlled components (i.e. where suborders are generated for) stock is considered. It is not, because of the above explained business logic. If stock should be considered: make the component Stock Controlled.

      Kind Regards,
      Pieter Hamans
      Exact Online Manufacturing

      Reply

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