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Fraction ERP Support

Bill of Materials - BOM

To create a BOM you need to have a part set with a type called manufactured.

Once you create a BOM at the top level you can add parts and sub-level BOMs. The operations are added along with run and set up times, workcentres and even specific operators can be named.

A BOM can also contain files such as drawings and by default files that are saved on a part record are also shown on the BOM record. These files will be available to view via works orders.

The costing section of a BOM shows the total direct cost of the BOM for 1 unit of the BOM. There are then two methods to calculate a suggested selling price.

The gross margin calculation uses the total direct costs for parts and labour and applies your gross margin.

The markup calculation adds a markup only to the parts and then adds the labour cost. The hourly labour cost in this case would be a labour selling rate - including all your overheads.

The selling price suggestions can be adjusted with different markups/margins.

Note that this value of the price is not defined as a particular currency. If you are selling in multiple currencies you will have to adjust the contract price to suit the currency.

Costing

Each BOM record can be saved as a costing, which is a snapshot of the BOM to show the current cost breakdown. As the BOM may change over time you can update parts, routing and costs as required. You can view the history of each BOM costing, should you need to revert in the future.

Notes

The notes section of the BOM is intended to provide feedback and revisions to BOMs that are required. They can be added from the BOM page, but also collected from production staff who can add notes via the works order screen.

Templates

When you create any BOM, it can be used as the basis for future BOMs using the template function. Saving a template allows the operations structure to be copied into new BOMs to save time. It does not save parts.