Bill Of Material Creation in Oracle Creating a Bill of Material ----------------------------------A bill of material contains information on the parent item, components, attachments, and descriptive elements. Each standard component on a bill can have multiple reference designators and substitute components. You can create either an engineering or manufacturing bill, copy an existing bill, or reference a common bill. When you create a bill, it exists only in the current organization. To use a bill in another organization, you must either copy it or reference it as a common. The procedure below describes how to create a bill. Prerequisites ------------Define the parent item and all components as inventory items and set the BOM Allowed attribute to Yes and BOM Item Type to Model, Option Class, Planning or Standard. To create a bill of material -----------------------------------1. Navigate to the Bills of Material window. Note: If your current responsibility does not include the Privilege to Maintain security function, you can only view bill information. If so, enter selection criteria in the Find Bills window and choose the Find button. The Bills Summary folder window appears. 2. Enter the parent item for which you are creating a bill, and if you are creating an alternate bill, enter the alternate. Note: Bills and routings can share alternate labels. If you create an alternate bill with the same label as an alternate routing, components are assigned to operations on the alternate routing. If there is no routing with the same alternate label, components are assigned to operations on the primary routing. 3. Enter or select the revision and the revision date. 4. If you are updating or viewing a bill, use the Display pop list to display all, current, or future and current components effective as of the revision date you specify. Check the Implemented Only field to further restrict the components to display. The Bills of Material window contains the following alternative regions: Main, Effectivity, Component Details, Material Control, Order Entry, Shipping, and Comments. 5. Enter the item sequence, operation sequence, and the component item. 6. In the Main tabbed region, enter the quantity used to make one unit of this assembly item at the current operation.

This can include negative or decimal values, subject to the following rules: Pick-to-order bills cannot have fractional component quantities if Oracle Order Management is installed. Pick-to-order option class components cannot have negative values. Components with Check ATP turned on cannot have negative or zero quantities. If the component has Quantity Related turned on, then the component quantity cannot be fractional or negative. If an implemented component has Quantity Related turned on, then the component quantity must be equal to the number of reference designators. Attention: The planning process in Oracle Master Scheduling/MRP ignores negative requirements on standard discrete jobs and components with a negative usage on a bill of material when netting supply and demand. Note: If you enter a negative quantity for a component, you should enter either Assembly pull or Operation pull for the supply type to ensure that you transact the material when you build the bill. The Revision field displays the current revision of the component as of the revision date of the parent item. 7. Open the Effectivity tabbed region and enter the effective date range for each component. 8. Open the Unit Effectivity tabbed region and verify the following: The Implemented check box indicates whether the component is implemented. Checked: Component is on a pending Engineering Change Order (ECO) Unchecked: Component is on implemented ECO or was added directly to the bill 9. Open the Component Details alternative region and enter the planning percent. Enter the yield. Enter the Enforce Integer Requirement, or select a value from the list of values. Acceptable values are up, down and none. Indicate whether the component should be included in cost rollups. If enabled, the material cost of this component, but not the routing cost, is included in the cost of the parent item.

10. Optionally, open the Material Control tabbed region and enter the supply type. Enter the supply subinventory and the locator. If you have set the BOM: Default WIP Supply Values for Components profile option to Yes, these values default from the item master. If any of these values are left blank, Work in Process will read the values contained in the item master. 11. For model, option class, and kit bills, open the Order Entry alternative region and enter the minimum and maximum sales order quantities. Indicate whether to check ATP. Indicate whether the component is optional and mutually exclusive. Enter the basis. 12. Open the Shipping tabbed region, and choose whether the component should be listed on shipping documents, required to ship, or required for revenue. 13. Choose buttons to perform related tasks ================================================================================ ====== Bill Of Material The statement of components that you need for manufacturing a Product (Finished Good) will be defined in a structured manner with the step wise sequence of oper ation. What has to be manufactured first and what next, the number of components , Resource (Machine and Technical Labour ) that we require to manufacture a Prod uct will be defined in Oracle Bill Of Material . For Example: If you want to manufacture a pen the Bill Of Materials for Pen will be... 1.Cap - 1 Each 2.Top Cover - 1 Each 3.Bottom Cover - 1 Each 4.Nib - 1 Each 5.Ink - 4 Dps 6.Refil - 1 Each Operation Sequence: 1 - Assebble Nib 2 - Assemble Top & Bottom Cover 3 - Fix the Cap - Final Operation to manufacture pen. Resource Required: 1.Nib Fixing Machine - 2-Each 2.Technical Labour - 2-Each will work on 8-hours shift one person at a time Oracle Bill Of Material can be used to capture all the above data as per busines s requirement and still has lot more functionality to help the business. ================================================================================ ======== Creating Resource in Oracle BOM The first proor step in Oracle BOM will be of creating resource..

I. Resources Resources are anything except component material required to manufacture, cost, and schedule products. Each costed resource can have any number of associated costs, including overhead cost. Resource Creation In Oracle Bills of Material: Routings > Resources is the navigation to create or view a resource. i. Provide the resource name in the resource field ii. Inactive On field to be left null iii. Provide the description about the resource in the description field iv. Type : a. Machine b. Miscellaneous c. Person d. Amount e. Currency Depending upon the type of resource select the type from the list of values. v. UOM :Select the unit of measure from the list of values for the resource. If the resource to be included in calculating the lead time for the assembly, the u nit of measure should be in time based like hour, min. vi. Charge Type a. WIP Move b. PO Move c. PO Receipt d. Manual The amount of time , resource is used should be applied , this is called applyin g or charging resource. There are four methods of charging resource. a. Manual : By manual method, resource used will be entered. b. WIP Move : In WIP, Once the transactions completed, resource will automatical ly get applied. c. PO Move, PO Receipt : These two charge types are only for Outside Processing Resources. a. For other type of resources, this is not applicable. vii. Basis Total Resource Cost will be calculated from the resource rate entered for this r esource. If the basis is Item, resource cost will be calculated by multiplying the item q ty with resource rate and usage rate. If the basis is lot, resource cost will be calculated by usage rate * resource r ate, here item quantity will not be taken into consideration. viii. Outside Processing If the resource is outside processing resource, enable the check box and the ent er the outside processing item otherwise do not enable the check box. ix. Costed Check the costed check box. Activity : This is to apply the cost according to the activity. Leave this field as null. Standard Rate : To apply standard rate for the resource. Don t check this field. x. Resource Rates: To provide the resource cost per UOM , click Rates button in the resource form. New window will open. Select Cost type as Avg Rates and provide the resource unit cost . save and close the window. xi. Resource Overhead Association To provide the overheads associated with this resource, click overhead button in the resource form. New window will open, select cost type as Avg Rates . In the second block of that screen, Resource Overhead Associations, select the o verhead associated with this resource. Example : Admin Cost, Consumable, Ind Depr, M/C Repair, P&M Ins

It is not required to fill the data in Employees, Equipment and Setups menu in t he resource form. ================================================================================ =============

******************************************************************************** ********** WIP Discrete Jobs Definite quantity of job used to manufacture the quantity. II. Types of Jobs i. Standard ii. Non- Standard Standard Job will have the assembly with the defined Bill, Routing structure fro m BOM. Job Type of Standard identifies the job as being: A discrete job that controls t he material and operation requirements used to build assemblies and collect manufacturing costs Nonstandard Job Type identifies the job as being:A discrete job that controls th e material and collects costs for miscellaneous activities, such as: Rework Field service repair Upgrade Disassemble Maintenance Engineering prototypes ================================================================================ == WIP Accounting Classes WIP Accounting classes are used to assign valuation and variance accounts for jo bs. The data below Shows the wip accounting classes to be used for different typ e of jobs in SSL. S.No -------- Discrete Job Type --------------------WIP Accounting Class 1 ------------Standard -------------------------------Standard 2 ------------Non Standard Asset --------------------Non Std A 3 ------------Non Standard Expense -----------------Non Std Ex ================================================================================ ====== Supply Type i. Based on Bill Components required for the Bill has to be issued. Method of issuing the compone nts is given as supply type in Bill of Material. If we can use the same , select based on Bill. ii. Push If all the components to be used as PUSH type, select PUSH. In PUSH, we need to

issue the components through WIP Component Issue transactions before starting th e Job. iii. Operation Pull Components Issue will be taken care of by the system itself. Once the operation is completed, required components will be pulled from the mentioned supply subin ventory . iv. Assembly Pull Once the assembly is completed, required components for that assembly will be pu lled from the given supply subinventory. v. Supplier Issue of item by supplier, need not to transact this item . It is only for refer ence only to the WIP Person as this component need not to be used. vi .Bulk Bulk component requirements can be viewed and are displayed on reports. They can be used to communicate to the shop floor that bulk components must be used but need not be transacted.Bulk supply type components are not backflushed nor do th ey default when issuing all components for an assembly. we can, however, manuall y issue specific bulk components to a discrete job or repetitive schedule. ================================================================================ ======= Return back components after Operation Pull and Assembly Pull Backflush transactions 'pull' components with Operation Pull and Assembly Pull s upply types from inventory onto jobs and repetitive schedules. Backflush transac tions can be launched by: o completing assemblies at operations using the Move Transactions window o moving and completing assemblies into inventory using the Move Transactions wi ndow o completing assemblies into inventory using the Completion Transactions window o receiving assemblies from an outside processing operation using the Oracle Pur chasing, Enter Receipts window Move transactions imported through the Open Move Transaction Interface can also create backflush transactions. Transactions imported through the Oracle Inventor y, Inventory Transactions Interface can also create backflush transactions. Additional Information: Backflushing reduces the number of manual material trans actions required to process the discrete jobs and repetitive schedules. Reverse Backflush Transactions You can reverse backflush transactions and automatically return backflushed comp onents back to inventory. For example, pull components that are backflushed as y ou move assemblies forward in a routing are automatically returned to inventory when you move assemblies backwards. Reverse backflush transactions can be create d as you do the following: o reverse operation completion transactions using the Move Transactions window o return completed assemblies from inventory to jobs and schedules using the Com pletion Transactions o move and return assemblies from inventory to jobs and schedules using the Move Transactions window o return or correct transaction receipts in the Enter Returns or Enter Correctio ns windows in Oracle Purchasing. Move transactions imported through the Oracle Work in Process Open Move Transact ion Interface can also reverse backflush transactions as can return transactions imported through the Inventory Transaction Interface. Note: You can, if necessary, issue and return pull components to and from jobs a nd schedules to inventory using the 'Specific Component' option in WIP Material Transactions window Backflush Supply Subinventories and Locators Sufficient inventory must exist in a component's source subinventory and locator

for backflush transactions to complete successfully. If there is insufficient o n-hand inventory to satisfy backflush demand, the supply subinventory balance is forced negative even if the Oracle Inventory Allow Negative Balance parameter i s set to No. The one exception is if the component you are backflushing is under lot, serial, or lot and serial number control. In this case you cannot complete the backflus h transaction until you select a subinventory and locator that contains a suffic ient quantity of valid lot and/or serial numbered items. Supply subinventories and locator can be defined at the item or bill of material component level. If they are not defined, the system uses the supply subinvento ry and locator specified by the WIP Backflush Supply Subinventory and Locator Pa rameters when components are backflushed. To ensure adequate supply for backflush transactions, you can replenish supply s ubinventories and locators as required. Revision Control For component items under revision control, the system always defaults the revis ion based on the item's current revision as of the date of the transaction. ================================================================================ ======= WIP-Questions 1. Which intra operation steps might you want to enable if you have a just-in-ti me production environment? Ans: You would probably enable only Run and To Move to model your environment. 2. You cannot move more assemblies than are available at a routing operation. a) True b) False 3.What are the three transaction available in WIP? Ans: Material transaction, Move transaction, Resource transaction. 4.When the lot based resource gets charged? Ans: When the first unit is moved, the lot based resources will be charged. 5.In a assembly, all the components have supply type as operational pull, they a re serial controled. During move transaction, how we can select the serial numbe rs. Ans: During move transaction, a window Backflush will popup, there we can select serial numbers. 6.For an assembly, the move transaction does not allow me to complete in that sc reen iteself? What will be the problem. Ans: The assembly will be serial control, therefore you have to complete it in c ompletion transaction screen only 7.In an assembly, one of the item has supply type = bulk, what transaction shoul d i perform. Ans: no need to perform any transaction, it is just a label. 8.In profile option, WIP: Define discrete job, it has been defined as concurrent . While creating a Discrete order, what concurrent will be running? Ans: WIP concurrent exploder. 9.Explain shopfloor status? Ans: Shop floor status are control move transactions which can be assigned to in teraoperations steps. 10.What are the two types of scheduling available in WIP?

Ans: Dynamic lead time offsetting and Detailed scheduling. 11. Which status in discrete job cannot be reversed? Ans: Complete No charges 12.Which field in Discrete job is non- editable before saving? Ans: UOM 13.How can we add material and on of this action on bills and Ans: In Job / Schedule details lat order. This will be effect uring BOM has no effect. Resource in a discrete job? What is the implicait routing? we can add materials and resource for the particu for this order only. Engineering BOM and Manufact

14.What is repetative schedule? Ans: Repetative schedule builts an assembly on a line at specifited production r ate and for specified number of days. 15.How can you reverse manual resource charges? Ans: You can manually charge the same resource to the job or schedule and enter a negative value in the Units Applied field. 16.In Repetative schedule, while associating line and assembly, what will happen if we enter hourly prodcution rate higher than the maximum hourly rate defined in production line? Ans: An error message will pupulate and wont allow to enter quantity greater tha n maximum hourly rate defined in production. 17.What are the different rescheduling options available in WIP? Ans: Forward , Backward and Midpoint. 18.For a purchased item, how processing lead time is calculated in WIP? Ans: WIP won't calculate Processing lead time for purchased item, we have to manua lly enter. 19.In OSP, what will happen if we receive quantity greater than PO quantity? Ans: we cannot close the job, it will be shown in pending transaction. 20. In an assembly, same component is used in operation 10 (first) & 50 (last). How to specify this in a bill? Ans: Use reference designators to generate a range of Notion numbers with refere ncing to the specific operations. This might be drawing conventions, general inf ormations..Etc 21.I want to check what are all the components used for final assembly, their qt y, the routing & availability of child assemblies in Inventory. After checking, I want to convert that into discrete job. What is the facility given by oracle t o do the above scenario? Ans: Use Simulate discrete Job 22.I use Substitute items in WIP material transaction? a) True b) False 23.What are the controls available to generate requisitions during OSP process? Ans: In WIP Parameters, Operation start time of OSP operation (Queue Stage in OS P),At the time of creation of Job/schedule, Manual 24.Can we add an operation after it starting prodction. ( partial move transacti on) a) Yes b) No

25.Explain the status Pending Mass loaded in Repetative schedule Ans: The out put of MRP will be Pending Mass loaded , since MRP does not consider existing schedules. Descriptive Questions 1.What are the types of WIP accounting class available in Oracle? Ans: Standard, Asset non-standard, Expense non-standard, Repetitive, Standard lo t based, Expense non standard lot based, Maintenance. 2.Client is Pen manufacturer, He uses discrete manufacturing for his production. he sells pens and refills (as spare), During manufacturing of pen, refill is on e of the component and it is non stocked . What setup to be done to manufacture and sell both pen and refill ( instead of defining two seperate items for refill ) Ans: Create items Pen and refill with supply type push / pull Creat bill for pen, attach refill as its one of the component, Change the default supply tpe to Phantom. ( this will effect this particular bil l only) 3.What is the difference between Complete and Close ? Ans: S.No Complete Close 1 When completed, the WIP value gets decremented and Inventory value gets increm ented When closed, the details are transferred to GL 2 Valuation accounts gets hit Variance account gets hit 4.In a Routing, an items manufacturing process is as per below.. 10- Assembly 20 -Cleaning 30- Labeling 40- Inspection 50- Packing ,Here 40, Inspection is an occasional operation, not always be done. & 20. Cleaning is always done but non-critical. Hence these are requested not t o be done while performing Move transaction in-order to have less manual effort. How to designate this requirement? Ans:In standard operation, 20. Cleaning Disable Count Point & Select Auto charge . This will not default this particular operation in the move transaction. This wa y can skip that particular operation. 40. Inspection, Count point & Auto charge to be disabled. Hence whenever occasio nal need calls, Add this operation to the Job by Job/Schedule Operations. 5.Create Discrete JOB for 10 nos, complete only 5 leave the remaining is Rejecti on. Hence this rejected qty not to be considered while booking sales order? What setup to be done so that can be avoided? Ans: Create a Sub-Inventory and disable Allow reservation No . (Call it as Rejectio n sub inventory) Assign this DJ Routing __ completion sub inv, so as rejected components can be m oved here while Making Move transaction Can check in the Availability window in the sales order screen, Available to res erve qty. 6.What are some reasons Oracle Work in Process would prevent you from performing a completion transaction? Ans: There is no available quantity in the To Move step of the last operation in the routing. There is a shop floor status preventing movement from the To Move step of the las t operation in the routing.

The job/schedule status prevents transactions. The item is not transact able 7.what is the difference between Standard and Non-standard discrete jobs? Ans: S.No Standard DJ Non-Standard DJ 1 Standard DJ controls material and operation required to build assemblies and c ollect manufacturing cost Non-standard DJ controls miscellaneous activities eg: Rework, repair 2 Assembly in mandatory Assembly is not mandatory 3 We can Firm Cannot check Firm 4 Bill reference field is grey out Can enter item / assembly 5 Revision is not optional Revision is mandatory if the assembly has revision 6 Both Valuation and variance will be hit Only Variance will be hit 8.What are the status of DJ ( both user status and Processing status) Ans S.No User status Processing Status 1 Unreleased Pending routing load 2 released Failed routing load Complete Pending bill load Complete No charge Failed bill load Cancel Pending scheduling Hold Pending closed Closed Failed close 9.Can i complete an assembly with out order? Explain in detail Ans: Yes, In Workorder less completion we can complete an assembly with out orde r. Ther are 4 options available: WIP assembly compeltion , WIP assembly return, WIP assembly scrap, WIP return from scrap. 10.How to unclose an order, what are the prequestes for forecast Ans: In Close Discrete jobs form query with the order number. Tools--> Unclose. The prequestes are a) Job status should be closed. b) Accounting period should be open