BOQ/BOM Report

BOQ/BOM Report - User Guide

1. Introduction đŸ› ī¸

The BOQ/BOM Report is the engineering and costing heart of the ErpCrystal/MFG system. It provides a structured breakdown of materials, sub-assemblies, and labor required to manufacture a product. Whether for production planning (BOQ) or financial analysis (Costed BOM), this report ensures that your manufacturing “blueprint” is both technically sound and financially viable.

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Purpose of this Report:

  • Technical Blueprinting: Document multi-level product structures, from raw materials to sub-assemblies.
  • Financial Costing: Calculate the total landed cost of a product using real-time purchase rates.
  • Production Planning: Generate a Bill of Quantity (BOQ) for material requirement planning (MRP).
  • Audit Trail: Track revisions and changes in product designs via the BOM Change Log.

This report is essential for Production Managers, Design Engineers, and Cost Accountants.


2. Multi-Level Explosion Logic đŸ§Ŧ

The system supports complex, deep-nested manufacturing structures (up to 5 levels).

  • Level 0: The main Parent Product.
  • Sub-Assemblies (SA): When a component is marked as “Sub-Assembly,” the system automatically “explodes” its own BOM recursively until it reaches base raw materials.
  • By-Products (BP): Identifies secondary outputs whose value is deducted from the total manufacturing cost.

3. Report Types & Use Cases 🚀

A. Costed Bill of Materials

  • Purpose: Strategic financial overview of a product.
  • Costing Modes:
    • Last Purchase Rate (LPR): Values the BOM based on the most recent supplier invoice.
    • Weighted Average Rate (WAR): Values the BOM based on the average cost of all current stocks.
  • Print Options:
    • BOM View: Focuses on the technical relationship between items.
    • Cost Sheet View: Adds financial layers like Contingency, Overheads, and Target Margins.

B. Bill of Quantity (BOQ)

  • Purpose: A non-priced list of all materials.
  • Best For: Issuing “Pick Lists” to the warehouse or calculating bulk material requirements for a large production order.

C. BOM Change Log

  • Purpose: Document control and revision history.
  • Best For: Understanding why a product’s structure was changed and verifying who authorized the revision (Note: linked to Change Note numbers).

4. Specialized Analysis Sheets 📊

SheetAnalytical Value
Missing BOMsThe Safety Net. List of products that have been sold via Invoices but do not have a defined BOM in the master.
BOM SummaryOne-line summary per product showing total material, labor, and margin values.
Inactive BOMsAudit of legacy product designs no longer used in current production.
Related BOMsShows the recursive links between parent products and their sub-assembly BOMs.

5. Source Transactions 🔄

The BOM engine synthesizes data from:

  1. BOM Master: The core engineering definitions.
  2. Purchase Indents/Bills: Source for the “Last Purchase Rate.”
  3. Inventory Valuation: Source for the “Weighted Average Rate.”
  4. Production History: Source for “Missing BOM” alerts.

6. Best Practices / Tips 💡

  • Standardize UOMs: Ensure that the “Purchase Unit” and “BOM Consumption Unit” are correctly linked. A mismatch here will cause massive errors in the Cost Sheet.
  • Audit the Missing BOMs Sheet: Weekly review of the Missing BOMs sheet is critical. It ensures that every product dispatched is backed by a cost structure, preventing financial leakage.
  • Manual vs. System Rates: In the costed BOM, flag manual rates (marked as “Is Manual: Yes”) for items that aren’t regularly purchased but have a known standard cost.
  • Margin Review: Use the Cost Sheet View to compare your Total Landed Cost against the List Price. Ensure the Margin Percent aligns with the company’s profitability goals.