Configure Multi-Level Bills of Materials (BoMs)

1. Overview & Business Value#

This comprehensive operational guide details the architecture, business workflows, configuration parameters, and execution steps for Configure Multi-Level Bills of Materials (BoMs) within SmartERP.

Procedural guide for configuring single-level, multi-level, phantom kits, and subcontracted BoMs.

{screenshot:bill-of-materials-bom-overview-dashboard}

2. Prerequisites & Security Access Groups#

• Required Modules: mrp, quality_control, smarterp_manufacturing_costing
• Security Groups:
  • Manufacturing User (Technical ID: mrp.group_mrp_user)
  • Manufacturing Administrator (Technical ID: mrp.group_mrp_manager)
  • Quality Inspector (Technical ID: quality.group_quality_user)
• Master Data Dependencies: Bills of Materials (BoM), routing operations, work centers with machine/labor hourly rates, raw material stock, and inspection checkpoints.

3. Step-by-Step Configuration & Execution#

Step 1: Navigating to the Module Interface#

1. Log into your SmartERP instance at https://smarterp.et/odoo.
2. Open the main App Switcher (grid icon in the top-left corner).
3. Select the Manufacturing app icon.
4. From the top navigation bar, open Manufacturing → Operations → Manufacturing Orders / Work Orders; Quality → Quality Control.

{screenshot:bill-of-materials-bom-app-switcher-navigation}

Step 2: Creating and Parameterizing Records#

1. Click the New button in the top-left control panel.
2. Complete the mandatory fields in the record form:
   • Finished Product (Mandatory): Manufacturable item variant linked to an active Bill of Materials
   • Quantity to Produce (Mandatory): Target production batch volume in standard unit of measure
   • Bill of Materials (BoM) (Mandatory): Active engineering recipe defining component roll-ups and operation steps
   • Scheduled Date (Mandatory): Target production execution date and shift allocation
3. Configure optional operational parameters and localized tags as required:
   • Work Center Routing (Optional): Specific shop floor machine or assembly station sequence
   • Lot / Serial Number (Optional): Assigned traceability lot for finished goods batch tracking
   • Analytic Cost Account (Optional): Cost absorption center for direct labor and utility overhead
4. Click the Save icon in the control bar to commit the record.

{screenshot:bill-of-materials-bom-record-creation-form}

Step 3: Validating and Processing Transactions#

• State Transitions: Execute operational state progression (Draft → Confirmed → In Production → Quality Gate Passed → Done → Cost Closed).
• Ledger & System Impact: Consumes raw materials from inventory (crediting stock valuation), absorbs labor/machine overhead, and debits finished goods inventory at actual cost.
• Audit Verification: Automated recording of author ID, timestamp, and immutable revision history.

{screenshot:bill-of-materials-bom-transaction-processing-state}

Overview of BoM Types in SmartERP#

SmartERP supports four distinct Bill of Materials structures:

1. Standard Manufacturing BoM (mrp.bom type normal): Used when the product is built on the factory floor with designated work orders, component consumption, and finished goods output.
2. Phantom / Kit BoM (mrp.bom type phantom): Used for kits or bundles that are not pre-assembled in production but rather picked together during delivery or used as non-stock sub-assemblies.
3. Subcontracting BoM (mrp.bom type subcontract): Used when raw materials are shipped to an external vendor who returns the completed assembly.
4. Co-Product BoM: Used in process industries where a single production run yields multiple distinct saleable commodities.

Procedure: Creating a Multi-Level BoM#

Step 1: Create Sub-Assembly BoMs First#

When manufacturing complex machinery or processed foods, always define lower-level sub-assemblies before defining the parent product:

1. Navigate to Manufacturing > Products > Bills of Materials.
2. Click New.
3. Product: Electric Motor Sub-Assembly 5HP.
4. Add components:
   • Copper Magnet Wire: 4.2 kg
   • Steel Stator Core: 1 unit
   • Rotor Shaft 25mm: 1 unit
   • Ball Bearings 6205: 2 units
5. Save the sub-assembly BoM.

Step 2: Create the Parent BoM#

1. Click New in Bills of Materials.
2. Product: Industrial Centrifugal Pump Unit.
3. Under the Components tab:
   • Add Electric Motor Sub-Assembly 5HP (Quantity: 1).
   • Add Cast Iron Impeller Casing (Quantity: 1).
   • Add Mechanical Face Seal (Quantity: 1).
   • Add Mounting Base Plate & Bolts (Quantity: 1).
4. Select the line for Electric Motor Sub-Assembly 5HP. Set the Manufacturing Readiness rule:
   • Manufacture on Demand (MTO): Auto-generates a child MO when the parent pump MO is confirmed.
   • Take from Stock: Consumes available motor stock; generates an alert if insufficient.

[mrp-bom-cost-rollup]

Component Scrap and Spoilage Margins#

In industrial cutting, stamping, or chemical blending, raw material loss is unavoidable:

• In the BoM component line, expand Component Details.
• Set Scrap Margin (%): For example, 3.5% on steel sheet cutting.
• When an MO for 100 units is confirmed, SmartERP automatically reserves 100 * 1.05 * 1.035 = 108.68 units of raw material, ensuring accurate material reservation without manual recalculation.

BoM Versioning and Engineering Change Orders (ECO)#

To maintain compliance with ISO 9001 quality audits:

• Never overwrite active BoMs currently tied to open manufacturing orders.
• Navigate to Manufacturing > Products > Engineering Change Orders (ECO).
• Create an ECO to propose component substitutions, update routing run-times, and route for Engineering Director and Cost Accountant sign-off.

4. Advanced Configuration Points#

• Automated Actions & Scheduled Tasks (Crons):
  • MRP: Recalculate BoM standard costs (mrp.ir_cron_bom_cost_roll): Runs weekly to update standard costing from latest procurement purchase prices
  • Quality: Trigger periodic inspection alerts (quality.ir_cron_inspection_check): Runs daily to flag mandatory quality testing queues
  • Workcenter: Update OEE statistics (mrp.ir_cron_workcenter_oee): Runs hourly to compute Overall Equipment Effectiveness metrics
• Custom Print Templates & Reports:
  • Production Order Traveler & Pick List
  • Shop Floor Work Order Execution Slip
  • Quality Inspection Certificate & Non-Conformance Report
  • Manufacturing Cost Analysis & Variance Ledger
• Multi-Company Rules: Record-level security isolation under Company 1 (Ashewa Technology Solutions S.C.), preventing cross-company ledger leakage across parent and subsidiary legal entities.

5. Comprehensive Troubleshooting Matrix#