What is Bill of Material (BOM)?
Bill of Material is a list of raw materials needed to be sourced to make a garment and make it ready for shipment as per buyer's requirement. In garment manufacturing, BOM is generally prepared by production merchants. Then has been approved by the responsible person and handed over to purchase department to start sourcing of raw materials.A BOM normally includes items description, consumption (per piece consumption) with a defined unit of measure, projected cost per unit and total cost of each item. See the following format.
Fabric consumption and material consumption are calculated separately and added to the BOM sheet.
Bill of Material Format
Following one is an example of the BOM format. BOMs are prepared on a spreadsheet or by ERP. You can develop BOM template of different product types and use the same for new orders.When making a BOM for a new order using an exiting template, edit items name, consumptions, and unit price and you will get the total amount for the listed items.
Image: BOM Sample sheet
Image: BOM Sample sheet
Use of Bill of Materials
BOM is a common tool used for preparing material cost in manufacturing sector. As the format name says, it include all the raw materials required for making a product. It is a central place to know about parts and items names in one place.
In a garment manufacturing unit and in a buying house, an apparel merchandiser takes care of preparing bill of material following the product design and apparel techpack.
In apparel manufacturing, we refer to bill of material to know what all items are required to purchase. We get the actual rate of each items per unit.
Various form of BOM
Depending on the need and inventory management requirement you can use BOMs in various level. You can include the sewing operations' cost and process costs in the BOM for calculating manufacturing cost.
To know the various form of BOM refer to this post on ERPNext.
Related Articles: