Bill of Materials Management: Ensuring Production Efficiency
Keywords:
foundation, analytical, BOM, inconsistenciesAbstract
A Bill of Materials (BOM) is the most fundamental document in any manufacturing and production business, a blueprint containing all the materials and components necessary for producing a product. Effective BOM management will ensure an efficient production process with reduced costs, enhancing operational workflows. This paper explores the critical role of BOM management, focusing on how it affects inventory control, cost estimation, production planning, and quality assurance, all of which are pivotal in modern manufacturing. Despite its importance, managing BOMs is not without its problems, including data inconsistencies, a lack of integration between departments, and the complexity involved in handling frequent product design changes. BOM management has been highly revolutionized by recent technological advancements, especially with the adoption of PLM software, ERP systems, and Industry 4.0 technologies. Real-time tracking, better accuracy, and collaborative effectiveness characterize these innovations. Additionally, best practices and case studies of successful BOM management strategies have been identified from different industries, such as automotive and electronics manufacturing. Discussions on future directions in the form of AI-driven analytics and blockchain for secure data handling underscore the area of BOM management and how its growth can yield efficiency to production, keeping in tandem with the move and pace of the changing industrial landscape. To that end, extensive literature provides a strong analytical foundation in the context of 2003 to 2022.
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