Build every Business Central bill of materials on solid data

Choosing the right Business Central bill of materials type

Business Central offers two structures. An assembly BOM lists components and resources for kitting or light assembly. Essentials includes it. A production BOM belongs to manufacturing in Premium. It pairs with a routing, and it supports versions, scrap and links between components and operations.

The choice follows the process, not the product. For example, items built at a bench to a customer order suit assembly orders. Items that pass through several operations need production BOMs. They consume capacity and need planned lead times. We walk through your product families and assign each one. This step also settles which license you need.

Multi-level structures without needless stock levels

Any component in a Business Central bill of materials can have its own BOM. That creates a multi-level structure. Each stocked level adds another production order, another receipt and another item to count. So a subassembly nobody stocks can sit inside the parent as a production BOM line. People call this a phantom, and planning explodes straight through it.

We draw the structure with your engineers. At each level we ask whether anyone stores, sells or outsources that part. The answer decides between an item and a phantom. Then the Item BOM structure page and the where-used view show how a change to one part spreads upward.

Line settings for an accurate Business Central bill of materials

In addition, each line carries a quantity per, a unit of measure and an optional scrap figure. Scrap raises the requirement to cover expected loss. Length, width, depth and weight fields help too. Add a calculation formula, and sheet or bar stock consumption follows the dimensions.

Routing link codes tie a component to the operation that uses it. As a result, material is called for when that operation starts, not at the start of the order. The flushing method on the item then sets when consumption posts. We set both together. A mismatch between them often causes wrong inventory.

Version control for engineering changes

Designs change, so version control matters. A production BOM has a status that runs from new through development to approved and closed. Only an approved one works on orders. BOM versions carry a starting date. So a revised component list takes over on a chosen day, while existing production orders keep the list they began with.

We define who may approve a BOM. Then we map how a change request moves from engineering to planning. In addition, we show how the Exchange Production BOM Item job swaps a replaced part across many structures at once. Permission sets keep editing rights with engineering. The floor cannot alter a structure by accident.

Loading each Business Central bill of materials from your current system

Most companies already keep each Business Central bill of materials somewhere else. That might be an older system, a CAD tool or spreadsheets. We extract them and match every component to an item number. Then we fix units of measure. Configuration packages load the headers and lines, after we load items and routings first.

Before go-live, we also run the standard cost roll-up. We compare the result with your current standard for a sample of finished items. A large gap usually points to a wrong quantity or unit. Finding it in a sandbox costs far less than finding it in a stock count.

Business Central bill of materials questions

What is the difference between an assembly BOM and a production BOM?

An assembly BOM is a flat list of items and resources used on assembly orders and is part of Essentials. A production BOM is used on production orders, works with routings, supports versions and scrap, and requires the Premium license.

Can a Business Central bill of materials have several levels?

Yes. Any component can carry its own BOM. Stocked levels are separate items with their own orders, while levels that are never stored can be placed inside the parent as a production BOM line so planning passes straight through them.

How are BOM changes controlled?

A production BOM must reach its approved status before it can be used. Changes are made in a new version with a starting date, or by setting the status back to Under Development. Permissions decide who can do either, which gives a simple engineering change control.

Does the BOM drive item cost?

For items with a standard costing method, the cost roll-up adds component costs and routing costs through every level to calculate the standard. For other costing methods, actual consumption posted against the order determines the cost of the finished item.

Can we import BOMs from a CAD or PLM system?

Yes. A one-off load is done with configuration packages. For ongoing exchange, the standard APIs or a connector can create and update items and BOM lines, and several AppSource connectors exist for common engineering tools.

Related manufacturing services

A bill of materials is only useful next to the orders, routings and planning that read it. These pages cover the closest topics on our site. Together they show how a Business Central bill of materials links design, purchasing and the shop floor, so each build uses the right parts. For the product detail, see Microsoft Learn: create production BOMs.