Bill of Material
This page explains how the Bill of Material (BOM) works in SC Navigator. In particular, the capability for modeling is now extended to the full supply chain, including the raw materials and the intermediate products.
The template contains a Bill of Material sheet where you can define the BOM data:
On this sheet you can define how the raw materials are combined into final products. For example, for creating one unit Poly-Crystalline final product the following raw materials are needed:
10 unit of Raw Material 1
10 unit of Raw Material 2
10 unit of Raw Material 3
10 unit of Raw Material 4
10 unit of Raw Material 5
As shown in this example, you can use different units of measurement for the raw materials and for the final products.
In the Product Created column you can define how many final products can be made from the given amount of raw materials. This can be any positive number.
In the Product Needed column you can define how many raw materials are needed for the given amount of final product. This can be any positive number.
On the Production Routing (Bill of Resource) sheet you can also specify in which production facility the final product is made.
On this sheet you can define the following attributes:
Consumed Capacity: the amount of capacity consumed as the part of the process required to create the given amount of final products defined on the Bill of Material sheet
Variable cost: the cost of creating the given amount of final products defined on the Bill of Material sheet
Minimum Capacity: The minimal amount of the capacity that should be used. If this constraint is for a single location, this will be conditional on the location being open. If the capacity is for a group of locations, this constraint is absolute.
Maximum Capacity: The maximal amount of the capacity that should be used.
Custom costs
Please know that the Minimum Capacity and Maximum Capacity are in terms of capacity consumed and not in terms of products created. (Of course, if Consumed Capacity is 1, these are the same.)
For example we make 1 unit Poly-Crystalline from the given amount of raw materials (see above) and that process requires 1 unit of capacity and its cost is 2. So, if we want to make 10 unit of Poly-Crystalline, the consumed capacity will be 10 unit and the cost will be 20.
If one Bill of Material in one location is specified over multiple production facility, SC Navigator can pick among those production facility to get the best solution. This might mean it uses one or it might mean that it uses them all.
In SC Navigator every production facility should have routing, which means that if we define a production facility on the Production page we have to define it on the Production Routing (Bill of Resource) sheet as well for the model to take into account.
In Backwards Compatibility we have to define the production facility on the Production data sheet as well as the Bill of Resource and the Bill of Material sheet. Otherwise, if the production facility availability is 1 on the Production Product sheet and the production facility has no routing, the model will take it into account as a supplier. Or, if the production facility is not available on the Production Product sheet and has no routing, the model will not take it into account.