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What is Bill Of Material (BOM)?

Monitor your manufacturing expenses effectively with ZapInventory's easy-to-use bill of materials tool.

Sharvari Joshi avatar
Written by Sharvari Joshi
Updated over a week ago

A bill of materials is crucial for manufacturing businesses to monitor their expenses effectively. It's a detailed list of raw materials, components, and instructions for manufacturing a product or service. Creating an accurate bill of materials is essential because it ensures that the required materials are available when needed. A precise BOM is critical to prevent production halts, which can lead to increased operating costs. With ZapInventory, creating a precise BOM is effortless, ensuring that your assembly process is as efficient as possible.

Components in a BOM can include materials, assembly parts, sub-assembly parts, and consumables. You can also add labor and overhead costs to your BOM to more accurately represent the total expenses.

In ZapInventory, you can select the item you want to manufacture and its yield quantity. Conveniently, you can create items for your BOM in the product/service section of ZapInventory. Once you've added your item, you can add the required components to manufacture it. For example, if you're a car manufacturer, your BOM item would be a car, and your components list would include all the materials necessary to manufacture a car.

Click here to understand how you can create BOM in Zapinventory.

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