A blog by Oleg Shilovitsky
Information & Comments about Engineering and Manufacturing Software

PLM, CMMS and BOM Hot Potato

PLM, CMMS and BOM Hot Potato
Oleg
Oleg
8 January, 2014 | 3 min for reading

bom-hot-potato

There is no person in manufacturing universe that can underestimate the importance of right Bill of Material information. However, I can see people responsible for material management in a special league for the context of material management and BOM.

Doug Wallace of Life Cycle Engineering (www.lce.com) speaks exactly about that in his article The importance of an equipment BOM. I found this writeup quite interesting. Here is the passage that defines the importance of BOM:

The main purpose of the materials management organization is to provide the “right parts in the right quantities at the right time.” But where do those material requirements come from? Whether or not demand is predictable, whether the materials are for production or maintenance, the requirements are usually generated from a bill of material (BOM). Without a complete and accurate BOM, decisions regarding material planning and replenishment are often made in a vacuum, resulting in excess inventory, stockouts, expediting charges and expensive downtime.

At the same time, I can see a question here – where is that material requirements and BOM information is coming from? Where is this accurate Bill of Material is located? PLM system is one potential candidate alongside with more traditional MRP/ERP system. I debated this topic last year in my article – Will PLM management enterprise BOM? Shaun Snapp of smfocus has an interesting perspective of separate system taking care of all Bill of Materials management aspects. He debates it on his BOM blog here.

Doug’s article made me think about confusion in the way different systems represents and required data related to Bill of Material management. For example, article provides a detailed information about what information should be on (E)BOM –  Part Number, Description, Quantity, UoM, Manufacturer, MPN, Supplier related information including Supplier’s Part Number.

This information can be managed by PLM/BOM solution as well as PDM solution combined with design system. I’m sure Excel spreadsheet from engineering department can provide it as well. Since the context of discussion is maintenance and CMMS, the information can come from ERP/MRP system. In my view, the confusion comes even in the name – EBOM. Some people can think about (Engineering)BOM, another group can think about (Equipment)BOM as it was presented in the article. I’m sure some computer geeks can think about (Electronic)BOM too :). Article summary provides some hints on the engineering roots for the BOM as well as importance of collaboration beyond silos:

As a rule, the RE is primarily responsible for providing initial EBOM information and all engineering-driven changes. The planner is responsible for ensuring EBOM accuracy. But the key to overall EBOM effectiveness is to recognize that data creation and maintenance is a collaborative process that requires teamwork and communication.

What is my conclusion? In my view, there is a confusion around BOM ownership and responsibilities of providing a correct BOM information. The level of fragmentation of BOM information is too high. Organization is often handle BOM as a “hot potato” changing  hands of different organizations and finally thrown over the manufacturing wall. It introduces a  problem that future lead to higher product product cost, expensive maintenance and operation. Just my thoughts…

Best, Oleg

Recent Posts

Also on BeyondPLM

4 6
5 July, 2021

Data is at the center of digital transformation projects. Questions about how to organize the data in the most efficient...

19 June, 2014

This week is very fruitful for PLM events. PTC Live 2014, Siemens PLM connection, GrabCAD media event. Twitter and other...

16 January, 2013

Last week I started the discussion about about modern BOM challenges. That discussion made me think more about the idea...

22 February, 2016

Over the weekend, I had a chance to read Steven Sinofsky’s article – Disruption and Woulda, Coulda, Shoulda… He speaks about...

26 July, 2010

When I’m thinking about any PLM project, I can clearly see the step when data available in the organization need...

25 March, 2013

I want to continue the theme of disruption started in my post last week. I can see two major forces...

8 October, 2015

Did you pay attention what happened to cloud storage? I’m sure you did. The cost is racing to zero. You...

4 June, 2015

I attended startup event yesterday in MIT. It was organized by by Startup Secrets with participation of Michael Skok and Alex Osterwalder....

7 July, 2009

I was reading Oracle Web Center announcement few days ago. Browsing top down on Oracle web site, I found it...

Blogroll

To the top