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

Bill of Materials (BOM) and product lifecycle open loops

Bill of Materials (BOM) and product lifecycle open loops
Oleg
Oleg
19 May, 2015 | 2 min for reading

integration-loop-bom

It is hard overestimate the importance of Bill of Materials for product development. In my keynote at ProSTEP iViP symposium in Stuttgart earlier this month I’ve been sharing my thoughts why developing of single BOM across multiple disciplines in critical for organization. I wanted to bring few examples that can demonstrate why having a single BOM strategy can bring benefits to product development and manufacturing organization.

Earlier today, at Siemens PLM connection event in Dallas, I captured the following slide demonstrating an integrated approach in design, manufacturing, planning and production. What is really interesting is how as-design, as-planned and as-build views in PLM are integrated with design, manufacturing, planning and production.

integrated-bom-plm-mes-mom

Few days ago, I the following article by 3D CAD World article caught my attention – Progress in closing the product lifecycle’s loops by Peter Bilello, president of CIMdata. The article speaks about the importance of collaboration across diverse enterprise groups.

For many years, the PLM industry has greatly benefited from a steady stream of improvements in collaboration among ever more diverse enterprise groups—in data interoperability, for example, and in the transparency of workflows and processes. The development, manufacture and support of globally competitive new products are, however, still hamstrung by the remaining open loops new and old.

Later in the article it came to the topic I was looking for – Bill of Materials. According to article, BOM is a biggest remaining challenge to make integration running smooth. Here is the passage, which explains that.

Between engineering, manufacturing and finance, a big remaining challenge is the bill of materials (BOM) in its many forms—the as-designed BOM, the as-engineered BOM, the as-manufactured BOM, and so on. Generated and managed with PLM and often executed by enterprise resource planning (ERP) systems, BOMs themselves are loop closers. PLM-ERP connectivity and interoperability are steadily improving, but some open-loop issues are resolved only after time consuming face-to-face meetings.

What is my conclusion? Single BOM could be a great thing if vendors will figure out how to implement that. As you can learn from Biello’s article, PLM-ERP has open-loop issue and BOM is a tool to close that. However, companies are concerned about bringing single BOM strategy since it can raise lot of organizational challenges for them. At the same time, the demand for better integration and collaboration can put companies in front of decision to bring single BOM to close open loops between engineering, manufacturing and production anyway. Just my thoughts…

Best, Oleg

Image courtesy of Stuart Miles at FreeDigitalPhotos.net

Disclaimer: I’m co-founder and CEO of OpenBOM developing a digital network platform that manages product data and connects manufacturers and their supply chain networks.

 

Recent Posts

Also on BeyondPLM

4 6
15 August, 2016

PLM was born as a strategy and technology for large organizations. These manufacturing companies supposed to have enough resources and...

8 July, 2015

To manage business processes across the manufacturing organization is not a simple job. This is a problem product lifecycle management...

16 January, 2012

Silicon Valley is well known by the high concentration of web start-up companies. My recent conclusion about PLM Highway (Rt....

7 October, 2012

Two weeks ago, I published a provoking blog post proposing to stop “Engineering PLM”. Quite many people responded – the...

23 August, 2010

Manufacturing company enterprise landscape becomes more and more complex every year. Companies are implementing new products and versions of existing...

2 November, 2016

I’m heading up to Detroit to attend CIMdata PLM Roadmap for Global Automotive Industry and their Supply Chain Partners. Navigate...

15 December, 2011

Let’s talk about emails today. How many of them are you reading or writing daily? A lot? Emails are with...

4 March, 2015

  My yesterday post – Will cloud CAD inherit data interoperability problem? raised few interesting discussion about cloud data management...

25 February, 2011

CAD and PLM world is extremely competitive. The decision process in the manufacturing industry is not fast. Companies are spending...

Blogroll

To the top