150% vs 100% BoM
Lionel Grealou (グレアルー?リオ)
Transformation leader | return on innovation | digital strategy | value chain | connecting the dots | start-up blueprinting | managing the lifecycle of things | PLM | strategic sourcing | global talent development
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Everything that needs to be manufactured requires a 'precise' Bill of Materials (BoM) which described exactly what specific items, components or parts composed the products that has been specified / ordered (which are typically pre-defined in a modular manner by the OEM product configurator). For complex configured products, such as mass-produced passenger cars, the vehicle that is ordered by the client is configured to his / her requirements - on the basis of an all-possible option in a 'configurable BoM' (a.k.a the 150% BoM) from which all-possible 'configured BoM variants' (a.k.a the 100% BoMs) can be created.
The 150% BoM is just another name for a variant structure, or more specifically, a configurable BoM which contains the 'art of the possible' of a product line.
A variant BoM contains more parts and assemblies than actually needed to assemble the (final) product - the 150% of the parts. In Manufacturing terms, variant BoMs can be used specifically for:
- Assembled-To-Order: typically based on predefined configuration rules, including compatibility matrix and business rules which describe what specification combinations are allowed or not.
- Engineered-To-Order: which can be manually configured to make use of customized parts/assemblies, that have been engineered according to the specific custom requirements.
Many OEMs are now moving to 'global' configuration engines which can be directly used to 'solve' configuration requests at every levels:
- By Design Engineers (e.g. to validate BoM design, perform clash analysis or other simulations).
- By Manufacturing Engineers (e.g. to simulate Manufacturing Process, validate specific manufacturing tooling configurations on a product platform, update Electronic Work Instructions for a production or assembly line).
- By Procurement (e.g. to validate a part or component that is been ordered from a supplier).
- By Sales & Marketing (e.g. to create product website and brochures).
- By Finance (e.g. to simulate cost models on a specific product variant or family).
- By clients (e.g. on OEM websites or on dealership interface system).
Manufacturers of highly configured products (such as super-cars for exclusive clients) is pushing the boundaries of the variant BOM approach. In this context, there is a need for hyper-agility where configured baseline bundles or set of modules need to be extensively overloaded to satisfy extreme customization requirements.
What are your thoughts?
PMP?* 7x Microsoft* AWS* GCP* Scaled Agilist6* ITILv4* CSM* ISTQB (TM)* Google PM certified
1 年Everytime I wonder how they calculation arrives on the number 150.. why not 145 or 145.5 or 120 or 170....
Experienced Leader Driving Transformation and Valu Creation
9 年I see the need for the 150% (configurable) BOM growing as manufacturing companies move towards platform products to support the personalization of products. IT will be interesting to watch how technology advances to support this requirement. Support for confugurable products required much more than configurable BOM's, it also requires the other information such as routings, assembly insdtructions and other data to be manipulated correctly by the 'engine' as options and variants are selected to be produced.
Account Executive @ Gartner | MBA, Business Leadership, AI
9 年Nice post and interesting concept the 150% BOM. Definitely important when managing products with a high level of complexity. The question here is, as we go to a more complex and segmented market in which the products are more and more customised, could we eventually get to a situation in which the different configurations have nothing or very little in common?
Digital Transformation - PLM
9 年Good post! With the growing market and variants 150% BOM or 200% BOM concept is becoming more complex to manage. Eventually 150% BOM concept managed in may OEM’s.
CEO @ OpenBOM | Innovator, Leader, Industry Pioneer | Transforming CAD, PLM, Engineering & Manufacturing | Advisor @ BeyondPLM
9 年Great post! Although, I think that in the future the idea of 150% BoM will die. More thoughts about it here -- Why 150% BoM will be obsolete in the future https://beyondplm.com/2014/05/16/why-150-bom-will-be-obsolete-in-the-future/ Best, Oleg