Multiple Bill of Materials (BOMs) in TallyPrime: 3 Steps + Example

TallyPrime offers the flexibility to create and manage Multiple BOMs for a single stock item.

This functionality is beneficial when your manufacturing process allows for variations in the components used to produce the same finished product.

Here’s a detailed explanation with examples:

1. Understanding Multiple BOMs in TallyPrime:

This approach involves creating different BOMs for the same finished product, each catering to a specific production scenario.

These scenarios might involve:

1. Variations in raw materials:

You might use different materials based on availability, cost, or product features (e.g., using higher-grade wood for a premium chair).

2. Optional components:

Some variants of the product might require additional components that aren’t included in the standard BOM.

2. Creating Multiple BOMs in TallyPrime:

1. Gateway of Tally (Alt+F12):

Launch TallyPrime and navigate to the Gateway of Tally by pressing Alt+F12 or clicking the menu icon (if applicable).

2. Create Menu:

Within the Gateway, locate the “Create” option and either click on it or press the C key.

3. Stock Items:

Select “Stock Items” from the “Create” menu. This opens the “Create Stock Item” screen.

3. Enabling BOM in TallyPrime:

  • In the “Create Stock Item” screen for the finished product, press F12 (Configure) to access configuration options.
  • Locate the setting related to BOM (might be labeled “Set Component List,” “Bill of Materials,” or similar) and enable the BOM option.

4. Adding Multiple BOMs:

  • Once BOM is enabled, you’ll find a dedicated section for managing BOMs within the “Create Stock Item” screen. This might be labeled “Stock Item Multi Components (M BOM)” or similar.
  • Click on the “List” button within this section. This opens a separate window for managing multiple BOMs.

5. Creating Individual BOMs:

  • In the “Stock Item Multi Components” window, you can create multiple BOMs by clicking “Create.”
  • Assign a descriptive name to each BOM to differentiate between the variations (e.g., “Standard Chair,” “Premium Chair with Oak Wood”).
  • For each BOM, you can then add components following the same process as explained for single BOMs (item name, stock UOM, quantity).

6. Example: Multiple BOMs for a Smartphone Case

You’re creating a stock item for a “Mobile Phone Case.” There are two variations:

  • Standard Case: Made from plastic.
  • Premium Case: Made from leather with a metal clasp.

1. Creating BOMs:

  1. In the “Create Stock Item” screen for “Mobile Phone Case,” enable the BOM option.
  2. Access the “Stock Item Multi Components” window.
  3. Create two BOMs:
    • BOM Name: Standard Case
      • Components: Plastic Sheet (1 unit), Padding Material (0.5 units)
    • BOM Name: Premium Case
      • Components: Leather Sheet (0.75 units), Metal Clasp (1 unit), Padding Material (0.5 units)

7. Selecting the BOM During Production:

When using the Manufacturing Journal voucher to record production activities, you’ll have the option to select the specific BOM that applies to the current production run.

This ensures the correct components are deducted from your inventory based on the chosen BOM variation.

8. Benefits of Multiple BOMs:

1. Flexibility in Production:

Allows for production adjustments based on material availability, customer requirements, or cost considerations.

2. Accurate Costing:

Enables calculating production costs for different variations based on the specific components used in each BOM.

3. Improved Inventory Management:

Helps maintain appropriate stock levels for various components required by the different BOMs.

9. Additional Considerations:

  • Clearly define and document the criteria for selecting the appropriate BOM during production.
  • Regularly review and update your BOMs to reflect any changes in component availability, pricing, or production processes.

By effectively utilizing multiple BOMs in TallyPrime, you can cater to production variations, ensure accurate costing for different product versions, and maintain optimal control over your inventory management processes.

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