Determining the Quantity Structure

Objectives

After completing this lesson, you will be able to:
  • Explain how to determine a bill of material
  • Explain how to determine a routing

Bill of Material Determination

The graphic outlines the process of determining a Bill of Material (BOM) through steps as follows: 1. Enter Material Cost Estimation Directly. 2. Material Master/Costing View. 3. Costing Variant/Quantity Structure Control. BOM Usage Assignment Includes the following sub-steps: 3.1 Production Version, 3.1.1 Material Master MRP 4, 3.1.2 Alternative Selection = 2 or 3, 3.2 Selection ID: Priority 1 Usage A, Priority 2 Usage B, Priority 3 Usage C.

The usage indicator leads to the selection of an appropriate BOM, while the status indicator determines whether the system releases the BOM for costing use. For the BOM selection, the status indicator is not part of the search strategy.

For routings, the selection table combines routing type with the routing status. Some products can have multiple production methods, such as discreet (task list type N) and, repetitive (task list type R).

Quantity structure control is a process by which the system searches for alternatives if multiple BOMs or routings exist for a material.

You can enter the quantity structure control ID in the costing variant. This ID describes a list of priorities for the BOM and routing through the BOM application and routing selection keys.

The BOM application determines by means of a selection ID, which BOM usage it selects first. It lets you define an alternative of a multilevel BOM from a certain date and specifies whether the BOM status indicator is relevant for the BOM selection.

The standard criteria for BOM determination are as follows:

  • Period of validity: The BOM must be valid on the quantity structure date.

  • Lot-size range: The costing lot size must fall within the lot-size range.

  • Status: The status must allow costing.

To check the BOM that was costed in the cost estimate, use the Info icon to go to the BOM and double-click the material number to go to the quantity structure.

Note

In the material master, there is an Individual / collective requirements setting. Individual is make-to-order. Collective is make-to-stock.

Routing Determination

The graphic details the routing determination process, including the steps: 1. Enter Material Cost Estimation Directly. 2. Material Master/Costing View. 3. Production Version with Routing. 4. Costing Variant/Quantity Structure Control and Selection ID Routing, Priority Sequence of: Task List Type, Task List Usage and Task List Status

If a production version is defined, the routing contained in it is used. The selection ID for the routing determines which routing the system selects first. The parameters for selection are the task list type, task list usage, and plan status.

The standard criteria for routing determination are as follows:

  • Period of validity: The routing must be valid on the quantity structure date.

  • Lot-size range: The costing lot size must fall within the lot-size range.

  • Status: The status must allow costing.

To check the routing that was costed in the cost estimate, use the Info icon to go to the routing and double-click the routing group to go to the quantity structure.

Display a Cost Estimate

Summary

  • Understand the process of determining the bill of material (BOM) for accurate cost estimation.
  • Learn how to determine routing to ensure efficient production planning and cost control.
  • Explore quantity structure control to manage multiple BOMs and routings for a material.
  • Apply standard criteria for BOM and routing determination, including validity period, lot-size range, and status.
  • Utilize system tools to verify BOM and routing used in cost estimates for precise analysis.