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¶ … Control Processes in Manufacturing
If you were the manufacturing manager for a company that manufactures travel luggage, how would you describe the concept of "explosion" and what would you include in your description?
When a material is allocated to a bill of material (BOM), to a sales order BOM, or when a WBS BOM is allocated to an activity, each BOM can be exploded in the network level-by-level or completely, which is called multi-level explosion (Swamidass, 2000). The reasons for exploding a bill of material include: 1) A desire to maintain subordinate components in the BOM; 2) although the header material was not planned using MRP, it is desirable to trigger MRP for subordinate components; and 3) it is desirable to change the structure of the bill of material as it is presently configured in the network (Swamidass, 2000).
If the allocation of the material component to the activity occurred before the BOM explosion, the following choices are available: 1) Select the component and proceed, which assigns the header material to an item category (which in SAP is indicated by "T" for text item) -- this action means no requirements are generated for that item, but will be for subordinate...
Several explosion modes exist, including the following: Multilevel, make to order, according to BOM line type, and single level (Swamidass, 2000). The multilevel explosion option is complex as it requires a comprehensive recalculation of each sub-BOM instead of taking the current cost (Swamidass, 2000). A version of the multilevel explosion mode is referred to as "made to order" and it is basically a recalculation that amortizes the constant costs according to the specified quantity (Swamidass, 2000). The calculation that is most closely linked to the BOM line type is called "according to BOM line type" such that, the current cost is taken for "item" types and the cost is calculated for "production" types (Swamidass, 2000). Finally, the single level is a standard costing version that only affects a single level,…
References
Demand Solutions. (2015). Supply chain glossary -- 1: Input/output analysis also input/output control. Retrieved from http://www.demandsolutions.com/resource-center/supply-chain-glossary/supply-chain-glossary-i/input/output-analysis-also-input/output-control.html
SAP. (2015). Exploding the Bill of Material. Retrieved from http://help.sap.com/saphelp_470/helpdata/en/4c/227ad246e611d189470000e829fbbd/content.htm
Swamidass, P.M. (2000). Encluclopedia of Production and Manufacturing Management. Kluwer Academic Publishers. Retreived from http://www.eng.auburn.edu/center/twc/cover.pdf
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