Final Assembly Bill of Materials

In order to meet the diversification of customers' needs, options and variants are set. For example, even when the combination of a bolt and a nut creates one product, both can have several kinds of ones, and preparing several ones may make the response to the diversification of customers' needs possible. But if the products are produced according to various kinds of specifications given from customers, huge number of bill of materials are needed in some combinations of options, and thus the controlling activities become complicated and expensive, resulting in poor management.

The Final Assembly Bill of Materials is made by choosing the final assembly items and considering the use of options or variants according to the chosen items.

Related term: Bill of Materials