Bill Of Materials - BOM

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DEFINITION of 'Bill Of Materials - BOM'

A comprehensive list of raw materials, components and assemblies required to build or manufacture a product. A bill of materials (BOM) is usually in a hierarchical format, with the topmost level showing the end product, and the bottom level displaying individual components and materials.

INVESTOPEDIA EXPLAINS 'Bill Of Materials - BOM'

Bills of materials come in different types specific to engineering (used in the design process), manufacturing (used in the manufacturing process), and so on. A manufacturing BOM is of vital importance in materials requirement planning (MRP) and enterprise resource planning (ERP) systems.

A BOM "explosion" displays an assembly or sub-assembly broken down into its individual components and parts, while a BOM "implosion" displays the linkage of individual parts to an assembly.

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