hey guys and welcome to the template on the bill of materials now with this template you will be
able to easily create a bomb to keep track of individual components that will be needed
to manufacture a product using this file you will also be able to track the unit cost that
will allow you to quickly identify where your major costs really are and find some
ways for optimization now once you've actually created the bom you can also just print it out
in landscape mode and the whole template is set up for this already generally speaking
this template is super easy to customize but i want to walk you through the different steps
that you need to take in order to make sure that this is fully suited for your needs
so let's first take a quick look at the different sheets that we have in this template and we start
off with the so-called inventory master list we go over here we just see a little table
giving us the final output so in my pre-populated example we actually want to
manufacture a computer setup which is divided into a monitor and an actual pc we got different skus
stock keeping units so these are just numerical values associated with a specific product
there are different categories so if you think about the manufacturing of
a computer you know you may have some screws a stand a power supply and so on and so forth
then what's really important is the unit of measurement now those could be pieces
those could be kilograms pounds or even tons depending on what you actually want to produce
then for now plenty of placeholders in the name column but of course you can customize them as
you see fit and then the last step it's very important that you keep track of the unit cost
because in the next step you will want to analyze where your major costs are actually
located and for this we can use the next sheet called analysis of inventory master
now this is a pivot table categorizing your final output with the category
the names and the total unit cost so you see that if we were to manufacture this setup
given all of the information we currently have in our inventory master list
our cost would be a total of eight hundred and three point two dollars of course every single
time since this is a pivot table if you update any information here on the inventory master list
you will need to manually refresh the inventory master analysis you can easily do that by just
right clicking into the pivot table and hitting refresh that's all you need to do
now moving on to the bill of materials i want to show you what you can actually do with this
so again we want to have a computer setup as our finished product the general rule of thumb here is
do not change any of the gray cells all you need to change is really just this light green these
two columns and the one cell up here for the finished product because what you'll be doing is
you simply enter the sku of one particular product so let me just maybe delete these
you can also take these out you see everything else disappears just automatically
once you enter in this sku the data will come in automatically once you update the quantity
let's say we need like four of these ram blocks we'll see that the unit cost divided by the
multiplied with the quantity will actually give us the total cost and then in the end
all of this will somewhat update to our total cost down here of 802. but notice that every
single time i change the quantity both this total down here as well as my total cost
will change automatically so really all you need to do in here is just bring in all the skus
update the quantities now these are just arbitrary values that i'm putting in here
and you'll be all set with your bill of materials if you need more space let's say this is not
enough for you you can just easily add additional rows simply go in here right click hit insert
once you bring in the new sku you see that those formulas will also update automatically so really
maximum comfort for you maximum convenience and if you decide to have less lines you can just take
them out just as easily and that's it with a bit of materials there's just one last thing i want
to raise your attention on and that is you need to make sure that the headers here exactly match
your headers over here in the inventory master list why is that because the formulas in the gray
cells over here will be picking up those names essentially it'll be looking for the category
in the inventory master list if if excel doesn't find an exact match for this the formula would
work but it's super easy for you just bear in mind that whenever you update any of these
headers over here let's say rather than saying final output you want to call this main component
let's go over here you see the formulas are not working but if i also rename
this to main component my formulas are back in so that's really the only thing
you need to pay attention to everything else is fully automated so i hope that you will
be enjoying this template super convenient to use and i wish you great success with it