Most bill of materials (BOMs) require discrete items like printed circuit boards (PCB), capacitors, connectors, ICs, or screws.
Suppliers provide these items in various packages and quantities to make pricing and inventory management fast and easy.
Most of the time, these items come in consistent packaging, which determine the purchase minimums and multiples. For example, the supplier will sell a 5,000 component reel and buyers purchase in multiples of 5,000.
For other items, the BOM requires a partial or fraction of a unit, like 2/3 inch or 1/2 ounce. For these items, suppliers will typically sell discreet packaging like a 100 foot spool, or a 16 ounce bottle. In these cases, the minimum buy and order multiple are both 1. But, the inventory available for use on the BOM is 100 feet and 16 ounces respectively.
We created the Package Count to provide a way for buyers to quote buying a discrete package (1 - 100 foot spool), and consuming in the resulting BOM UOMs (100 feet of wire).
This capability will correctly convert the purchased UOM and price to the BOM UOM and unit price.
Note: Stock, Min, Mult will reflect the BOM UOM. CQ adjusts these values by multiplying the supplier provided values and the Package Count. This makes it easier to review the information in context of the BOM requirements.
Using the 100 foot spool as an example, the transaction would look something like this:
PO
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Item: 1
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Qty: 1
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UOM: EA
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Description: 100' Spool of 18AWG Wire
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Unit Price: $178.56
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Extended Price: $178.56
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Min: 1
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Mult: 1
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Stock: 34
BOM
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Line: 54
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Qty: 2
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UOM: FT
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Description: 18AWG Wire
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Unit Price: $1.7856
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Assembly Price: $3.5712
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Min: 100
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Mult: 100
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Stock: 3,400
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BOM qty and UOM: 2 FT
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Unit $: $1.785600 - price per BOM UOM (Orig Unit $/Package Qty = 178.56/100)
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Orig Unit $: $178.56 - price paid for purchase UOM (100 FT Spool)
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Purchase UOM: 100 FT - sold in increments of 100 FT spools
FAQ
- Do I need to use the Package Count to indicate the reel size?
No. Suppliers typically price components on a reel not the entire reel. The min and mult should reflect the reel size. - Do I need to use the Package Count if the purchase and BOM UOM are the same?
No. If the supplier sells in inches and the BOM consumes in inches, the Package Count will not help. - Do I need to use the Package Count if the purchase UOM is Feet and the BOM UOM is Inches?
No. The standard UOM conversions will adjust for changes in the UOM for things like Feet to Inches, or Pounds to Ounces. - Then, when should I use the Package Count?
If the supplier sells packages of multiple units (e.g. 100 feet on a spool, 50 screws in a bag, 1000 nuts in a box) and you need to convert the package price to the unit price (price per foot, screw, nut).