The bill of materials, or BOM, is the description of the components needed to build a product. For example, let's say we had to build a table. The BOM would indicate you need a tabletop, four legs, and some screws to assemble the table. Since each individual component can also have its own bill of materials, there are what we call bill of materials levels. Each with its own set of sub-components. Similarly, a sub-component can also have its own bill of materials, creating multiple levels of bill of materials. This feature is very important, but it's a functionality that some ERP software doesn't handle properly. However, this feature is included in Odoo ERP software, and you can manage as many different levels as needed.
                   
                   Work orders are documents provided to the manufacturing workshop as signals to produce a certain quantity of a specific product. The work order includes your bill of materials and routing. In other words, it will provide the materials and assembly processes for a product. The system will create an individual work order for each operation and their respective work centers in your ERP. So, to go back to our table example, there will be one manufacturing order and three work orders to assemble the table.
The ERP software Principal Master Production Schedule : The ERP software gives manufacturing facilities the ability to create a master production schedule. A manufacturing center may receive multiple production orders at once, so it's important that everything is created and managed on time. A master schedule allows you to allocate work properly based on the current workload and the capacity of your manufacturing work centers.
                   
                   Routing is a description, or a roadmap, of the processes that need to be followed to assemble a product. The descriptions are arranged in order based on how a product should be built. For example, with our table, there's a specific process to follow, starting with assembling the table (attaching the tabletop to the legs), then painting the table, followed by varnishing, and finally packaging. Each operation will be handled by a particular work center, and some operations may also be outsourced and performed outside your company. These outsourced tasks can also be managed within the ERP software.
Quality Controls : In addition to routing operations, another step performed is quality assurance. Quality controls can be carried out in several ways:
                   
                   Employee Monitoring and Performance : Human resource management is a crucial element in any business, especially in manufacturing. ERP systems integrate specific functionalities to track and evaluate employee performance. This includes the ability to monitor employees' activities and progress throughout their assigned tasks. These tracking data enable managers to better understand individual performances, identify areas for improvement, and acknowledge successes.
Workstation : Within a manufacturing ERP system, a workstation represents the location where production operations are carried out by employees. ERP software provides functionalities to manage and organize these workstations effectively. This includes task assignment to employees, scheduling work shifts, monitoring individual and collective performances, as well as managing the resources required for each workstation. Additionally, ERP systems can also integrate time management features, allowing employees to clock their work hours and enabling managers to track and manage worked hours.