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Glossary Logistics / Term

Phantom Bill of Material

A bill-of- material coding and structuring technique used primarily for transient (nonstocked) subassemblies. For the transient item, lead time is set to zero and the order quantity to lot- for- lot. A phantom bill of material represents an item that is physically built, but rarely stocked, before being used in the next step or level of manufacturing. This permits MRP logic to drive requirements straight through (blowthrough) the phantom item to its components, but the MRP system usually retains its ability to net against any occasional inventories of the item. This technique also facilitates the use of common bills of material for engineering and manufacturing. Synonym: Pseudo Bill of Material. Also see: blowthrough.

Permanent link Phantom Bill of Material - Creation date 2021-12-06


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