Supports three types of bills of material :production bill of material, sales bill of material, and assembly bill of material.

Production Bill of Material

Describes a finished product made up of different quantities of different components. During a production process, the components are turned into the finished product. The production process could be a manufacturing, assembly, packaging, or other sort of process. Components can be physical items (such as a screw or a wooden board) or virtual objects (such as one hour's work).

Sales Bill of Material

Describes a finished product that is assembled and is about to be sold. The difference between an assembly bill of material and a sales bill of material is that only the finished product appears as a single item in the sales order for an assembly bill of material, whereas both the finished product and the components appear as separate items in the sales order for a sales bill of material.

When displaying a Sales BOM in documents, the user can choose whether to display price and total for parent item only or to display prices of child items as well.

Assembly Bill of Material

An assembly bill of material describes a finished product that is assembled and is about to be sold.

For example, the finished product could be a set of garden furniture. The finished product is not stored as an entire set in the warehouse. However, the individual components of the set (garden chairs, tables, and parasols, for example) are all items that are kept in stock. If a customer buys a set of garden furniture, the various components are put together to make a set, and the set is sold to the customer.

The difference between an assembly bill of material and a sales bill of material is that only the finished product appears as a single item in the sales order for an assembly bill of material, whereas both the finished product and the components appear as separate items in the sales order for a sales bill of material.

SAP Business One supports three types of production orders.

Standard production order  based on the Bill of Materials and, is used to produce a regular production item. It manages material transactions of the regular production process. In addition, the user can change components at the production stage. When a new standard production order is opened, all the components are filled automatically. 

Special production order is used to produce and repair items or to perform activities that are not necessarily Bill of Material items. For example, repair order for customer equipment cards, or repair order for rejected assemblies. Special production order components manually.

Disassembly production order is used to disassemble a parent item of a regular product to its components. The product is disassembled into separate parts, which can then be put into stock and sold. For example, the user can purchase a used car, take it apart, and sell the individual components. 

It is possible to change the planned quantity of components in production order of all types after the production order was added. In addition it is now possible to print only the production orders that have not yet been printed.