E1: 34: R3482 Setup and Use of Planning BOMs in MRP (Doc ID 625951.1)

The purpose for planning bills is to generate forecasts for saleable end items.  Planning bills are commonly used in a manufacturing environment where the saleable end items have a large number of features and/or options.  The forecasts for these saleable end items are based on percentages of the features and options offered that you expect to sell.  This method is used for forecasting Kit items as well.  Planning BOM's are only available in Single Plant Planning (R3482).

Planning bills consist of groups of  “pseudo” items that reflect how an item is sold.  They are entered into the system in a Bill of Material format, and represent the variety of possible options and features that might be included as a saleable end item.  Planning bills are “an artificial grouping of items in bills of material format, used to facilitate master scheduling and material planning,” according to the APICS definition.