SAP Business One Solution for small and medium-sized businesses is specifically designed to help them effectively grow. Like in the case of all business expenses, the annual maintenance of SAP Business One is often reviewed and the value for money that is received will be compared with the other possible expenses of the business. For a number of businesses this is quite an important expense. The SAP B1 AMC fee is calculated as the SAP Maintenance Base. The maintenance fee will normally be 17% or 22% of the Maintenance Base according to the support package. The Maintenance Base is centred on the support relevant products that have been purchased from SAP. The License charges will include the SAP B1 AMC charges. There are three important categories of license that are subjected to the SAP Support and Maintenance fees - User Licenses, Package Licenses as well as HANA Database Licenses. SAP B1 AMC will be applied on per user and also database list price, which will be supported to download any patch level updates which will include localization, databases as well as the new features.
Let us know in detail about bill of materials in SAP
A number of small to midsize companies that will use enterprise resource planning solutions such as SAP Business One have found that the bills of materials in SAP make the production process efficient, timely, and accurate. The production process normally begins with raw materials as well as making a production order that consists of materials and the steps for producing an item in a time frame that has been predefined. The materials can be seen in the Bill of materials in SAP. The bill of materials has an arrangement of components in a hierarchy that will list all the raw materials and sub-items for the finished product.
In the absence of an integrated ERP solution, generation of bill of materials and the production process become complicated and error-prone because of challenges such as manual processes as well as in-house legacy systems.
Some of the challenges will include -
- Management of inventory throughout the warehouses
- Track and record movement of the inventory
- Make sure sufficient raw materials and parts have been created and ordered at the production time
- Calculate shortages or the surplus of inventory
- Accessing real-time information
There are four types of bill of materials in SAP Business One as given below -
- Production BOM - A production bill of materials is necessary for materials requirements planning (MRP) runs as well as standard production orders. The production BOM will list the parent items (finished products) and the child items (components along with the parent items). Components can be turned into finished products during the production process.
- Sales BOM - A sales bill of materials in SAP is utilised for the sales documents in which the parent item appears in the sales item list and not as an inventory item. When the parent item is selected in the sales document, all the child items appear as sub-items. The parent or child item quantities can be updated.
- Assembly BOM - An assembly bill of materials is the same as a sales BOM. It signifies a collection of individual items within a set having a specific price. Like in the case of sales BOM, the final product is managed as a sales item and not as an inventory item. However, unlike in the sales bill of materials, only the finished product will appear in the sales document. The components won’t show as sub-items on the sales order. The components will show on the pick list for the order.
- Template BOM - A template BOM has no constraints. The parent and child can be any item. This bill of materials in SAP can be in both production and sales documents, with the parent item shown first and then the components listed below. The components can be replaced with other components or even deleted from the BOM and sales document, and the quantities can be updated.
Takeaway
The main function of SAP Business One includes helping the users streamline the key processes, getting valuable insights into their businesses as well as make decisions on the basis of real-time information for increasing the profit. SAP B1 AMC License is about 17% on SAP License List Price. It is one of the costs affecting the price of SAP B1.
