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Assembly, BOM, Pegged requirement & Phantom material

Former Member
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Can anyone plz let me know the meaning and relation of above terms.

I tried to know from sap help but not able to understand much.



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Answers (3)

Answers (3)

Former Member
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Hi Neel,

As explained above you must have understood about these terms.

I'll continue the example taken by SVP in explaining Phantom assembly in more deatil.

First of all we sholud be clear that engine needs to be an assembly because it consist of a large no of parts and you cannot include these directly in the BOM of the car .You need to logically assemble all these parts and that logical assembly needs to be called as engine.Secondly why do we want to make it Phantom? This is because as soon as engine is made or assembled it is fitted into the car and as such it does not exist alone because we being a car manufacturer we don't sell engines nor do we keep an inventory of the engines.

Hope this will make Phantom assembly more clear to you.

Rewards if found useful!!


Former Member
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Assembly is nothing but product which made of independent components

For ex CPU

CPU is the final product

Hard disk

Processor,chips etc are the components that go into make a CPU


NOthing but details of components/ sub-assemblies /assemblies that go in for making a final product

Ex-Computer-Final prodcut


Sub assembly->MOther board unit

Components -IC chips ,wires etc

Pegged requirement

Is nothing but dependent requirement

For making one computer i need one CPU,1 Monitor

CPU & Monitor are dependent reqmnt

This term is used in various places ,EVen in APO its used in SNP

Phantom Material

Let me explain this with Ex

Car is the final product

In that you have lot many things going into make a car

consider Engine as one part

For making that Engine you need various components

Now engine can be declared as phanotm material

By doing so what will happen is all the rqmnts (after MRP) will be created for the components to make the engine & no reqmnt will be genarated for engine

Hope the above explanations are clear

Reward points if useful

Revert back if you have futher queries



Former Member
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Assembly - whenever any finished component gets mnufactured then with assembly of those semifinish material you will get one end product called as Assembly.

BOM - your product requires semi- finish and raw material then that should get summarized in one tree structure i.e. you will start to build BOM right from semifinish and then finish material.

Pegged requirement - Independent requirement are for final end product and dependent requirent or pegged requirement are for child items

Phantom material- its a imaginary material for to manufacture this it requires child items but as a whole assembly its a hypothetical one.

reward points if you find it useful.