During the demand explosion, if an item has the planned order type set to production (in the item's coverage settings), the planning engine finds a valid BOM version based on the site. The site is already known and is stated on the demand transaction. The process to determine the BOM version to use is as follows:
If there is a BOM version defined for the item at the demand site, the program uses this site-specific BOM.
If there is no site-specific BOM version defined for the item at the demand site, the program searches for a general BOM. A general BOM does not state a site, and it is valid for multiple sites. If there is a general BOM, the programs uses it.
If there is no general BOM version to use, the demand explosion stops at this point.
The usual conditions about date and quantity on BOM versions also apply for site-specific BOMs and general BOMs. A valid BOM version, whether site-specific or general, must meet the required criteria for date and quantity.