Products are the broadest category in Bugzilla, and tend to represent real-world shipping products. E.g. if your company makes computer games, you should have one product per game, perhaps a "Common" product for units of technology used in multiple games, and maybe a few special products (Website, Administration...)
Many of Bugzilla's settings are configurable on a per-product basis. The number of "votes" available to users is set per-product, as is the number of votes required to move a bug automatically from the UNCONFIRMED status to the NEW status.
To create a new product:
Select "products" from the footer
Select the "Add" link in the bottom right
Enter the name of the product and a description. The Description field may contain HTML.
Don't worry about the "Closed for bug entry", "Maximum Votes per person", "Maximum votes a person can put on a single bug", "Number of votes a bug in this Product needs to automatically get out of the UNCOMFIRMED state", and "Version" options yet. We'll cover those in a few moments.
Components are subsections of a Product. E.g. the computer game you are designing may have a "UI" component, an "API" component, a "Sound System" component, and a "Plugins" component, each overseen by a different programmer. It often makes sense to divide Components in Bugzilla according to the natural divisions of responsibility within your Product or company.
Each component has a owner and (if you turned it on in the parameters), a QA Contact. The owner should be the primary person who fixes bugs in that component. The QA Contact should be the person who will ensure these bugs are completely fixed. The Owner, QA Contact, and Reporter will get email when new bugs are created in this Component and when these bugs change. Default Owner and Default QA Contact fields only dictate the default assignments; these can be changed on bug submission, or at any later point in a bug's life.
To create a new Component:
Select the "Edit components" link from the "Edit product" page
Select the "Add" link in the bottom right.
Fill out the "Component" field, a short "Description", the "Initial Owner" and "Initial QA Contact" (if enabled.) The Component and Description fields may contain HTML; the "Initial Owner" field must be a login name already existing in the database.
Versions are the revisions of the product, such as "Flinders 3.1", "Flinders 95", and "Flinders 2000". Version is not a multi-select field; the usual practice is to select the most recent version with the bug.
To create and edit Versions:
From the "Edit product" screen, select "Edit Versions"
You will notice that the product already has the default version "undefined". Click the "Add" link in the bottom right.
Enter the name of the Version. This field takes text only. Then click the "Add" button.
Milestones are "targets" that you plan to get a bug fixed by. For example, you have a bug that you plan to fix for your 3.0 release, it would be assigned the milestone of 3.0.
Milestone options will only appear for a Product if you turned on the "usetargetmilestone" Param in the "Edit Parameters" screen.
To create new Milestones, set Default Milestones, and set Milestone URL:
Select "Edit milestones" from the "Edit product" page.
Select "Add" in the bottom right corner. text
Enter the name of the Milestone in the "Milestone" field. You can optionally set the "sortkey", which is a positive or negative number (-255 to 255) that defines where in the list this particular milestone appears. This is because milestones often do not occur in alphanumeric order For example, "Future" might be after "Release 1.2". Select "Add".
From the Edit product screen, you can enter the URL of a page which gives information about your milestones and what they mean.
If you want your milestone document to be restricted so that it can only be viewed by people in a particular Bugzilla group, the best way is to attach the document to a bug in that group, and make the URL the URL of that attachment.