Professional Documents
Culture Documents
FI FI HR HR
CO CO
QM QM PM PM
PP PP
SD SD
MM MM
PS PS
Sales Info System Forecasting Sales & Oper. Planning Demand Mgmt Order Settlement
Procurement
CO/PA
Requirement from sales/marketing Production Planning Check Availability Components no yes Run Schedule Qtys Capacity no yes
REM
Purchasing
Requirement from sales/marketing Production Planning Check Availability Components no yes Production Order Capacity no yes
Discrete
Purchasing
COMPONENTS Sales Info System Information contains total sales orders already obtained, incoming sales orders, pending sales orders product wise, customer wise, region wise. Forecasting Based on the past history of consumption, a forecast of the sales figures for a product can be made. Future projections are made using one of the Statistical forecasting methods.
CO/PA Projections will be based on the companys future projection of costing and profitability analysis. Sales & Operations Planning Higher level planning i.e.overall planning at company level Yearly/Half yearly/Quarterly Planning Demand Management Management of Requirements Requirements can be from sales forecasts, sales orders,etc.
MPS Planning of items that greatly influence the companys profits or consume critical resources/dominate production processes. After the production plan of these critical items are firmed up, the planning of other components are taken up. MRP This is the total planning of all the components taking into consideration the existing requirements and stocks. Creation of purchase requisitions, production orders,etc. Final step in the planning process.
MANUFACTURING EXECUTION Discrete Manufacturing Production orders are released Materials are issued Completion confirmations are performed Goods are received into stock Repetitive Manufacturing Run Schedule quantities are viewed Quantities are confirmed by Backflushing Goods are received into stock
ORDER SETTLEMENT Costs accrued to an order are debited to one or several allocation receivers belonging to financial or managerial accounting.
STANDARD PRODUCTION PLANNING REPORTS Stock/Requirements List Lists the latest stock/requirement position of a material in the plant i.e. planned orders, production orders,etc. Production Plan This report lists the monthly production plans material and plant wise. Orders This report lists the orders pending/completed for a material material wise or work center wise..
STANDARD PRODUCTION PLANNING REPORTS Consumption Lists the consumption of a material for the period in question. Quantity produced This report lists the quantity of the material produced during the Period in question. Work center Loads This report lists the available capacities, required capacities, remaining available capacities and %load for the work center.
STANDARD PRODUCTION PLANNING REPORTS Missing parts Lists the missing parts that are required for the production of a material. Backlogs Lists the backlog of the load at a work center for the period in question.
Production Facilities
PP Basic Data
Production Resources/Tools
Capacities
F06010
Sales & Transfer of Requirements Sales & Distribution Goods Issue to SO Distribution
Invoice
Production Order
Accounting Document
Finance & Accounts Payable Vendor Finance & Vendor Controlling Controlling
Purchase Order
Levels
Group Controlling areas Sales organizations Purchasing organizations
General Data
Data applicable throughout the client e.g. Material number Description Units of measure Weight Volume Product hierarchy
Description
Service Spare Part Finished Product Semi-finished Product Trading Good Operating Supply Empty Containers Non stock Item Raw Material Packaging Competitor Product Production Resources/ Tools
Master data is a key piece of information in the system Master data can be seen from a number of views Each view can correspond to an SAP module Each view has a number of information screens Each view belongs to an org unit within the business One product may have multiple plant and sales views, one for each plant or sales area
ProductPurchasing Data
Production Stock
Sales
Bills of Material
Simple BOM Variant BOM Multiple BOM
BOM representing a material which can be made up of multiple compositions e.g. different components and quantities
BOM Structure
BOM Header
Plant Assignment Validity Period Release Indicator
Stock Items Non-stock Items Variable Size Items Document Items Text Items
Bill of Material Glossary (cont.)Type the system distinguishes BOMs according to whether they Technical
represent product variants or production alternatives. If you create a variant for the BOM,the system marks it as a Variant Bill . If there is more than one alternative for a material, the system marks the BOM as a Multiple Bill. BOM Validity Bills of Material are valid over an area and effectivity period. Area of Validity -- identifies which plants the BOM has been allocated to Validity Period -- identifies the from and to effectivity dates. The default to date is 12/31/9999
Work Centers
Machines
Cost Center
Assembly Line
Work Centers
People
Costing
Production Line
Work Center W1
Assembly
Work Center W1
Assembly
Operation 20
Work Center W2
Finishing
Operation 30
Working Hours
Control Key: Operation Text: Std Values: - Time Tkts Pre-assemble Lab:10 mins - Costing frame Mach:10 mins
Routings Routings
Operation
Operation types
(Main) operation Sub-operation
Sub-operation HierarchyCosting Completion confirmations Scheduling always takes place on the (main) operation level
The control key defines whether completion confirmations and costing are carried out on the (main) operation level, or on the sub-operation level. Indicator: group operation combined operation sub-operation level (main) operation
Operation / Sub-operation
Schedule at Operation Level
Capacity Planning & Costing possible at Sub Operation Level Level Sub Operation Sub Operation 0010 / /10 0010 10 at Work Center A1 at Work Center A1 Sub Operation Sub Operation 0010 / /20 0010 20 at Work Center A2 at Work Center A2 Sub Operation Sub Operation 0010 / /30 0010 30 at Work Center A3 at Work Center A3
Useful when processing for operation 0010 occurs over multiple work centers
Material Allocation
Product
BOM Routing
Op. 10 Op. 30
Material-Routing Allocations
Material 1 1 2 2 01 02 01 02
Routing Group
1 1 1 2 3
s s
A routing alterative can be allocated to several materials. A material in a plant can be allocated to several alternatives.
External Processing
Purch Reqn Routing data copied to order Purch Reqn including quantities and dates Purch Ord Purchasing creates P.O. Purch Ord Vendor Proc Vendor Proc Goods Rec At goods receipt, the operation Goods Rec is confirmed
Operation Lead Time Queue | Setup | Process | Teardown | Wait | Move Interoperation Time Execution Time Interoperation Time
Parallel
Split
Routing includes processes which can/must be split across a number of work centers
Overlapped
Routing defines process where one operation is to overlap with the following operation
MRP
Demand ie Requirements
Requirements (Orders) from SD Module Keep Balanced Planned Orders Production Orders Purchase Requisitions
Order proposals, planned orders etc are created and adjusted by running the MRP or MPS programs.
Step 2 Production Planning Synchronize production plan with sales plan Stock level equal to zero Specify a target days supply by period Specify a target stock level by period Enter planning data manually
Step 3 Disaggregation of Planning Values Determine the sales and production quantities of product group members Modify the disaggregated sales planning data and create a production plan for each member
Step 4 Transfer of Planning Values to MRP Pass the planned sales and production quantities as independent requirements to demand management If product group data is transferred, the system automatically disaggregates the planning data to the finished product level
Sales and Production Planning is carried out using a Planning Table which shows the stock level that results from the sales and operations planning for both materials and product groups
The Planning Table is divided into: Sales Quantities Production Quantities Target Days Supply and Target Stock Levels
Copying Data from Sales Information System Planned order, invoiced or delivery quantities The planning data is aggregated across all materials in the group
Copying the Forecast Aggregates the consumption values for all the materials in the product group
Determine the quantities to produce to meet the sales plan Synchronize to the Sales Plan the system copies the sales quantities into the production quantities
Zero Stock Level Use existing stock to cover sales quantities. When used up, production quantities will synchronize with the sales quantities
Target Stock Level The system determines production quantities based on sales and target stock levels
Transfer a single-level product group (multiple) or individual material (single) Independent Requirements Parameters Specify Requirements Type Version Number Limit scope of the time period
Master Planning
Demand Management Planning and Consumption Strategies Specification of Requirement Quantities and Delivery Dates
Master Production Scheduling Planning for Master Schedule Items Planning Time Fence Interactive MPS
MRP/MPS
Example is a shelf stock item such as a bike accessory light Planning Requirement Type is LSF - make to stock which is used in the planned independent requirements transaction
Planning
Production Push
Purchase
Produce
Production Push
Final assembly is initiated by the customer sales order Stop production at sub-assembly level Final assembly pull Example is automobile assembled with unique combination of features (subassemblies)
Planning Requirement Type is VSE -- planning without final assembly Sales Order Requirement is KEV -- independent customer order with consumption
Purchase
Produce
Warehouse Stock Assembly 02
Sales Order
Planning Material
Purchase
Produce
Planned Independent Requirements Note: Percentages drive lower level demands for sub assemblies
Production Push
Sales Order
Sales orders are planned according to sales order number Produced quantities for each sales order are managed individually Production and procurement costs are managed in either a settlement order or a project
Example is a custom product with a unique structure such that it only applies to a particular customers order
MRP Features
Net requirements calculation Lot sizing
MRP
Forecasting
MRP Overview
MRP
Purchasing
Goods receipt Warehouse manageme nt system Inventory management Valuation Goods Transfer issue posting
Accounting
Reorder Point
Safety Stock
Today
+
Order Proposal Shortages
Reservations
MRP Prerequisites
PLANT LEVEL MATERIAL LEVEL
s s s s
Activated for MRP Valid MRP Type Valid Material Status Material MRP Views Maintained w MRP Controller w Planned Lead Time w MRP Group w Lot Size Data
Procurement Type indicates if the material is externally procured, or produced internally or both. Special Procurement identifies special planning rules which may be used for inhouse production or external procurement MRP Type determines how the material is planned such as MRP, MPS, or consumption based planning Material Lead Time identifies for material planning the planned delivery days or in-house production days Lot Size determines which lot-sizing procedure the system uses to calculate order quantities
Availability Check indicates whether the system generates individual or summarized requirements for sales orders for this material and for planning, which MRP items the system includes in the availability check. Mat./PPC Status is used to limit the usability of materials for certain activities such as, purchasing, bills of material
VB
MRP Types
Manual Reorder Point Planning: MRP produces order proposals when stock falls below a reorder point. The reorder point and safety stock levels are entered manually Automatic Reorder Point Planning: The reorder point and safety stock level are calculated based on the forecast results Forecast Planning The latest forecast is copied as requirements which are used to create order proposals Deterministic Planning MRP produces order proposal(s) to match the exact quantity of the requirements based on independent and dependent demands
VM VV PD
M0
Lot Sizing
Static
Lot for Lot Fixed Lot size Replenish up to maximum stock level
Periodic
Daily Lot size Weekly Lot size Monthly Lot size Flexible period Lot size according to planning calen.
Optimum (Cost )
Part period balancing Least unit cost procedure Dynamic Lot size creation Groff reorder procedure
All materials are reviewed by MRP regardless of activity Only the materials in a plant that have undergone a change relevant to planning since the last planning run (net change planning)
Planning Run Options for Automatic Creation of Requisitions and Delivery Schedules
MRP Control Parameter: determine whether or not MRP will automatically create requisitions or delivery schedules Options are: Do not automatically create. Only create planned order Automatically create within the opening period Automatically create for the entire planning horizon Opening Period Parameter: allows the user to take advantage of MRPs automatic creation features while retaining control over the number of open purchasing documents
MRP List
Group of Materials for which controller is responsible Controllers MRP Listing
MRP Order Proposals and Planner Messages from MRP Planning run. Planner can drill down to review material movement activity
MRP Controller
Goods Issues
Goods Receipt
MRP Element
Ava
STOCK 100 ORDER Sales Order 25 75 PL ORD 1000 120 05 100 175 ------------------------------------------------> Planning Time Fence
ements List brings together all the supply orders, independent nt demands and stock balances for the material. MRP makes als to balance the supply/demand position for the material
Current Stock, Rqmts, Balances, planned Receipts, Issues Stock Requirements List uses current data
The MRP List displays the result of the last planning run The Stock Requirements List displays the most up-to-date stock and requirements situation
MRP determines the basic scheduling dates using backward scheduling If the release date lies in the past, the system automatically switches to forward scheduling
Calculated Order Release Date Desired Delivery Date
MRP determines the basic scheduling dates using backward scheduling If the release date lies in the past, the system automatically swithches to forward scheduling Order Release Date Orde r Start Date
In-house Production Time
E1
Planned Orders
= Demand = Supply
Level 0
Dependent Requirements
B1
Planned Orders
Dependent Requirements
B2
Planned Orders
Dependent Requirements
Level 1
R1
Planned Orders
R2
Planned Orders
Level 2
R 3 Planned Orders
Production Order
MRP
Order Qty Order Qty Order Date Order Date Capacity Reqts. Capacity Reqts. Resource Reqts. Resource Reqts.
MRP Controller
Collective Conversion into Production Order Individual Conversion into Production Order
Production Order
Confirmation Slip
Print Shop Floor Papers Check Availability Actual Labor Issue Materials to Order Confirm Completi on Calculate Actual Costs Receive complete goods into stock
Goods Receipt
Calculate Capacity
Purchase Requisitions
Goods Issue
Routing Selection
s s
Alternate Sequence Assignments One operation is required Enter start or finish date depending on scheduling direction
s s s
Shop Paper s On-line or in background Printing Possible Pick List, Confirmation Slips,... s
Material 1
Unplanned Goods Issue
Production
Goods Issue
Completion Confirmations
Production Order Production Order Operations Operations 0010 - -Assemble Board 0010 Assemble Board 0020 - -Assemble Case 0020 Assemble Case 0030 - -Assemble unit 0030 Assemble unit 0040 - -Final Test 0040 Final Test C
Confirm Confirm Operation 0010 Operation 0010 Activities Activities Confirm Confirm Operation 0020 Operation 0020 Activities Activities
s s s s s
Partial or Final Confirmation Single or Collective Confirmation Milestone Confirmation Reduction of Capacity Requirements Determination of Actual Costs
Confirmation Data
Quantity
s s s
Dates
s s
Start date Finish date Work Center Personnel Number Qualification Wage Group Wage Type
Labor
s s s s s