SAP PP/QM Configuration Pack

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INDEX
1. 2.
2.1 2.2 2.3 2.4

OVER VIEW:DEFINE ORDER TYPE

Defining Order type and Order type dependent parameters Define Number Range for Orders Define status profile Define selection profile

4 8
12 22 27 40

3.
3.1

DEFINE PRODUCTION SCHEDULING PROFILE

Define production scheduler

46
50

4.
4.1 4.2 4.3

AVAILABILITY CHECK
Define Checking Rule Define Scope of check Define Checking control

DEFINE CHECKING GROUP

53
57 60 64

5. 6. 7. 8. 9.
9.1 9.2 9.3

DEFINE SCHEDULING PARAMETER FOR PROD. ORDER DEFINE CONFIRMATION PARAMETERS DEFINE REASON FOR VARIANCE DEFINE DEFAULT VALUES REPETITIVE MANUFACTURING:Define Repetitive Manufacturing Profile Creating product cost collector Required Material Master Settings Rep. Mfg.:-

68 72 78 81 84
85 91 95

10.
10.1

PP CO INTEGRATION:Define Valuation of Goods Received

99
102

10.2 10.3

Define Valuation variant:Define Costing Variant

104 110

11.

SUMMARY: -

114

1. Over view:We have so far seen the Master data and production planning steps in PP. In this document we will go thru the nuts and bolts of Production Execution. Alright lets breeze through this. There are three types of production process in SAP. Discrete Manufacturing Repetitive Manufacturing Production Process Industries. Configuration settings related to Discrete Manufacturing and essential Repetitive manufacturing is discussed in detail here. First let us understand what is happening in the system prior to the production execution process. a. Planning quantities are derived and maintained in the system. b. Material Requirement Planning run will generate the planned order for the net required quantity with the start date of the production process c. Master data (BOM and Routing details) will be copied in to the planned order automatically during MRP run. Guys, I believe you got an idea about the steps involved prior to the production execution process. OK, lets discuss about the production execution process now.

Production Execution process contains five important steps. They are Converting planned order to production order Releasing the production order Goods Issue for production order Confirmation of production order Goods Receipt against production order a. Converting planned order to production order:Planned order has to be converted to production order to account the entire production. Production order or process order type has to be mentioned when converting the planned order. Entire master data will be copied to the respective order when converting the planned order. Order type is the most important configuration setting for production execution. b. Releasing the production order:Release of production order is an important step in production order. Releasing of production order indicates the commencement of production. Unless the order is released, further processing of order is not possible. While releasing the production order system can perform Material availability

 Capacity availability Creation of Batch Reservation creation Configuration settings related to the above functions are covered in Availability check, order type parameters. c. Goods Issue for production order:Goods issue covers issuing required components to make the finished product to a production order. While making the goods issue, the document number can be updated in the production order. Configuration setting related to this is discussed in order type parameter. Goods issue can be made in parallel during confirmation of operation. Relevant configuration settings related to goods issue during confirmation are discussed in confirmation parameter. d. Confirmation of production order:Reporting of usage of components and activities are termed as confirmation. Confirmation to the each operation will be executed according to the control key attached with each operation. Confirmation configuration setting controls Adhering to the sequence of operation Under delivery / over delivery tolerance

Back-flush components Proposal and calculation of activity standard value Above configuration settings confirmation parameter. are discussed in

e. Goods Receipt against production order:Once the production is completed, finished products will be received from the production order into the respective storage area. This can be achieved through two ways 1. Through confirmation 2. Through separate transaction. Document number will be generated for each goods receipt. This document number can be updated in the production or process order. Configuration settings related to these are discussed in Production scheduling profile and order type parameter. Now you will easily understand what is backflush? It is the process of issuing components automatically while confirming the production or process order. Hope the above briefing has given you the enough idea to go ahead for configuration of production execution process.

2. Define Order Type

BACKGROUND This configuration setting enables to define order type. Order type governs the parameters relevant to controlling and defines what type of master data are to be picked up during the production or process order creation. There can be more than one order type for different production method. E.g. one order type for regular production and another order type for rework processing. SCENARIO Create order type YP01 for plant IND6 INSTRUCTIONS Follow the Menu Path: IMG Production shop floor control Master Data Order Define order types. Click Click

Update the Following fields Field Order category Order type Description

Description Order category defined by SAP. Leave it as it is. Key identifying the order type. E.g. enter YP01 to refer the production order type. Enter the description. E.g. Basic production order type.

Classification check box Resident time 1 and 2

Settlement profile Status profile Header Operation Status profile

Tick mark in this check box will classify the production order internally. Related to Archiving the object. It indicates, there should be one month gap between deletion indicator setting and deletion flag. E.g. Enter 1 in Resident time 1 and in resident time 2. Profile defining how the order is to be settled. Related to costing. E.g. enter 30 User created status profile applicable to this order type. E.g. Leave it blank User created status profile for operation applicable to this order type. E.g. Leave it blank

Click Save

Click Click

Impact of this configuration in Master Data / Transaction

Order type is a mandatory entry while creating production or process order. Number range and controlling parameter (like settlement rule) are picked during creation of production or process order according to the configuration setting defined in the order type.

2.1 Defining Order parameters BACKGROUND

type

and

Order

type

dependent

This configuration setting enables to define the order type dependent parameters. When creating process or production order, order type dependent parameters defines Selection of master data (BOM and Routing) Creation of Batch Updating the document numbers in the order Creation of reservation SCENARIO Define order type dependent parameter for Plant IND6 and order type YP01. INSTRUCTIONS Follow the Menu Path: IMGProduction shop floor control Master Data Order Define order type dependant parameter. Click

Note: - It is suggested to create plant parameter by copying form the standard settings. Select 1000 and PP01 line by clicking the grey box in the left. Click

Press Pg Dn key in the key board to look at the balance portion of the screen.

Update the Following fields Field Plant Order type Production version Description Plant to which this order type is applicable. E.g. IND6 Key identifying the order type. E.g. enter YP01 to refer the production order type. Indicating how the production version is to be selected while creating production order. E.g. 0 to select automatically. Selection id number according to which routing will be selected. Recollect the Creation of routing selection id creation. E.g. Enter 01 Requirement and selection of routing. To indicate whether routing mandatory or not. E.g. Enter 6 to indicate routing as Mandatory and automatic selection. Selection of sequence in the routing. E.g. Enter 2 to indicate manual selection of sequence. Tick the check box to indicate

Routing Selection ID

Routing Selection

Sequence Exchange

the alternate sequence can be copied into the order from routing. Task List type What type of task list this order type to pickup, whether Reference operation set, Routing. E.g. Enter N to indicate Routing. Operation detail check check While transferring routing box operation to Production order, it will check all the entries. E.g. Tick this check box Routing Text Routing header text will be copied to the production order if this check box is ticked. E.g. Tick this check box Operation increment Incremental to the operation. E.g. Enter 0010 BOM Application Indicating which BOM is to be used to this order type. Please refer for more detail. E.g. Enter PP01 Batch search procedure If required maintain the standard search procedure. E.g. Leave it blank. In the General tab screen below explained details are to be maintained Assignment of substitute MRP Leave it blank. controller and production scheduler Reservation Purchase To indicate when to generate requisition purchase requisition. E.g. Enter 3 to indicate immediately Tick this check box to raise purchase req. collectively for all externally processed operations in an order.

Click

Field name

Field description and value Tick in the check box will record the changes to the order at header level Tick in this check box will update the document details in the Logistic Information System which will help to view the document from the order header.

Tick in the check box will create document for respective goods issue.

Click

Costing variant planned

Costing variant is the one which contains valuation variant which indicate what price to pickup to calculate planned price calculation. E.g. enter as per CO module advise. Can be left blank, as CO also can maintain through their module

Costing variant actual

Results Analysis key

Planned cost calculation

Distribution rule

Same as above, to pickup the actual price calculation. E.g. Enter as per CO module advice. Can be left blank, as CO also can maintain through their module. Related to CO module. Get the value from CO module. E.g. Maintain the SAP Standard. Indicating when to calculate the planned cost of a production order. E.g. Enter 2 to calculate planned cost while saving. Related to CO to indicate how to distribute cost. E.g. Enter PP1 Tick in this check box will not allow the change the net price when copying from Purchase Request to Purchase Order. E.g. Leave this check box blank.

Click

This tab screen controls the parameter related to display. Leave it as it is with the SAP standard settings. Note: - If required separate display profile can be created and attached to the order type to have a desired display of reports (missing part list, goods movement details in the order).

Click Save

Impact of this configuration in Master Data / Transaction

When creating the production order or process order, system will perform according to the configuration setting done for a specific order type and plant combination settings. Order type parameter governs Selection of routing and updating document for production order, determining planned and actual cost parameter for any given order type and plant combination. Order type is a mandatory entry while creating the production order.

2.2 Define Number Range for Orders

BACKGROUND This configuration setting enables to define number range to the order type. For each production or process order a unique number has to be assigned. Internal number will be picked up from the number range defined and it will be assigned automatically at the time of saving the production or process order. SCENARIO Define Number Range for order type YP01. INSTRUCTIONS Follow the Menu Path: IMGProduction shop floor control Master Data Order Define number range for orders Click

Note: -

to create the number range intervals to display the number range intervals to change the current number range status

Click

Order type which is already assigned to one group is displayed. YP01 not appearing here as it is yet to be assigned. Click to reach bottom of this page

Click on the line YP01 Click Click check box of Click to assign

The number range assigned to order type YP01

Click Save Click

Impact of this configuration in Master Data / Transaction

While saving the production or process order, number will be assigned automatically to the order.

If an order type does not have a number range assignment, abnormal termination of program will be displayed while saving the production or process order.

2.3 Define status profile

BACKGROUND This configuration setting enables to define the status profile. Status profile along with the selection profile will be used to restrict the processing of transactions for particular status of the order. SCENARIO With the system status TECO, it is possible to carryout confirmation. It is to be restricted with the user defined status. I.e. when the status is TECO, confirmation of order should not be possible. Define status profile to meet the above scenario. INSTRUCTIONS Follow the Menu Path: IMGProduction shop floor control Master Data Order Define status profile Click

Click

Maintain the status profile name. E.g. NOCONF Maintain Text. E.g. No confirmation after TECO Maintain Language. E.g. EN to indicate Englsh.

Click

Double click on

Field name

Field description and value

Stat Status

Short text Init. St

Lowest

Serial number. Enter the sequence number for status. E.g. 1 Name of the status. It can be any alphanumeric with four digits. E.g. CRTD to indicate the status created. Maintain your own status Maintain the short description of the status. Tick this check to indicate the status as initial status. E.g. CRTD will be the initial status in this status profile. Any status can be defined as a initial status. This is used to assign the status in an order. E.g. Status A has status number 30 and the 'lowest status number' 10. Status B has status number 40 and the 'lowest status number' 20. o Once status B was active for the object, only statuses with numbers 20 or higher may be activated, even if status A is currently active.. This is similar to the lowest number. E.g. Status A has the status number 30 and the 'highest number' 50. If status A is active, only statuses with status numbers

Highest

50 or less can be activated. . Continue the above process till you maintain all required status. Click

Click

Click

Select the objects as shown above Click Click

Click in the status 3 to which status the further processing is to be restricted.

Note: - restriction for further processing is to be done on with the status TECO. Click Click Below is the list of object to which the control is to be imparted. Click to go to the next page

Note: - On selecting each radio button it has to be saved. Other wise without saving you will not be able to select more than one radio button in a page.

Click

to go to the next page

Field name Business transaction

No Influence

Permitted

Warning

Forbidd.

Next action

Field description and value Transaction performed in SAP. E.g. Confirm order refers to the order confirmation process through transaction code CO15. Indicator specifying that this status does not influence the corresponding business transaction. Indicator which specifies that the business transaction can be carried out if this status is active. Indicator which specifies that the business transaction may be carried out. However, the system issues a warning message during processing of the transaction. Indicator specifying that the business transaction cannot be carried out if this status is active. Indicator which specifies that the status is to be activated when this business transaction is carried out.

Click

to go to the next page

Click

to go to the next page

Click

to go to the next page

Click to go to the next page to look for more possible functions. Click Click till you reach the main configuration menu.

Impact of this configuration in Master Data / Transaction

Status profile with controls to further processing will be assigned with the selection profile.

2.4 Define selection profile BACKGROUND This configuration setting enables to define the selection profile. Selection profile defines when the user defined status is to be activated. Selection profile will be assigned to the process order. Selection profile contains the status profile which controls the business transaction. SCENARIO Define selection profile. INSTRUCTIONS Follow the Menu Path: IMGProduction shop floor control Master Data Order Define selection profile Click

Click

Maintain selection profile. E.g. NOCONF Maintain selection profile description. E.g. Not to confirm in TECO status. Double click Click

Field name check box under column user

Status prof.

Status

Not

Field description and value Indicates, whether the status is user defined status or the system status. In this example, we have defined the status as TECO hence this check box is ticked. Note:status name can be any. Indicates the status profile. Enter the status profile which was created by you. E.g. we will enter NOCONF as status profile we have created above. Enter the status on which the status profile is to be selected. Note:- status profile contains the object and the control for the further action for each status. Indicates the status is active or not active to pick up the status profile.

Click Click till you reach the main configuration menu.

Impact of this configuration in Master Data / Transaction

Selection profile will be attached into the production or process order in the user status. Required status can be activated by the user to activate the user status. If the user status TECO is activated in the order with this selection profile, further confirmation, goods issue, goods receipt will not be able to perform. Below screen shot shows the assignment of status profile and the user status in the process order. Use Transaction COR2 to change process order Click in the status line

Note: - If the user status is applicable to the order type irrespective of material, it can be assigned at the order type itself in the order type configuration as shown below.

Assignment of user status at the order header level is shown below.

Stat prof. NOCONF is assigned as a user status. Status TECO Technically completed is selected. Now, no more goods issue, receipt or confirmation can be performed.

3. Define production scheduling profile

BACKGROUND This configuration setting enables to define the production scheduling profile. Functions involved with production scheduler are Automatic release of production order while creating Automatic Goods Receipt for Production order while confirming Automatically assigning specific order type for material while converting from planned order to production order. Production scheduling profile is the key attached to material master in work scheduling view. SCENARIO Create production scheduling profile. INSTRUCTIONS Follow the Menu Path:- IMGProduction Shop floor control Master data Define production scheduling profile. Click Click

Update the Following fields Field Plant

Description Specifying the plant name where the production scheduler is to be applicable. E.g. IND6 Production scheduler profile Key identifying the production scheduler profile. E.g. IND001 Description Description of the production scheduler profile. E.g. Production Scheduler for A Line Automatic actions:While creating the production On Creation - Release check order, Production order will be box released automatically if this is ticked. E.g. Tick this check box if it is be release automatically. On Release Execute Printing Printing of shop floor papers etc as per the settings will be printed automatically on relase. E.g. Tick this check

Goods Receipt

Order type Make To Stock

box. Tick in this check box will automatically make the GR document while confirming. E.g. Tick this check box Order type to be used for products which are make to stock. If different order types are to be used for different product, that can be mapped with different production scheduler. E.g. PP01

Click Save

Note: - Apart from the above explained important setting, other controls available here are Creation of transfer order in WM Management Creation of Batch automatically on release of order Creation of Batch classification as mandatory

Impact of this configuration in Master Data / Transaction

Production scheduling profile defined here has to be attached to the material master Work scheduling view. Then for those materials, while creating the production order, Release will happen automatically.

3.1 Define production scheduler BACKGROUND This configuration setting enables to define the production scheduler. Production scheduler is a text entry to map the production scheduler with production scheduling profile. Production scheduler can be assigned to the material master in the work scheduling view. Functions involved with this key are Automatic release of production order while creating Automatic Goods Receipt for Production order while confirming Automatically assigning order type for material while converting from planned order to production order. SCENARIO Create production scheduler and assign with production scheduling profile. INSTRUCTIONS Follow the Menu Path:- IMGProduction Shop floor control Master data Define production scheduler. Click

Click

Update the Following fields Field Plant

Production Scheduler

Description Production scheduler profile

Description Specifying the plant name where the production scheduler is to be applicable. E.g. IND6 Key identifying the production scheduler. E.g. ASG to denote scheduler for A segment products. Description identifying the production scheduler. E.g. Scheduler for A seg. Products Key identifying the production scheduler profile. E.g. IND001

Click Save

Impact of this configuration in Master Data / Transaction

Production scheduler mapped with production scheduling profile has to be attached to material master Work scheduling view.

Then for those materials, while creating the production order, Release will happen automatically.

4. Availability check
BACKGROUND

Define checking group

This configuration setting enables to define the checking group. Checking group defines the checking method of availability during availability check. Checking group will be used along with the checking rule to carryout material availability checking. SCENARIO Define checking group. INSTRUCTIONS Follow the Menu Path:- IMGProduction Shop floor control Operation Availability Check Define checking group. Click

Click

Update the Following fields Field Availability

Description Total Sales

Description This key defines checking group. This key will be maintained in the material master MRP2 view. E.g. Enter ZY Description of the checking group. E.g. Collective Require. Type of requirement system to generate during sales order processing. Individual requirement or collective requirement. E.g. Enter B to accumulate

Total Delivery requirements

Block QtRq

requirement day wise. Type of requirement system to generate during Delivery processing. Individual requirement or collective requirement. E.g. Enter B to accumulate requirement day wise. Tick in this check box will allow multiple users to process availability check for one material at the same time. E.g. Leave this check box blank as it will block the material for other users to access while performing the availability check. If ticked, no ATP checking will be done. E.g. Leave this blank Indicating the system to take all planned receipt and committed issues while making a ATP check during sales order processing. E.g. Enter 1 to do the above explained function. To issue output when there is a shortage of material. E.g. Leave it blank Availability check to a material against Planned Independent Requirement. E.g. Leave it blank.

No check check box Accumulation

Response RelChkPlan

Click Save

Impact of this configuration in Master Data / Transaction

This checking group along with checking rule will perform checking of material availability considering receipts and issues. This Checking group ZY has to be mentioned in the material master Availability field in MRP2 view.

4.1 Define Checking Rule BACKGROUND This configuration setting enables to define the checking rule. Checking rule configuration is a simple text entry to be defined in the system. Checking rule with availability check. SCENARIO Define / Discuss checking rule. Note: - It is sufficient to use the standard checking rule PP. INSTRUCTIONS Follow the Menu Path:- IMGProduction Shop floor control Operation Availability Check Define checking rule. Click checking group will determine the

Click (only to create new entries. Standard SAP checking rule PP will be used in most of the implementations) Update the Following fields Field Checking rule - ChR Description Description This key defines checking Rule. E.g. Enter PP Description of the checking rule. E.g. PP Checking rule.

Click Save

Impact of this configuration in Master Data / Transaction

This checking rule will be defined along with the checking group to perform the availability check. In MRP related setting Dependant requirement availability this checking rule is referred.

4.2 Define Scope of check BACKGROUND This configuration setting enables to define the scope of checking to the combination of checking group and checking rule. Scope of checking defines the stock, receipt elements and the issue elements to be considered for availability checking. Example:Stock: Stock in transfer; quality stock; blocked stock Receipt elements:Purchase order; Purchase requisition; planned order; Issue Element: Sales order; delivery; reservation SCENARIO Define checking scope for the combination of ZP and PP. INSTRUCTIONS Follow the Menu Path:- IMGProduction Shop floor control Operation Availability Check Define scope of check.

Click

Update the Following fields Field Description Stocks Various heading with Tick those check boxes whose check box under Stock stocks are to be considered while Availability checking. E.g. Tick the check box as shown above to consider Safety stock, stock in transfer and quality inspection stock. Receipts/Issues Tick those check boxes whose receipt element and issue elements are to be considering while Availability checking. E.g. Tick the check boxes as

Check without RLT

Receipt in the past.

shown above. System will check without considering Replenishment Lead Time. I.e. if this check box is not ticked, if system not able to find any receipt or stock for a particular requirement, it will confirm a date after the RLT. RLT is the time taken from material master. E.g. Tick this check box. To indicate whether to consider the receipt element with past date, or only to consider future date or both. E.g. Leave blank to indicate to consider receipt element of both past and in future.

Click Save

Impact of this configuration in Master Data / Transaction

This checking control will be executed wile performing the Availability Check. Note: - material master must contain Availability check as ZY in MRP 3 view.

4.3 Define Checking control BACKGROUND This configuration setting enables to define the checking control. Checking control configuration is to execute the availability checking during production order or process order creation and release. This is defined to the combination of plant and order type. SCENARIO Define checking control for IND6 plant and order type YP01. INSTRUCTIONS Follow the Menu Path:- IMGProduction Shop floor control Operation Availability Check Define checking control. Click Click

Update the Following fields Field Plant

Description Plant identifying the manufacturing facility where this ATP logic is to be

applicable. E.g. IND6 Order type Production order type to which this availability check is to be applicable. E.g YP01 Business Function Whether to carryout ATP checking during production order creation or at the time of production order release. E.g. 2 to indicate to carryout ATP checking during Release of production order. Check Box NO avail.check Indicating the system whether to carryout ATP or not. Tick in this check box will not carryout ATP. E.g. Leave this blank if ATP is to be carried out. Check material availability Indicating the system whether when saving order to carryout ATP or not during saving production order after any changes. E.g. Tick this check box. Checking rule Mention the checking rule. E.g. PP Type of comp check Whether to check as per ATP or with Planned Independent requirement. E.g Leave it blank to indicate to check as per ATP. Mat.Release Control to specify whether to allow release of production order or not if any shortage of material. E.g. Enter 1 to user to decide before release, 2 to release without asking, 3 to stop releasing. No Chk for PRT and Tick these check boxes to No.availchek for capacity indicate not to carryout any availability check.

Click Click Save .

Impact of this configuration in Master Data / Transaction

Link between master data, configuration and transaction: Checking rule in the order type configuration is PP Availability check in the material master is ZP (MRP3 view) Checking control for the group ZP and PP is maintained When creating the production order or process order, system follows as below Read the checking rule for the order type Read the availability to the material Read the checking control to the above combination Output given according to the checking control

5. Define Scheduling Parameter for prod. Order

BACKGROUND This configuration setting enables to define the scheduling parameter for production or process order type. Scheduling parameter is essential to schedule the production order according to the Task list data. I.e. to determine the start date and end date for the order and to the each operation. Scheduling data for specific order type defines How to schedule production / process order Whether to generate capacity requirements How to adjust order dates while scheduling

SCENARIO Define scheduling parameter for order type YP01 in plant IND6. INSTRUCTIONS Follow the Menu Path:- IMGProduction Shop floor control Operation Scheduling Define scheduling parameters for production orders Click

Click

Update the Following fields Field Plant Description Plant to which this setting is to be applicable. E.g. IND6 Order type Order type under the Plant IND6 to which this scheduling type is to be applicable. E.g. Enter YP01 Production scheduler Production scheduler to which this setting is applicable. E.g. * to indicate applicable to all production scheduler in the plant IND6. Production orders and process orders are scheduled at a detailed planning level using the routing or the master recipe. Therefore you cannot enter a selection ID. Also the scheduling indicator is set automatically. Generate capacity reqs. To indicate the system to calculate capacity requirement. Tick this check box. Adjust dates Indicating how to adjust the dates of production order or dependant requirement when rescheduling. E.g. Select Adjust basic date or depend date to adjust order start date. Scheduling type Type of scheduling. E.g. Backward scheduling. Automatic Scheduling check Tick this check box to indicate box scheduling to be automatic. E.g. Tick this check box.

Click Save

Impact of this configuration in Master Data / Transaction

This setting determines the scheduling type while creating the production order. If it is backward scheduling, it is required to enter only order finish date while creating the production or process order.

6. Define confirmation parameters

BACKGROUND This configuration setting enables to define the confirmation parameter to the order type in specific plant. Through confirmation transaction, completion of production will be reported in the system. Confirmation parameter to each order type is essential to perform the confirmation. Confirmation parameter defines To propose partial confirmation, or full confirmation To propose value of activity To calculate the activity value according to the quantity change Confirmation sequence is to be adhered to or not To display indicator SCENARIO Define confirmation parameter for order type YP01 in Plant IND6. INSTRUCTIONS all component irrespective back-flush

Follow the Menu Path:- IMGProduction Shop floor control Operation Confirmation Define Confirmation parameters Click Click

Update the Following fields

Field Plant Order type Operation sequence

Under delivery

Over delivery

QM Result rec.

Description Enter plant name to which this setting is to be applicable. E.g. IND6 Enter the order type to which this setting is to be applicable. E.g. YP01 While confirming, whether operation sequence is to be followed as per routing or not. Select as shown above. While confirming, if the yield quantity is less than the tolerance limit maintained in the work scheduling view of material master how the system to behave. Select as above While confirming, if the yield quantity is more than the tolerance limit maintained in the work scheduling view of material master how the system to behave. Select as above. Operation contains the quality characteristics and if that operation has to be confirmed, how the system to behave when that confirmation by QC is not done. E.g. Select as shown above Leave this blank if only the back-flush components are to be proposed during the confirmation. If this indicator is set, system will propose all the components assigned to an operation.

Click screen

tab

Field Confirm type

Goods Movements

Description Type of confirmation to be proposed during confirmation transaction. E.g. Select as shown above If this check box is ticked, system will give you a log message screen and request you to say yes or no to correct the errors occurred in Goods movement during confirmation. Tick in this check box will give the ERROR message incase of failure occurred during the goods movement. E.g. Leave it blank tab screen

Click

Update the Following fields Field

Description To propose the quantity during confirmation transaction. When the yield quantity is changed from the default display, according to the new yield quantity, all other activity and quantities are calculated with this tick in this check box.

Make other ticks in the check boxes as shown above, as they are self explanatory. Click Save .

Impact of this configuration in Master Data / Transaction

While confirming the production order, system will perform according to the setting maintained here. Example:Production order quantity = 1000. Over delivery tolerance 25 % maintained in the work scheduling view of material master While confirming, the confirmation quantity entered as 1500 (which is more than over delivery tolerance). As per the configuration setting here, system will allow to continue the transaction. If it is not to be allowed, change the over delivery tolerance checking into an error message.

7. Define Reason for Variance

BACKGROUND This configuration setting enables to define the variance reason. Variance can be mentioned during confirmation to indicate the reason for deviation from the standard. It is a simple text configuration. SCENARIO Create a variance key to specify Machine malfunctioning. INSTRUCTIONS Follow the Menu Path: IMGProduction Shop floor control Operation Confirmation Define Reason for variances Click

Click

Update the Following fields Field Plant Reason

Description Key identifying Plant. E.g IND6 Code identifying the reason.

Description

E.g. Enter 0009 Description of the code. E.g. Machine malfunctioning.

Click Click Save .

Impact of this configuration in Master Data / Transaction

Codes maintained here can be selected during confirmation of production / process order to enter the reason for variance.

8. Define Default Values

BACKGROUND This configuration setting enables to define Default values for task list. Default values are required to create the operation inside the production order or process order automatically if there is no task list. Default values are defined to a specific order type. SCENARIO Define default values to the order type YA70 in Plant IND6. INSTRUCTIONS Follow the Menu Path: IMGProductionShop floor control Operations Task list selection Define default values Click

Enter Plant. E.g. IND6

Click

Note: - it is suggested to copy from the standard order type. Select PP01 by clicking the grey box in the left. Click

Enter the order type as YP01 Note: - values mentioned in each field can be left as it is. If required it can be changed. Click Click

Impact of this configuration in Master Data / Transaction

When creating the process order, operation number will be assigned automatically if the routing is not found.

9. Repetitive Manufacturing:Repetitive Manufacturing is the technique available in PP module to be used for product which are produced with Least change in setup for manufacturing Always produced in large quantities Relatively same items are produced for a longer duration of time without any change in setup Very essential settings to the repetitive manufacturing are Repetitive manufacturing profile Product cost collector Production version Material master setup The above process are explained in the below steps.

9.1 Define Repetitive Manufacturing Profile BACKGROUND This configuration setting enables to define the repetitive manufacturing profile. Repetitive Manufacturing profile is the essential setting required for Repetitive manufacturing production method. Repetitive manufacturing profile defines, How to carry out back flush Which cost is to be captured How to reduce the planned order Planned order is mandatory or not Movement types. SCENARIO Create a Repetitive Manufacturing profile. INSTRUCTIONS Follow the Menu Path: IMGProduction Manufacturing Control Data Define Manufacturing Profiles Click Repetitive Repetitive

Click

Update the Following fields Field Rem profile Description of Rem. Profile

Description Key identifying the repetitive manufacturing profile. E.g. AB99 Description of the profile. E.g. Auto cost coll. fin.Backflush

Tick this check box to make Backflush and Goods Receipt Tick this check box to create the records of error created during posting Tick this check box to create individual error records. E.g. Leave this blank Tick this check box to correct error in dialog mode. Select optional radio button to make error correction in dialog mode as optional. Tick this check box to select the price for backflush material either from standard cost estimate or from preliminary cost estimate from product cost collector. Select appropriate radio button to take the price of the material, whether to take from standard cost estimate or from standard cost estimate. Tick this check box to update the batch where used list. Click Tick this check box to reduce the planned order

which contains production version detail. Tick this check to reduce planned order even if it is not assigned with any production version. E.g. Leave it blank Tick this check box if it is required to reduce planned order containing any other production version. E.g. Leave it blank Enter the number of days in which planned orders are to be reduced. E.g. 7, to reduce the planned order in the last seven days. Select this radio button to firm the planned orders which are assigned with production line in the planning table already. Tick this check box, if it is required to reverse / recreate the planned order when reversing the backflush. E.g. Leave it blank Leave SAP settings as it is.

Click

In this screen no settings are to be done. Click Click Save .

Impact of this configuration on the Master Data / Transaction

Repetitive manufacturing profile can be used in the material master MRP 4 view for materials which are to be handled in repetitive manufacturing process.

9.2 Creating product cost collector BACKGROUND This is a master data to be created for every product which are handled in repetitive manufacturing. Product cost collector is the vital master data for Repetitive Manufacturing process. Though it is a master data, it is explained along with the configuration of Repetitive Manufacturing Profile so that it will be convenient to the users. Product cost collector will be created for the combination of material, Plant and Production version. For each production version there should be a cost collector. Product cost collector suggested to be created once the standard cost estimate run for a specific material was completed and updated. Product cost collector will define Costing variant planned Costing variant actual Costing sheet With the above input, similar to the standard cost estimate, separate cost will be calculated to this specific combination of Material Plant

 Production version, Production version will then be used to for all subsequent cost estimate process. SCENARIO Create a Product cost collector. INSTRUCTIONS Follow the Menu Path: LogisticsProduction Repetitive Manufacturing Master Data Product cost collector KKF6N Process Product cost collector. Double click KKF6N

Update the Following fields Field Name Material Plant Field description and value Material code number Enter the plant in which product cost collector needs to be created

Click

in the left top to create product cost collector

Field Name

Plant Production version

Field description and value Select this radio button to indicate the product cost collector is to the specific production version Enter the plant in which product cost collector needs to be created Enter the production version to which product cost collector needs to be created

Click Enter the costing variant planned and actual Click Nothing needs to be maintained here

Click Enter the costing lot size. E.g. 1000 Click Save .

There will be a dialog box asking Do you want to cerate a preliminary cost estimate for the product cost collector Click Yes

Impact of this configuration in Master Data / Transaction

When backflusing for the planned order in repetitive manufacturing, actual cost incurred will be collected in the product cost collector.

9.3 Required Material Master Settings BACKGROUND

Rep. Mfg.:-

This is a master data setup. Repetitive manufacturing Material master must have the following data setup. To handle any product in a repetitive manufacturing, following are the essential settings required to be done in the material master MRP4 view. 1. Repetitive manufacturing check box tick needs to be maintained.

2.

Repetitive manufacturing profile needs to be maintained.

3. maintained.

Production version needs to be

Though it is a master data, it is explained along with the configuration of Repetitive Manufacturing Profile so that it will be convenient to the users. With the above three requirement for Repetitive manufacturing, relevant material can be handled in the repetitive manufacturing environment. SCENARIO

Make material master setting to handle material in repetitive manufacturing. INSTRUCTIONS Follow the Menu Path: LogisticsProduction Master Data Material master Material Change MM02 Immediately Double click MM02 Immediately Enter the required material code number Click Select Click Enter Plant. E.g. enter your plant value Tick the Repetitive manufacturing check box . Maintain the Repetitive manufacturing profile. Click Field description Version number Field value Enter the production version identity number. 4 digit alpha numeric number may be entered. Enter the description of the production version. Enter the valid from Enter the valid to

Text Valid from Valid to

Click Field description From Lot size To Lot size Detailed planning Group counter Alternative BOM BOM Usage Click version Click Yes Click Click Click Click Save . Field value Lot size quantity from which this production should be applicable. E.g. enter 1 Lot size upto which this production version should be applicable. Enter 500000 Enter the routing or rate routing group number in the group field. E.g. 50004228 Enter the group counter number. E.g. 1 Enter the BOM alternate Number. E.g. 1 to consider first alternate BOM Enter the BOM usage. E.g. 1

to check the consistency of this production

Essential Material master setup completed.

Impact of this configuration in Master Data / Transaction

Now the material is completely setup to be handled in repetitive manufacturing. Backflush to this material can be done with reference to the planned order through transaction code MFBF.

10.

PP CO Integration:Costing modules are tightly the product and production

Production Planning and integrated in costing of accounting.

Before we proceed to the PPCO related configuration settings, lets discuss the Important terminologies. Standard Cost Estimate:Cost of any product contains Material cost cost derived from BOM (BOM Qty*Rate) Conversion cost Cost derived from Routing (#Activity * Activity Rate) Over heads calculated from costing sheet # Setup duration, Machining duration, Labour hours, power consumption are known as Activities. Apart from the above two, over head charges will be added to it and the final cost of the product will be arrived. Valuation Variant:Valuation variant will indicate Whether to consider the planned price or moving average price

Whether to consider the planned price of activity for the year Whether Subcontracting price is to be considered from quotation Whether to take the external processing charges from operation Costing sheet, i.e. over head calculation Costing Type:Costing type specifies the updation of planned value or actual value in the production order. Costing Variant:Costing variant will contain the costing type and valuation variant. Assignment of cost component structure will be maintained in costing variant. Important PP related IMG settings: Define valuation of Goods Received Define Valuation variant Define Costing Variant

Planned Cost:Planned cost is for information purpose. Once the order is crated or released, based on the BOM and Routing planned order cost will be calculated. Cost Calculation process is similar to that explained in standard cost estimate. E.g. BOM component Quantity x Planned price ( as per the valuation variant it may take planned price to calculate the planned material cost) Actual Cost:Actual cost will be calculated based on the actual component consumption and utility or activity utilization. E.g. consumed component quantity x Moving Average price Note: - as per the valuation variant it may consider the moving average price to calculate the actual cost incurred for any order Target Cost:This is similar to the planned cost but it might take the rate detail from moving average price and the component quantity detail as a standard quantity from BOM. Target cost will be compared with the actual cost to calculate the variances. Target cost will be calculated by the system after the variance calculation is completed. All right, now we shall look into the configuration related to PPCO integration.

10.1 Define Valuation of Goods Received BACKGROUND This configuration setting enable to define the valuation of goods received. Valuation at goods receipt controls the price to be considered to the product when it is received through production order or process order after completion manufacturing. This is mostly applicable to the material which are defined with moving average price. SCENARIO Define Valuation of Goods Received. We shall display the standard settings as these settings will be done by CO team. INSTRUCTIONS Follow the Menu Path: LogisticsProduction Shopfloor control Integration Define Valuation of Goods Received Click

To maintain new entries Click Enter valuation area i.e. plant Enter Valuation Variant. E.g. 007 Production order actual. With the above entry, while making GR, product will be received at the actual cost incurred in the production order irrespective of its standard or moving average price. Click Save .

10.2 Define Valuation variant:BACKGROUND This configuration setting enables to define the valuation variant. Valuation variant will indicate Whether to consider the planned price or moving average price Whether to consider the planned price of activity for the year Whether Subcontracting price is to be considered from quotation Whether to take the external processing charges from operation Costing sheet, i.e. over head calculation SCENARIO Define Valuation variant. We shall display the standard settings as these settings will be done by CO team. INSTRUCTIONS Follow the Menu Path: LogisticsProduction Shopfloor control Integration Define Valuation variant

Click

Let us discuss the standard setting 001 Select 001 valuation variant Click

Material valuation tab screen define the priority at which the price for material is to be considered Click

Priority to pick rate for Activity is defined here Click

Priority to pick the price for subcontracting is defined here Click

Click

Costing sheet may be defined here. Note:- When creating the new entry follow the above step and select the priority as per the business requirement.

10.3 Define Costing Variant BACKGROUND This configuration setting enables to define the costing variant. Costing variant will contain the costing type and valuation variant. Costing variant will be referred in all product costing and production order costing. SCENARIO Define costing variant. We shall display the standard settings as these settings will be done by CO team. INSTRUCTIONS Follow the Menu Path: LogisticsProduction Shopfloor control Integration Define Costing variant Click

Standard setting should be sufficient, if required this setting will be defined by the CO module. Let us discuss the standard PPP1 costing variant Select PPP1 costing variant Click

Click

Click Click

Valuation variant which we have discussed in the previous topic can be seen here. Note to assign new valuation variant to a Plant Click top. Click If new value needs to be created, press New entries and follow the above step to assign costing type and valuation variant. in the

11.
Friends,

Summary: -

I am sure, now you are in position to configure the Discrete and Repetitive manufacturing process according to the business blue print to meet the business requirements.