12/28/2020 SAP e-book

Unit 1: Production Engineering and Operations Infrastructure

Figure 1: SAP S/4HANA Manufacturing for PEO Main Areas

Production Engineering bridges the gap between product engineering and production
operations by converting the product design into production process design that is the basis
for production order management and shop floor execution.
Production Operations is about initiating, preparing, executing, controlling, and documenting
the actual end-to-end production process. Complex assembly execution is primarily designed
for complex, low volume production processes with high change frequency and focus on
manual work, typical for complex assembly and engineer-to-order businesses.

Table 1: SAP S/4HANA PEO Features

SAP S/4HANA PEO Feature Description

Version-managed Bill of Materials (BOMs)
Every BOM version has its own release sta-
tus. A released BOM version is a consistent
model of a product's components that can be
used in production execution and that cannot
be changed. If you want to change the BOM,
you can create a new BOM version. You can
make changes to a new BOM version until it
is released. However, it cannot be used in
production execution while still in the status
in process. This guarantees consistent BOMs
in production execution.

Version-managed shop floor routings
Every routing version has its own release sta-
tus. A released routing version is a consistent
model of a product's operations and activi-
ties. Released routing versions can be used in
production execution and cannot be
changed. You have to create a new routing
version if you want to make changes. You can
make changes to a new routing version until
it is released. However, it cannot be used in
production execution while still in the status
in process. This guarantees consistent rout-
ings in production execution.

© Copyright. All rights reserved. 4

1/1