Lec.

5 Demand Management
Possible SAP Components of Supply Chain Planning:

Supply Chain Planning in SAP ECC:

Production Planning & Control:

MRP Procedures:
Types of the Material:

All the material may not be important for cyclic count purpose; it may be required to count some
items frequently and some items rarely.
A cyclic count indicator A or B or C or D is allocated to material in the material master based on
either consumption value (consumption X rate) or forecast value (forecast quantity X rate).

The item with more consumption value is classified as A, and with minimum as D.

“A” indicator items will be counted frequently (say every month), D will be less frequently (say
every 6 months or every one year). Daily a number of items will be taken for count; some may be
with A indicator, some with B and so on.

A would be the material which would be required in large quantity.

MD61: Create Planned Independent Requirement

Note: This MTS & MTO will all be depended on strategy group in MM01>>MRP3>>Strategy Group

Note: MRP1; MRP2; MRP3; MRP4; Work Scheduling View will always be checked in as a view
while creating Production Planning Material

MD04: Stock Requirement List/ Planned Independent Requirement

MD02: Single Item; Multi-Level

Note: Output of MRP is always Planned Order

Planning Strategies used in PP:

Make to stock strategies

Strategy Strategy Description

10 Make to stock Production
30 Production by lot size
40 Planning with final Assembly
70 Sub Assembly Planning

Make to Order Strategies

Strategy Strategy Description

20 Make to order
50 Planning without final Assembly
82 Assembly Processing in make to
Order

OVZG: Change Requirement Classes View

(It is generally defined in SD; it will define the Reduction on PIR based on to the strategy we
define; ex: we can set it in such a way that PIR will reduce after sales order delivery; we can also
set it that PIR will get reduce after sales Order.)