Production Planning

Overview of Production Planning

Production Planning

SD FI
Sales & Financial
Distribution Accounting

MM CO
Materials Controlling
Mgmt.
PP AM
Production Fixed Assets
Planning Mgmt.

Production
QA
Quality
Assurance Planning PS
Project
System
PM OC
Plant Main- Office &
tenance Communi-
HR
Human
IS
Industry
cation

Resources Solutions
Integration

Material Availability Check

Sales Order
Customer Shipment
Sales & Transfer of Requirements

Credit Limit
Distribution Goods Issue to SO

Invoice
Sales Forecast / Plan

Production Order Materials/Warehouse

Production Production Order Receipt Management
Planning
Production Cost Accounting Document

Order
Purchase

Receipt
Invoice

Goods Receipt
Finance & Accounts Payable Vendor
Receivable Accounts / Cash Receipt Controlling
PP Integration with Other modules
PP-with SD

• Availability Check

• MTO Scenario-MRP Run, Requirement Types

• Variant Configuration - Selection/requirements of BOM Components and operation

PP with MM

• Goods movements – Backflush, Auto Goods Receipt

• Creation of Purchase Requisitions, Purchase orders with MRP Run

• Info record usage for sub-contracting/to choose the right vendor

PP with QM

• In process inspection with Inspection Type 03

• Goods Receipt inspection with inspection type 04

PP Integration with Other modules
PP with CO
• Price update in material master

• Assigning price to activity type for specific period In the fiscal year

• Activity type in the Cost center assigned in the work center

• Order type – Settlement profile, costing variant , valuation variant

• Product cost collector

• Standard Cost estimate

• WIP and variance calculation

• Costing sheets for overheads

Industry Sectors
Sales and Operation Planning
Demand Management

Copy from Copy from Copy from Copy from

Sales Plan Prodn Plan Forecast Orig Plan

Manual Planned Sales

Independent Demand Management Demand from
Requirements “Demand Program” Sales Orders

MRP/MPS
Business process flow – production Planning

• Create Planned Independent requirements in case of MTS

• Run MRP at plant level
• Incase of MTO scenario run MRP for Sales order
• Purchase (convert purchase requisition to purchase order, then post goods receipt)
• Production Order(Convert Planned Orders to Production orders)
• Release the Production Orders
• Goods issue for Production Order
• Confirm the production order with activity types
• Goods Receipt for order
Production Planning and Execution
MRP

Net requirements
calculation

Lot sizing

MRP
Forecasting

Order scheduling Bill of Material

and generation Explosion
Material Requirement planning
• MRP is a production Planning and inventory control system used to manage
manufacturing Process

• The main purpose of MRP is to make right material available at right time and at right
place

• MRP is total planning of all the components taking into consideration the existing
requirement and stocks

• After executing MRP all the planning related data can be seen in (Stock/Requirement
list)

MRP uses the following data for planning

• Net requirement calculation

• BOM explosion

• Scheduling

• Procurement proposal
MRP Overview
Discrete Manufacturing
Repetitive Manufacturing
Manufacturing Cycle
Manufacturing Planning and Execution
Production Order Cycle
PP master data and its role

PP
PP Basic
Basic Data
Data Use
Use of
of PP
PP Basic
Basic Data
Data
Units
R/3
Organizational
Unit Work Center /
s Resource Capacity Planning
Company
Code Routing / Recipe
10 Platz 1

20
Valuation
30
Area
Material Master Plan Material
Production &
Bill of Material / Procurement
Plant A
Material Material List

Product Costing
Engineering Change Management (ECM)
Production Planning Life Cycle
Production Order creation
Production Order Confirmation
Production Order Goods Movement
Production Order Costs
Production Planning - Process Industry

Production Planning in Process

Industry
Production Planning - Process Industry
PP-PI Master Data
• Material masterand Batch

• Resources

• Production Version

• Master Recipe and BOM

• Co-products and By-Products

• Classification System

• PI Sheets
Production Planning - Process Insdustry

PP-PI Master Data

Production Planning - Process Industry
Material master Record Views
Production Planning - Process Industry
Material and Batch
Production Planning - Process Industry
Resources
Production Planning - Process Industry
Resource Data 1
Production Planning - Process Industry
Resource Data 2
Production Planning - Process Industry
Formula Parameters and Formula in Reosurce
Production Planning - Process Industry
Production Version
Production Planning - Process Industry
ProductionVersion - User Interface
Production Planning - Process Industry
Elements of Master Recipe
Production Planning - Process Industry
Structure of Master Recipe
Production Planning - Process Industry
Creating Master Recipe and BOM
Production Planning - Process Industry
Example for BOM
Production Planning - Process Industry
Recipe BOM and Material List
Production Planning - Process Industry
Process Management
Production Planning - Process Industry
Control Recipe Creation -1
Production Planning - Process Industry
Control Recipe Creation -2
Production Planning - Process Industry
Process Instruction- Data
Production Planning - Process Industry
Process Instruction Sheet