SAP Production Planning & Execution (PP)

Basic Planning steps

SOP -> DRP -> MPS -> MRP

(From Distribution Center to Factory)

(for Elopak, Denmark training reference)

Bare in mind, this is only an example of Planning scenario from DC to
Factory for a Make-to-Stock Scenario illustration

Sales Plan at the DC (Distribution Center) level with

SOP Product Group Planning

Use Special Procurement Key and Quota Arrangement

DRP to distribute plans to Plants (Factory) Supply Chain

Master Production Scheduling at the Plant level for the

MPS Finished Goods iteration plans (Factory)

BOM Explosion and planning for the Components at the

MRP Plant level (Factory)
 Plant
1000

Factory
Vendor 1
Distribution
Center

DC

Plant
1100

Factory
2

MRP MPS DRP SOP

 Plant
1000

Factory
Vendor 1 Distribution
Center

DC

Plant
1100

Factory DRP functionality will be

2 replaced by Special
Procurement Key through
MPS or MRP logic

MRP MPS DRP SOP

Prepare a Product
Group strucutre at
DC Plant 1000
Ratio of 2
products fg1 and
fg2 is 50% each
Create Active
vesion A00 for
Production Group
Plan
Assume these 3
months Sales
Plan

Assume these 3
months Target
Stock Level
Derive the
Production Plan
using Target Stock
level
This Plan is at the
DC level (Plant
1000)
Disaggregate and
Trassfer (Visible
transfer)
VSF due to
Requirement type
of MTS strategy
40
Strategy 40
S/R list cw-fg1 at
DC Plant 1000
S/R list cw-fg2 at
DC Plant 1000
 cw-fg1 and cw-fg2
has the same
settings at DC
plant 1000

Split Quotat for

cw-fg1 from plant
1000 to factory
1100 and 1200
 cw-fg1 and cw-fg2
has the same
Quota settings at DC
Arrangement is plant 1000
active at MRP run
CW-FG1 CW-FG2
Quota Ratio Quota Ratio
Factory Plant 1100 40% Factory Plant 1100 70%
Factory Plant 1200 60% Factory Plant 1200 30%
Product Group
PG
MRP run at DC
Plant 1000
 Note MRP uses the
Ratios in the Quota
Arrangement to split the
Qty in the PIR

Stock Transfer
Requirements
 Note MRP uses the
Ratios in the Quota
Arrangement to split the
Qty in the PIR

Stock Transfer
Requirements
Planned
Production Orders
Convert Planned
Production Order to
Production Order in
Factory Plant 1200
Production Order
at Factory Plant
1200
Convert this to
STPR
STPR from Factory
Plant 1100 to DC 1000
STPR
Receiving Plant
1000 (DC)

Supplying Plant
Factory 1100
Convert this
STPR to STO
Supplying Plant
Factory 1100

Receiving Plant
1000 (DC)
 Production Order
in Factory Plant
1200

STO from Factory Plant 1100

to DC Plant 1000