7.

 Make-to-order Process
(I).Make-to-order production is a process in which a product is individually manufactured for a
particular customer. In contrast to mass production for an unspecified market where a material is
manufactured many times, in make-to-order production a material is created only once though the
same or a similar production process might be repeated at a later time.

(II). You can use make-to-order production: (a) For branches of industry or products where a small
quantity of products with a large number of different characteristics are manufactured (b) When a
product has to be assembled particularly for a sales order.

(III). Stock keeping is not usually carried out for products that are made to order. In companies using
make-to-order production, the demand program only determines the production area, in which
various variant types are produced. Depending on how you track the costs associated with make-to-
order production, there are two ways to process make-to-order items during sales order processing.
(a) Make to order using sales order
(b) Make to order using project system (not relevant for SD application)

(IV). for make to order production using the sales order, all costs and revenues involved for an order
item are held collectively at that item. A particular rule is used that can be changed manually to
transfer costs to profitability analysis.

(V). make to order production is largely a production planning configuration. It is also controlled by
the requirements type, which is determined by three things
the strategy group (MRP 3) in MMR
the MRP group (MRP1) in MMR
the item category and MRP type (MRP 1)

(VI). Make-to-order production is controlled by the requirements type. The requirements type is
determined on the basis of the MRP group (MRP1) and the strategy group (MRP3) in the material
master record. In addition, a plant must be assigned for make-to-order items in the sales order.

3. ASAP Methodology
Five Phases of ASAP methodology.

Phase 1: Project Preparation

The purpose of this phase is to provide initial planning and preparation for your SAP project.

Phase 2: Business Blueprint

The purpose of this phase is to achieve a common understanding of how the company intends to
run its business within the SAP System. The result is the Business Blueprint, a detailed documentation
of the results gathered during requirements workshops. The Business Blueprint document represents
the business process requirements of the company. It is the agreed statement of how the company
intends to run its business within the SAP System.
Phase 3: Realization

The purpose of this phase is to implement all the business process requirements based on the
Business Blueprint. The system configuration methodology is provided in two work packages:
Baseline (major scope); and Final configuration (remaining scope).

Phase 4: Final Preparation

The purpose of this phase is to complete the final preparation (including testing, end user training,
system management and cutover activities) to finalize your readiness to go live. The Final Preparation
phase also serves to resolve all critical open issues. On successful completion of this phase, you are
ready to run your business in your live SAP System.

Phase 5: Go Live & Support

The purpose of this phase is to move from a project-oriented, pre-production environment to live
production operation.

Some additional Information on ASAP methodology:

Phase 1  -  Project Preparation

Change Charter - Goals and objectives of Organizational Change Management

Project Plan - This is a first cut focusing on milestones and Work Packages; details to come.
Scope - Sets the initial definition of then project; input from sales cycle.
Project Team Organization - Sets the whom of the project: Standards & Procedures - Sets the why
and how of the project.