Production Planning

Work Centers for Fitter Snacker

Finished Goods Warehouse (300)

Mixer
Raw Material Warehouse (100)

Snack Bar Line

Mixer

Form Bake Pack

Mixer

Production (200)
Mixer
 Production Master Data

Company Capacity
Work
Code Routing Planning
Center
Valuation Production
Area Material Orders
Master Bill of Product
Plant Material Costing
 Navigating Material Master Views

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 Material Types

 A Material Type is used to classify materials:

 Defines material attributes like:

 Valuation (value of material as market changes)

 Procurement (internal, external or both)

 Controls screen sequence and number assignment

 Can restrict access using authorization groups

 A number of material types are pre-defined

 Abbreviations are abbreviations of German terms

 Users can create their own material types

 Usually best to copy a pre-defined type, then

modify
 Material Types in Exercises

 ROH: Raw material

 Externally purchased only, no sales view

 Oats, Wheat Germ, Honey, Cinnamon, etc.

 HALB: Semifinished Product

 No purchase or sales view

 Dough for NRG-A and NRG-B bars

 FERT: Finished Product

 Produced internally, has sales views, no purchasing
views
 NRG-A and NRG-B bars
 Other Material Types
 HAWA: Trading Goods
 HIBE: Operating Supplies
 VERP: Customer returnable packaging
 LEER: Empty containers
 KMAT: Configurable material
 ERSA: Spare parts
 DIEN: Services
 NLAG: Non-stock, non-valuated material
 UNBW: Non-valuated, stocked material
 FHMI: Production resources/tools
 WETT: Competitive products
 PROD: Product group
 IBAU: Maintenance assembly
 Documentation in Material Master

 The SAP R/3 system documents all changes

to the material master:

Click for documentation

Documentation in Material Master
 Master Data – Bill of Material
 BOMs are represented as single-level
relationships between a material and its
components and sub-assemblies
## NRG–A
(case)
BOM for NRG-A
## Dough NRG–A
(lb)
BOM for
Dough NRG-A
## Oats ## Wheat Germ ## Cinnamon ## Nutmeg
(lb) (lb) (lb) (lb)

## Cloves ## Canola ## Honey ## Carob Chips ## Raisins ## Vit/Min Powder

(lb) (gal) (gal) (lb) (lb) (lb)
 Routings
 Routings define the relationship between a
material and the sequence of workcenters
(operations) that are required to produce the
material
 Also specifies where sub-components and
sub-assemblies are needed in producing the
material

10 20 30 40 50 60
 Functions of Production Orders
(part 1 of 2)
 Status Management: Tracking, User-defined status
 Scheduling
 Calculation of Capacity Requirements (detailed)
 Costing/Collection of Costs
 Availability Checks (material, capacity, PRT-
production resources and tools)
 Printing of Paper Orders/related documents
 Assembly drawings and instructions

 Inspection instructions

 Storage regulations

 Material Staging: withdrawal of materials used in

production, e.g. components and sub-assemblies
 Functions of Production Orders
(part 2 of 2)
 Confirmations: quantities, activities, times
 Goods receipt: receipt of completed materials
 Period-end closing: Process cost allocation, overhead
costs, surcharges, WIP (work-in-process) calculation,
variance calculation, order settlement
 Archiving and retrieval
 Many more: rework, serial numbers, as-built, quality
control, etc.

 Production Orders capture actual data—

costs, dates, etc.
 Status Management
(part 1 of 2)
 Status Management is one tool that can be used to
manage released production orders
 A status can allow, allow with warning, or block a
business transaction
 Two status types are available
 System status: internal, predefined, fixed number

 User status: freely definable, set by user

 Status Management
(part 1 of 2)

Status Status detail

 Planned Orders vs. Production
Orders
 Planned Orders are for PLANNING
 Production Orders are for EXECUTION
Planned Order 3 weeks in future

Planned Orders 2 weeks in future

Planned Orders 1 week in future

Planning
Execution
Production Orders released today
 Master Data for Production Orders
 Master Data is data that does not change frequently
 Master Data for the production order comes from:
 Material Master

 Bill of Material (BOM)

 Work Center

 Routing

 Production Resources/Tools (PRT)

 Materials like gages, fixtures, test equipment

 Can also be items like drill bits that can be

consumed in production but aren’t consumed
INTO the product
 Most Production Order data comes from BOM and
Routing
 Archiving &
Deletion Order Request
Order 16 1 Order Creation
settlement 2 Availability
15 Checks
Variance 3
Calculation
14 Production 4
Machine
Order Reservation
13 5
Goods Receipt Cycle Order Release
6
WIP 12
Download to
Determination PDC system
11 7
Confirmation 10 8 Print Order
9
Upload from Material staging
PDC system Material withdrawal
posting
 Routing Selection
 Different routings can be selected for a product
depending on a number of criteria like:
 Raw material used

 Lot size

 Product features/configurations (variants)

 A complicated, automatic selection process

can be configured
 Bill of Material (BOM)
 The system selects the FIRST Valid BOM it
finds
 Validity can depend on:
 Date (engineering changes)

 Customer

 Serial number
 Material Assignment

Assigned via BOM:

Material All materials assigned to

Material
first operation
Material

OP OP OP OP OP
……..
0010 0020 0030 0080 0090

OP OP OP OP OP
……..
0010 0020 0030 0080 0090

Assigned via Routing:

Materials can be assigned

Material
to specific operations Material Material