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SAP PP Training
Chapter 4 – Master Data in Production Planning

December, 2007
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Index
0. Introduction
1. SAP Technical Overview
2. Enterprise Structures in Production Planning
3. Overview of Production Planning
4. Master Data in Production Planning
5. Production Planning
6. Production Control
7. Product Cost Management
8. Reporting

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Index

0. Introduction
1. SAP Technical Overview
2. Enterprise Structures in Production Planning
3. Overview of Production Planning

4. Master Data in Production Planning

• Master data in Production Planning
• Master data in Product Costing

5. Production Planning
6. Production Control
7. Product Cost Management
8. Reporting
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Master Data in Production Planning
Master Data

 Master Data contains the records that

remain in the database over an
extended period of time. It contains
information that is often used in the
same manner for similar objects and
business processes

 Master data is stored centrally (shared

across application components) to
eliminate data redundacy.

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Master Data in Production Planning
Master Data for Process Manufacturing
 The material is the central master record in
Logistics. In general, SAP defines a material as a
substance or commodity that is bought or sold on
a commercial basis, or is used, consumed or
created in production.
 A batch is a subset of a material with unique
specifications. The batches of one material are
managed in separate stocks.
 The resource master data describes the means of
production in the production process.
 A production version determines which alternative
BOM is used together with which master recipe for
process order production.
 The master data of master recipes describes the
manufacture of one or more materials in one
production run without relating to a particular
order.
 Material BOMs are used to represent the structure
of products that a company manufactures. They
are usually created and maintained from within the
master recipe.

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Master Data in Production Planning
Materials – Material Master Record

 Material master record:

 A data record containing all the basic
information required to manage a material.
 The data is sorted according to various criteria
including data of a descriptive nature and data
with control functions.
 It is sorted according to different criteria.
 Materials are created as material master records.
 An alphanumeric material number identifies a
material master record in the system.
 This material number is unique at the client level.
 Each department of a company needs to maintain
different information on a material. Therefore, the
material master record comprises different views.
 The views shown to the left are the minimum material
master views that must be maintained for in-house
production. The additional views to the right are typical
for process manufacturing.

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Master Data in Production Planning
Materials - Material Master Record

 Some material data is valid at all organizational

levels, while other data is only valid at certain
levels.
 Data at client level: This level contains material
data that commonly applies to all lower levels
of a client. This includes material descriptions,
base units of measure, alternative units of
measure, weight, volume, and classification
data. This data is accessed using the material
number.
 Data at plant level: This level contains material
data that applies to a particular plant. To
access the plant data, a plant number must be
specified along with the material number.
 Data at storage location level: This level
contains material data that applies to a
particular storage location. To access the
storage location data, you need to specify the
plant number and the storage location number
along with the material number.

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Master Data in Production Planning
Materials - Creation

 In order to create, change or display

the material master data, you use:
 To create: MM01
 To change: MM02
 To display: MM03

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Master Data in Production Planning
Materials - Creation

 To maintain a material, you enter the material

number on the initial screen. You then select the
organizational levels and views of the main data
screens.
 The data screens on the main level are displayed
in a standard sequence defined in Customizing.
However, you can jump from screen to screen and
thus interrupt the standard sequence.
 To reach the additional data screens, choose the
Additional Data pushbutton from within the
corresponding view.

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 Master Data in Production Planning
Materials - Views

 Basic Data I

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 Master Data in Production Planning
Materials - Views

 Basic Data II

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 Master Data in Production Planning
Materials - Views

 MRP I

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 Master Data in Production Planning
Materials - Views

 MRP II

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 Master Data in Production Planning
Materials - Views

 MRP III

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 Master Data in Production Planning
Materials - Views

 MRP IV

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 Master Data in Production Planning
Materials - Views

 Work Scheduling

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Master Data in Production Planning
Resources

 Resources are the main planning instruments of

production planning and control.
 Resources are grouped in resource categories on
the basis of their usage and function.
 You can find resource-related data on several
screens. These are:
 Basic data
 Default values
 Capacities
 Scheduling
 Costing
 You use the transactions CRC1, CRC2 and CRC3
to create, change or display a resource.

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Master Data in Production Planning
Resources – Basic Data

 On the Basic Data screen, you define a

person or group of persons responsible
for the maintenance of the master data
of this resource.
 By defining the task list usage, you also
specify the task list types (such as
master recipe, equipment task list, or
inspection plans) in which the resource
can be used and whether the resource
can be used in orders.
 By entering a standard value key, you
assign possible standard values to a
resource for the phases in process
orders to be executed at this resource.
A standard value is a planned value
used to carry out a phase, such as the
execution time. Standard values are
used in costing, scheduling, and
capacity requirements planning to
calculate costs, execution times, and
capacity requirements.

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Master Data in Production Planning
Resources – Default values

 You can enter default values for the

phase to be executed at a resource.
When you maintain the phases and
operations in the master recipe or
process order, the system copies or
references this information. You can,
for instance, propose a control key. A
control key specifies how a phase or an
operation is to be processed from a
business point of view.

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Master Data in Production Planning
Resources – Capacities

 Available capacities of resources are

the basis for scheduling process
orders. They are also required for
capacity requirements planning and
shop floor control.
 A capacity is the ability of a resource
to perform a task with regard to time.
 Capacities are differentiated according
to capacity categories. Es. 002 
labor.
 To calculate costs, execution times and
capacity requirements of phases carried out
at a resource, enter a formula key that
refers to a suitable formula on the
corresponding screens of the resource.

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Master Data in Production Planning
Resources – Scheduling

 In order to calculate the execution time

of an operation during process order
scheduling, the available capacity of
exactly one of several possible
resource capacities is defined as the
basis for scheduling.

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Master Data in Production Planning
Resources – Costing

 By assigning a cost center to a

resource, you link the resource to cost
accounting and can now carry out
product and order costing.
 You can define the specific output of a
resource by assigning activity types,
which are defined for the cost center.

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Master Data in Production Planning
Bills of Materials

 The bill of material (BOM) contains

the assemblies or components that
are involved in the production of a
material.
 BOMs are used in material
requirements planning, production,
procurement and for product costing.
 Bills of material are single-level. An
item of a BOM may itself also contain
components. In this way, multilevel
production is described using the
single-level BOMs.

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Master Data in Production Planning
Bills of Materials - Creation

 In order to create, change or display a

BOM, you use:
 To create: CS01
 To change: CS02
 To display: CS03

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Master Data in Production Planning
Bills of Materials – Header

 The product is assigned to the BOM

header.
 The different alternative BOMs can then
be valid for each of the different lot-size
areas, for example.
 BOM usage determines the business
applications for which a BOM can be used.
 The status of the BOM controls whether
the BOM is active for particular
applications (MRP, for example).
 A base quantity is defined in the BOM
header and the quantities of the material
components entered in the BOM items
refer to this base quantity.

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Master Data in Production Planning
Bills of Materials – Items

 The components required to produce the finished product are entered as items in the BOM.
 BOM items are, for example, ingredients, intra materials, catalyst, by-products, co-products.
 The item category specifies the kind of item you are dealing with: Stock items are executed in the warehouse
and are used in production. In contrast, non-stock items are directly assigned to a manufacturing order
 Quantities of materials entering the production process are maintained with a positive number, quantities of
materials leaving the process with a number followed by a negative sign. Materials that both enter and leave the
process are assigned two different BOM items with the corresponding signs.

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Master Data in Production Planning
Recipes

 A master recipe defines the following data that is required for

the production of materials without relating to a particular
order: processing steps, resources, material components, data
for quality inspection during production, and control information
for the process control level.
 The recipe header contains data that is valid for the whole
recipe.
 Operations describe the different steps required during the
production process. Exactly one resource is assigned to an
operation.
 The material list is made up of components representing the
materials entering and leaving the production process, as well
as temporarily existing materials and their planned quantities.
It also defines the assignment of these material components to
the phases of the recipe according to their planned
appearance in the process.
 In material quantity calculation, you define formulas to
calculate the material quantities to be used or obtained in a
production process, taking into account the mixing ratios of the
ingredients, yield ratios of the products and remaining
materials as well as specific material attributes

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Master Data in Production Planning
Recipes – Header

 You use the transactions CRC1, CRC2 and CRC3

to create, change or display a resource.

 The recipe header contains data that is valid for

the whole recipe:
 Recipe group, recipe counter, recipe
description, plant
 Resource network
 Status
 Usage
 Planner group
 Charge quantity range
 Change rule
 Material-recipe assignment
 QM data
 Long text
 Administrative data

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Master Data in Production Planning
Recipes – Operations and Phases

 The recipe operations describe the different steps required during

the production process.
 Phases provide a detailed description of the operations in the
production process. The chronological order of the phases is
defined by the relationships between them. These relationships
link the start and end of the phases. A phase can consist of
several process instructions.
 You must enter a control key for each operation and phase. The
control key determines how an operation or phase is to be
processed in functions such as process orders, costing, and
capacity requirements planning.
 When you assign a resource to an operation, you also assign the
standard and default values maintained in the resource to the
phases of the operation.

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 Master Data in Production Planning
Recipes – Operations and Phases

 Phase Details

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 Master Data in Production Planning
Recipes – Material List

 After having maintained the header, operation, and phase data, and
having maintained the material BOM, in the material list, you
assign the material components to your phases.

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Master Data in Production Planning
Product Versions

 A production version determines which master

recipe is used together with which material BOM to
produce material or create a production plan for a
material.
 You can assign several production versions for
different validity periods and lot-size ranges to a
material.
 You can maintain production versions:
 In the material master
 In mass processing (transaction C223)

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Master Data in Production Planning
Product Versions – Material Master

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 Master Data in Production Planning
Product Versions – Mass Processing

 C223

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Master Data in Product Costing
Activity Types

 Activity types describe the activity

produced by a cost center and are
measured in units of time or quantity.

 In activity type planning, control data

determines whether the activity price for
evaluation of the activity type is
manually set or is derived iteratively
through activity price calculation.

 You use the transactions KL01, KL02

and KL03 to create, change or display
an activity type.

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Master Data in Product Costing
Cost Centres

 An organizational unit within a controlling

area that represents a defined location of
cost incurrence.

 The definition can be based on:

 Functional requirements
 Allocation criteria
 Physical location
 Responsibility for costs

 You use the transactions KS01, KS02 and

KS03 to create, change or display a cost
center.

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 Master Data in Product Costing
Activity Type Prices

 You use the transactions KP26 and KP27 to change or display an activity type price.

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