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SAP PP (Tutorials Point)(Z-Library)

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SAP PP (Tutorials Point)(Z-Library)

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SAP
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SAP Production Planning is one of the key modules in ERP and deals with planning processes, such as capacity planning, material planning, execution of production order, bill of material and goods movement. This tutorial explains the key concepts of SAP Production Planning (SAP PP). Important components of SAP PP such as BOM, Work Center, Data Center, etc. are explained in this tutorial.

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SAP PP i About the Tutorial SAP Production Planning is one of the key modules in ERP and deals with planning processes, such as capacity planning, material planning, execution of production order, bill of material and goods movement. This tutorial explains the key concepts of SAP Production Planning (SAP PP). Important components of SAP PP such as BOM, Work Center, Data Center, etc. are explained in this tutorial. Audience This tutorial is designed for all those who want to learn the basics of SAP Production Planning. It is especially useful for managers involved in the production and manufacturing department. Prerequisites The course is designed for beginners with little or no knowledge of SAP PP. But you need to have a preliminary understanding of SAP Basics to make the most of this tutorial. Disclaimer & Copyright Copyright 2016 by Tutorials Point (I) Pvt. Ltd. All the content and graphics published in this e-book are the property of Tutorials Point (I) Pvt. Ltd. The user of this e-book is prohibited to reuse, retain, copy, distribute or republish any contents or a part of contents of this e-book in any manner without written consent of the publisher. We strive to update the contents of our website and tutorials as timely and as precisely as possible, however, the contents may contain inaccuracies or errors. Tutorials Point (I) Pvt. Ltd. provides no guarantee regarding the accuracy, timeliness or completeness of our website or its contents including this tutorial. If you discover any errors on our website or in this tutorial, please notify us at contact@tutorialspoint.com.
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SAP PP ii Table of Contents About the Tutorial .................................................................................................................................. i Audience ................................................................................................................................................ i Prerequisites .......................................................................................................................................... i Disclaimer & Copyright ........................................................................................................................... i Table of Contents .................................................................................................................................. ii 1. SAP PP - INTRODUCTION .................................................................................................... 1 Key Steps in Production Execution ........................................................................................................ 1 Convert Planned Order to Production Order ........................................................................................ 1 Issue the Production Order ................................................................................................................... 1 Issue Goods for Production Order ........................................................................................................ 1 Production Order Confirmation ............................................................................................................ 2 Good Receipts w.r.t Production Order ................................................................................................. 2 2. SAP PP - COMMON TABLES ................................................................................................ 3 For Material Requirement Planning ....................................................................................................... 3 For Demand Management ..................................................................................................................... 3 For Planned Orders ................................................................................................................................ 3 For Repetitive Manufacturing ................................................................................................................ 3 How to View SAP PP Tables in SAP ERP System? ................................................................................... 4 3. SAP PP - ORGANIZATION STRUCTURE ................................................................................ 6 4. SAP PP - INTEGRATION WITH OTHER MODULES ................................................................ 7 SAP PP and SAP MM .............................................................................................................................. 7 SAP PP and SAP SD ................................................................................................................................ 7 SAP PP and SAP FICO ............................................................................................................................. 7 SAP PP and Project System .................................................................................................................... 7 SAP PP and Quality Management .......................................................................................................... 7
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SAP PP iii 5. SAP PP - MASTER DATA ...................................................................................................... 8 Bill of Materials ..................................................................................................................................... 8 Material Master .................................................................................................................................... 9 Work Center ........................................................................................................................................ 10 Routing ................................................................................................................................................ 12 6. SAP PP - BILL OF MATERIALS ............................................................................................ 13 Characteristics of BOM ........................................................................................................................ 13 How to Create BOM? ........................................................................................................................... 13 How to Display BOM? .......................................................................................................................... 18 Types of BOM ...................................................................................................................................... 19 Material BOM ..................................................................................................................................... 19 Sales Order BOM................................................................................................................................. 19 7. SAP PP - WORK CENTER ................................................................................................... 20 How to Create a Work Center? ............................................................................................................ 20 How to Change or Display Work Center? ............................................................................................. 25 How to Display Work Center? .............................................................................................................. 27 8. SAP PP - ROUTING ............................................................................................................ 28 Key Features Related to Routing ......................................................................................................... 28 How to Create Routing in PP? .............................................................................................................. 28 How to Change Routing in PP? ............................................................................................................ 31 9. SAP PP - DEMAND MANAGEMENT ................................................................................... 33 Planning Strategies .............................................................................................................................. 33 Make-to-Stock Planning Strategy ....................................................................................................... 33 Make-to-Order Planning Strategy ....................................................................................................... 33 10. SAP PP - CREATING PIR ..................................................................................................... 34 How to Change and Delete PIR? .......................................................................................................... 35
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SAP PP iv 11. SAP PP - MATERIAL REQUIREMENT PLANNING ................................................................ 37 MRP Parameters.................................................................................................................................. 37 Processing Key ..................................................................................................................................... 37 NetChange .......................................................................................................................................... 37 NetChange in Planning Horizon .......................................................................................................... 37 Regenerative Planning ........................................................................................................................ 37 Scheduling ........................................................................................................................................... 37 Basic Scheduling ................................................................................................................................. 37 Lead Time Scheduling ......................................................................................................................... 37 Running MRP for All Products.............................................................................................................. 38 MRP Evaluation: Stock/Requirement List ............................................................................................ 41 12. SAP PP - MRP LIST ............................................................................................................ 43 13. SAP PP - LONG TERM PLANNING ...................................................................................... 44 Key Objectives of Long Term Planning ................................................................................................. 44 Creating an Inactive Version PIR .......................................................................................................... 44 Creating Planning Scenarios ................................................................................................................ 45 14. SAP PP - PRODUCTION ORDERS ....................................................................................... 50 Creating a Production Order Directly from Stock Requirement List ..................................................... 50 Using Planned Order Number ............................................................................................................. 50 Without Referring the Planned Order ................................................................................................ 50 Using Planned Order Number ............................................................................................................. 52 15. SAP PP - PRODUCTION ORDER CHANGE ........................................................................... 53 16. SAP PP - PRODUCTION ORDER CONFIRMATION ............................................................... 55 17. SAP PP - CANCELING PRODUCTION ORDER ...................................................................... 57 18. SAP PP - CAPACITY PLANNING .......................................................................................... 58 To Check Capacity Loads ...................................................................................................................... 58 19. SAP PP - CAPACITY LEVELING ........................................................................................... 61
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SAP PP v 20. SAP PP - GOODS RECEIPT ................................................................................................. 63 Creating Goods Receipt ....................................................................................................................... 63 21. SAP PP - STOCK OVERVIEW .............................................................................................. 65 22. SAP PP - GOODS ISSUE ..................................................................................................... 67 23. SAP PP - GOODS ISSUE REVERSAL .................................................................................... 69 24. SAP PP - LEAN MANUFACTURING .................................................................................... 70 25. SAP PP - REPORTS ............................................................................................................ 71 Key Reports in SAP PP ......................................................................................................................... 71 Displaying Order Information Systems ................................................................................................ 71 26. SAP PP - MATERIAL DOCUMENT LIST ............................................................................... 74 27. SAP PP - STOCK OF MULTIPLE MATERIALS ....................................................................... 75 28. SAP PP - LIST IN BILL OF MATERIAL .................................................................................. 76
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1 SAP Production Planning is one of the key modules in ERP and deals with planning processes, such as capacity planning, material planning, execution of production order, bill of material and goods movement. SAP PP module handles the master data required for Bill of Materials (BOMs) activity, work center and routing, and keeps it in a separate component. SAP PP submodules vary as per industry type like discrete production, repetitive production, or production industries. Discrete production is an industry where produce materials change with each lot and costs are calculated as per orders and lots. In repetitive production, the product is not changed for a long period of time. Production takes place in total quantity and not in the form of individual lots. For most of the industry types, above-mentioned planning and execution submodules are commonly used. Before the production execution, many steps are performed as a part of the planning process: Material Requirement Planning (MRP) run (More details later in this tutorial). Bill of material and routing master data is entered in a planned order automatically with MRP run. Planning quantities are maintained in the system. Key Steps in Production Execution Following are the key steps in executing a production order. It starts with a planned order and ends with goods receipt against a Production order. Convert Planned Order to Production Order The first step is to convert a planned order to production order. When you create a production order, type is defined in SAP PP system. Issue the Production Order To start the production process, it is necessary to issue production order. Till a production order is released, execution of the production process cannot start. Issue Goods for Production Order To execute the production order, goods need to be issued. Once goods are issued, the document number can be updated in the system. 1. SAP PP ─ Introduction
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SAP PP 2 Production Order Confirmation All the sub processes are executed in accordance with the required operations to confirm the production as per the production order. Good Receipts w.r.t Production Order Once the execution of production order is complete, goods produced w.r.t production order are received and placed in the storage area.
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SAP PP 3 In this chapter, we will discuss some of the important tables in SAP PP. For Material Requirement Planning Table Description MDKP Document Header data MDTB Table Structure MDVM Planning File Details MDFD MRP Date details S094 Stock Analysis For Demand Management Table Description PBED Independent Requirements Data PBIM Independent Requirements by Material For Planned Orders Table Description PLAF Planned Order Details For Repetitive Manufacturing Table Description S025 Run Schedule Quantities S026 Material Usage S028 Reporting Point Statistics SAFK RS Header Master Data 2. SAP PP ─ Common Tables
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SAP PP 4 There are various tables in SAP PP system for BOM, routing, discrete production, material allocation, goods receipts, etc. Table Description MAST Material BOM STKO BOM Header STOP BOM Positions PLKO Routing Group Header PLSO Routing Group Sequence PLPO Routing Group Operations AFKO Production Order Header AFPO Production Order Position How to View SAP PP Tables in SAP ERP System? Step 1: In ERP system, use T-Code: SE16.
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SAP PP 5 Step 2: Go to SAP Applications. Step 3: Click the ‘+’ sign and you can see the list of all tables in ERP as shown in the following screenshot.
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SAP PP 6 In SAP PP module, the organization structure defines the location of manufacturing plants and storage locations within the plant. At the top of the structure, you have the company and the company code and then each company code contains different plant and storage locations. Following diagram represents a common organization structure in live SAP Production Planning environment. All the planning activities are performed at the plant level. Production master data in Production Planning is created at the plant level. Production confirmation process and the movement of goods occur at the plant and storage level. 3. SAP PP ─ Organization Structure
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SAP PP 7 To perform Production Planning and Control activities, SAP PP is closely integrated with other SAP ERP modules: SAP Sales and Distribution (SD), SAP Material Management (MM), Quality Management, Finance Accounting, and Project System. You can find a list of the following activities from Production Planning that are related to other SAP modules and integration with other modules. SAP PP and SAP MM This involves movement of goods, auto goods receipt. It includes creating a reservation for Production Order/Planning. Raising purchase orders with MRP Run. Quotations and Vendor selection. SAP PP and SAP SD This is used to check the availability of material for production order. To perform MRP Run, Requirement Types. Bill of Material components and operation. SAP PP and SAP FICO Updating price in material master data. Defining activity type in the cost center. Assigning activity type to work center. Cost Estimation. Production cost controlling Posting accounting activities related to goods movement, material request, etc. SAP PP and Project System Assigning planning activities to WBS in the Project. Running Material requirement planning at Project level (MD51). The procured material attached to WBS are reserved as project stock against the particular project. The component attached to the network are planned at the plant level and are reserved as plant stock. SAP PP and Quality Management Inspection Type 03 for discrete and repetitive manufacturing. Inspection Type 04 for both discrete and repetitive manufacturing. 4. SAP PP ─ Integration with Other Modules
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SAP PP 8 Master data contains the main detailed objects in SAP Production Planning module. In SAP PP, main objects are Bill of Materials, material master, routing, and work center. Master data contains the key properties of these objects such as production order, material type, planning requirements, goods issue, and goods receipt. Following are the types of master data that exists in PP: Bill of Materials Bill of materials master data is related to material requirement planning and provides the list of components to produce the product. To produce a product with different variants, you can create super Bills of Material that has a list of components to manufacture different variants of a product. Selection of component depends on the details mentioned in the planning order. You can create up to 99 Bills of Material. For Bills of Material master, use T-Code: CS01 or go to Logistics -> Production -> Master Data -> Bills of Material -> Bills of Material -> Material BOM -> Create 5. SAP PP - Master Data
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SAP PP 9 Select the following details: Material Plant BOM usage (usage 1 is production) Material Master Material master contains information related to different material types like finished product, raw material. Material master can be used for identifying a product, purchase material, goods issue or good receipt, MRP, and production confirmation. For Material master data, use T-code: MM01 or go to Logistics -> Production -> Master Data -> Material Master -> Material -> Create (General) -> immediately
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SAP PP 10 Enter the following details: Industry Sector Material Type Work Center Work center consists of master data related to routing of products. It contains data related to scheduling, capacity planning, and production costing. For work center, use T-code: CR01 or go to Logistics -> Production -> Master Data -> Work Centers -> Work Center -> Create
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SAP PP 11 Enter the following details: Work center name Plant name where work center is located Select Work Center Category and click the tick mark.
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SAP PP 12 Routing Routing defines the sequence of activities performed at the work center. Routing plays an important role in calculating production cost, machine time, and labor time. For Routing Master data, use T-Code: CA01 or go to Logistics -> Production -> Master Data -> Routings -> Routing -> Standard Routing -> Create Enter the following details: Material Plant Click the tick mark.
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SAP PP 13 Bill of Materials master data is related to material requirement planning and provides the list of components to produce the product. To produce a product with different variants, you can create super Bill of Materials that has a list of components to manufacture different variants of a product. The selection of component depends on the details mentioned in the planning order. Characteristics of BOM You can create single level or multiple level Bill of Materials. BOM type depends on the size, validity dates, and production method. You can create up to 99 Bill of Materials as per the material type. You can use material Bill of material for the material available in PP module and equipment Bill of Material is used in Plant Maintenance module. As mentioned you can create super BOM for different variants of a product. How to Create BOM? Use T-Code: CS01 or go to Logistics -> Production -> Master Data -> Bills of Material - > Bill of Material -> Material BOM -> Create Select the following details: 6. SAP PP ─ Bill of Materials
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SAP PP 14 Material Plant BOM usage (usage 1 is production) By default, it takes the current date as Valid from. You can select the date as per your requirement. Click the tick mark at the top of the screen. In the next window, enter Item category ‘L’. L shows the stock item and N shows nonstock item. Enter the following details: Component name Quantity. Few of the fields it will automatically fill up. Click the tick mark at the top of the screen as shown in the following screenshot.
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