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Production Planning.

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Presentation on theme: "Production Planning."— Presentation transcript:

1 Production Planning

2 Work Centers for Fitter Snacker
Raw Material Warehouse (100) Mixer Form Bake Pack Finished Goods Warehouse (300) Snack Bar Line Production (200)

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

4 Navigating Material Master Views
Click on tabs to select Use direction arrows to scroll Use icon to get list

5 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

6 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

7 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

8 Documentation in Material Master
The SAP R/3 system documents all changes to the material master: Click for documentation

9 Documentation in Material Master

10 Master Data – Bill of Material
BOMs are represented as single-level relationships between a material and its components and sub-assemblies ## NRG–A (case) ## Dough NRG–A (lb) ## Oats ## Wheat Germ ## Cinnamon ## Nutmeg ## Cloves ## Honey (gal) ## Vit/Min Powder ## Carob Chips ## Raisins ## Canola BOM for NRG-A BOM for Dough NRG-A

11 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 20 10 30 40 50 60

12 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

13 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.

14 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

15 Status Management (part 1 of 2)
Status detail

16 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 Production Orders released today Planning Execution

17 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

18 Production Order Cycle Archiving & Order Request Deletion
1 Order Request 2 Order Creation 3 Availability Checks Machine Reservation 4 Order Release 5 6 Print Order 7 Download to PDC system 8 Material staging 9 Material withdrawal posting 10 Upload from 11 Variance Calculation Confirmation 12 WIP Determination 13 Goods Receipt 14 15 Order settlement 16 Archiving & Deletion Production Order Cycle

19 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

20 Bill of Material (BOM) The system selects the FIRST Valid BOM it finds
Validity can depend on: Date (engineering changes) Customer Serial number

21 Material Assignment Assigned via BOM: All materials assigned to
first operation Material Material Material OP 0010 0020 0030 0080 0090 …….. OP 0010 0020 0030 0080 0090 …….. Assigned via Routing: Materials can be assigned to specific operations Material Material Material

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