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 Deletion1
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