SAP ERP Implementation Blueprint: Production Planning Module

Summary

SAP ERP Implementation focuses on the Production Planning (PP) module. It shows how to set up and manage production planning processes.

Purpose of Production Planning

Production planning in an SAP system supports managing the production of goods. A 'to-be' model for the process was created after an 'as-is' study.

Material Master and Components

Material Master includes the Bill of Material, Work Center, and Routing. The Bill of Material lists each component that goes into a product.

Production Planning Processes

Production planning includes demand management, MRP, and capacity planning. Production process execution links to the SAP process flow.

Standard Reports and Procedures

Standard reports help to view and manage the Bill of Material. Transaction codes allow long-term planning and MRP runs.

Key terms

Bill of Material

The Bill of Material lists each component that goes into a product for production planning.

Routing

A routing is a description of which operations must be carried out in which order to produce a material.

MRP

Material Requirements Planning (MRP) is a method for planning materials in production.

Work Center

A Work Center is where individual work steps are carried out, with planned times for operations.

Production Order

A Production Order is an instruction to produce a product or component in a specific quantity by a specific date.

MRP Controller

An MRP Controller decides whether materials can be procured from outside or if a purchase order is needed.

Questions this document helps with

• What is the purpose of MRP in production planning?
• How are the components of a product listed?
• What does a routing describe in production processes?

Summary written with AI from the document's text.