SAP AG 1

SAP AG 2005
SAP f or Mi l l Pr oduc t s
PP Capabi l i t i es
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SAP AG 2006
PP Func t i ons
Underdelivery Tolerance
Fast data entry in production order
Order combination
Process batch
Advanced Production Planning (with APO)
Configurable Production Order for Material Variants
Production Resources and Tools (PRT) Planning
Multiple Output Planning (MOP)
Trim Optimization Interface (TOI)
Generation of requirements from blocks
Batch Pegging Information
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Under del i ver y Tol er anc e
BUSI NESS BACKGROUND
In make-to-order production, under- or overdelivery
is usual for material handled in pieces/batches
If remaining quantity is within the underdelivery
tolerance of the sales order item, further planned
orders or purchase requisitions should not be
created in MRP
SOLUTI ON
For all the materials in the individual customer
segment (including multi-level) for which the
underdelivery tolerance indicator is maintained, the
system checks in MRP whether the open
requirement quantity is within the underdelivery
tolerance. If so, the system does not create another
procurement element for this sales order item.
Production of dimensional products often produces a variance compared to the exact volume ordered. It is
not acceptable to have outstanding production or planned orders for minor volume variances.
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5
0
0

T
O
Sales Order
Final Confirmation
Quantity: 495 TO
Yes
No further
Planned Order
Planned Order
5 TO
No
Production
Order
Quantity
500 TO
MTO
Quantity within
Tolerance?
MRP
Under del i ver y Tol er anc e : Pr oc ess
MTO: Make to Order
Customizing:
you need to define for the lot-size, whether the tolerance should be taken into account or not
Tolerance:
the tolerance is related to the sales unit of measure
the percentage is taken from either the
- info record customer-material
- or the sales or item
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The system checks the underdelivery tolerance at all
levels of individual customer segments (MTO)
The underdelivery tolerance is always checked in the
base unit of measure
The system displays exception message 27 in the
current stock/requirements list for the material as MRP
checks against underdelivery tolerance
It is not possible to have a partial lot quantity less than
or equal to the quantity of the underdelivery tolerance
Delivered quantity outside the underdelivery tolerance:
the additional planned order is created for the total
quantity still to be delivered
Under del i ver y Tol er anc e
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PREREQUI SI TES
An underdelivery tolerance must be specified in the
sales order item
Manually or
Copied out of customer/material info record
Customize the lot-size procedure to take underdelivery
tolerance into account
Make-To-Order production
Under del i ver y Tol er anc e
Customizing setting : Production > MRP >Planning >Lot-size calculation >Define Lot-size procedures
or:
Materials Management > Consumption-Based planning >Planning >Lot-size calculation >Define Lot-
size procedures
Customer/Material Info Record
Logistics >Sales and Distribution >Master Data >Agreements >Customer-Material Information >...
Find the under-delivery tolerance in the sales order item detail screen, under tap strip: Shipping
The lot-size is determined in the material master record, mrp screen 1.
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Fast Dat a Ent r y Pr oduc t i on Or der s
BUSI NESS BACKGROUND
Easy and fast entry of characteristics is required
along the supply chain
Often a material to be manufactured has similar
characteristics to the materials from which it is
manufactured
SOLUTI ON
Entry of characteristics and item data on one line in
item overview
Display variants to define sets of characteristics
Maintenance of up to 10 characteristics per item in
one line
Characteristic propagation from components to
items
characteristics on item overview level are also available in business transactions:
Production order
Production order Confirmation
Purchasing
Goods receipt
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Pr oduc t i on Or der - Fast Dat a Ent r y
Characteristic
valuation display
and maintenance
Characteristic propagation from
component:
automatic or manual
from material variant or batch
Often a material to be manufactured has similar characteristics to the materials from which it is
manufactured. You can therefore inherit the characteristic value assignments of components to order
items.
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Or der Combi nat i on
BUSI NESS BACKGROUND
In the mill industry, different products may go
through common process steps. It is desirable to
group and execute them together. This optimizes
resource usage and reduces order handling for the
user.
SOLUTI ON
Common operation sequences in different orders
can be combined in one production order.
Combination can be for selected operations (except
process orders) or entire orders.
Operations to be combined must have same base
unit of measure and no gaps in between.
The combination steps are: selection, combination
and scheduling.
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Or der Combi nat i on - Pr oc ess
User-definable selection and combination
Order selection
Standard selection
Order preselection
Manual selection
Automatic selection
Customer-specific
selection
Customer specific
selection and
display
User Exit
Order combination
Combined order creation
& Original order update
Compare operations
Edit components
Order confirmation
Cost Distribution
Quantity Distribution
Original order conversion
Combined order processing:
add original order
change original order
remove original order
change combined order
Selected
orders
Production
Order
Sales Order
Planned
Order
- The standard selection procedure consists of the following steps:
- Pre-selection including characteristics selection if necessary
- Manual selection
- Automatic selection using a customer exit
- If you do not want to use the standard order selection, you can use a program to include your own selection
algorithm. This program can perform a customer-specific selection to determine the original orders for order
combination.
The order combination function allows you to combine the sequences of identical operations in a consolidated
production order. You can combine the following orders:
Sales orders
Planned orders
Production orders
It is always the production order that is used for the actual combination. The combination can include individual
operations or entire orders. For this reason, if you are combining sales orders, production orders are created, and if
you are combining planned orders, they are converted to production orders.
Combination
Check against restrictions (see e.g. IMP 100)
Creation of combined order
Reduction of original orders means that there are no longer capacity requirements in the original orders and
components in the original orders are no longer taken into account during MRP run.
Distribution: Costs and Quantities in the combined order will be distributed to the original orders.
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After
Combination
Before
Combination
Combi ned Or der Sc hedul i ng
Backwards scheduling of combined order
Operation
10a
Operation
20
Operation
30
Operation
30
Operation
10b
Order a
Order b
Combined order
Operation
40a
Operation
40b
Operation
20
Operation
30
Operation
20
Order b
Order a
Operation
40a
Operation
40b
Order b
Order a
Operation
10a
Operation
10b
Search for earliest end date of the last operation to be combined. Used as the finish date of the combined
order.
Backwards scheduling of all objects to be combined.
Backwards scheduling of all operations of the original orders to be finished before combination.
Schedule all operations of the original orders to be executed after the combination.
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BUSI NESS BACKGROUND
Original batches can not be created for order combinations
Genealogy of the orders should be possible also during order
combinations
SOLUTI ON
An original batch can be applied for an order combination
Original order 1
Order combination
Stock batch
Original order 2
Stock batch
Sales order /
Delivery
Sales order /
Delivery
Charac-
teristics
Original batch
with
characteristics
Charac-
teristics
Batch determination Batch determination
Or der Combi nat i on w i t h Or i gi nal Bat c h Func t i onal i t y
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Or der Combi nat i on
LI MI TATI ONS
In-house production only
Combination of collective orders, multiple item orders
and MOP orders not supported
Combination of operations that contain co-products are
not supported
An order can be combined only once
Process orders can be combined only on order level
Combination of orders with trigger points not supported
For order execution only. Planning in APO not
supported
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Pr oc ess Bat c h
BUSI NESS BACKGROUND
Identification of single units during production
Recording of characteristics during production
process
Support of batch / unit tracking
Copy of production characteristics to inventory
batches
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Pr oc ess Bat c h
SOLUTI ON
Definition of process batches
single units / lots / batches
Recording of characteristics for process batches
target / actual comparison
Handling during production process
merge / split
History
n:m batch usage / original batch
Batch classification of inventory batches using recorded data
from
process batch / original batch
A process batch is like a virtual batch to store information (no inventory data is created; the batch master
serves as the information store).
Process batch management is integrated in the transaction for entering time tickets for production orders
(transaction code: CO11N). Process batch functionality could not be managed outside of this transaction.
Therefore process batches are always linked to a production order.
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Pr oc ess Bat c h Sc enar i o
Inventory
Order
Order
Inventory
Assign
to order item
Batch 25/1 Batch 25/2
Width: 26 inch
Length: 36 inch
Width: 26 inch
Length: 36 inch
Width: 26 inch
Surface:
Length: 72 inch
Width: 26 inch
Surface: coated
Length: 72 inch
Width: 26 inch
Surface: coated
Length: 36 inch
Width: 26 inch
Surface: coated
Length: 36 inch
Width: 26 inch
Length: 72 inch
Inventory batch
Batch 4711
Goods issue
Production Order
Op. 10 coating
Op. 20 shearing
Process batch
PB 25
Create with
reference
Op. 10
coating
Op. 20
shearing
Process batches
Split
PB 25/2
PB 25/1
Goods receipt
Inventory batches
The process batch is created in this example with reference to the component batches. This allows the
copy of characteristic values from the component batch to the process batch.
The goods issue does not need to be posted before the first process batches are created. Characteristic copy
from component batches is independent from goods issue.
During the confirmation additional process data can be stored through valuation of characteristics.
It is possible to split a process batch into two or more succeeding process batches (later you can merge
them again).
Process data from each operation can be captured at each operation in the process batch rather than only at
goods receipt. This information could be transferred to the finished batch by creating a reference to an
order item or by defining an original batch.
The relationship of the component batches to the finished batches can be n:m (through merging and
splitting).
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Pr oc ess Bat c h
PREREQUI SI TES
Material must be batch-managed
Batch classification needed for recording of characteristics
during production
Original batch indicator must be set for the material
LI MI TATI ONS
Only for production orders, not for process orders (PP-PI)
No QM functionality for process batches
Process batches not valuated (for CO)
Customizing settings
- Single Screen Entry (Operation): Add PB-Detail Areas
- User profile for parameter CORUPROF
- Order type-dependent parameters: Allow GR for order item
- (Batch Classification for Goods Movement: Maintain Copy characteristics)
Single Screen Entry: IMG > Production > Shop Floor Control > Operations > Confirmation > Single
Screen Entry > Define Single Screen Entry
Order type-dependent parameters: IMG > Production > Shop Floor Control > Master Data > Order >
Define order type-dependent parameters: Detail Tab strip Implementation
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PP Func t i ons
Underdelivery Tolerance
Fast data entry in production order
Order combination
Process batch
Advanced Production Planning (with APO)
Configurable Production Order for Material Variants
Production Resources and Tools (PRT) Planning
MOP
TOI
Generation of requirements from blocks
Batch Pegging Information
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BUSI NESS BACKGROUND
Make-to-stock production is required for ordered
products, where only some characteristics differ
SOLUTI ON
Creation of make-to-stock production orders for
material variants/configurable products, whose
valuation was changed in sales order
Entry of specification (configuration) for MTS item
in sales order
Configuration in production order is allowed for
make-to-stock (MTS)
Advanced Planner & Optimizer (SAP APO) plans
and assigns material (pegging) based on
characteristics
No sales order reference (make-to-order) is
necessary in production order
Conf i gur at i on i n Mak e-To-St oc k Envi r onment
The modification to the item category and requirements class in SD customizing allows entry of
characteristic values in a MTS sales order. Without APO 4.0 this means that the characteristic values are
not passed to production during MRP and therefore it is useful for batch determination and printing of
documents. However, with APO 4.0 there is now the possibility to have the characteristic values passed to
APO where materials are assigned and pegged based on the characteristics. The values are then included
in the planned order in APO and passed to the production order that is created in R/3.
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Conf i gur at i on i n Mak e-To-St oc k Envi r onment
PREREQUI SI TES
Material is batch managed
Changed characteristics are relevant for pricing,
batch determination and inventory batches, but
not relevant for costing
Implementation of IS Mill Products and SAP
Advanced Planner & Optimizer (APO)
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Conf i gur abl e Pr oduc t i on t o St oc k Mak e t o St oc k
Customer Order
Material Specification
for MTS-item
Planned Order APO
Further Specification
for MTS-item
Production Order R/3
Further Specification
for MTS-item
Goods
Receipt
of MTS item
(batch)
Entry of specifications (configuration) for MTS item in Sales Order
Advanced Planner & Optimizer (SAP APO) plans and assigns
material (pegging) based on characteristics
Configuration in a production order is allowed for Make to Stock (MTS)
No sales order reference (Make to Order) necessary in production order
Prerequisites
Implementation of IS-Mill Products add on to R/3
Product is planned in SAP Advanced Planner & Optimizer (APO)
Product is batch-managed
Changed characteristics are not relevant to costing
Support specification for MTS Stock Itemin customer order and production
Must be planned in APO because planning on characteristic level is possible, MRP in R/3 works only
with the material master level.
Example remaining quantity from a cutting process. This can be a configurable material that can be
configured as a line item in the production order but R/3 cannot use this material in a MTS scenario.
However, APO can use this material to assign it to a sales order in an ATP check.
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Pr oduc t i on Resour c e/Tool (PRT) Pl anni ng
BUSI NESS BACKGROUND
In Mill industries expensive special tools are often
needed for production, e.g. a roller or a pan. These
tools
can be used for several production runs
have to be maintained or replaced after a certain
usage
have to be considered for production planning
are often available as a group of similar tools
SOLUTI ON
The tools are maintained using the standard PRT
functionality
Similar/replaceable tools are grouped as a pool
Pool is assigned to a planned/production order,
replacement by the physically used tool close to
start of production
Capacity check for production based on PRT
availability (with APO)
Situation:
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PRT - Pr oc ess i n a Mak e t o Or der Sc enar i o
Sales Order
Check with
PRT: Pool X
Machine: 11
Pool X
Machine 11
time
intended
end date
Capacity situation
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PRT - Pr oc ess i n a Mak e t o Or der Sc enar i o
Sales Order
Check with
PRT: Pool X
Machine: 11
Prod. Order
Machine 11
Pool X
PRT1 PRT2 PRT3
Pool X
Machine 11
time
intended
end date
confirmed
end date
Close to production start:
Replacement of Pool X
by a physical PRT
time
Pool X
PRT 1
PRT 2
PRT 3
Capacity situation
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PRT - Pr oc ess i n a Mak e t o Or der Sc enar i o
Sales Order
Check with
PRT: Pool X
Machine: 11
Prod. Order
Machine 11
Pool X
PRT1 PRT2 PRT3
Pool X
Machine 11
time
intended
end date
confirmed
end date
Close to production start:
Replacement of Pool X
by a physical PRT
time
Pool X
PRT 1
PRT 2
PRT 3
POOL X
Capacity situation
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PRT - Pr oc ess i n a Mak e t o Or der Sc enar i o
Sales Order
Check with
PRT: Pool X
Machine: 11
Prod. Order
Machine 11
Pool X
Pool X
Machine 11
time
intended
end date
confirmed
end date
Close to production start:
Replacement of Pool X
by a physical PRT
time
Pool X
PRT 1
PRT 2
PRT 3
Capacity situation
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PRT - Pr oc ess i n a Mak e t o Or der Sc enar i o
Sales Order
Check with
PRT: Pool X
Machine: 11
Prod. Order
Machine 11
Pool X
Pool X
Machine 11
time
intended
end date
confirmed
end date
Prod. Order
Machine 11
PRT 2
Close to production start:
Replacement of Pool X
by a physical PRT
time
Pool X
PRT 1
PRT 2
PRT 3
Production
Capacity situation
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PRT - Busi ness Val ue and Pr er equi si t es
BUSI NESS VALUE
Optimal utilization of PRT
Increased transparency and availability of PRTs
High flexibility
PREREQUI SI TES
Releases needed for enhanced PRT functionality:
DIMP 4.71
Plug-In 2003.1
APO: no specific release needed
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PRT - R/3 Set up
R/3 Setup:
PRT maintained as equipment
Capacity data maintained as work center data based on
Factory calendar
Operating time
Costs
Number of single capacities (only for pools)
Capacity assigned to equipment
PRT (equipment) is assigned to an operation
Alternative routing must be setup to enable alternative PRT(-pool)
selection in APO (recommends note 576492)
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PRT - APO Set up
APO Setup:
Resource represents work center of R/3
Via the R/3 Plug-In the sub operation of R/3 is converted to an
usual
APO operation
use of alternative mode to select another PRT(-pool) is possible if
alternative routing is setup in R/3 (recommends note 576492)
=> Standard resource planning of APO can be used
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Cut rolls
Winding rolls
Jumbo
BUSI NESS BACKGROUND
Mill industry products are typically variants produced by cutting base materials.
Desirable to work on existing stock of input materials to meet customer requirements.
The production steps and off cuts must be configurable around the inputs found.
Different from normal production planning where the demand defines the production.
Sales Order
1. What existing inputs can be
used?
2. What must be done with them?
3. What are the additional outputs
(remainders)?
Multiple Output
Planning
Mul t i pl e Out put Pl anni ng (MOP)
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Winding rolls
order
Sales order
Without MOP
Jumbo
1m x 200m
1 ton
order
Standard Jumbo
4m x 5000m
8 tons
Standard Jumbo
4m x 5000m
1.1 ton
Existing Jumbo
3m x 3000m
4 tons
Additional order
generated for input
instead of using
existing stock
SOLUTI ON
Customer definable search for suitable existing material
Production steps and off cuts are configured around the inputs found.
Mul t i pl e Out put Pl anni ng
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Winding rolls
order
Sales order
Without MOP
Jumbo
1m x 200m
1 ton
order
Standard Jumbo
4m x 5000m
8 tons
Standard Jumbo
4m x 5000m
1.1 ton
Sales order
With MOP
1m x 200m
1 ton
Existing Jumbo
3m x 3000m
4 tons
MOP
order
Off cut
SOLUTI ON
Customer definable search for suitable existing material
Production steps and off cuts are configured around the inputs found.
Mul t i pl e Out put Pl anni ng
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Definable
Off cuts
User definable off cuts
Cut Roll
Jumbo
Winder
Roll
Order
Customer Order
Order / Stock
Stock
Upstream search for components
Stock
ATP
S
u
p
p
l
y
Downstream orders generated based on input
Mul t i pl e Out put Pl anni ng
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2 main MOP functionalities:
Multiple BOM level search:
stock or orders
of input materials
Bottom-up characteristics
propagation:
input to output product
Enables:
Calculation of off cuts (quantity, dimension)
Creation of corresponding downstream orders
MOP considers customer requirements and material stocks for order generation
Mul t i pl e Out put Pl anni ng St r uc t ur e
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Sales order
Cut rolls
Winding rolls
Jumbos
Enables existing materials in stocks or production to be used for requirements
Scope and results defined by user: e.g. smallest rolls first, oldest rolls first, etc
order
MOP
order
MOP
order
MOP
order
Oldest roll first
MOP St r uc t ur e - Mul t i pl e BOM Level Sear c h
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Offcut calculation,
cut optimization
(Macros, customer logic)
Characteristics
PPM
Input J
Characteristics: eg area, width
Order creation based on input characteristics
Requirement A
Activity
Activity
Plan Rules: mode,
operation selection
Characteristics
Off cut B
Planning parameters:
duration, resource load
Characteristics
MOP St r uc t ur e - Bot t om-Up Pr opagat i on
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MOP
Order 1
A1
Extends existing MOP order for additional single requirement needing same input
A2
Single
order
Off cut
Sales
Order
Cut rolls
Jumbo
A1
MOP
Order 2
A1 A2
A2
Single
order
Sales
Order
A1
New Offcut
Enhanc ed MOP - Si ngl e Requi r ement Combi nat i on
If offcut of existing MOP order is selected for incoming sales order, a second MOP order is not created.
The requirement is instead combined into the the existing MOP order.
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MOP - Busi ness Val ue and Pr er equi si t es
BUSI NESS VALUE
Reduced inventory due to more accurate planning
Increased customer service
High flexibility
PREREQUI SI TES
SAP SCM 4.0
SAP R/3 DIMP 4.71
SAP R/3 Plug-in 2003.1
Only working with PP (not with PP-PI)
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Tr i m Opt i mi zat i on I nt er f ac e
BUSI NESS BACKGROUND
Trim Optimization is the task to combine demands for products with
various attributes so that they can get cut in an optimal way from an
input batch (roll, jumbo, reel, coil)
Trim optimization is a planning task. Significant cost reduction possible
Heterogeneous system landscape; different systems already in place
Trim optimization is not a paper specific requirement (Metal service
centers, foil and textile production)
SOLUTI ON
Open interface to link 3rd party trim optimization systems to APO
Consistent representation of a trim sheet along the process
Generic scenarios and implementation
Customer order
1
Customer order
2
Customer order
3
Trim optimization systems are today normally part of shop floor planning and execution systems.
Therefore the optimization is done in a short term horizon with no or less feedback into the planning level.
By this it is not possible to get optimal plans along the planning cycle.
In order to improve the quality of the production plan and consider costs on mill and cross-mill level it is
better to do trim optimization as part of the overall production planning. Because production planning is
done in APO, trim optimization needs to be done in APO or with APO as well.
The result of the trim optimization is a planning object called trim sheet. This object contains all the
information necessary to setup and carry out the cutting process on the shop floor. Besides the open
interface in APO, the other part of the solution is the representation and execution of the trim sheet.
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The Tr i m Opt i mi zat i on Pr obl em
Cutting
1
Cutting
2
Reels from Paper Machine
1
2
3
4
5
A B
Trim Loss
Objective:
minimize trim
loss
Constraints:
Run length, wind direction,
tolerances, min/max width,..
Customer orders:
Cut Rolls(length, width, Core Type, )
Objective:
reduce number
of knife changes
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The Tr i m Opt i mi zat i on Pr obl em
Cutting
1
Cutting
2
Reels from Paper Machine
1
2
3
4
5
A B
Trim Loss
Objective:
minimize trim
loss
Constraints:
Run length, wind direction,
tolerances, min/max width,..
Customer orders:
Cut Rolls(length, width, Core Type, )
Objective:
reduce number
of knife changes
Find an optimal way to cut rolls/
sheets from reels considering
customer or process specific
constraints.
Find an optimal way to cut rolls/
sheets from reels considering
customer or process specific
constraints.
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Tr i m Opt i mi zat i on I nt er f ac e - Sol ut i on
4711/10 4711/20
4711/10
4711/10
0815/10
0815/10
911/40 911/40
911/40 911/40
4715/10
4715/10
4711/20
4711/20
Optimal combination of
cutting operations to use
supply in the best way
Detailed description of each
product getting produced
on the winder
Detailed description of the
cutting sequence
Trim Sheet
Structure of a trim sheet not
known a priori
Number of patterns is a
result of the trim
optimization
Number of output nodes,
quantities and
characteristics are results of
the trim optimization
Template PPM and BAPI
10 20 30 40
...
...
Initial individual winder
orders replaced by trim
sheet
Several upstream and
down-stream orders
pegged to one trim sheet
order
Re-Planning and
rescheduling done by
standard PP/DS planning
Trim sheet order
Trim
1) A trim sheet consists of information about how to cut a jumbo reel or coil into rolls. The position of
each resulting roll across the width as well as along the length of the jumbo/coil is represented.
Additionally the off-cut, or scrap, or trim-loss is described. Also the link to the originating demand and the
dependent demands for the component material is part of the trim sheet.
Each roll coming out of a trim sheet has its own description (characteristics).
The sequence of cuts/rolls between two knife changes is called a pattern.
2) The problem in representing a trim sheet as an order is the fact that the number of patterns is not known
at the point of master data creation. Nor is it known the number of rolls in each pattern nor their
characteristics.
Therefore in APO a so called Template PPM has to be defined. The Template PPM must have as many
operations as the expected maximum number of patterns in a trim sheet is. In terms of output products
either only a configurable product must be assigned to the PPM or the configurable product as well as all
the possible product variants of this configurable product. These possible output products just need to be in
the BOM. There is no need to assign them to each operation.
By the interface an order is created based on the template PPM with as many operations as there are cut
patterns in the trim sheet. To each operation the actual products with their quantities, characteristics, and
eventually sales order assignment are linked.
3) In APO the initial cutting (winder) orders are replaced by one single trim sheet orders. The adjustment
of the plan is done using the normal PP/DS heuristics.
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Tr i m Opt i mi zat i on I nt er f ac e - Consi der at i ons
Usage of PPM and CDP in APO mandatory
PPM must contain the maximum possible number of cutting
operations (R/3 inbound is not able to manage new operations)
Changes on the trim sheet order are prohibited in APO. Changes in
R/3 are not really supported
PREREQUI SI TES:
SAP SCM 4.0
SAP R/3 DIMP 4.71
SAP R/3 Plug-in 2004.1
Only working with PP (not with PP-PI)
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Pi l ot Par t ner Gr eyc on
From a Greycon presentation
Worlds largest specialist in trim optimization and
associated scheduling problems in paper & related
industries
5M / 55 people
Corporate supplier to Kodak, International Paper
Other customers include Kappa, Mondi, Sappi, StoraEnso, St. Regis,
Westvaco,
Products
I-Plan (Forecasting etc.)
S-Plan (APS)
X-Trim (trim optimization package)
Re-Trim (Execution package)
The SAP Greycon development partnership covers only the usage of X-
Trim at the moment
Further co-operation for the integration of Re-Trim to R/3 possible
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Gener at i on of Requi r ement s f r om Bl oc k s
BUSI NESS BACKGROUND
Certain component materials in production need
to be planned on a mid to long term basis, before
customer orders are known (i.e. pulp in paper
industry, colors for paint shops)
Based on the block plan of the resource, it should
be possible to forecast the required components
SOLUTI ON
Assignment of a planning material/PPM to a
resource or individual blocks
Independent requirements generated out of the
blocks for these components
Requirements consumed by dependent
requirements from actual orders
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Gener at i on of Requi r ement s f r om Bl oc k s
APO
Re-plan component
materials if necessary
Block
Requirements
Product
Quantity
Characteristics
Generate block requirements
Plan component materials
based on block requirements
Planning
Planned
Order
Block planning:
Maintain blocks on resource
Material assignment
Material for requirement generation can be assigned at resource of
block level
Block requirement derived from PPM, block duration, and conversion
factor
Resource Blocks
Assigned
Plan
Consume block
requirements
Customer
Order entry
Customer
Order
ATP/CTP and multi level
production planning
Schedule operations
into blocks
Create dependent
requirements
Dependent
Requirements
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Gener at i on of Requi r ement s f r om Bl oc k s
Li mi t at i ons/ Consi der at i ons
One product assigned per block definition for requirement
generation. Where several plans are used in the same block
for production, the plan parameters must be similar with
respect to duration and quantities.
Resource downtimes not considered. Quantities derived from
block capacities.
Requirement consumption does not consider characteristics.
Components planned with this logic must be fully configured
variants or standard materials.
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Bat c h Peggi ng I nf or mat i on
BUSI NESS BACKGROUND
Handling of batches (stock units) is vital for
customers in Mill Industries
Material batches already assigned to orders
should not be available for other assignments
Production execution should take into account
the batch assignments made in planning
SOLUTI ON
Transfer of SAP R/3 Stock Assignments to SAP
APO
Stock/batch can be assigned in SAP R/3 manually or by means of batch split
i.e. delivery or production order
This stock is no longer available for planning in SAP APO and is assigned
accordingly (fixed pegging) to the requirements visible in SAP APO.
Transfer of SAP APO Pegging information to the
SAP R/3 System
Extensions in batch determination functionality to display APO pegging
information
In the SAP R/3 production/inventory management/delivery process a proposal
for stock/batches, which are pegged by planning in SAP APO, is possible
Before:
SAP R/3 allocations of batches to demand elements not available in SAP APO PP/DS
SAP APO Pegging information not available in SAP R/3 execution
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Bat c h Peggi ng I nf or mat i on
Functionality:
- read actual pegged batches and propose in batch determination
- reduce ATP-Quantity when pegged to a different requirement
Checking requirement different requirement
Batch #2 Batch #1
100 100
80 25
Actual Pegging: 80 of batch#1
available Quantity of batch#2: 75
Applications known so far:
Customer Order, Delivery, Production Order, Goods Movement
Def. Pegging
Procedure in Production Planning and Detailed Scheduling (SCM-APO-PPS) that establishes the
relationship between receipt elements and requirements elements of a product within a location. Using
pegging, the corresponding receipt elements are assigned to the requirements.
Two types of pegging are available:
Fixed pegging With fixed pegging the assignment of a receipt element to a requirements element
remains fixed during planning.
Dynamic pegging With dynamic pegging the assignment of receipt elements to requirements elements
can change depending on the planning situation.
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Bat c h Peggi ng I nf or mat i on
Example: batch determination in production order
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Bat c h Peggi ng I nf or mat i on
Pegging situation in APO:
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Bat c h Peggi ng I nf or mat i on
Batch selection screen in R/3:
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Bat c h Peggi ng I nf or mat i on
Batch selection screen in R/3:
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Bat c h Peggi ng I nf or mat i on
APO
ATP-
Check
R/3
Architecture:
Application (e.g. production order)
VB_BATCH_DETERMINATION
ATP-Check of single batches
Read pegging and return pegged quantity
to R/3
Store ATP-Results in SAPMP-Function group
Read pegging quantity in customer exit, SAP delivers
example coding
display Pegging quantity in batch selection screen
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Release Requirements:
SAP DIMP 4.71 or higher
SAP APO 4.0 or higher
Additional information
No additional RFC, ATP-Interface is used
modification free
- Call of SAPMP function module is made in an SAP-
internal BAdI
(Exit in Standard R/3 after APO-RFC, Implementation in
DIMP)
- Enhancement in batch selection screen was developed in
standard-R/3, switch to enhanced screen is done in
customer exit
- SAP delivers (DIMP) an example coding ready-to-use for
customers
APO-Enhancements done in standard-APO (enabled by
customizing)
Bat c h Peggi ng I nf or mat i on - Pr er equi si t es I
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For transfer pegging information to R/3
Customizing:
SAP Advanced Planning and Optimization -> Global Available-To-Promise ->
General settings -> Maintain Global Settings for the availability check -> Flag
Pegging information
Quantity proposal R/3 for batch determination
Logistics -> Central Functions -> Batch Management -> Batch Determination ->
Batch Search Strategy -> For production order
Adjusting ATP quantities
Customizing:
SAP Advanced Planning and Optimization -> Global Available-To-Promise ->
Product Availability Check -> Maintain Check Control -> Flag consider pegging
Bat c h Peggi ng I nf or mat i on - Pr er equi si t es I I
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When this function is used, the end-to-end consistency
of fixed pegging cannot be guaranteed.
Fixed pegging (manually fixed and also automatically
fixed) is lost in certain situations. However, if you use a
suitable planning heuristic (e.g.
/SAPAPO/EOGL_LENGTH_01), the system can
recalculate this information at any time.
Bat c h Peggi ng I nf or mat i on - Li mi t at i ons
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Copyr i ght 2006 SAP AG. Al l Ri ght s Reser ved
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