*_Availability Check & Transfer of Requirements_*

Availability check
1. Availability check is an integral part of the business process that determines
if the required delivery quantity can be met on a required delivery date. For
this purpose the system takes into account pre-delivery activities such as
scheduling for picking or packing times and the time taken to produce or
obtain the material. It also performs several background functions such as
Backorder processing, rescheduling and ATP quantities.

2. Backorder processing: processing of a sales order that has not been fully
confirmed or not confirmed at a certain delivery date.

3. Rescheduling: is a proposal of how – confirmed quantities already

assigned to a sales order can be reassigned to other sales orders that have a
higher priority.

4. Available to promise (ATP): is a process of checking the available

quantities of a material. The ATP quantity consists of warehouse stock +
planned receipts (incoming stock) – planned issues (outgoing stock). To
examine stock on hand (T-Code - CO09) proceed to logistics – sales &
distribution – sales – environment – availability overview.

5. Replenishment lead time (RLT): is the time taken for the material to
become available either internally (in house production) or externally (from a
vendor). The most important things to consider during an external
procurement are purchasing and MRP 2 (procurement) views of MMR where
the processing time for purchasing, planned delivery time and goods receipt
processing time are taken into account.
On the other hand internal procurement is based on in house production time
(MRP 2 view) goods receipt processing time or alternatively RLT time, which
is found on MRP 3 view. 6. RLT (Replenishment Lead Time) is the time taken
for the material to become available. RLT is only used when doing an ATP
check (Available To Promise). The value of RLT for a material is specified on
material master record.

7. There are three types of availability checks –

Check on basis of ATP quantities.

Check against product allocation.
Check against planning.

Configuring Availability check through Checking Groups –

1. The checking group + checking rule determine how the availability check is
to be performed.
2. The checking group determines whether and how the system checks the
stock availability and generates requirements for material planning. The
checking group defines what type of requirements will be passed on i.e.
summarized requirements (daily/weekly) or individual requirements for each
sales order.
3. The checking rule applies to how the availability check is to be carried out
at the transaction level. Note that you must define checking rules for each
individual application such as for production orders for example. In Sales and
Distribution, the checking rule is specified internally within the system and
cannot be changed.

4. The checking rule, in conjunction with the checking group, determines the
scope of the availability check for every business operation; that is, which
stocks, receipts and issues are to be included in the availability check and
whether the check is to be carried out with or without the replenishment lead
time.

5. Briefly explaining the above – checking group determines which type of

requirement to be passed on to MRP whether it be individual or summarized
and checking rule which is at the transaction level and can be configured
independently for each application module, determines which stocks, receipts
and issues to be taken into account. For performing an availability check
checking group has to work in conjunction with checking rule.

6. Advantages of individual processing over summarized processing –

Backorder processing is possible. You can access (MD04) order, line and
schedule line individually which gives a greater control on available stock and
requirements placed on stock. The system automatically uses individual
requirements in case of special stock items.

7. Required data for the Availability check to be carried out – The

Availability check must be switched on at the requirement class level. The
Availability check must be set at the schedule line level. A requirements type
must exist by which the requirements class can be found. A plant must be
defined in the sales order for each schedule line item (in other words plant
must be defined for every material in MMR). A checking group must be
defined in the material master record in the MRP3 screen in the availability
check field.

8. Configuring Availability check and defining Checking Groups –

Checking groups are introduced into the sales order based on the setting in
the material master record. SAP standard checking groups are 01 –
summarized requirements and 02 – individual requirements or you can create
your own by copying the standard ones. Total sales and total deliveries
columns are there to configure a checking rule to sum up requirements to post
to MRP either individually or by day or week. Block quantity required can be
set if you want several users to be able to process the material simultaneously
in different transactions without blocking each other. The no check indicator is
CHECKED when you DO NOT want the system to carry out ATP check.

9. Defining material block for other users – the block check box is an
indicator that enables you to block material master records of a particular
material during the availability check and restrict other users from accessing
same master record and reserve the material. If the block is not set, two users
can confirm the same material at the same time for two different orders, not
knowing if the stock is available or not. If you select this field, the material is
blocked during the availability check and other users cannot: a) Make changes
in the material master record. b) Create purchase orders for the material. C)
Create orders for the material.

10. Defining default values for checking groups - Checking groups are
introduced into the sales order based on the setting in the material master
record. However if there is no entry present in the material master record for
the checking group, a default value can be set here, depending on material
type and plant. This default value will be used by the system depending on the
material type mentioned in MMR and plant in sales order. If an entry exists,
this default value is over written by MMR.

11. Controlling Availability Check – in this section, you tell the system what
stock on hand and what inward and outward movements of stock it must take
into account when performing the availability check in addition to whether or
not to consider the replenishment lead time.
12. These settings are based on the checking group that is assigned to the
material master record and the checking rule that is predefined and assigned
to the sales and distribution transaction.

13. These settings carry out control both for sales order and delivery as well.
This is due to the fact that you may want to include specific stock or incoming
stock for the sales order, yet at the time of the delivery only include physical
stock on hand waiting to be shipped.

14. It is possible to indicate to the system that you would like the availability
check NOT TO CHECK the stock at the storage location level. This
indicator is used to set the scope of the availability check.

15. It is used to switch off the check at storage location level. You create a
reservation for a particular storage location. However, the scope of the
availability check is set in such a way as to exclude the storage location. In
this case, the system carries out the check at plant level only and does not
take the storage location into account that is specified in the reservation.

16. Should you not want the system to automatically check RLT, you may
indicate so here. RLT is the time taken for a material to become available. It is
only used when doing an ATP check and is taken from MMR.

17. Defining the elements in the availability check entirely depends on the
business needs, but a few tips are given under
– When controlling the Availability check at the time of the sales order, a
purchase requisition does not necessarily indicate by it is going to come into
the plant. A shipping notification on the other hand - a confirmed purchase
order – is a good indicator of receiving stock on a specified date. It is always
recommended not to select the shipping notifications for the delivery
requirements type as you may not actually receive the stock into plant or
warehouse for which you are creating a delivery.

*ATP* Types of Availability Check in Sales and Distribution Processing

There are three types of availability check:

_ Check on the basis of the ATP quantities
_ Check against product allocation
_ Check against planning
The following SD-specific control features need to be maintained in
Customizing:

_ Checking group The checking group controls whether the system is to

create individual or collective requirements in sales and shipping processing.
In addition, a material block for the availability check with transfer of
requirements can be set here. The checking group can also be used to
deactivate the availability check. This option was created especially for the
assembly order so that when the bill of material is exploded in the assembly
order, the individual components, if necessary, can be classified as non-
critical parts as far as procurement is concerned. The checking group
specifies in combination with the checking rule the scope of the availability
check. It is proposed in the material master record on the basis of the material
type and the plant, and copied into the sales and distribution documents.
_ Checking Rule You use the checking rule to control the scope of the
availability check for each transaction in sales and distribution. You also
specify whether the check should be carried out including or excluding
replenishment lead time. The individual checking rules define by transaction,
which stock and inward and outward movement of goods should be taken into
account for the availability check.
_ Schedule line category You can control with the schedule line category
whether an availability check and transfer of requirements should be carried
out in the sales documents. The possible settings for this at schedule line level
are dependent on the settings in the requirements class which is determined
from the requirements type of the material.
_ Delivery item category The delivery item category can be used to control
whether an availability check takes place in deliveries. Requirements type The
various requirements are identified by their requirements type. The
requirements type refers to the requirements class and its control features.
_ Requirements Class The requirements class contains all control features
for planning such as relevance for planning, requirements planning strategy
and requirements consumption strategy. In addition, it is specified at a global
level whether an availability check is to take place for the material in the sales
and distribution documents on the basis of the ATP quantity (ATP = available
to promise) and whether requirements are to be passed on. A finer degree of
control can be obtained for sales documents using the schedule line
category. Replenishment lead time is only included in the check performed on
the basis of the ATP quantity. Prerequisites An availability check can only be
carried out if the following prerequisites have been fulfilled: _ The control
elements described above for the availability check must be maintained in
Customizing for Sales and the relevant assignments made to the sales
transactions _ The availability check must be switched on at requirements
class level and - for the availability check in the sales documents - at schedule
line category level A requirements type must exist by which the requirements
class can be found _ A plant must be defined. It can either be proposed from
the customer or material master record or can be entered manually in the
document. _ A checking group must be defined in the material master record
on the Sales/plant data screen in the Availability check field Configuring
entries of the Availability Check IMG > SD > Basic fncs > Availability check
and TOR > Availability check with ATP logic or against Availability
check◊planning > Define checking groups You can use SAP std checking
groups of 01 for summarized reqts or 02 for daily reqts or u can create ur own.
The columns total sales and total deliveries are selection options whereby u
can configure a checking rule to sum up reqts to post to MRP either
individually or by day or week. Column 5, Block qty; set this block if u want
several users to be able to process the material simultaneously in different
transactions without blocking each other. The No Check indicator is used
when u want a material to not be relevant for an ATP check. Defining a
material block for other users. The Block checkbox is an indicator that enables
u to block the particular material from being checked for availability if it is
already being checked at the same time by another user. Defining the default
value for checking groups. However should no entry exist for the checking
group in the material master record, one can set a default value per material
type and plant. Controlling the availability check. In this section, u tell the
system what stock on hand and what inward and outward movements of stock
it must take into account when performing the availability check. These
settings are based on the checking group that is assigned to the material
master record and the checking rule that is predefined and assigned to the sd
transaction. The carry out control for the availability check must be maintained
for both the sales order and delivery.
TOR IMG > SD > Basic fncs > Availability check and TOR > TOR A line item
in the sales order creates a schedule line. The schedule lines in the sales
order transfer the requirements through to MRP. You can select the docs on
which you want the TOR to happen. For ex, not for quotations. The TOR aims
to ensure the ordered materials are available for the requested delivery date.
The TOR can be set for individual or for collective requirements master The
TOR is dependent on the following data:◊(materials sales/plant view). The
reqts type, reqts class, checking group and schedule line category. The
(material master◊reqts type and class are determined in the strategy group
MRP3) For TOR to be carried out, a few criteria need to be met: Plant
assigned to line item level, schedule line category should be switched on at
TOR, TOR must be switched on at the reqts class level, checking group must
be defined and allocated to the material master record (sales/plant view in the
availability check field) The reqts class is the controlling factor for the
availability check and the TOR for all sd types. Configuring the TOR: 1) Use
std 041 reqts class or copy and rename it. Use the indicators to select if this
reqts class must carry out an availability check and/or a TOR. 2) Define the
reqts types. A reqts type is allocated to a single reqts class and not vice versa.
It is based on the item category and the MRP type of the material. 3) Assign
the rqts type to the relevant item category in the sales order and the MRP type
found on the material master record. You can select an alternative search
strategy where u assign the reqts type to item category and MRP type. Can
select source as 0, 1 or 2. (1 = Item type and MRP type strategy). 4) The TOR
and Availability check can be selected/de-selected at the schedule line
category level. 5) Block qty confirmation in delivery blocks. This is used to
block the reservation of the TOR from MRP. 6) Maintain requirements for
TOR. Requirements can be used to determine that the TOR to MRP is not
carried out unless a number of conditions are met. Availability Overview =
CO09 > order qty, sd doc no, item no, Stock requirements list = MD04
item,◊requirements class. sd no or dly no, line schedule line placing the
demand Stock overview = MMBE > total stock per company, then plant
followed by storage location, and finally a breakdown per batch.

Transfer of requirments: for TOR to happen the folowing control elements

must be defined
1. requirmrent type.
2.requirement class.
3.checking group
4.schedule line category.

apart from the above the TOR must be switched on at 1.reqt class level.
2.schedule line level 3.checking group level. 4.plant must defined at the
document item level once order is raised the requirments are transfered from
order to MRP by TOR, various reqts are identified thru reqt type,
reqt type are identified in the system thru 1. strategy group--MRP1 --mmr
2.MRP group. 3.material type. 4. ITEM category +mrp type 5.item category
once reqt type is identified it points to reqt class. reqt class contains all the
control factors suchas planing strategy,consumption strategy etc basing on
the item category group+ mrp type-- schedule line categories are identified. if
it is relevant for availability check, then the system does ATP
CHECK(warehousestock+planned orders+production orders+confirmed
receipts+confirmed goods issues) and decides whether goods are availabile
on the requested delivered date of the customer, if not system does a
backward scheduling and confirms when material is available (materual
availability date), so if material is not available then system proposes 2 dates
1.customer delivery date 2.material availability date. for availability check to
happen the following pre-requistes must be there: 1.availability check must be
swithched on at the requirment class level 2.schedule line level itmust be
switched on 3.reqt type must be defined 4.checking group must be defined.
5.plant must be defined 6. the system takes by default checking group if not
defined as material type and plant. from SD the following componenets are
importants 1.checking group:defines whether indivual orcollective req are to
be passed 2.checking rule: defines scop of the check(what type of stock+with
or without RLT) 3.schedule line category: this fine tunes whether availability
check should be carried on at the sales document level or not. 4. delivery item
category. for config: SPRO--SALES&DIST---BASIC FUNCTIONS--
TOR&AVAILABILITY CHECK. In material master the below mentioned must
be defined also 1.strategy group. 2.scheduling margin key. 3.in house
production time. 4. RLT time. 5.MRP group