Procurement Type (Plant Specific):
Procurement type indicator defines how the material is procured. The following
procurements types are possible
E = material is produced in-house, F = material is procured externally, X = material
can be both produced in-house and procured externally X (to be used as an
exception)
E.g. A material in Plant A will have this field as “E” (being produced in-house), where
as the same material in Plant B will have “F” if it is being externally procured.
You can not change the configuration for this field.
Special Procurement Type (at Plant level):
Special procurement type is used for allocating a material for special procurements
functions such as:
Withdrawal from another plant:
For manufacturing a product in Plant 0001, you can withdraw a component directly
from Plant 0002 (called a planning plant or the issuing plant). Dependent
requirements for these components are directly created in the issuing plant.
You can use withdrawal from alternative plant for both components produced in-
house and procured externally. A special procurement key is defined for both
procedures and the issuing plant is entered there. This special procurement key is
assigned to that component which is to be withdrawn from the plant 0002.
Dependent requirements for the component is created in plant 0001 as well as plant
0002 and when the planned order for manufacturing is converted to a production
order these dependent requirements are converted to dependent reservations in
both the plants.
MRP will show the dependent requirements with an MRP element called as
“Withdrawal from alternate Plant”
Production in alternate plant:
The planning of the product is carried out in the planning plant but it is actually
produced in the production plant. The product’s BOM is created in the production
plant.
The special procurement key has to be created in configuration.
The special procurement key has to be assigned to the assembly’s material master
of the planning plant (MRP 2 view).
Planned Stock transfer
Values predefined are used to identify the unique route from the requesting to the
supplying plant in the same company code (which will be used for the Stock
transport orders between two plants)
It should be noted that the Special procurement type of this category has to be
entered for the material in the requesting or demanding plant.
In Customizing, when you would create a special procurement type for the
requesting plant, you would have to enter “U” for the fields – Special Procurement
and enter the supplying plant in the plant field.
Planned stock transfers are MRP driven. A Shortage in receiving plant creates a
Stock Transport requisition or planned order in the receiving plant with a Purchase
requisition raised on the Supplying plant for release of these materials to the
demanding plant for the requirement date.
Example – Z1 is the Special Procurement type predefined for materials requested by
plant X from plant Y (Plant Y Plant X).
This value Z1 is maintained for the material in the requesting or demanding plant and
not in the Supplying Plant.
Phantom Item:
If a material is to be identified as the Phantom material, you have to enter a standard
special procurement type – “50” in the material master of the plant where the
material is defined a Phantom.
Direct production (for Collective order processing)
Definition:
In direct production scenario, the whole assembly is collectively produced and the
cost of production is collectively calculated and booked on the highest level order.
Along with cost of production the scheduling is also carried out jointly for all the
products in the hierarchy.
All the levels are connected to each other in a multi level collective order.
Restrictions:
a) Use is restricted to Made to Order Production.
b) Special Procurement key configuration:
In Customizing, the system creates a special procurement key for direct production
as standard. The special procurement key contains the procurement type E for in-
house production and the direct production field is selected.
You can create a further special procurement key by setting the special procurement
type P for Production in alternative plant as well as entering the production plant in
addition to making the direct production settings. The settings work in addition to
each other and do not block each other. This is how you create a multi-plant
collective order.
c) Assigning of SPK to the Materials:
Assign the special procurement key – 52, for direct production in the MRP 2 of the
component.
You can restrict the use of the Collective design of direct production to a certain
BOM. To achieve this enter this key for the BOM items in the MRP data area.
d) Order type Configuration:
In order type configuration (Customizing for Shop Floor Control, by choosing Master
data –>Order –>Define Order Types) you can use the indicator “Coll.ord.process” to
determine how costs are to be settled in the collective order.
Also, if the indicator “Collective order with goods movements” is set, then the goods
receipts and goods issues between assemblies happen automatically. On Production
of the Lower level subassemblies, the goods receipt is created and the same is
automatically goods issued to the higher level order.
e) Planned order in direct production:
Planned orders for each level is created in the system and names them as “Planned
orders for direct production”. When you convert the planned order in to production
order for higher level all the dependent planned orders are also converted in to
production.
Every planned order for direct production contains the number of the superior
planned order as well as the number of the leading planned order.
Behavior of costs:
The confirmation of yield in the subordinate order has the result that costs are
credited to the subordinate order and costs are debited from the superior order.
Goods receipt with reference to the subordinate order would therefore lead to costs
being debited twice from the superior order.