SAP PP Configuration Step by Step Guide

SAP Production Planning (PP) is a module that facilitates the planning and execution of production processes in manufacturing organizations. It helps organizations manage their production resources such as materials, machines, and personnel. This article provides a comprehensive guide on how to configure SAP PP step by step.

Introduction to SAP PP

SAP PP is a module of SAP ERP that deals with the planning and execution of production processes. It is an integral part of the logistics function of an organization. The module is designed to provide support for all the activities involved in the production process, including material requirements planning, capacity planning, shop floor control, and production order processing.

Step by Step Guide to SAP PP Configuration

Step 1: Define Production Planning Master Data

Before configuring SAP PP, it is essential to define the production planning master data. This includes defining the material master, work center, and routing. The material master contains information about the materials used in the production process, including the description, unit of measure, and storage location. The work center defines the machines and personnel used in the production process. The routing defines the sequence of operations required to produce the product.

Step 2: Configure Production Planning Parameters

The next step in configuring SAP PP is to set up the production planning parameters. This includes configuring the material requirements planning (MRP) settings, which determine when materials are required for production. The MRP settings also define how much of each material is required and when it is needed. Other production planning parameters to configure include capacity planning, shop floor control, and production order processing.

Step 3: Define Production Order Types

Production order types are used to define the different types of production orders used in the production process. This includes defining the order type, the order category, and the status profile. The order type determines the production process, such as make-to-order or make-to-stock. The order category defines the type of order, such as production order or process order. The status profile defines the different statuses of the production order, such as released, in process, or completed.

Step 4: Configure Production Scheduling Profile

The production scheduling profile is used to schedule the production process. This includes defining the lead time, scheduling type, and scheduling margin key. The lead time defines the time required to produce the product. The scheduling type determines the scheduling method used, such as forward scheduling or backward scheduling. The scheduling margin key defines the buffer time required between operations.

Step 5: Configure Capacity Planning

Capacity planning is used to determine the capacity required for the production process. This includes defining the work center capacity, capacity utilization, and capacity requirements planning. The work center capacity defines the maximum capacity of the work center. Capacity utilization determines how much of the available capacity is being used. Capacity requirements planning determines when additional capacity is required.

Step 6: Define Shop Floor Control

Shop floor control is used to manage the production process. This includes defining the production control profile, scheduling profile, and confirmation parameters. The production control profile defines the production control settings, such as the default values for the production order. The scheduling profile determines the scheduling method used. The confirmation parameters define the confirmation settings, such as the time required for confirmation.

Step 7: Configure Material Requirements Planning

Material requirements planning (MRP) is used to determine when materials are required for production. This includes defining the MRP controller, MRP group, and MRP area. The MRP controller is responsible for managing the MRP process. The MRP group is used to group materials with similar MRP settings. The MRP area is used to define the plant or storage location for MRP.

Step 8: Define the Bill of Materials

The bill of materials (BOM) is used to define the materials required for production. This includes defining the material components, the quantity required, and the alternative BOMs. The BOM also defines the item category, which determines how the material is used in the production process.

Step 9: Define the Routing

The routing is used to define the sequence of operations required to produce the product. This includes defining the work center, the operation sequence, and the operation details. The operation details include the machine time, labor time, and set up time required for each operation.

Step 10: Define the Production Version

The production version is used to define the specific parameters for a production run. This includes defining the BOM, routing, and other production parameters, such as the production quantity and start date. The production version is used to create a production order for the specific production run.

Step 11: Configure Capacity Evaluation

Capacity evaluation is used to determine the capacity required for the production process. This includes defining the capacity utilization, capacity requirements planning, and the available capacity. The capacity utilization determines how much of the available capacity is being used. The capacity requirements planning determines when additional capacity is required. The available capacity is the maximum capacity available for the production process.

Step 12: Define the Production Order

The production order is used to create a specific production run. This includes defining the production order type, the material required, the quantity, and the start date. The production order also includes the BOM, routing, and other production parameters.

Step 13: Configure the Order Release

The order release is used to release the production order for execution. This includes defining the order release strategy, which determines the conditions required for the order to be released. The order release also includes the order confirmation and the material withdrawal.

Step 14: Configure the Order Confirmation

The order confirmation is used to confirm the completion of the production order. This includes confirming the quantity produced, the material consumed, and the time required for production. The order confirmation also includes any variances between the planned and actual production.

Step 15: Define the Goods Receipt

The goods receipt is used to confirm the receipt of the finished product into inventory. This includes confirming the quantity received, the storage location, and any quality control checks required. The goods receipt also includes any variances between the planned and actual production.

Conclusion

SAP PP is a critical module for managing the production process in manufacturing organizations. Configuring SAP PP requires careful planning and attention to detail. The steps outlined in this article provide a comprehensive guide to configuring SAP PP step by step. By following these steps, organizations can ensure the efficient planning and execution of their production processes.