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Production Planning Overview

Vivek B G SAP

Development Support

Typical supply chain (simplest)

Production Planning process

Purpose of Planning

• How much?• When?• Produce / Purchase / perhaps both?• When do we actually to start?• What materials will be required?

Demand Management and MRP

Strategies

Types of Planning• Material Requirements Planning- MRP• Master Production scheduling - MPS(variant of MRP)• Consumption based Planning- CBS

MRP

SAP AG 1999

Planned ordersPurchase requisitionsProduction ordersPurchase orders

Plant stock/Storage location stockSales ordersPlnd ind requirements

currentcurrent

Stock/Requirements List and MRP List

PlanningPlanningrunrun

General structure

Ove

rvie

w T

ree

Variable header

MRPMRPelementselements

......

Stock/requirementslist

MRP list

Stock Requirement List

Steps in the MRP process

Net Requirements Calculation

Lot-Size Calculation

Procurement type

Scheduling

BOM Explosion

Net Requirements Calculation

Steps in the MRP process

Net Requirements Calculation

Lot-Size Calculation

Procurement type

Scheduling

BOM Explosion

Lot-Size Calculation

Steps in the MRP process

Net Requirements Calculation

Lot-Size Calculation

Procurement type

Scheduling

BOM Explosion

Procurement type

Steps in the MRP process

Net Requirements Calculation

Lot-Size Calculation

Procurement type

Scheduling

BOM Explosion

Basic scheduling: Backward

Multi-level Scheduling

Lead time Scheduling

Steps in the MRP process

Net Requirements Calculation

Lot-Size Calculation

Procurement type

Scheduling

BOM Explosion

BOM Selection

BOM Explosion

Selection by Order Quantity

Explosion According to Order Start Date

Routing Selection

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