How do we know that the Organization is not a vendor organization in OPM?

Setup> Organization> Parameters

OPM Seeded Vision Organizations are PR, PR1, PR2, PR3, PR4
If the 'Manufacturing Partner Organization' checkbox is enabled, it means that the OPM
Organization is a Supplier/Vendor Organization. One organization will act as the main
OPM Organization while one acts as a Supplier/Vendor Organization.

If the supplier is responsible for packaging the item once they are produced, we will send the
finished goods to the supplier for packaging and we receive the packed item from the
supplier.
The finished product is transferred to the Supplier/Vendor Organization using IR/ISO.

How do we know that an Organization is a Process Manufacturing (OPM) or

Discrete Manufacturing (ODM) Organization?
In the above screenshot, there is a checkbox Process Manufacturing Enabled, if not
enabled, then it is a Discrete Manufacturing Organization. If enabled, then we can only have
discrete manufacturing but if Process Manufacturing is enabled, then we can do
Process Manufacturing as well as Discrete Manufacturing. No need to define separate
entities.

Requirement:
To produce shampoo we use Process manufacturing but to pack the shampoo we use
Discrete manufacturing.
We can maintain one Plant, we can produce and pack the shampoo. Same organization
acts as both Discrete and Process manufacturing.

One Cycle
Query Formula# 5110

Define Finished Goods

Inventory > Item> Master items
Item Master Organization is PR, Assigned to PR1

In Discrete Manufacturing the item is created but NOT available in BOM/WIP.

Reason
BOM Allowed but Built in WIP NOT Enabled.

Item Status attributes for Process Manufacturing:

1. Process Execution Enabled
2. Recipe Enabled
If NOT enabled, we will NOT be able to find the items in OPM.

Under Process Manufacturing Tab in Item Master

Yield Subinventory: Completion Subinventory/Finished Goods Subinventory
In Discrete Manufacturing there is a Supply Subinventory as shown below but there is NO
Completion Subinventory/Finished Goods Subinventory

UOM Concept in Process Manufacturing is very important:

Ingredients are
5213, 5214, 5215, 5216

The User Item Type is Raw

The Supply Subinventory is enabled for this Item

BYPRODUCT,
While manufacturing Strawberry jam, the fruit is grind into a PULP. PULP is a BYPRODUCT.
Item 5218 is a BYPRODUCT - Strawberry PULP
Recipe and Process Execution Enabled for the BYPRODUCT as well.

Here for the BYPRODUCT, we select the Yield Subinventory, since PULP will be transferred
from Shop Floor to Inventory.

Up until now we have defined the Finished Goods, Ingredients and the Byproduct.

With these items we have a define a BILL - List of items required to produce a Finished Item

In OPM instead of using the term BILL well use the term FORMULA

Define Formulas
Navigation: Formulator> Formulas
Query Formula for the Finished Item

The form design here in OPM (FORMULA) is different to Discrete Manufacturing (BILL)
Click on By-Products Tab
The By-Product is 5218 - Strawberry Pulp
Note below that, to produce 500 LBS of Strawberry Jam,

these are the ingredients required:

The By-Product is

Click on Ingredients tab

The BILL and FORMULA is almost the same.

Note the Packaging Checkbox in the Formula Header

If the checkbox for Packaging is NOT enabled, then we understand that this a formula for
the Finished item, otherwise the formula is created for Packaging.

Note here that for Packaging there is no need to implement Discrete Manufacturing.
There will be a separate Formula for Packaging.
Bottle, Bottle Seal, Bottle Cap, Bottle label etc.

Discrete manufacturing supply types :

Assembly Pull & Operation Pull - Automatic,
Push and Supplier - Manual,
Bulk, Phantom

Supply types in OPM is named Consumption

Process manufacturing Consumption types:

Automatic (similar to Assembly Pulll),
Manual(similar to Supplier & Push),
Incremental (similar to Bulk),
Automatic by Step(similar to Operation Pull) - In OPM Step means Operations

Contribute to Yield: Some items contributes to increase the volume of the Finished Goods,
Yes Contributes, No, does not contribute to volume of Finished Item.
Ex. Flavor doesnt add to the volume of the finished item.

For the Flavor ingredients, we select Contribute to Yield = No

Similarly Contribute to Step = No

Phantom:
In OPM, we define a Phantom Formula and assign it here. then it could be Manual or
Automatic. If NOT a Phantom then it is a Stockable Item. If you select Automatic or
Manual, then it is a Phantom Item and both the options are available.

In Discrete Manufacturing, to do an automatic completion into Subinventory, we have to

select a Completion Subinventory in the Routing and in the Move transaction select Radio
Button complete.

Same here in OPM,

For the By-Product also, the same happens

In DM, if I plan to product 100, 99% Ill get 100.

In OPM it may not be possible even with the same ingredients and the same proportions. We
cannot expect the same quality for the raw materials. Based on how we handle the waste,
the quantity may vary.

What we move to inventory is based on the Scale Type selected Proportional/Fixed

(always the quantity is what is defined in the formula). The Proportional is based on the
formula and the ingredients qty/quality in the formula.
 This can be selected only when Scaling allowed is selected in the Formula Header. If Scaling
is NOT allowed, then we have to maintain Fixed.

NEXT ..
Define Routing (DM):
To define Routing in DM, you need Resource, Dept and Operations

Define Routing (OPM):

To define Routing in PM, you need Resource, Activities and Operations

Define Resources

1. Generic Resource - resource defined in one plant can be used in other Plants (Organization's)
- Concept is not available in DM.
2. (Organizations) Plant Resource - Resource specific to the Plant
3. Alternate Resource- Can be used for machine and human resources

Define Activities
Define (Process) Operations

Define (Process) Routings - Decides Plant capacity and Resource Capacity

Process Engineer> Process Routings
Query the above Routing

Planned Loss: There could be a loss of 2% across the 500 LBS. - Expected Loss
Theoretical Loss: Range of loss across varied quantities - 1- 500 = 2%, 500-1000 = 3% etc
 Formula is created for 500 LBS while the Routing is created for 2000 LBS.
Is this possible? Yes, but this Routing can be used for a maximum of 2000 LBS.

The 2 operations in this Routing are :

Preprocess
Cooking Jam
In each operation, the yield is 2000 LBS.

To perform this activity, Click Edit Operation

PREPROCESS is the Activity (Department in Discrete Manufacturing)

To perform this Activity, who are the resources.

Click On Resources.

The Resources are as follows:

Sequence Dependency:
Sequence is nothing but operations 10, 20, 30 etc
Dependency means that this operation has a dependency on the previous operation.

All setups are completed:

Resources, Operations, Activities and Routings

Define Reciepe:
In Discrete Manufacturing, how do we link the association of the Bill and Routing with the
Finished goods? Directly we are selecting the Finished Item in the Routing Formula

In OPM, the Association is Reciepe.

In Recipe, we associate the Formula and the Routing to the finished Item.

Navigation: Process Engineer> Recipe

We can query the Recipe with the Product as well

For the Recipe the Formula and Routing is assigned as shown below:

Here also we can maintain both losses as shown above.

The total output we decided in the Recipe is 510 LBS.

Note that the Output is 500 at the Formula level, 2000 at the Routing level and 510 at the
Recipe level. So if the Work Order were to be created with the Recipe, then the system
defaults 510 LBS. If the Work Order were to be created with the Formula, then the system
defaults 500 LBS and with the Routing it will default 2000 LBS.

In DM if the same BILL were to be used in different organizations, then we have to create
COMMON BILLS(Submit Create Common Bills)

In OPM, in the Recipe definition, select more than 1 Plant (org) in which the Recipe will be used.
Click on Step Quantity

These are the Operations defaulted based on the Routing.

Click on Step/Material Association

Define Batch:- Work Order in Discrete Manufacturing - Discrete Job
Navigation: Production Supervisor> Create Document
In OPM there are 2 types: Batch Orders and Firm planned Orders, which are generated
by the system from Planning.
Batch has been created as follows:
Copy Document Number and Release Batch:
Navigation: Production Supervisor> Batch Details

Query Document
Notice that the Batch is in Status = Pending.

In the details region the Planned quantity can be updated to issue more/less quantity.
Click on Steps above - Operation for this Batch
Now the Step Status is in Pending. Similiar to Move transactions in DM, where we have to
perform Move transactions, we complete the step.

To Complete
Actions> Release Step

or Directly Complete the Step

To Complete Cycle
Action> Release
Notice in the above that 5214 completion is automatic and hence doesnt show up in the
above screen.
With Cursor on the first line on the top part, click on Transaction Type in the below section.
Click Available Quantity
Click Done and repeat same for the Next Step as well.

Finally Click on Proceed below

Now that all the Ingredients have been transferred From Inventory to Shop Floor,
stopped at 1:06, to complete the Batch. on Jan 4th 2016 1:15PM.

Plant Resource
Generic Resource
Alternate Resource

Business Group
Ledger
Legal Entity
Company
Warehouse
Location

The difference between Discrete and OPM is that once the ingredients are mixed in an OPM
process, they are inseparable while in Discrete manufacturing, the components can be
disassembled. All such products come under Process Manufacturing. With Discrete
manufacturing, the manufactured products can be dismantled.

Instead of OSP in Discrete Manufacturing, OPM has 'Manufacturing Partner Organization' or

Supplier

Organization.In Inventory Parameters form, under the main tab, there is a check box for
'Manufacturing

Partner Organization'. This indicates what type of organization it is.

OPM Vision:
Username: OaPM
Password: welcome

Seeded Organizations for Process Manufacturing:

PR
PR1
PR2
PR3
PR4

Responsibility: OPM All

Applications in the Navigator menu, the following is specific to Process Manufacturing:
1. Formulator
2. Process Engineer
3. Production Supervisor

BOM Allowed Build in WIP not allowed means that that item is not available for Discrete
manufacturing

Item Status attributes for Process Manufacturing:

1. Process Execution Enabled
2. Recipe Enabled
Under Process Manufacturing Tab in Item Master

In Process Manufacturing we define Finished Goods, Ingredients and ByProducts as Items. In

PM, we can

define Supply Subinventory and the Yield Subinv which is the FG Subinv. In Discrete you can
only define

the Source Subinv at the item master level.

In PM instead of using the term Bill we use the term Formula.

Discrete manufacturing supply types : Assembly Pull, Operation Pull, Push, Bulk

Process manufacturing consumption types : Automatic (similar to Assembly Pull),

Manual(similar to Supplier Push), Incremental (similar to Bulk), Automatic by step(similar to
Operation Pull)
Contribute to yield means that the ingredient will give additional volume to the finished
goods.

Example for Flavor ingredients, Contribute to Yield is No since Flavor does not add to
volume.

Not a Phantom means it is a stockable item.

 How can I transfer Finished goods from Shop Floor to Inventory - Finished goods without
creating a transaction.
In Routing you select a Completion Subinventory and in the Move Transaction select
the Complete Radio Button

As in Discrete manufacturing we can expect the yield of 99% every time, we cannot expect
the yield to be 99% every single time in PM even if the same ingredients are used. This is
because the quality of the ingredients may be different each time.

Scaling Allowed means that the the Yield Output may not be fixed every single time.

To define Routing in DM, you need Resource, Dept and Operations

To define Routing in PM, you need Resource, Activities and Operations

4. Generic Resource - resource defined in one plant can be used in other Plants (Organizations)
5. (Organizations) Plant Resource - Resource specific to the Plant
6. Alternate Resource- Can be used for machine and human resources
In PM, define Process Operation and Process Routing.
Navigation: Process Engineer> Process Operation
Navigation: Process Engineer> Process Routing

In PM, the recipe associates the formula and the routing.

Navigation: Process Engineer> Recipes
In PM Create Batch is the same as Create Work Order in DM.

Navigation: production Supervisor> Create Batch (Work Order - DM)

Then Release Batch (Release Work Order - DM)

Discrete Process

Queue Pending

Run Release

Move Complete