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Sap PP

SAP PP (Production Planning) is a key module in SAP ERP that facilitates the planning, scheduling, and control of manufacturing processes, integrating with other modules like MM, SD, and FICO. It includes components such as Material Requirement Planning, Bill of Materials, Work Centers, Routing, and Production Orders, and supports production types like Make to Stock and Make to Order. The benefits of SAP PP include efficient resource utilization, reduced production costs, improved demand forecasting, and streamlined manufacturing processes.

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Karunamoorthy Periasamy
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22 views1 page

Sap PP

SAP PP (Production Planning) is a key module in SAP ERP that facilitates the planning, scheduling, and control of manufacturing processes, integrating with other modules like MM, SD, and FICO. It includes components such as Material Requirement Planning, Bill of Materials, Work Centers, Routing, and Production Orders, and supports production types like Make to Stock and Make to Order. The benefits of SAP PP include efficient resource utilization, reduced production costs, improved demand forecasting, and streamlined manufacturing processes.

Uploaded by

Karunamoorthy Periasamy
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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Short Notes on SAP PP (Production Planning):

1. Overview:
SAP PP (Production Planning) is a core module in SAP ERP that helps organizations plan,
schedule, and control manufacturing processes. It integrates tightly with other SAP modules
like MM (Material Management), SD (Sales and Distribution), and FICO.

2. Key Components:

 Material Requirement Planning (MRP): Calculates material requirements based on


demand and supply.
 Bill of Materials (BOM): Lists components needed to produce a finished product.
 Work Centers: Defines where operations are carried out (e.g., machines, labor).
 Routing: Describes the sequence of operations needed to manufacture a product.
 Production Orders: Instructions to produce a specific quantity of a product.

3. Integration:

 With SAP MM: Ensures material availability.


 With SAP SD: Links sales orders to production plans.
 With SAP CO: Tracks production costs and performance.

4. Types of Production:

 Make to Stock (MTS): Products are produced for inventory.


 Make to Order (MTO): Production starts after receiving a customer order.

5. Benefits:

 Efficient resource utilization


 Reduced production costs
 Better demand forecasting
 Streamlined manufacturing process

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