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If you have any self-defined parameter that you want to be part of the SVK, you can enter them here. As noted previously, you can enter up to six parameters in SVK. Make sure to select the Generate checkbox when defining SVK because then the system automatically performs the calculations defined in the formulas.
If not selected, then it does the calculation for scheduling and capacity planning during production order creation, which often leads to system performance issues. In Figure 3. You can combine several work centers into one location group if they are in close proximity to one another.
You can use the move time matrix to provide standard- ized values to different transitions times also known as interoperation times 88 www. Greater focus is placed on Process Management in the master recipe, which is unique to process industries only.
Some of the industries in which process manufacturing finds extensive imple- mentation include chemicals, edible oil refining, pharmaceuticals, fertilizers, beverages, food, and food processing.
Any manufacturing industry that deals with liquids, where the product flows in a liquid or semi-solid form, or where the processed material cannot be brought back to its original state or disassembled, characterizes process manufacturing. The chapter begins with an overview of process manufacturing and how it fits into the planning and production perspectives. The process manufacturing pro- cess flow provides a comprehensive and step-by-step explanation of each stage involved.
Important process manufacturing master data is covered next, with extensive focus on the master recipe, in which the system not only facilitates material quantity calculation but also Process Management. We cover some of the standard features available in Process Management such as input and calculated values, integration with the Document Management System DMS , and digital signature. We then cover the end-to-end business processes involved from the creation of the process order to how Process Management integrates with it.
Next, we cover the highly versatile and intuitive functionality of Execution Steps XSteps when you either want to implement it or simply transition from process www. More features and functionalities of XSteps are shown, as well at their correlations to the configuration made in Chapter 4.
We also cover process messages evaluation. Finally, the remaining chapter provides brief coverage of the rest of the standard processes of PP-PI, such as goods issuance, confirmation, and goods receipt. Because these processes are all similar in discrete manufacturing, we suggest that you visit the relevant sections of those chapters Chapter 3 and Chapter 6.
Efforts have also been made to provide maximum links to the configuration made in Chapter 4. If deemed necessary, the pointers to necessary configurations are given in this chapter.
This is then followed by a material availability check to ensure that the required quantities of components needed to produce the material are available. If not, it reads off the informa- tion from material BOM. At this stage, you can also enable the system to perform batch determination of the components that you want to use in production.
You proceed with releasing the process order as well as printing the process order. With a released process order, you can generate a control recipe. A gener- ated control recipe takes the form of a process instruction PI sheet. You can run www. For example, you can determine that on creation of the process order, the system can automatically release it too.
If not, you have to manually release the process order. Alternatively, you can use a separate transaction to release a large number of process orders mass process- ing , which again can be carried out as a manual task. The QM component if integrated with the PP component enables extensive in-process during production quality inspection checks.
During this time, you also main- tain the PI sheet and assign it a Complete status. You then perform confirmation of the process order, either at the individual phase level or at the entire process order level.
When goods are produced, you can again engage the MM component www. The Cost Object Controlling activities such as work in process WIP determina- tion, variance calculation, and settlement are order-specific in nature and are usu- ally processed in the background.
To optimize and bring greater visibility to your business processes, you can implement and integrate several additional processes and functionalities, such as digital signature, Engineering Change Management ECM , Document Manage- ment System DMS , co-products and by-products, shift notes, and shift reports.
You can also integrate QM during production in-process quality inspection or at the time of goods receipt. The creation of master data for process manufacturing begins with the material master of the product a finished good or an assembly. You create the bill of materials BOM of the product that you want to produce and assign components, together with the quantities needed to produce the product.
If needed, you can also define the scrap percentage at the operation or component levels. You then create the resource and then create the master recipe for the material, in which you also assign the previously created resource. When all of the logistical master data is in place, your CO team can create a prod- uct cost estimate of the material and also release it. For example, for each resource, you need to assign a cost center, which your CO team should provide you with.
They may provide you with one cost center for multiple resources or one cost center for an individual resource, depending on how they want to see the cost center reporting and evaluation.
The system defines a material as a substance or commodity that you can buy or sell on commercial basis. You can also relate a material to either being consumed or produced. A few examples of material are raw material, packing material, con- sumables, semi-finished goods, and finished goods. The material is not just restricted to production-based processes but all those for which the company wants to maintain inventory stock items.
So, you may also have materials that are used in Plant Maintenance PM processes, or you can even have non-valuated materials. A batch is a uniquely identifiable partial quantity of a material. The batches of a material are managed in separate stocks. In a production process, a batch is a quantity of a spe- cific material produced during a standardized production run. This quantity therefore represents a non-reproducible unit with unique specifications. The key properties of a batch are homogeneity and non-reproducibility.
There are complete batch traceability, batch determination, and batch derivation functionalities available. You can use the batch information cockpit Transaction BMBC for complete top- down or bottom-up evaluation of batches of materials. The system creates batches for a material, and the data of the material master is valid for all batches assigned to it. In contrast to the material master, a batch mas- ter record contains data that uniquely identifies the corresponding batch and characterizes the unit as one that cannot be reproduced.
The characteristic batch specifications are assigned using characteristics from the classification system in the material master and are inherited by the corresponding batch master records. We suggest that you extensively coordinate with the MM consultant for activation as well as complete busi- ness process mapping of BM in production processes.
Refer to Chapter 3 and Chapter 6 for a detailed understanding of the configura- tion and business processes involved in BOMs. See Section 7. Refer to Chapter 3 and Chapter 6 for a detailed understanding www. To create a resource, use Transaction CRC1. The system offers and makes available standard configuration for PP-PI, which you can use if your business processes are not too complex. The system uses the production ver- sion during the creation of a master recipe to identify the BOM for the material and pull the BOM details from the master recipe.
When you create the master recipe for a material and plant combination, we sug- gest that you also enter the production version for the material on the initial screen.
The production version should be created prior to the creation of the mas- ter recipe and then be used for creation of the master recipe. To create a new production version, use Transaction C You can also create a production version in the MRP 4 view of the material master or even in the work scheduling view.
Refer to Chapter 6 for a detailed understanding of the business process of a production version and how to create one in the SAP ERP system. Note Creating a production version directly from Transaction MM02 should be an exception because there may still be some incomplete data at this stage. We recommend using Transaction C to achieve this objective. You can then go back to the pro- duction version and incorporate the master recipe details, including group number and group counter that the system generated, when you saved the master recipe.
The system suggests the master recipe group number and the group counter when you again go back to production version. This approach in creating the master recipe helps in having a materials list BOM in the master recipe, which you can then also use in material quantity calculation.
A second approach that you can use in creating the master recipe is to first create a master recipe group, without reference to a material and plant combination. When the system generates the recipe group number, create a production version of the material, and enter the BOM and master recipe details. Finally, when you assign the header material number in the change master recipe option for the master recipe group, the system prompts you to enter a production version to enable it to explode the BOM.
On the initial screen of the master recipe, enter the material, the plant, and the production ver- sion, and the header screen appears. Recipe Header Figure 7. The Charge quantity range area is valid as the lot size quantities in the master recipe.
It contains the default values for the operation, phase, and secondary resources. A proportional relationship exists between the default values for oper- ation quantities and their unit of measure, versus the recipe quantities and their unit of measure. Compared with master recipes, you enter this relationship directly in the operation details in routing and rate routings.
The charge quantity is 4 PC, and the operation quantity is 7KG. The system also provides the option to maintain a base quantity for detailed working. Materials The master recipe integrates the details of the operations and BOM together as one master data by using the production version.
The material BOM details in the task list master recipe help enable a unique feature to process manufacturing known as material quantity calculation.
Material Quantity Calculation In a process order, the system calculates the components quantities directly from the BOM and takes the material quantity calculation into account. For material quantity calculation to work effectively, you need to make sure that you create the master recipe with reference to the BOM and consisting of compo- nents and quantities. Because the planned scrap of the component is entered either in the material mas- ter or in the BOM, the system automatically increases the component quantity during planned order or process order creation.
When you create the process order, the system automatically calculates the quan- tities based on the formulas. For a formula that is processed at the batch level and also uses active ingredient proportions batch characteristics values , you need to manually trigger the material quantity calculation in the process order and after batch determination. Figure 7. In the screen shown in Figure 7. In the Formula Definition box, enter the formula or equation, which derives the output field value.
While creating a formula, you can also double-click on the variables that you want to include in the formula or place the cursor on the variable and click on the Insert in formula button in the menu bar. We now show two examples to demonstrate how you can use the material quan- tity calculation to calculate product quantity and to show the interdependency of one component on another in calculations.
Example 1 In our first example, enter a formula using the following steps refer to Figure 7. For the header material quantity formula, place the cursor on the For- mula Indicator field, and click on the Select Formula button in the menu bar.
This shows up as , Quantity just below the Formula Definition bar. Place the cursor on the field with the quantity This means that the material quantity for the material will be 1. Click on the Refresh icon , and the system denotes the row containing the material with the Formula icon. This com- pares with KG as shown in Figure 7. Perform the following steps refer to Figure 7. To enter the formula for the component quantity CH , place the cursor on the Formula Indicator field, and choose the Select formula button in the menu bar.
This means that the material quantity for the material CH will be subtracted by 8KG from the quantity of material CH Click on the Refresh icon, and the system denotes the row containing the material with the Formula icon. If you refer to Fig- ure 7.
In the master recipe, you assign activities such as production duration or labor hours at the phase level and not at the operation level. Hence, the confirmation of a process order is recorded for a phase and not an operation. You also assign a resource work center at the operation level. The phases below the operation then adopt the resource that you assigned at the operation level. The system assigns the standard values and activities controlled by a control key in the resource as active at the phase level and not at the operation level.
The sum total of standard values at a phase is in fact the total time required to process the oper- ation.
The system assigns the components of the BOM materials list to phases and not to operations. You can, however, integrate in-process quality inspections of QM either at the operation level or the phase level. To create a phase below an operation, you need to select the Phase checkbox in the Operations tab, which then automatically copies the resource from the oper- ation.
At the same time, when defining a phase, you also have to assign the supe- rior operation so that the system knows which specific phase relates to which operation. You can maintain the relationships among various phases as start-finish, finish- start, finish-finish, or start-start. The phases can either work in parallel or in over- lapping sequences.
You assign individual control recipe destinations at the phase level and assign the process instructions in the respective phases of the master recipe. Alternatively, you can maintain the desired process instruction details either in the master recipe or in the process order.
For process instructions that have characteristic values based on a material, you need to assign them at the master recipe level.
The phase is and is denoted by the Phase checkbox. When you define an operation as a phase, you also have to define the Superior Operation, which, for our example, is the operation.
This is the same control recipe destination that you configured in Chapter 4. Select the phase , and double-click the line item the operation , and the system takes you to the screen shown in Figure 7. From here you can click on the Process instructions tab to configure the process instructions which are an integral part of process management.
This section deals with process instructions which is a part of process management that you need to define in the Process Instructions tab shown previously in Figure 7. For example, when the production of a certain item is scheduled, the plant operator needs to have a series of clear and comprehensive instructions to follow. Similarly, the plant operator is required to record and report back data, such as steam temperature twice a shift or an abnormal vibration in the suction pump, so that it will be avail- able for future reference or corrective action.
This has been made possible by the Process Management functionality. We focus on the transfer to PI sheets to show you that implementing process management can still yield significant added value with- out integrating SAP with a PCS. It offers functionality such as goods issues and goods receipts, process order confirmations, and results recording of quality inspection data.
All of this information helps in analysis and report generation functions, not to mention benefiting the business process own- ers who are directly using the information. Starting from the top left, creating a process order forms the basis for the generation of the control recipe.
The system sends the con- trol recipe in the form of a PI sheet to the predefined control recipe destinations. Get step-by-step instructions for configuring SAP PP, from master data shared by all manufacturing types to specific settings and control keys for discrete, process, and repetitive manufacturing. Learn to use sales and operations planning, material requirements planning, SAP Demand Management, and long-term planning throughout your production workflow.