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00.20.30.4n Without MRP areas, MRP takes place at plant level. This means that all requirements for a material (dependent requirements, planned independent requirements, customer requirements and so on) for all storage locations, which are not planned separately or are not excluded from the planning, flow into the MRP together. Depending on the procurement type of the material, in-house production or external procurement is used to satisfy the requirements. n The settings for MRP in the material master of the material are valid for the whole plant (with the exception of storage locations that are planned separately or are excluded from the planning). 0.5n The introduction of MRP areas enables a greater differentiation in MRP. Planning takes place separately for each MRP area. It is possible, for example, to plan the requirements for different production lines separately.n In storage location MRP areas, one or more storage locations are grouped together to form an organizational unit. In MRP, this unit is planned separately from the rest of the plant and the other MRP areas. The assignment of a receipt (procurement) or issue element (requirement) to a storage location MRP area is made using the storage location of the receipt or issue elements. You may assign a storage location to just one MRP area.n You can also plan the provision of components for an individual subcontractor separately using an MRP area. To do this, you define an MRP area for a subcontractor (vendor) and assign the corresponding components to be provided to this MRP area. n The planning result in each MRP area is evaluated separately with the individual MRP list or stock/requirements list. When using collective display, you can select materials for one MRP area or for all MRP areas in a plant.n You can assign different MRP parameters to a material for each MRP area, so that planning can be adapted to suit the particular needs in each individual MRP area.0.6n MRP areas enable you to plan materials, which are required in different production areas, storage locations or subcontractors, separately from each other. You activate MRP with MRP areas at client level and it is thereby valid for all plants belonging to this client. This cannot be reversed.n The introduction of MRP areas can be useful even if you do not want to plan with MRP areas. In particular, if you need to plan many plants, the introduction of MRP areas enables an improvement in system performance because the planning file can be accessed more precisely.n There are three types of MRP area: 1. Plant MRP areas (mandatory), which are created automatically when planning with MRP areas is activated. The number of the MRP area corresponds with the plant number. If you do not define any further MRP areas, the plant MRP area includes the whole plant. 2. Storage location MRP areas, which are defined by the storage locations that are assigned to them. 3. Subcontractor MRP areas that serve for planning the requirement of material provided for a subcontractor and that are defined by assigning the subcontractor. A subcontractor must be assigned to just one subcontractor MRP area and vice versa.0.7n A material is assigned to an MRP area by creating an MRP area segment in the material master (in the view MRP 1). No actual changes are made to MRP until the materials have been assigned to MRP areas. As long as no MRP area segment has been created, the system continues to plan the material in a plant MRP area. n You can set parameters for controlling MRP for different MRP areas in the respective MRP area segments. n A material can be assigned to several MRP areas and is also assigned to the plant MRP area. n The assignment of a receipt or issue element to the individual storage location MRP areas is made using the receiving or issue storage location that the system determined in the planning run. If no assignment to a storage location MRP area has been made using the storage location, the element is assigned to the plant MRP area.n When creating a planned independent requirement, you enter the MRP area. Sales orders are assigned to the MRP areas by entering the issue storage location in the shipping screen of the item details. In the case of procurement elements created automatically in MRP, the receiving storage location determines the storage location MRP area.n Schedule lines are assigned to an MRP area according to the receiving storage location of the scheduling agreement. The source of supply determination in MRP takes place according to the usual logic (source list, quota arrangement) with the proviso that you find a valid scheduling agreement whereby the receiving storage location belongs to the MRP area. You can maintain several scheduling agreements for an overlapping period in the source list, if you assign the type No warnings or messages for the message with version 00, application area ME, number 375 in the Customizing for Purchasing IMG activity Define attributes of system messages. 0.8n For the introduction of MRP with MRP areas, you must first convert the existing planning file entries at plant level to MRP area level in the planning file (Customizing IMG activity Convert planning file entries for MRP areas). You can then activate the MRP for MRP areas (Customizing IMG activity Activate MRP for MRP areas) and create MRP areas (Customizing IMG activity Define MRP areas). n In the Customizing IMG activity Define MRP areas, you then define the MRP area including the type and to which plant it belongs. For storage location MRP areas, you then define a receiving storage location. You complete the definition of the storage location MRP areas by assigning one or more storage locations. For a subcontractor MRP area, you assign one subcontractor.n The materials that are to be planned in different areas to the plant MRP area, must be assigned to these MRP areas by creating the corresponding MRP area segment in the material master in the MRP 1 view. n The allocation to a storage location MRP area is made using the storage location that the system determines during the planning run. This is determined on the basis of the storage location entered in the BOM (BOM item), in the work center (production supply area), or in the production version or in the material master. This storage location must be included in the MRP area that you have assigned in the material master. In addition, it is necessary that the view Storage 1 or Storage 2 exists for this storage location in the material master.0.9n The existing planning file entries at plant level are converted into planning file entries at MRP area level. The conversion uses a report that is triggered in the Customizing for MRP activity Convert planning file entries for MRP areas. The system uses this conversion report to create a new planning file, in which you can access entries for individual MRP areas. n The system creates the plant MRP area automatically for every plant such that for every plant there is exactly one plant MRP area having the same number as the plant. 0.10n In order to be able to assign a material to an MRP area (for example, using the storage location), the MRP area must have been defined in Customizing beforehand and a corresponding MRP area segment must be created in the material master record of the material. Materials that have no MRP area segment remain in the plant MRP area.n In order to create an MRP area segment, you choose the pushbutton MRP areas in the view MRP 1 of the material master.n You can assign a material to as many MRP areas as you wish by creating a segment for each MRP area. For each MRP area, you can enter different MRP and forecast parameters to those from the material master at plant level and even the consumption values are updated separately for each MRP area. You can assign a different MRP group to each MRP area, but the values at plant level are used for the strategy, the consumption logic, the period of adjustment and the checking rule. n The assignment of a material to an MRP area can be deleted using the deletion indicator in the initial screen for the MRP area segment in the material master. Any dependent requirements or reservations that were planned in this MRP area are thereby transferred to the plant MRP area.n You can display which materials are assigned to a particular MRP area. To do this, choose the pushbutton Material overview for MRP area from the detail screen for the MRP area in the Customizing IMG activity Define MRP areas.0.11n Planned independent requirements are created for each MRP area. Sales orders are assigned to a MRP area depending on their storage location (the issue storage location in the shipping screen of the item details). n Dependent requirements are automatically assigned to a MRP area in the planning run, depending on their production or issue storage location. Here, the system accesses the production version of the material, the BOM or the material master. If the storage location determined allows the material to be assigned to a MRP area of this material (assigned in the material master), then the requirement is planned in this MRP area. If another assignment is not possible, the planning takes place in the plant MRP area. n The requirement elements (planned independent requirements, sales order and so on) are covered after the assignment to a MRP area within this MRP area. If a production storage location (or an external procurement storage location) is determined for a corresponding procurement element (that is the relevant planned order) that does not belong to this MRP area, then the receiving storage location of the MRP area is used instead.0.12n The MRP area allows you to plan the staging and procurement of components to a specific production line. n Consider the following example: Assembly A is produced on production line 1. The externally-procured components materials B and C are necessary for this, and can be withdrawn from storage location 0001.n System example: For storage location 0001, the storage location MRP area 10001 is created in Customizing for MRP. This MRP area is assigned to the material master of components B and C using an MRP area segment. The external procurement storage location 0001 is entered here, as this is also the receiving storage location for procuring the components. A production version for production line 1 is created in the material master of assembly A. Storage location 0001 is entered for components B and C as issue storage location. (In the corresponding MRP group, in Customizing, indicator 2 is maintained in the field Determine production storage location (storage location selection).n In the planning run, the system determines the dependent requirements for components B and C and, using the production version, determines the issue storage location 0001. In this way, the requirement is assigned to MRP area 10001. When determining the procurement elements for B and C, the system reads the external procurement storage location 0001 from the MRP area definition in configuration and the procurement elements are assigned to this storage location.0.13n In the MRP run, the system explodes the BOM for the material to be procured and determines the components required, which need to be provided to the subcontractor. In the BOM (status/long text of BOM item), these components must be flagged as customer parts provided, vendor parts provided are procured by the subcontractor (vendor).n The example shows subcontracting in the case of the part pump. Several subcontractors are responsible for the final assembly of the pump; the casing is procured in the companys own plant and transported to the appropriate subcontractor (provision of material by the customer). The number of casings provided depends on the number of pumps ordered from the subcontractor (subcontract order) and the number of casings that are already with the subcontractor (stock of material provided). The screws for the assembly of the pump (and, if necessary, any further components) are procured by the subcontractor (provision of the material by the subcontractor).n The requirements of material provided are treated as separate according to the subcontractor. The stock of material provided, which is stocked by a subcontractor, can only be used to cover that subcontractors requirements of material provided and not for other subcontractors. n In the stock/requirements list and MRP list, the stock of material provided and requirements of material provided are shown per subcontractor in separate planning segments. A subcontractors requirements of material provided, which are not covered by the material provided already stocked at the subcontractor, are entered in the net requirements calculation and are shown and planned in the net planning segment. 0.14n You have the option of using MRP with MRP areas for subcontracting. By introducing the MRP areas, the stocks of material provided and requirements of material provided for components in the subcontractor purchase requisitions or purchase orders are planned separately according to subcontractor. n In the Customizing activity Define MRP areas, you define an MRP area of type 03 Subcontractor (vendor). You also assign the subcontractors (vendor) credit number to this MRP area. A subcontractor may only be assigned to one subcontractor MRP area.n In the MRP 1 view of the material master for the material provided, you assign the subcontractor MRP areas and MRP parameters (MRP area segment), which are valid for this material provided. n The stock of material provided that is with the subcontractor can be covered by transferring stock from the companys own plant. A further possibility is to procure the components to be provided from vendors, who deliver the materials directly to the subcontractor. This is subcontractor third party order processing. The control of the replenishment is defined by the special procurement type in the MRP area segment.n In the example above, the customer components to be provided casing and rotor are planned. The components can be procured differently for the subcontractors A and B. The control of procurement is set for each subcontractor MRP area using an appropriate special procurement key in the material master (for more details, see the next slide). 0.15n For the dependent requirements of the components provided to be assigned to the subcontractors MRP area, an SPO planned order or a purchase requisition with SB item category and assigned source of supply must exist for the (finished) product to be procured. For this, the special procurement subcontracting must be entered in the material master or in the quota arrangement , which affects stock, for the (finished) product. In MRP, the automatic assignment of a subcontractor generally takes place via the existing source determination mechanism (special procurement type, quota arrangement, source list). n If the special procurement type Stock transfer from plant to MRP area is maintained in the subcontractor MRP area data in the material master of a component provided, a stock transfer reservation is generated in the MRP run, as a replenishment element for the component provided, from the plant stock to the subcontractor stock of material provided (movement type 541). When the stock is transferred with reference to the reservation, the plant stock and the reservation are reduced and the stock of material provided increased.n If the special procurement type External procurement is maintained in the subcontractor MRP area data in the material master of a component provided, a purchase requisition is generated in the MRP run with the indicator Subcontracting, as a replenishment element for the component provided, in which the subcontractor who delivers the finished product is entered in the inbound delivery address. The goods receipt for this purchase order is posted to the subcontractors stock of material provided. n Once the goods receipt has been posted for the subcontract order, the stock of material provided and the subcontractor reservation for the components provided are reduced.0.16n In storage location MRP areas the materials can only be planned with the make-to-stock production planning strategies (strategies 10, 11, 30, 40, 70). In demand management, only the planned independent requirements of the corresponding requirements classes can be created for storage location MRP areas.n The strategies of make-to-order planning can be used only in the plant MRP area. Individual customer segments are put in the plant MRP area to ensure that the sales order is only planned in the individual customer segment, even if the storage locations have been changed. Regardless of the storage location, the sales order items and procurement elements remain in the corresponding individual customer segment and thus in the plant MRP area.n The strategies with planning segments (strategies 50, 52, 59, 60, 74 and so on) can also only be used in the plant MRP area. 0.17n Materials that are planned in a MRP area can be procured using the special procurement type stock transfer from plant to MRP area. n For this purpose you have to create a special procurement key in Customizing for MRP (Customizing step Define special procurement type), which contains procurement type F (external procurement), special procurement type U (stock transfer) and your own plant as the stock transfer plant. This special procurement key is entered in the MRP area segment of the corresponding MRP area.n The stock transfer process takes place as in storage location MRP. A stock transfer reservation is created at MRP area level, and a reservation with referenc

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