Hi,
Planning at Assembly Level (70)
Purpose
This planning strategy is particularly useful for manufacturers of products with variants if a more
reliable forecast can be produced for certain assemblies than for the multitude of product
variants.
Prerequisites
You must maintain the master data of the assembly as follows:
Strategy group 70 on the MRP screen.
Set the indicator for assembly planning, the Mixed MRP indicator, to 1 on the MRP
screen.
Consumption parameters (Consumption mode, Bwd consumption, Fwd consumption on
the MRP screen) to allow for consumption of planned independent requirements.
If you are using this strategy in a make-to-stock environment, you also must set the
Individual/coll. indicator to 2 on the MRP screen.
Reduction
Consumption
This strategy is very similar to Planning with Final Assembly (40) However, planned
independent requirements are consumed by production order requirements (or schedule lines in
repetitive manufacturing) and not to requirements of sales orders.
1. Stock for the assembly usually exists.
2. Planned independent requirements are entered at assembly level. Procurement (planned
by means of the planned independent requirements) is therefore triggered before the
production order stage (or schedule line in repetitive manufacturing).
3. The planned orders for the assembly/components are convertible.
4. Procurement smoothing according to order demand is possible. In this strategy,
however, the ability to react flexibly to customer requirements is more important.
5. An accurate availability check is performed according to ATP logic during production
order processing.
6. Requirements from production orders (or schedule lines) are passed on to production
and can lead to changes to procurement after the sales order stage, if the order
quantities exceed the planned independent requirement quantities. However the order
quantities cannot be confirmed if there is insufficient coverage of components. The
system automatically adjusts the master plan. For more information see Coping with
Insufficient Coverage of Components .
7. The planned independent requirements are consumed during the production stage. This
means that you can compare the planned independent requirements situation with the
actual order requirements.
Unconsumed planned independent requirement quantities increase the warehouse stock of the
component, and cause procurement to be decreased or not to take place at all in the next period.
This procedure is called "netting."
Sample Scenario: Strategy 70
Process Flow
This example is based on a production plan in which 100 pieces are planned for <reqdat1>,
<reqdat2>, and <reqdat1>.
Stage 1: Demand Management
1.In this scenario, planned independent requirements are created as follows for the
production plan.
Period indicator Reqmts date Planned qty Value
T (= day) <reqdat1> 100 10,000.00
T (= day) <reqdat2> 100 10,000.00
T (= day) <reqdat3> 100 10,000.00
The system will find requirements type VSFB because the strategy group has been set
to 70.
2. The requirements are passed on to MRP. The stock/requirements list (Logistics
Production MRP Evaluations Stock/reqmts list) displays the following
information:
Date MRP element MRP element data Received/
required
quantity
Available quantity
<today> Stock 0
<reqdat1> IndReq VSFB 100 - 100 -
<reqdat2> IndReq VSFB 100 - 200 -
<reqdat3> IndReq VSFB 100 - 300 -
Stage 2: Procurement Before Use in Production
1. A procurement requisition is created in the MRP run (Logistics Production MRP
Total planning). The stock/requirements list displays the following information:
Date MRP element MRP element data Received/
required
quantity
Available quantity
<today> Stock 0
<reqdat1> PlOrd. 123/STCK 100 100
<reqdat1> IndReq VSFB 100 - 0
<reqdat2> PlOrd. 124/STCK 100 100
<reqdat2> IndReq VSFB 100 - 0
<reqdat3> PlOrd. 125/STCK 100 100
<reqdat3> IndReq VSFB 100 - 0
This procurement requisition is the starting point for production or external procurement.
You have a variety of options for handling the procurement process in the R/3 System.
One possibility would be to convert the planned order into a production order, release of
the production order and a goods receipt of the yield quantity. It is also possible,
however, to use returns or other goods movements for make-to-stock production.
2. After goods receipt for the order, the stock/requirements list displays the following
information:
Date MRP element MRP element data Received/
required
quantity
Available quantity
<today> Stock 200
<reqdat1> IndReq VSFB 100 - 100
<reqdat2> IndReq VSFB 100 - 0
<reqdat3> PlOrd. 125/SDeb 100 100
<reqdat3> IndReq VSFB 100 - 0
Stage 3: Production Order and Allocation
A production order that uses the planned component is created (Logistics Production
Production control Order Create).
An availability check is performed in the order (Component Availability Check availability).
In this example, it is assumed that production is 50 pieces of the material and the
material has an in-house production time of zero.
A popup appears containing the following information:
Requirements date <today>
Requirements quantity 50
Availability check (checking group) 02
ATP quantity 200
Confirmation date <today>
Confirmation quantity 50
This availability check is always performed according to ATP logic. See Availability Check [Page
157].
The production order quantity, which is not visible in the production order, is allocated to the
component quantity. You can, however, control the allocation in the stock/requirements list or in
the total requirements list. The total requirements list displays the following information:
Requirements type Date Allocated quantity Total quantity
VSFB 300
<reqdat1> 100
RESE <reqdat1> 50
<today> 50
<reqdat2> 100
<reqdat3> 100
After creation of the production order, the stock/requirements list displays the following
information:
Date MRP element MRP element data Received/
required
quantity
Available quantity
<today> Stock 200
<today> OrdRes SZ-10 50 - 150
<reqdat1> IndReq VSFB 50 - 100
<reqdat2> IndReq VSFB 100 - 0
<reqdat3> PlOrd. 125/STCK 100 100
<reqdat3> IndReq VSFB 100 - 0
Any parent material that consists of this component is automatically allocated to this plan. In
practice, there are several header materials (like SZ-10 in this example) that allocate this
material.
Stage 4: Procurement After Production
This does not apply to this strategy.
Stage 5: Goods Issue for Production Order
After goods issue for the production order (Logistics Materials management Inventory
management Goods movement Goods issue), the stock/requirements list displays the
following information:
Date MRP element MRP element data Received/
required
quantity
Available quantity
<today> Stock 150
< reqdat1> IndReq VSFB 50 - 100
<reqdat2> IndReq VSFB 100 - 0
<reqdat3> PlOrd. 125/STCK 100 100
<reqdat3> IndReq VSFB 100 - 0
Hope this helps.
Regards,
Tejas
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