MRP runs for Raw Material

[Former Member]

Hi,

We are currently using APO to plan all our WIP products. We are thinking of running the MRP on the raw material which is using by WIP products. The raw material code is transfer to APO as well.

How can we run for raw material? The raw material is purchased from outside. How can the PR and PO auto created for this raw material?

We have planned independent requirements at the BOM top level. And Raw materials is the lowest level in the BOM. Can the raw materials auto calculated in the MRP just based on this planned independent requirements at the top level BOM? Or we will have to go through all the middle level BOM first - meaning create planned orders or production orders first?

Kindly please advise us. Thank you.

[somnath_manna]

Hello,

If you want planning for raw materials in APO itself, then this is how you can proceed. You have finished product say FG1, WIP product say WIP1 & WIP2 and Raw Materials RM1, RM2, RM3.

You need to have single level BOMs for FG1, WIP1 & WIP2 and transfer them to APO as PPMs.

Based on the forecasts and net requirements if you run Production Planning Heuristic at FG1 level then dependent requirements for WIP1 & WIP2 are generated based on the PPM. Next you need to run Production Planning runs for WIP1 & WIP2 which will create the dependent requirements for the Raw Materials. If you set the PP Planning Procedure for the Raw Materials to 3 - Cover Dependent Requirements Immediately, then the receipt elements (Purchase Reqs) will be created automatically.

You need to make sure the sequence of Production Planning Heuristic runs are carried out in correct order - first for FG then WIP and finally for Raw Materials.

Hope this helps.

Thanks,

Somnath

[Former Member]

Hi Somnath,

I really appreciates the way you explain solution infact i would say i love it... I'll be thankful if you can clarify my doubt given below...

Can i run multilevel heuristics for to get my BOM explodes till lowest level i.e. Raw material? ( Having the same customizations settings like planning Procedure 3 )

Thanks in advance..

Regards,

Jagadeesh.

[Former Member]

Hi Somnath,

When we save the planning table, the queue was hang in SMQ2 in SAP R3.

When we check the queue, the error "Missing authorization: M_BANF_BSA Create Doc.type SP".

Please advise whether I should put the authorization in SAP R3 or SAP APO?

Kindly please advise. Thank you.

[somnath_manna]

Hi Jagadeesh,

Can you please clarify (provide more details) on the Multilevel Heuristics you have mentioned? In SNP you have Network Heuristic but that is for different levels of the supply chain for the same product (starting from the Customer >> DC >> Main Warehouse >> Production Plant) and not drilling down to lowest component level starting from the finished item.

Thanks,

Somnath

[somnath_manna]

Hello Sim Phoi Li,

This is happening on the R3 side. The CIF user id should have all authorizations. Do you have auto conversion of Purchase Reqs to Purchase Orders. The error mentioned by you would normally come in R3 when you try converting a Purchase Req to Purchase Order.

The CIF user id logs on from APO to R3 upon Purchase Req creation and tries to create the same in R3 upon transfer when its failing. So you need to resolve this security issue on the R3 side.

Thanks,

Somnath

[Former Member]

Hi Somnath,

I managed to resolve this security issue. But another error is coming out in the SMQ2. Error Message "Please enter Purch. Group".

But I'm not sure where should I put the purchasing group information? I try to put the purchasing group in the product master in APO under Tab SNP2. But it is not working.

Where else that I need to maintain this purchasing group?

Kindly please advise. Thank you.

[somnath_manna]

Hello Sim Phoi Li,

This CIF error too is while trying to create the Purchase Req/Purchase Order in R3 system. Please try to manually create a Purchase Order in your R3 system before trying to run Production Planning in APO for the component products. However you should be able to see the Purchase Reqs created in APO side for the component products in the Product View (/SAPAPO/RRP3) or other suitable transaction. That should confirm that on APO side P Reqs are getting created as expected.

Thanks,

Somnath

[Former Member]

Hi Somnath,

Multilevel Heuristics works in the vertical manner like drilling down to lowest component level starting from the finished item ( FG>SFG>RM... ) and also it does work for different levels of the supply chain for the same product (starting from the Customer >> DC >> Main Warehouse >> Production Plant)...

I think its a combination of both netwrok heuristics and BOM explosion.

I hope it gives an idea of multilevel heuristics.

Regards,

Jagadeesh.

[Former Member]

Hi Somnath,

The authorization issues all are cleared. Thanks.

However I'm still has some issue. How do the APO determined which PR document type that need to be used?

Kindly please advise. Thank you.

[somnath_manna]

Hello Sim,

Good to know that your CIF related issues are all resolved. Hope you are now fine with the solution provided and able to plan raw materials in APO and getting them transferred to R3 for further execution successfully.

I am not sure what you mean by the PR Document type but in APO when you run a PPDS Heuristic it will generate receipt element of type Purchase Req (ATP Category AG) in case the product is externally procured. This is set in PPDS >> Global Settings >> Global Parameters and Defaults >> ATP Categories tab in SPRO.

Hope this answers your query. Please assign suitable points if your questions are answered.

Thanks,

Somnath

[Former Member]

Hi Somnath,

The PR document type is for example PR - Eng Store Stock, PR - Raw Material, PR - Non Stock and so on.

For this planning, the PR document type should be PR - Raw Material, but in this one, the PR document type when I display in SAP R3 is PR - Eng Store Stock.

So I wonder whether is it that there is any config setting that I should do?

Kindly please advise. Thank you.

[somnath_manna]

Hello Sim,

This PR Document type setting will be on the R3 side and not on APO side. Can you please confirm the following:

1. In APO SPRO under PPDS Global Settings - the ATP Category for External Procurement is AG - Purchase Requistion

2. In R3 for the raw material - if you manually run MRP or try creating a Pur Req. what is the PR Document Type created.

In R3 the document type is defined in SPRO >> Material Management >> Purchasing >> Purchase Requistion >> Define Document Types.

Unfortunately my knowledge in MM is not much to troubleshoot deeper.

Thanks,

Somnath

[Former Member]

Hi Somnath,

I just try a scenario, and there is an issue. The raw material is using planning procedure 3 - Cover Dependent Requirements Immediately.

I run auto planning for the raw material upper level (WIP) using the heuristic, there is a dependent requirements created for the raw material. However, the system does not auto create the PR for the raw material even though there is dependent requirements for it and there is no stock for the raw material.

But when I manually plan the upper level (WIP), the system can auto create the PR for the raw material.

It seems that if I run using the heuristic for WIP, the system cannot auto created the PR for raw material. But if I manually plan the WIP, the system can auto create the PR for the raw material.

Kindly please advise. Thank you.