Consumption of demand without sales order

[Former Member]

My company in is the beginning phase of planning inventory.  We have never used MD61 nor had to populate a strategy group.  I am trying to find a way to consume a LSF/VSF demand.  We currently use work orders for demand and then issue from inventory to that work order and that removes the reservation which in turns removes the demand. What I am trying to do is put a monthly demand in the system, have it create purchase requisitions, then we create the PO, remove the demand once I have received the material and then be able to issue to the work order to remove from inventory.  I have tried different strategy groups and other things but I cannot get my demand to be removed.  It stays in the planning for the material.  If I need to provide one of my MRP tabs for more understanding, I can.

I have attached a sample of MD03.  in this situation, the demand created a PR then PO and now all the material is in stock to be used.  The problem is my VSF demand is still there.

[Gopinath_Ram · Accepted solution]

Hello Travis,

If I understood your question correctly , the PIR created for this material should be consumed by the dependent requirement/Reservation and when 261 the PIR should also reduce.

Then you can try changing the consumption indicator "3" (Consume customer reqmts, reservation and dependent requirements) in the MD61 "Item Tab".

Because for VSF and LSF this indicator is default to "1" Consume only with Customer requirement.

Please try and let me know the result.

Regards

Gopinath R

[Former Member · Accepted solution]

I still had no success with a goods issue 261 reducing my PIR.  Does it matter what order it is entered into the system?  If I enter my PIR and then run planning, a requisition or planned order is created.  Then if I have a work order reservation (dependent requirement) and planning runs, it may create another requirement.  Is there something in that relationship with work orders and planning that is creating the problem for the 261 to not reduce PIR's?

[Gopinath_Ram · Accepted solution]

Hello Travis,

Can you double check that you made all the below settings,

Material Master :

Strategy 40

Consumption mode : 2

Consumption Period : For Backward & forward.

Mixed MRP indicator: 1

MD62:

In Item tab set the Consumption indicator to 3.

Because I have the same situation , where it is working for me with the above settings.

Please check and let me know your feedback.

Thanks

Gopinath R

[Former Member · Accepted solution]

I made all the corrections to the settings and below are screenshots that are the results.  I am thinking that the issue lies with the fact that the work orders are part of planning.  Not sure but I do know that it is not consuming any of my LSF independent requirements and only reducing my stock on hand.

[Gopinath_Ram · Accepted solution]

Hello,

I can understand the issue now . In your screen shot I could see the requirement type LSF which do not allow consumption of PIR's.

So I may propose to change the requirement type to VSF in MD62 and keep the remaining settings as I mentioned in my previous post, will allow to consume the PIR's by the 261.

Please check and let me know your queries.

Regards

Gopinath R

[Former Member · Accepted solution]

This worked!!!  Actually better than I wanted it too!  The PIR's were consumed when that same material was put on the components tab of the work order.  No goods issue needed.  Thanks for everyone's help! 

[Former Member · Accepted solution]

Now I have encountered another issue.  When MRP runs nightly, it is converting my STPO into actual requisitions that purchasing is seeing through ME57.  When I run MD03, it changes them back to STPO's.  I am attaching screenshots.  Please let me know if you are aware of what the problem may be.

[Gopinath_Ram · Accepted solution]

Hello Travis,

I believe that nightly MRP would run with Indicator for CREATE PURCHASE REQUISITIONS = 1 (Purchase Requisition only).

But the MD03 screen shot mentioned has the CREATE PURCHASE REQUISITIONS = 2 (Purchase Requisition in opening period). Check the Opening period in Schedule margin key maintained in Material Master.

[Former Member]

summary of my testing in QA:

1. regardless of planning strategy or consumption indicator, a 261 did not reduce my PIR created in MD61.  It only reduced the reservation created by the work order.

2. changing the planning strategy to 11 did not reduce my PIR when a goods receipt was done.  The goods receipt was done against a PR the was created in mat man and was not done against the work order.

3. doing a 201, goods issue to cost center, did not reduce my PIR when my planning strategy was 11 but, once again, it did reduce my PIR when my planning strategy was 40.

In a perfect world for me, when a goods issue was done to a work order, it would reduce my PIR and remove the reservation.  I am thinking that there is a something that is not letting the system perform both functions.

In an semi-perfect world, it would work if I could get set up for the GR (101) to reduce PIR.  But the GR is done against the PO not a work order.  I will continue to try everyone's suggestions. Keep in mind that I am unsure if there are other things that have to be configured for all of this to work in conjunction.

[rupesh_brahmankar3]

Hello Travis,

Please note in case of  Planning Strategy 11 Gross requirement planning  - when you do the goods receipt 101 for your work order  then PIR (Demand MD61) will be reduced

However in planning strategy 10  when deliver that material to the sales order then PIR will be reduced.

Please test the same scenario with planning strategy 11.

Also refer this useful help link,

Gross Requirements Planning (11) - Demand Management (PP-MP-DEM) - SAP Library

Best Regards,

R.Brahmankar

[Former Member]

I changed my planning strategy to 11 and did a goods receipt on the PO that was created from a Mat Man generated PR and it did not reduce the PIR.  Now if something else has to be selected, then I need to know that also.  First time to add/change a planning strategy.  About to test the suggestion below.

[Former Member]

Also I did a 201 with planning strategy 11 and it did not reduce the PIR.

[rupesh_brahmankar3]

Hello,

Maintain strategy group 11 on the MRP 3 view also set the Mixed MRP indicator to 2.

Create new demand in MD61 requirements have requirements type BSF because the strategy group has been set to 11.

Run the MRP then convert the planned order to production order and do the good receipt and check the results.

Best Regards,

R.Brahmankar

[former_member196530]

To make use of the Planning stategy 11 , please do the following

1.Assing PS 11 in MRP3 view

2.Mark Mixed MRP Indicator  2

3.Create PIR in MD61 .Keep user Parameters in MD61 as Requirement Type = BSF  and generate periodic demand for list of material  which you have PS 11

4.Then run MRP  in MD02 or MD03  using NETCH , 3,1,3,3,2 and then convert those planned order into PO in MD04 or CO41

5.Complete the Production Order cycle with GR in MIGO

6.Now go back to MD04 screen and look whether PIR has been reduced or not .

Regards

JH

[Former Member]

This worked great but I need my stock on hand to be considered in the planning.  Otherwise I am only ordering what is planned regardless of how much of that planned material is actually consumed.  I will try more tomorrow.

[kiran_kumar179]

Travis,

If you don't want to consume demand with PIR then try with MD74/MD75/MD76.

BR
KK

[Former Member]

I do want the demand to be consumed.  I found out this morning that my demand is consumed if I perform a goods movement of 201 but not if I do a 261 to a work order.  Is the work order removing the reservation and therefore not consuming the MD61 demand?  If so, how do I get it to consume both the reservation and the demand?

[kiran_kumar179]

 I found out this morning that my demand is consumed if I perform a goods movement of 201 but not if I do a 261 to a work order. 

I am not sure how system consumed your demand when you have done good issue to a cost center?

My basic question is how you have created demand without strategy assigned to material if assigned what is the planning strategy you maintained?

For 10 PIR gets consumed during PGI for your Customer order delivery.

For 11 PIR gets consumed goods receipt for a production order (discrete production), for a planned order (repetitive manufacturing), or for a purchase order (trading goods).

For 40 PIR gets consumed during Customer order entry in system

BR
KK

[former_member196530]

Hi ,

Your demand (PIR) will consume in the following cases -

Planning Strategy 10 or 40 in MRP3 view -When you will have delivery created for SO , PIR will get reduced

Planning Strategy -11 : In this case , independent of available stock , PIR will get planned .If you do the GR , then PIR will be reduced .

You need to check which one is suitable in your case and apply .

regards

JH

[Former Member]

planning strategy was 40 and when I performed a 201 it reduced my PIR's.  See below for my other test.

[Gopinath_Ram]

Hello Travis,

Please find the attached document and the PIR are reduced when doing 261 for work order.

please verify that you have done the following settings in Material master ,

Strategy 40 , Consumption indicator and Consumption period , Mixed MRP indicator to "1".

Please review and let me know your feed back