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difference between Planning with final assembly and w/o final assembly

Former Member
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Hi folks,

can any body please tell me the diiference between Planning with final assembly and w/o final assembly. As iam new to PP.

Accepted Solutions (1)

Accepted Solutions (1)

ravi_ramasamy3
Participant
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Hi,

Planning with Final Assembly is Make -To-Stock (MTS) strategy .Here based on the forecast the Final assembly is produced & kept in stock.

Where as planning without final assembly is a combination of MTO & MTS. ie all the subassemblies & components required for the Final products are procured/produced before the sale order receipt. The final assembly will be done only after the receipt of Sale order. This kind of planning is known as Assemble-to-order (ATO) strategy.

Regards,

Ramasamy

Answers (2)

Answers (2)

Former Member
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Thanks both of u .My question was solved

Former Member
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Hi Vamsi,

Thanks for awarding points.. but you are so conservative

Regards

Ranga

Former Member
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Hi Vamsi,

Planning with final assembly 40 is the make to stock strategy

W/o final assy is the make to order strategy 50

In 40- the PIRs are given in ME61 and the requirements are created. After mrp the planned orders are cretaed for the final product and the product produced.

When sales order comes it consumes the PIRs

In50 the finished product planned order will be relavant only when sales order is creatd.The PIRs are shown separately in MD04. The assemblies belwo the FG level are produced and made ready.

you can refer the sap help for further info

Regards

Ranga