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Production in Another Location (new) ( RELNAPO_401_PPS_PRODLOC )

Production in Another Location (new) ( RELNAPO_401_PPS_PRODLOC )

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Short text

Production in Another Location (new)

Use

As of SAP APO 4.0, production in another location is available in SAP APO as a new form of procurement for in-house production. You use production in another location if several locations (often warehouses or distribution centers) are responsible for planning a finished product, but this product is manufactured in another location (typically a production plant) that does not have any planning responsibility.

To model this scenario in SAP APO, you use an in-house production source of supply (PPM, R/3 runtime object, or iPPE access object) in SAP APO, in which the planning location and the production location are different, for the finished product that you want to procure using production in another location. In SAP APO 4.0, the planning location has been added to the maintenance of PPMs and iPPE access objects. SAP APO uses such an in-house production source of supply to create a planned order whose receipt is in the planning location and whose component requirements are in the production location. You execute procurement planning for the finished product in the planning location, and procurement planning for the components and capacity planning in the production location.

The benefits of production in another location are as follows:

  • There is no stocking level (the stocking level for the finished product in the production location), thus reducing total stock and lead times
  • The shipment of the finished product from the production location to the planning location is not modeled, thus reducing the administrative work involved

Note the following constraints:

  • Due to the simplified process, you cannot implement production in another location for stock transfer and transport-based scenarios such as subcontracting, Deployment, and Transportation Planning and Vehicle Scheduling. Stock transfer and transport processes play a key role here; you have to model them explicitly using the relevant master data (transportation lanes).
  • It is not possible to group together the requirements of the various planning locations and form lots for the production location.

The following planning applications support production in another location:

  • Supply Network Planning
  • Capable-to-Match
  • Production Planning and Detailed Scheduling

Production in another location is also supported continuously in an integrated scenario in which you implement SAP APO as a planning system, and SAP R/3 for master data management and order processing. Production in another location extends the SAP R/3 special form of procurement here, production in another plant, which is defined in SAP R/3 by a corresponding special procurement key for the finished product in the planning plant. When the SAP R/3 master data for production in another plant is transferred, PPMs or PP/DS runtime objects are automatically created in SAP APO for production in another location. When an in-house production order that is created in SAP APO is processed, the receipt for the finished product is in the planning location, and component withdrawal is in the production location.

Effects on Existing Data

Effects on Data Transfer

Effects on System Administration

Effects on Customizing

Further Information






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