This can be useful where a rage number of end products can be assembled from a number of common b. The planning strategies offered by SAP ERP regarding MSP and components. TAT are TAT with production orders, TAT with variant configuration, TAT with projects and TAT with planned orders. TAT with production orders are useful for a number of reasons?they may require status management functionality, want to use collective order functionality, want to use rework functionality or want to produce co- products. TAT with variant configuration allows the availability check to be carried out at a component level only.

TAT with projects uses networks and projects for those that manufacture or engineer their products but do not know how the sales order will be executed. TAT with planned orders are beneficial if production control is managed using production orders or if production is controlled using repetitive maturating. 4. Explain the meaning of the following terms (as used in SAP ERP): a. Planning Time Fence and the Firming Type I. Time fences are boundaries between different periods in the planning horizon. They also provide guidelines to establish where various restrictions or changes in operating procedures take place.

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Firming type determines how procurement proposals are to be firmed and scheduled within the planning time fence during planning run. B. In-House Production (Time) I. IPP specifies the time in workdays needed to produce the material in house. In house production time is independent of the order quantity. The system requires in house production time to determine the planned dates for planned orders in materials planning. C. Reservation I. This has a request made to the warehouse to keep materials ready for withdrawal at a later date. This simplifies and accelerates the goods receipt process.

A reservation for goods issue can be requested by various departments for various account assignment objects. D. Backsliding I. A goods issue must be posted for every material that is withdrawn during order processing. Goods issue posting can be carried out directly when the material is withdrawn or at a later date when the phase to which the relevant material component is assigned and confirmed. 5. Contrast the following terms: a. Variant BOOM vs.. Summarized BOOM I. A variant BOOM groups together several Booms that describe different objects with a high proportion of similar parts.

It also describes the specific product arrant for each product, with all of the components and assemblies. A summarized BOOM produces a complete count of the assemblies and other components across all levels in a product structure. It does not show the structure of the product and assemblies with individual components that occur more than once in a product are displayed as one item with a sum total item quantity. B. Dependent Requirement vs.. Independent Requirement I. A dependent requirement has demand based on the demand of another item. An independent requirement is a demand that is not based on the demand of another item. Scheduled Receipt vs.. Planned Order I. A planned order is sent to a plant and is an MR. request for the procurement of a particular material at a determined time. It specifies when the inward material movement should be made and the quantity of material that is expected. A scheduled receipt for a raw net demand must be available at the customer location at the beginning of the demand period. The schedule must also agree with the calendars and execution times for the delivery relevant activities on the supplier side and customer side. D. Safety Stock vs.. Safety Lead Time I.

Safety stock is the stock which is used when there are delayed deliveries in a production plant. Safety lead time is used to bring requirements forward. It proposes a Udder so Tanat on sleet Inventory does not run out causing delays In shipment. In can be used with safety stock or instead of altogether. E. Forward Scheduling vs.. Backward Scheduling I. Forward scheduling is taking a Job with a number of tasks and allocating those tasks to resources as early as possible. This type of scheduling tells you when a job could be completed vs. completing the Job when required.

Backward scheduling kooks at taking a Job with a number of tasks and allocating those tasks to resources in reverse order. This type of scheduling requires a delivery date to arrive at a start date. Different from forward scheduling, backward scheduling appears to schedule into the past because the necessary resources where not available to complete a production cycle. 6. Describe several (say 4-5) of the lot sizing methods used in SAP a. EX?exact lot size calculation. This static lot sizing ERP (e. G. EX, FAX, etc. ) procedure allows the system to create planned orders or procurement proposals to cover the exact shortage requirement. FAX?fixed lot size calculation. This would be used for a material that is only delivered in pallets of a certain or in tanks of a certain size, for instance. You can determine a threshold value for the fixed lot c. XSL?requirements distribution ratio (monthly). For XSL all requirements size. That fall within a week or within a specific number of months (which have been determined) are grouped together to form a lot. D. XX?requirements distribution ratio (weekly). For XX all requirements that fall within a week or within a specific number of weeks (which have been determined) are grouped together to arm a lot.