Consumption Based Planning Process in SAP MM

The below SAP Tutorials help to know the consumption based planning procedures in detail. These are used in areas without in-house production and/or in production plants for planning both B- and C-parts and operating supplies. The consumption based planning Includes Recorder Point Planning, Forecast based Planning, and Time Phased Planning,we can discuss below in detail.

Reorder Point Planning

In the reorder point planning procedure, the system compares available warehouse stock with the reorder level. If available stock falls below the reorder level, an order proposal is generated. The reorder level (also known as the reorder point) is made up of the sum of the safety stock plus the expected average material consumption within the replenishment lead time. Therefore, when determining the reorder level, you must take safety stock, previous consumption values or future requirements and the replenishment lead time into account.

Safety stock must be set at a level which covers both excess material consumption within the replenishment lead time and the additional requirements which may occur during delivery delays. You must, therefore, take previous consumption or future requirements, and the vendor’s delivery timeliness or that of production into account when determining the safety stock level.

Forecast Based Planning

Like reorder point planning, forecast-based planning operates using historical values and forecast values as future requirements are determined via the integrated forecasting program. However, in contrast to reorder point planning, these values then form the basis of the planning run in forecast-based planning.

The forecast, which calculates future requirements using historical data, is carried out at regular intervals. This offers the advantage that requirements, which are automatically determined, are continually adapted to suit current consumption needs. If, during the current period, material has already been withdrawn from stock, then the forecast requirement is reduced by the quantity of material that was withdrawn. This mean that the quantity of the forecast requirement that has already been used is not included in the planning run again.

You can specify the period split for the forecast (daily, weekly, monthly or per accounting period) and the number of periods to be included in the forecast individually for each material. It is possible; however, that the forecast period split is not specific enough for planning purposes. Therefore, for each material, you can determine that the MRP forecast requirement values should be divided according to a finer period split. You can also determine how many forecast periods are to be taken into account during requirements planning.

For a monthly forecast, the requirements date would be set on the first workday of the month because, for planning, it is assumed that the total requirement must be available at the beginning of the period. You can then divide this monthly requirement into either daily or weekly requirements.

The requirements quantities forecast by the system are used in the planning run to carry out the net requirements calculation. During this calculation, every period is checked to make sure that the forecast requirements are covered either by available warehouse stock, by planned receipts from purchasing or by production. If the requirements forecast by the system are not met by these above mentioned possibilities, then an order proposal is generated.

Time Phased Planning
If a vendor always delivers a material on a particular day of the week, it makes sense to plan this material according to the same cycle in which it is delivered, but displaced by the delivery time. This is possible with the time-phased planning procedure. If a particular material is to be planned using this procedure, you must set the MRP type for time-phased planning and you must enter the planning cycle in the material master record. You enter the planning cycle in the form of a planning calendar in the Planning cycle field. You must also define a planned delivery time and the Lot-for-lot order quantity as the lot-size key.

You can also use the optimum lot-sizing procedures for time-phased planning. They are used here in the same way as in Reorder Point Planning. Materials that are planned using the time-phased planning technique are provided with an MPR date in the planning file. This date is set when creating a material master record and is re-set after each planning run. It represents the date on which the material is to be planned again and is calculated on the basis of the planning cycle entered in the material master record. For materials that are planned using the time-phased planning procedure, the two indicators, the total change indicator and the net change planning indicator are irrelevant. Therefore, they are not set by the system even if changes that are relevant to the planning run are made.

By using this planning technique, you can set the system so that it only plans materials on specific pre-defined days. For example, if you assign the same planning cycle to all the materials of a particular vendor, the system will always plan these materials on the same day. The purchase requisitions that are created in the planning run to cover material shortages can be processed, per vendor, by the MRP controller in the SAP purchasing system.

If you use the SAP Merchandise Management System, the system proposes the planning cycle from the vendor sub-range when you create a material master record. The vendor sub-range contains all the goods of a particular vendor that, from a logistical view, can be planned similarly.

You can also enter an MRP date during the planning run, meaning that you can bring the planning run forward to an earlier date, if necessary. For example, if the planning run is set for Monday, you can bring it forward to Saturday instead

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What is Difference between Safety stock and Reorder Level in SAP

If a warehouse that stores material has to be ready for delivery at all times, then there has to be a high level of safety stock in this warehouse, as forecasting error cannot always be ruled out. This would also entail a high level of warehousing costs. The level of safety stock depends on the service level you select, on the replenishment lead time and on the accuracy of the forecast.

In order to keep the safety stock and therefore the storage costs as low as possible, the MRP controller usually specifies a service level for each material. From a mathematical point of view, the service level represents an organization’s ability to avoid a shortfall occurring during replenishment lead time. If you opt for a relatively high service level, then the safety stock level calculated by the system will also be high. If you opt for a low service level, then the stock level will also be low.

Safety stock and Reorder Point in SAP

The replenishment lead time refers to the in-house production time for in-house production and the planned delivery time for external procurement. It represents the time between the initiation of a procurement procedure and transferring the material into the warehouse. The replenishment lead time is stored at plant level in the material master record by the MRP controller. Since the probability of a shortfall is higher in a longer period, the safety stock level must also be set higher for long replenishment lead times.

Finally, the safety stock level also depends on the accuracy of the forecast. If the forecast deviates greatly from the actual consumption values, then the safety stock level will also be unusually high.

In addition to the safety stock level, the system recalculates the reorder level for materials which are subject to automatic reorder level adjustment. The reorder level is the sum of the safety stock and the forecast requirement within the replenishment lead time or the overall lead time for materials produced in-house.

The system compares “static” availability during material withdrawal; that is current availability, without taking future requirements into consideration, with the reorder level. In other words, it compares the remaining stock with the reorder level. If remaining stock falls below the level, then the system marks the material for the planning run by making an entry in the planning file. During the next planning run, the system automatically generates a purchase requisition or a planned order for the material.

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Outline agreement in SAP

This post explains general background information on the “outline agreements” (which, outside the SAP System, may also be referred to as blanket, master, framework or umbrella agreements) that are used in the SAP MM Purchasing component. In basic Outline Agreement can be classified with 2 different types. Contract and Scheduling agreements.

Contract is nothing but where you can have contract with the vendor,and this might be predetermined quantity. For example whenever you need the material the you need to make PO reference to this contract and asking for the delivery of the material.

Scheduling agreement is nothing but long term purchase agreement, where you can keep issuing the delivery schedules whenever there is change in requirement or predetermined time intervals. We can classify the delivery schedule on hour or daily or weekly or monthly basis.

An outline agreement is a longer-term arrangement with the vendor regarding the supply of materials or the performance of services according to predetermined terms and conditions. In MM Purchasing, such agreements are subdivided into “contracts”and “scheduling agreements.” Outline agreements may be subject to a release (approval or clearance) procedure.

To Create Contract following the below steps:

Path to create Contract:
Logistics => Materials Management => Purchasing => Outline Agreement => Contract => Create
Transcation Code: ME31L

The Structure of an outline agreement

As in the case of other purchasing documents, an outline agreement consists of the following elements:

Document header:

• It contains information specific to the entire agreement.
• For example: the vendor information and header conditions are in the document header.

Items:

• Items that contain the information specific to the material or service. For example:
• Statistics on ordering activities for the item
• Quantity or price of the item
• Pricing conditions, such as quantity discounts and surcharges

Texts in outline agreements

You can create your own texts from scratch in an agreement or change a text that has been suggested by the system. There are two kinds of agreement text: header text and item text. The texts are further subdivided into text types, for example, shipping and delivery instructions. The text type determines the print sequence on the document printout.

Outline agreement is nothing but long term purchasing agreement with vendor in containing certain terms and conditions regarding the raw material that is supplied by the vendor. Outline agreement which is valid up to certain period of time with some predefined quantity or value.

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How to Explain Output determination Procedure in SAP SD?

Output determination Transaction code : (NACE T-code)

Output is a form of media from a business to one of its business partners. The possible media forms are printouts, faxes, telexes, e-mails, and EDI. The output can be sent to any of the partners defined in the document. Outputs are usually in the form of order confirmations, delivery notes, invoices, and shipping notifications.



Output determination to maintain 8 activities

A. Sales Activities

B. Sales document’

C. Deliveries

D. Picking lists

E. Shipping units

F. Groups (type of collective processing_

G. Shipments

H. Billing Document

1. Maintain Condition Table

2. Access Sequence

3. Output Type

BA00-Order Confirmation

1. In condition type in general record assign the access sequence

2. Here one can do setting either access sequence should purpose from condition record or customer master records

3. One can set here business partner SP, BP, Ship to party etc. Screen :

Default values

4. Assign Output Types To Partner Functions

Specify a previously defined output type. Specify the allowed partner functions. Define an output medium (for example, printout, telefax, or mail).

5. Maintain Output Determination Procedure

6 Assign output Determination Procedure

Sales order confirmation

1. Maintain output types (Transaction: V/30 or Sales & Distribution -> Basic Functions -> Output -> Output determination -> Output proposal using the condition technique -> Maintain output determination for sales document -> Maintain output types)

1.1. Select and copy BA00 to ZA00

1.2. Access sequence 0003 (Sales org / customer). If one of these is not suitable then you need to maintain condition tables

1.3. Change Transm. Medium to 6 (EDI), partner function SP (Sold to), Time (4 = immediate)

1.4. Check access to conditions and check off multiple issuing

1.5. Save

2. Assign output determination procedure (Transaction V/47 or Sales & Distribution -> Basic Functions -> Output -> Output determination -> Output proposal using the condition technique -> Maintain output determination for sales document -> Assign output determination procedure)

2.1. Create a new entry for ZA00, medium 6, function SP and order confirmation.

3. Maintain output determination procedure (Transaction V/32 or Sales & Distribution -> Basic Functions -> Output -> Output determination -> Output proposal using the condition technique -> Maintain output determination for sales document -> Maintain output determination procedure)

3.1. Check Assign output determination procedures -> Allocate sales document header (Transaction V/43) for the Output procedure being used for order OR and BA00 and you’ll find that it is linked to V10000

3.2. Select V10000 (Transaction v/32) and choose control

3.3. Add a new step for your new output type. Eg. Step 40 (Next Step in sequence), Counter, Type = ZA00 and requirement 22 (Requirement tells when the output is required to be fulfilled. Ie. After order confirmation, after goods issue, …)

4. Create condition records (Menu path: Logistics –

> Sales & Distribution -> Master data. Output -> Sales document – Create)

4.1. If required select the appropriate key combination (in this case the Sales org / customer relationship)

4.2. Enter the customer number (QWM000 in this case) and enter. The rest of the values should be read in except the partner number.

4.3. Enter the required partner number (QWM000 in this case). This is the partner that will be EDI’d the data. It is usefull when you have multiple SAP customers that need to send messages to 1 partner. Eg. All the Wal-Marts send their invoices to 1 office. You would then have a list of customers, relating to each Wal-Mart, pointing to 1 Wal-Mart partner that will receive all the EDI docs.

Advance shipping notification

Similarly the output type was copied from LALE to ZALE and linked to partner QWM000

Based on when a delivery note is created (Transaction V/36)

Invoice

Similarly the output type was copied from RD00 to ZD00 and linked to partner QWM000

Based on when a delivery goods issue is posted. (Transaction V/42)

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Request For Quotation (RFQ)

What is request for quotation (RFQ) in sap?

The Request For Quotation (RFQ) is an invitation to a vendor to indicate his terms and conditions (in particular, his price) for the supply of a material or the provision of a service by submitting a quotation. As in the case of the purchase requisition, the RFQ identifies the material, quantity, and delivery date.

In addition, the RFQ contains information about the vendor to whom the request for quotation (RFQ) is sent (for example, the vendor’s name and address) and important dates for the RFQ (such as the closing date for applications, or pre-qualification date, and bid submission deadlines). RFQs can be subject to a release procedure.

Structure of an RFQ in SAP
The request for quotation is organized as other purchasing documents. The header contains general information about the RFQ, such as the vendor address. Each item identifies the individual materials for which a price is required from the vendor. One main difference between request for quotation (RFQs) and other purchasing document types is the fact that you cannot enter account assignments for RFQ items.

To Create RFQ in SAP use the Transaction code: ME41

What is a quotation in SAP?

The quotation contains the vendor’s pricing and conditions for providing the material or service stated in the RFQ. In SAP MM Purchasing, the request for quotation and quotation are the same document. You enter the vendor’s pricing and conditions in the original RFQ.

Then you can find the below points

• To use the price comparison list to help you determine the best quotation.
• To send rejection letters to the appropriate vendors.
• To store the pricing and terms of delivery for certain quotations in the info record for future reference.

Processing of request for quotation (RFQs) and Quotations.

• You do the following when processing sap request for quotation RFQs and quotations:
• You create an RFQ manually or by referencing a requisition.
• You specify which vendors will receive the request for quotation. A separate document is created for each addressee.
• You enter the prices and conditions from the vendor’s quotation into the request for quotation RFQ.
• You can monitor the status of the request for quotation and quotation as it is further processed (that is, following creation of a contract or purchase order).

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SAP SD Tables list Overview

SAP Training Tutorials gives to know more on the SAP SD tables which using frequently in SAP SD sales and distribution module. The list of important SP SD tables as below,

General Tables

• KNA1 : General Data
• KNB1 : Customer Master – Co. Code Data (payment
• method, reconciliation acct)
• KNB4 : Customer Payment History
• KNB5 : Customer Master – Dunning info
• KNBK : Customer Master Bank Data
• KNKA : Customer Master Credit Mgmt.
• KNVP : Partner Function key
• KNVD : Output type
• KNVS : Customer Master Ship Data
• KNKK : Customer Master Credit Control Area Data (creditlimits)
• KNVV : Sales Area Data (terms, order probability)
• KNVI : Customer Master Tax Indicator
• KLPA : Customer/Vendor Link
• VBUK : Header Status and Administrative Data

SAP Sales Order Document Tables

• VBAK : Sales Document – Header Data
• VBKD : Sales Document – Business Data
• VBUP : Item Status
• VBAP : Sales Document – Item Data
• LIPS : Delivery Document item data, includes referencing PO
• LIKP : Delivery Document Header data
• VBPA : Partners
• VBFA : Document Flow
• VBEP : Sales Document Schedule Line
• VBBE : Sales Requirements: Individual Records
• VBRK : Billing Document Header
• VBRP : Billing Document Item
• VEKP : Shipping Unit Item (Content)
• VEPO : Shipping Unit Header

SAP Shipping & Delivery Document Tables

• LIKP : SD Document: Delivery Header Data
• LIPS : SD document: Delivery: Item data
• VEPO : Packing: Handling Unit Item (Contents)
• VEKP : Handling Unit – Header Table
• VTTP : Shipment Item
• VTTK: Shipment Header
• VBLK : SD Document: Delivery Note Header

SAP Billing Document Tables

• VBRK : Billing Document: Header Data
• VBRP : Billing Document: Item Data
• VBSS : Collective Processing: Sales Documents
• VKDFS: SD Index: Billing Initiator
• NAST : Message Status
• VBSK : Collective Processing for a Sales Document Header
• VRPMA: SD Index: Billing Items per Material
• VRKPA : Sales Index: Bills by Partner Functions

SAP Material Master Data Tables

• MARA : General Material Data
• MAKT : Material Descriptions
• MARM : Units of Measure for Material
• STXH : STXD SAPscript text file header
• STXL : STXD SAPscript text file lines
• MARC : Plant Data for Material
• MVKE : Sales Data for Material
• T179 : Materials: Product Hierarchies
• MLAN : Tax Classification for Material

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HR Human Resource Transaction Codes - Technosap.com

SAP HR Transaction Codes
 

SAP HR (Human Resource) module enables each company to effectively manage the employee information in their organization. SAP HR is integrated with other SAP modules and external systems. SAP HR Tcodes (Transaction codes) are the short-cut codes that will help users to take in to directly to the desired screen. To execute the transaction RPDTRA00 to list all
HR Transactions.

The followings are some useful SAP HR Tcodes:

SAP HR Tcodes – Master Data

Transaction Code  Description

PA10 Personnel file
PA20 Display HR Master Data
PA30 Maintain HR Master Data
PA40 Personnel Events
PA41 Change Hiring Data
PA42 Fast Data Entry for Events
PRMP Travel Expenses : Feature TRVPA
PRMD Maintain HR Master Data
PRMF Travel Expenses : Feature TRVFD
PRML Set Country Grouping via Popup
PRMM Personnel Events
PRMO Travel Expenses : Feature TRVCO
PRMS Display HR Master Data
PRMT Update Match code
PS03 Info type Overview
PS04 Individual Maintenance of Info types

SAP HR Tcodes – Time Management

PA51 Display Time Data
PA53 Display Time Data
PA61 Maintain Time Data
PA62 List Entry of Additional Data
PA63 Maintain Time Data
PA71 Fast Entry of Time Data
PBAB Maintain Vacancy? assignments
PT01 Create Work Schedule
PT02 Change Work Schedule
PT03 Display Work Schedule
PA64 Calendar Entry
PA70 Fast Data Entry

SAP HR Tcodes – Payroll

PA03 Change Payroll control record
PC00 Run Payroll
PC10 Payroll menu USA
PE00 Starts Transactions PE01 PE02 PE03
PE01 Schemas
PE02 Calculation Rules
PE03 Features
PE04 Create functions and Operations
PE51 HR form editor
PRCA Payroll Calendar
SPRO IMG
SE16 Data Browser (Table Reports)
PRCT Current Settings
PRCU Printing checks USA
PRD1 Create DME
SM31 Maintain Table
SM12 Locked Secessions
TSTC Table Look up
PP03 PD Tables
PPOM Change Org Unit
PO13 Maintain Positions
PO03 Maintain Jobs

SAP HR Tcodes – Benefits
 
PA85 Benefits – Call RPLBEN11
PA86 Benefits – Call RPLBEN07
PA87 Benefits – Call RPLBEN09
PA89 COBRA Administration
PA97 Salary Administration – Matrix
PA90 Benefits Enrollment
PA91 Benefits – Forms
PA92 Benefits Tables – Maintain
PA93 Benefits Tables – Display
PA94 Benefits – Access Reporting Tree
PA95 Benefits IMG – Jump to Views
PA96 Benefits reporting
PA98 Salary Administration
PA99 Compensation Admin – rel. Changes
PACP HR-CH : Pension fund, interface

SAP HR Tcodes – General Reporting

PM00 Menu for HR Reports
PM01 Dialogs in HR – Create Custom info types
PRFO Standard Form
PSVT Dynamic Tools Menu
PAR1 Flexible Employee Data
PAR2 Employee List

SAP HR Tcodes – Organizational Management
 
PPOM Change org Unit
PO03 Maintain Jobs
P013 Maintain Position
PO10 Maintain Organizational Unit
PP01 Maintain Plan Data (menu-guided)
PP02 Maintain Plan Data (Open)
PP03 Maintain Plan Data (Event-guided)
PP05 Number Ranges
PP06 Number Ranges Maintenance HR Data
PP07 Tasks/Descriptions
PP69 Choose Text for Organizational Unit
PP90 Setup Organization
PP01 Change Cost Center Assignment
PP02 Display Cost Center Assignment
PP03 Change Reporting Structure
PP04 Display Reporting Structure
PP05 Change Object indicators (O/S)
PP06 Change Object indicators OS
PPOA Display Menu Interface (with dyn.)
PPOC Create Organizational Unit
PPOM Maintain Organizational Plan
PPOS Display Organizational Plan
PQ01 Events for Work Center
PQ02 Events for Training Program
PQ03 Events for Job
PQ04 Events for Business Event Type
PQ06 Local Events
PQ07 Resource Events
PQ08 Events for External Person
PQ09 Events for Business Event Group
PQ10 Events for Organizational Unit
PQ11 Events for Qualification
PQ12 Resource Type Events
PQ13 Events for Position
PQ14 Events for Task
PQ15 Events for Company
PSO5 PD : Administration Tool
PSOA Work Center Reporting
PSOC Job Reporting
PSOG Org Mgmt General Reporting
PSO1 Tools Integration PA-PD
PSOO Organizational Unit Reporting
PSOS Position Reporting
PSOT Task Reporting

SAP HR Tcodes – Recruitment
  
PB10 Initial Entry of applicant master data
PB20 Display applicant master data
PB30 Maintain applicant master data
PB40 Applicant events
PB50 Display applicant actions
PB60 Maintain Applicant Actions
PB80 Evaluate Vacancies
PBA0 Evaluate Advertisements
PBA1 Applicant Index
PBA2 List of applications
PBA3 Applicant vacancy assignment list
PBA4 Receipt of application
HRP1505 DB Table for Infotype 1505
HRP1506 DB Table for Infotype 1506
HRP1507 DB Table for Infotype 1507
HRP1518 DB Table for Infotype 1518
HRP1519 DB Table for Infotype 1519
HRP1520 DB Table for Infotype 1520
HRP1600 Database Table for Infotype 1600
HRP1601 Database Table for Infotype 1601
HRPAD21 Additional data PAD21
HRPAD22 Additional data PAD22
HRPAD23 Additional data PAD23
HRPAD25 Additional data PAD25
HRPAD27 Additional data PAD27
HRPAD31 Additional data PAD31
HRPAD44 PAD44 Additional Data
HRPAD47 PAD47 Additional Data
HRPAD48 Additional Data PAD48
HRPAD50 Additional Data PAD50
HRPAD51 Additional data PAD51
HRPAD53 Additional Data PAD53
HRPAD63 PAD63 Additional Data
HRPAD77 Additional data for PAD77
HRPADBLIST Additional Data Databases
HRPADD2 Additional Data PADD2
HRPADD3 Additional Data PADD3
HRPADIC Additional Data PADD2
HRPADNLIST Additional Data Number List
HRPADNN General Additional Data Table
HRPADP1 Additional Data PADP1
HRPADP2 Additional Data PADP2
HRPADPM Additional Data PADPM
HRPADTI PADTI Additional Data
HRPADUZ PADUZ Additional Data- RequirementsAssignment of Persons
HRPADXN Additional Data PADXN
HRPS_T012K For Decoupled Access to T012K (House Bank and Account)
HRPVAC List of vacant positions

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