SAP Production Planning & Execution
in S/4 2023
ERP Strategy “74”, APO Strategy “Not sure”
Make-to-Order
Sub-Assembly Planning
(to confirm what APO Strategy
and if PPDS is supported)
SAP documentation states that MTO Strategy “74” (ERP Strategy) is the MTO version of the MTS Strategy “70” but it is called “Sub-Assembly Planning w/o Final Assembly), but not sure of the equivalent PPDS APO Strategy and if it is supported for Advanced Planning. Let’s find out!
Strategy Group 74 is assigned with Strategy 74 as its Main Strategy
Strategy 70 for MTS at Sub-Assembly
Strategy 74 for MTO at Sub-Assembly (and w/o Final Assembly)
Do not change to other Planning indicators:
1 Net Req.Planning (is for MTS Strategy 10, 30, 40, 70 that consider Stocks in Planning)
2 Gross Planning (is for Strategy 11 to ignore Stocks)
3 Single-item Planning (is MTO Strategy for 50, 74)
Consumption indicator:
1 No Consumption (MTS Strategy 10, 11, 30 where Sales Order do not consume the PIR)
2 Consume Planning with Assembly (MTS Strategy 40 or 70)
3 Consume Planning w/o Assembly (MTO Strategy 50 or 74)
4 Consume Planning Material (MTO Strategy 60)
Both Strategy 70 (MTS) and Strategy 74 (MTO) are design for PIR at the Sub-Assembly level
Strategy Group 70,74
Mixed MRP Indicator set
Any Strategy for 70
MTO Strategy for 74
In Both Strategy 70 (MTS) and Strategy 74 (MTO), the PIR created at the Sub-Assembly level will be CONSUMED by the Dependent Requirement from its Parent
Both Strategy 70 and 74’s PIR will be REDUCED by the Activity of Goods Issue the Sub-Assembly to the Production Order of the PARENT (Finished Product)
Mixed MRP “1” for Strategy 70
Mixed MRP “3” for Strategy 74
Strategy Group “74” to to Sub-Assembly ZASSY6
Test with APO Strategy “30”
ZFG6
Strategy 20
ZRM61
Coll.Ind “2”
ZASSY6
Strategy 74
ZRM62
Coll.Ind “2”
ZRM63
Coll.Ind “2”
MTS
MTO
PV for both ZASSY6 and ZFG6 created
Transfer PV of both to APO PDS
PDS created for both ZFG6 and ZASSY6
3 months PIR for ZASSY6
the PIR is segmented just like Strategy 50 (Planning w/o Final Assembly)
ZASSY6 has 4pc of MTS Stocks
ZASSY6 has 4pc of MTS Stocks
the PIR is segmented just like Strategy 50 (Planning w/o Final Assembly)
Until this point, looks like APO Strategy “30” sets the same behavior in /SAPAPO/RRP3
to MD04
ZFG6 with Strategy “20” MTO
MTO Sales Order created for ZFG6
MTO Segmentation for the ZFG6
MTO Segmentation for the ZFG6
MRP Live for ZFG6
BOM Explosion for ZFG6
MTO Planned Order for ZFG6
MTO Planned Order for ZFG6
MTO Planned Order for ZASSY6 as Strategy 74 is MTO Strategy
MTO Planned Order for ZASSY6 as Strategy 74 is MTO Strategy
check MD73 to verify the ZFG6 Dependent Requirement Consume the ZASSY6 PIR
Physical Forecast (PIR) is still 50
the ZFG6 Dep.Req. was used to Consume the ZASSY6 PIR
Physical Forecast (PIR) is still 50
MTO Planned Order for ZFG6 (same as in MD04)
the MTO segment for ZASSY6 looks to be mapped correctly same as in MD04
the PIR presented in APO Product view does not seem to have been Consumed as expected !!!!
APO Strategy is mapped to MRP3 Strategy 50
but may not be suitable for MRP 3 Strategy 74
Order type “VP” for Planned Order pegged to the PIR (conversion to Prod Order not allowed)
convert the Sub-assembly ZASSY6
GR the MTO Prod Order for ZASSY6
GR the MTO ZASSY6 into Sales Order stock
NO Reduction at this time point
the MTO Planned Order for ZFG6 to convert to MTO Prod Order, Release it
SAVE
MTO Prod Order released for ZFG6
Dependent Requirement becomes Reservations
NO Reduction at this time point
GI 2 of this Sales Order stock to check REDUCTION to the PIR
GI 1pc ZASSY1 MTO Sales Order stock to the ZFG1 MTO Prod Order
ZASSY1 MTO Stocks is 10pc before Goods Issue
ZASSY1 MTO Stocks is 9pc after Goods Issue
PIR is 40
49 - 9 = 40
MD73 to check PIR Reduction if any
MTO Stocks
10 - 1 = 9
49 because of GI of 1pc reduce the PIR from 50 to 49
Presented to MD04
is 49 - 9 (remaining Reservations) = 40
PIR reduced 1pc
from 50 to 49
49 because of GI of 1pc reduce the PIR from 50 to 49
Presented to MD04
is 49 - 9 (remaining Reservations) = 40
the MTO Segment in ZASSY6 is the same as MD04
Consumption and Reduction logic via APO Strategy “30” is not correct
APO Strategy “30” is mapped to MRP3 Strategy “50”
BUT is not suitable for MRP3 Strategy “74”
APO Strategy “30” with this setting is designed for MRP3 Strategy “50” but based on Testing does not seem to be suitable for MRP3 Strategy 74”
Maybe to test create a new Strategy with a different Category Group (pending further investigation)
SAP documentation states that MTO Strategy “74” (ERP Strategy) in the S/4HANA 2023 testing does not seemed to have a Mapping to the PPDS APO Strategy and pending further testing, the current tentative conclusion is the the Strategy in supported in S/4HANA 2023 classic MRP but not APO PPDS Planning