April 10, 2023 10:30 AM

How SAP Production Planning (PP) Boosts Your Profitability

Production planning is planning production and manufacturing in an industrial organization, utilizing the resource allocation of materials, employees, and production capacity to meet customer demand. SAP Production Planning involves materials, equipment, human resources, training, capacity, and the routing or methods to complete the work in a standard time.

SAP PP module tracks and records the manufacturing process flows for the planned and actual costs and movements from the conversion of raw material to semi-finished or finished products. It is integrated with the other SAP modules, Sales & Distribution (SD), Materials Management (MM), Quality Management (QM), Finance & Control (FICO), and Plant Maintenance (PM).

Why do Organizations need SAP (PP)?

Production planning is a critical task for companies in the manufacturing industry. If this process is mapped effectively and efficiently in a manufacturing company, then you can achieve your goals in the long term. The acceleration in the market means that the companies have to instantly meet the customer demand for just-in-time. So production planning (PP) is becoming increasingly complex and can only be realized with sophisticated software. SAP ERP, the PP module, is innovative, efficient, and flexible to learn short-term orders while ensuring quality.

The SAP PP sub-modules and their functionality:

PP-PI - Process Industries:

This sub-module processes and functions with batch-oriented production. The main application areas are the chemical, pharmaceutical, and food industries.

PP-MRP - Material Requirements Planning:

This sub-nodule deals with material requirements planning. The main objective is to ensure material is always available.

PP-REM - Repetitive Manufacturing:

This sub-module is used in the production planning of a series and a production flow framework and is used mainly in the automotive industry.

PP-SFC - Shop Floor Control SFC:

This component combines manufacturing and production planning with controlling and monitoring.

PP-MP - Master Planning:

This sub-module supports companies primarily in long-term production planning. It is necessary to obtain an overview of the future requirements situation for annual or rolling quarterly planning.

In conclusion, SAP Production Planning is an essential tool for manufacturing companies to achieve their production planning goals. It can help manage short-term orders while ensuring quality, streamline the procurement process, and provide an overview of future requirements for long-term planning.

As a trusted partner and consultant, Web Synergies analyzes your plant operating environment, streamlines your production planning process, and implements the SAP PP solution tailor-made for your industry to boost your business value. We use Analytical frameworks to evaluate the impact of the factors affecting your company's systems, technology, business process, and environment. With our deep domain expertise, SAP PP consultants engage effectively with our customers to share all the sap offers in designing, building, and testing winning SAP business solutions.

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