Basic Terms

[Former Member]

Please explain me the difference between these terms.

1) Planned order & Production order.

2) Receipt & requirement

3) Process order & manufacturing order.

Regards,

Johnn.

[RichHeilman]

Hi Johnn.

1) Planned orders that are created usually by MRP which means that there is a requirement for this material to be made, it is not yet a hard order, production schedulers takes these plan orders and convert them into production orders which are then usually printed and sent to the shop floor. The shop floor personell use this to make the item.

2) A receipt is a "goods receipt". A lot of times, a GR(goods reciept) is done when you receive something from a vendor. You do a transaction MIGO. A requirement can be driven from a couple ways, usually the requirement comes from a sales document. A customer puts in a sales order for an item, MRP sees the requirement for this item and creates a planned order for it. Prod Schedulers convert to production order, item it made, then confirmed and shipped out.

Regards,

Rich Heilman

[RichHeilman]

3) You can read up on process orders here.

http://help.sap.com/saphelp_erp2005vp/helpdata/en/89/a42c7a461e11d182b50000e829fbfe/frameset.htm

It has been explained to me that process orders use recipes. And example was giving like a process order for making gasoline.

Manufacturing orders are ones that desribe the components of the item and may outline the steps in which to assemble it.

Regards,

RIch Heilman

[Former Member]

hi

good

planned order->

Planned Order--When materials are available and capacity exists this plan is created and then converted into a

Production Order.

Shop Floor Control where the actual production takes place and is registered into the system as finished goods.

Production order->

Production Orders reporting has flexibility of confirming orders with or without backflush. The material can be staged to production site from the Warehouse after releasing the order. Costing can be triggered automatically by integrating the module with the Cost Accounting Module.

RECEIPT->

The last page of one substance report or several related reports that the recipient should return to the sender.

The layout of an acknowledgement of receipt is defined using an acknowledgement of receipt template.

REQUIREMENT->

The Sourcing application provides you as the purchaser with all sourcing-relevant information. As the purchaser or the person responsible for the relevant role, you have a comprehensive range of options in the Sourcing application to enable you to determine the most suitable source for a requirement. The Sourcing functions serve the following purposes:

· Process requirements (for example, create local purchase orders, bid invitations or contracts)

· Provide information to support your decision-making when determining sources of supply

PROCESS ORDER->

The manufacturer is able to control the process order execution with a single, adaptable interface to the shop floor operator. He defines rules for the account assignment and settlement of the costs incurred. Meanwhile production-relevant data can be exchanged from process control systems via different interfaces like OPC (OLE for Process Control) or PI-PCS directly. This ensures that all data from lot start to lot finish can be captured by the batch management before the product is released for final delivery. All relevant production data including all QM data should be automatically collected e.g. in an electronic batch record (EBR) and are available for review. Manufacturing enables a flexible manufacturing strategy and supports make-to-stock and make-to-order scenarios as well as manufacturing at risk.

thanks

mrutyun^