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This blog continuation to previous one –https://blogs.sap.com/2020/12/19/s-4hana-extended-production-engineering-and-operations-peo-part-6-2...

Reference Templates

Conversion of old reference templates to new reference templates

Reference templates are based on the same database tables as shop floor routings. Reference templates are version controlled and contains a processing status such as "In process", "Released" or "Obsolete".

In order to move the previous templates to new feature, customers must run the report MPE_RTG_CONV_CLBRD_REFT. This report will convert the old templates to new templates.

New Application "Manage Templates"

New manage templates application allows you to manage reference templates and shared copy templates that can be inserted in to shop floor routings, rework routings and order-specific routings.

Create a shop floor routing based on reference operation set

Reference operation sets can be inserted into already existing shop floor routings.

In addition you can create a new shop floor routing from scratch based on a released reference operation set from the manage templates app.

Local changes in shop floor routings

Reference templates which are assigned in shop floor routing cannot be changed. If you want to change a reference template, you need to create a new version of reference template in manage templates application.

Templates do not carry any parameter effectivity.

Upgrade reference templets (Pull and Push scenarios)

If a newer version of reference templates exists, this is indicator accordingly in the relevant shop floor routings. The upgrade mechanism works in the same way as function already available. You can always upgrade to latest versions.

It is possible to trigger the upgrade to the latest reference template version from the reference template centrally using where used report.

Nonconformance handling with Quality notifications

Create mapping between defect categories and quality notification type

You can create mapping between defect category and notification type for transferring defect to quality notification.

Same configuration will used for manual and auto transfer also.

Please note that quality management components are integrated with PEO application.

Record defect and manual transfer the defect to quality notification

User can record defect in Perform Work application for which user needs to manual transfer the defect.

Quality notification can be visible in Manage Defect application, user can transfer multiple defects to same quality notification.

User needs to transfer the defect to quality notification manually.

Please note that business roles to be defined within the origination policies between manufacturing and quality departments.

Record defect and auto transfer the defect to quality notification

User can record defect in Perform Work application for which the auto defect BADI is enabled.

Create component level defect

User can record defect at component level in Perform Work application for which auto defect BADI enabled.

It is possible to record defect for only components which are applicable for assembled.

Create quality tasks for quality notification further processing

Users can create quality tasks in quality notification item.

SAP standard delivered 8 types of codes to choose right task code and task group.

Shop floor order split

S/4HANA manufacturing for production engineering and operations (PEO) mainly tailored to the needs of the complex, discrete manufacturing industries (ETO, MTO and CTO). Suh industries are highly characterized as being producers of highly engineered products in a low volume of orders with longer product cycle times (up to months & years) and having multiple levels of subassemblies in their bill of materials (BOMs).

However each BOM component production is very important and produces in different small or large batch sizes. The ability to split the in process order is crucial for some products, such cases one production order may undergo for several splits in a day.

The following are the main reason to split the in process orders.

The total order quantity can not be completed in time due to capacity constraints.

Components unavailability to complete the total order quantity on time.

Total order quantity has several defects , quality issues and rework or repair process it may take longer period of time. Therefore this part must be split the rest of the order quantity.

Below are features supports in PEO 2021 release.

Split a serialized shop floor order

Split a non-serialized shop floor order

Transfer rework operations during the split of serialized and non-serialized shop floor orders

Display split order hierarchy in Manage Production Orders app

Display Genealogy for serial numbers which are moved across the multiple shop floor orders

Integration with smart tools   

SAP PEO provides possibility to use bar codes and scanners to identify;

Part being manufactured via material/serial number/order/operation combination

Component to be built in serial number/batch number

Tool to be register via serial number/UUID

SAP user interface supports alphanumeric or numeric barcode (code 128) .

Please note that smart tools integration feasibility must be performed before integration (pilot projects are recommended).

Manufacturing reference structure

A manufacturing reference structure (MRS) is a separate hierarchy of information that can be linked to the BOM hierarchy to provide additional contextual information for BOM components during the production process.



SAP S/4HANA manufacturing Production Engineering and Operations 2021 release provided enhancing the existing features and added new features to it's software.

Best Regards,







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