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Plant very urgent

Former Member
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Dear All,

We have a situation that we are producing 5 differen product, by using five process and different machines too. Now we have a problem that we should go for multiple plant or one plant .

Pls. explain when we should create multiple plant?

If we create one plant or multiple plants what are the prons & cons. Pls expalin.

Kindly expalin what is the logic behind to create one or multiple plant

Accepted Solutions (0)

Answers (5)

Answers (5)

Former Member
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Hi Rita

Mutilple plants will come into picture for the below reasons

1. if the processing stations are located at different geographical locations

2. and the each station will be controlled for profit and loss separately( Independently.

But from yo questions you didn't mention that the controll of these 5 process takes place. A singel plant can handle n number of products and corresponding production lines. So the Number of plants will be the Financial desicion

Hope this helps

SK

former_member196398
Active Contributor
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Rita,

On the face of the question it looks simple that we need to go for just one plant considering the data given by you.

I would also request you the give due consideration for the following,

1. How inventory needs to be controlled.

2. Geographical location of the work center.

3. Organisation management structure and type of reporting needed.

4. Legal consideration if any

Hope this helps....Reward your points if so,

Regards,

Prasobh

Former Member
0 Kudos

Pls. enlain what is the logic to create one plant and multiple plants

regards,

anamika

former_member196398
Active Contributor
0 Kudos

Anamika,

I think i explained, please let me know the specific questions you have, may be if you could explain the current business scenario it will be helpful.

Regards,

Prasobh

Former Member
0 Kudos

No of products is not at all a concern for number of plants to create.

One can produce/procure any no of products in one plant.

If any organization is having different plants at different/one location, we should define them as different plants.

Most practical example is, if the production is done at one place and it is distributed over different locations. These different locations stocks the products and are further distributed from there.

In this case we can define as many number of plants as distribution centers including one production plant. We can do cross plants planning or other configurations as per business process.

Suresh

Former Member
0 Kudos

Hi

Multiple plants come into picture when a company have more then 1 plant.for maintenance purpose we have to maintain them all.now there r maint plants and maint planning plants,kindly let me knw where u r confused.

former_member214272
Contributor
0 Kudos

Hi rita ,

There is no need to create five different plants

You have 5 product with 5 process and different machine

you fooloe the path

1) create material master for all material

2) then create bom for 5 product with respective components

3) create work centers (required for processing)

4) create 5 routing for 5 product.and assign respective workcenter with sequence of operation .

if you create different plan for each product you will create difficullty for u only

if you go as per the path there is no need to create different paln

still you face the problem reply

thnax

sunil jawalkar

former_member184627
Active Contributor
0 Kudos

Hi Rita.

If all the 5 material are produced in the same plant, then you can create a material master for all the material in the same plant along with the work centers & routing. And if you run mrp for this plant, you can plan the requirments/procurement proposals for all the 5 material.

Whereas if you create with multiple plants, you will have to run mrp for the plants separately.

Regards,

Senthilkumar SD

Former Member
0 Kudos

Hi

you can have multiple products in one plant u neednot to have different plants for different products. If physcially u will have more than one plant then u create multiple plant.

regards

Ramakant