Showing results for 
Search instead for 
Did you mean: 

Planning strategy

Former Member
0 Kudos

What is meant by planning belongs to MRP control keys. can anyone please explain me

Accepted Solutions (1)

Accepted Solutions (1)

Former Member
0 Kudos

Hi Vamsi

Planning strategies represent the business procedures for the planning of production quantities and dates. A wide range of production planning strategies are available in the SAP R/3 System, offering a large number of different options ranging from pure make-to-order production to make-to-stock production. Depending on the strategy you choose, you can:

Use sales orders and/or sales forecast values to create the demand program

Move the stocking level down to the assembly level so that final assembly is triggered by the incoming sales order

Carry out Demand Management specifically for the assembly

You can also combine planning strategies. This means that you could select the planning strategy Planning with Final Assembly (40) for a finished product, but you can still select a different strategy, such as Planning at Assembly Level (70) for an important assembly in the BOM of this finished product.

The planning strategies available for a material are listed in Customizing. You can assign a planning strategy to a material in the material master record, by means of a strategy group. Different requirements types are defined for each of the strategies and each requirements type contains important control parameters.

Planning strategy to be defined in R3 under MRP3 view. WHile ciffing this will get transferred to APO

In APO you can see this strategy in product master under Demand / Requirement stratgy tab

10 Make-to-stock production

Choose this strategy if sales orders do not influence production; for example, in a mass production environment where individual orders do not affect the amount produced. There is no consumption of the forecast by incoming sales orders.

20 Planning with final assembly

Choose this strategy if you can accurately forecast production quantities for the final product. With this make-to-stock strategy, production quantities take into account actual sales orders as well as forecasted demand: incoming sales orders consume the forecast, and production quantities result from the net demand. The advantage of this strategy is that you can react quickly to customer demand.

30 Planning w/o final assembly

Choose this strategy if the main value-added process is final assembly; that is, the amount of the sales order is fixed and production is unique for every customer. With this make-to-order strategy, only the product's component parts are produced prior to the taking of the sales order. The sales order consumes the forecast for the finished product and triggers production of the finished product.

40 Planning product

Choose this strategy to plan non-variable parts for similar finished products and reserve the capacities that are required to produce them.

This strategy ensures a rapid response to customer demand and is particularly useful for products that have a long manufacturing lead time. The value-adding process is not carried out until the customer has

Hope you are clear with the above

Pls re vert back for further other wise close this thread



Answers (1)

Answers (1)

Former Member
0 Kudos

Vamsi -

Here is what MRP Planning strategy means.

MRP Planning Strategy for SAP

Strategy 10 - PIR Type - LSF

Net requirements planning. That is even the warehouse/storage location stock is also taken into account besides planned receipts / issues during planning for calculating the order quantity. Planned Independence Requirement quantity is reduced at the time of Goods Issue for delivery.

Strategy 11 - PIR Type - BSF

Gross requirement planning. Warehouse / storage location stock is not considered, and only planned receipts / issues are considered. Also Planned Independent Required quantity is reduced during Goods Receips for production / planned order (Repetitive). It is generally recommended for mass production industries and process oriented industries where the production has to be carried on, regardless of the stock available. The constraint in such industries is that it is not economically viable / possible to stop production.

Strategy 30 - PIR Type LSF - Production only with sales order (Demand Management entry are ignored during MRP run)

Maintain the following master data for the finished product:

Strategy group 30 on the MRP screen

Availability check field (on the MRP screen and the Sales: General/Plant screen) so that you can perform an availability check with replenishment lead times (01 in the standard system)

Item category group (for example, NORM) on the Sales Organization screen

Strategy 40 - PIR Type VSF - Make to Order Production - Production triggered by sales order. (Widely use around the world.)

Planned Independent Requirements will be reduced by sales order delivery to reflect the current stock requirement. (depending on your configuration, sales order will consume the VSF (planned independent requirement) quantity on the same date or two to three days away from it)

You can set up the consumption parameters in the material master on the MRP screen.

Check whether the fields Consumption mode, Bwd consumption, Fwd consumption contain entries. If empty, default values are taken from the MRP group parameters in Customizing. If these fields are filled in the material master, they override the MRP group parameters.

In MD04, VSF will disappear once it is consume by the sales order


Choose Logistics -> Production -> Master Planning -> Demand Management -> Evaluations -> Display total requirements. (The Total Requirements List shows only those sales orders that have reduced the independent requirements.)

Strategy 52 - PIR Type - VSE

The lot size key EX must be set in the MRP screen because lot size optimization would be incompatible with the allocation logic, which could result in over-planning and incorrect result in the ATP check.

You also must ensure that no rounding profile or rounding values are taken into account.

Maintain consumption parameters (Consumption mode, Bwd consumption, Fwd consumption) so that the independent requirements can be found. For more information, see Consumption Strategies and Logic.

Maintain the item category group (for example, NORM) on the Sales Organization screen.

A BOM is required for the finished product. There are no major implications for the BOM components. However, it is important to note the following:

You need to set the MRP type to P* (or M*) on the MRP screen to plan the components in MRP.

You may want to consider setting the Individual/coll. Indicator to 2 on the MRP screen as a starting point for your master data setup.

Strategy 63 - PIR Type - VSEV

Set Ind./Coll. Indicator to 2 in MRP4 View for all your lower level components. It allows you to build or purchase some components only after receipt of the sales order.


Suresh Garg