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Meat Processing - SAP PP in IS Retail

Hello SAP Experts,

SAP Experts I need one help, Our current client already have SAP IS Retail application.They acquired one Meat Processing Unit and want to implement SAP PP or SAP PP-PI Module for this Meat Processing Unit.

Current Business Scenario in Meat Processing Unit-

They have animal after first cut on channel(Animal is already dead on Channel before processing) and they get 20 valuable products which they are selling in the market.Here We get 20 Valuable products from one raw Material.

I need your kind help on this above scenario, How can I map this above business scenario through PP in IS-Retail to map above business scenario.

Note: Everyday they Process 30 Dead Animals on channel.

With Best Regards

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3 Answers

  • Posted on Dec 03, 2013 at 08:54 PM

    Hi

    I did the same stuff in Retail. You have to work with CO-Products. Also you need to define the settlement rule i mean the way they want to distribute the cost. Its quite common in this industry that cost must be proportional to the sales Market price. In my proyect we create a zprogram that calculate the settlement rule percentage and update in the PP order.

    I guess you have a different plant that identify the vail cutting, so you could work with batches in this plant but im 99% sure your retail stores dont manage batches, so the the label in the poduct have the shelf life printed.

    Also, ask your client if they have a special process for ground beef, in my proyect they have special requirements for the costing process.

    Arturo.

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  • author's profile photo Former Member
    Former Member
    Posted on Dec 04, 2013 at 12:57 AM

    Hi Vikas,

    You need batch management with SAP PP-PI for this scenario. It is a classic Food & dairy products scenario and SAP has best practices for this.

    Please refer SAP's documentation for Meat processing. Do not worry too much about IS-Retail- it is for Sales and not manufacturing teams to worry., One thing you need to be careful is BOM and recipe design.

    please refer best practice and post a query if you need further help

    Link for SAP best practice config documentation - http://help.sap.com/saap/sap_bp/BBLibrary/HTML/305_ERP606_EN_US.htm

    More BPs in http://help.sap.com/saap/sap_bp/FB_ERP606_US/HTML/Content_Library_FB_EN_US.htm

    For you the localized package you need to refer is - (i'm assuming you are from USA) - SAP Best Practices for Food and Beverage United States V1.606

    Vikas Kumar wrote:

    Current Business Scenario in Meat Processing Unit-They have animal after first cut on channel(Animal is already dead on Channel before processing) and they get 20 valuable products which they are selling in the market.Here We get 20 Valuable products from one raw Material.

    I need your kind help on this above scenario, How can I map this above business scenario through PP in IS-Retail to map above business scenario.

    Note: Everyday they Process 30 Dead Animals on channel.

    With Best Regards

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    • Former Member

      Thanks Anil for your kind response,

      I checked your mentioned links SAP Best Practice for Food and Beverages (US).

      Here the business scenario is like, We are getting 20 Valuable or Sell-able products from one Single Raw material, It is like one to many Product manufacturing scenario.

      I assume that I can be able to create Process Order type and other required relevant setting for PP-PI in current SAP IS Retail application without any additional activation in current SAP Is Retail, then I would have below challenges like -

      First Challenge - One single Raw material ( Animal) give 20 Valuable Products, It means I need to create 20 Process Order for each Valuable Product and need to check proportional quantity of Raw Material consumed in each 20 Products, To know Raw material Quantity consumed for each 20 Product is itself a challenge. OR You may have different approach on this.Kindly share if it is possible by some other way.

      Second Challenge is Everyday they Process 30 Animals and from one single animal we are getting 20 Products, and For Eg. if we agreed to create 20 Process Order for all 20 Products we are getting from one single animal then for 30 Animal we would have 600 Process Orders a day that is really a huge data to execute by their Team and accordingly Goods Issue, Order confirmation and GR respectively transaction difficult to handle. By this process volume of data is very high for user to handle.

      Kindly share your experience on this business process. Your early response would be highly appreciable.

  • Posted on Dec 04, 2013 at 05:33 AM


    Hi Vikas,

    Also check this document for catch weight management for meat processing industry by Expert @Rupesh Brahmankar

    Catch Weight Management

    Regards,

    Anupam Sharma

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