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Why to use CO Production order

Hello everyone!

I've just read all possible topics and materials related to CO orders but did not find an answer on my questions:

why and when is it better to use CO orders vs PP orders from a BUSINESS prospective? is there any reason to use CO orders when we already use PP orders for other processes?

could you provide REAL business examples? PLEASE, don't copy-paste

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  • Best Answer
    Posted on Aug 20, 2016 at 11:44 AM


    When we do not have the PP functionality than we can use the CO production order (KKF1).

    If we have PP, than better to go for the PP production order over the CO order to get the detailed report of the production.

    The basic difference is

    1. You can not do the capacity planning and scheduling in the CO order

    2. The planned cost will not be visible on the Order as there is no BOM and routing in CO order.

    Hope this helps



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    • Hello Ivan,

      A practice's utilization can be how we use here:

      We have a scenario with reworks orders, and we generate these orders by CO07 (order without material).

      How the CO07 doesn't have material, if you don't define a settlement rule, when the Material Ledger runs the cost stays how "unallocated" or "not definition".

      So, for this, we need to define a object for to receipt this cost (can be a center cost, PM/CS/CO order, other production order or sales document).

      We use the CO order, because it is linked a material. When the ML runs, the cost will be allocated for these materials.

      For example:

      * This rework order, has four settlement rule, with 25% for each CO order (that is, 25% each material).

      If the order's cost (activities and components) was U$ 200,00, each CO order/material will receive U$ 50,00 during the revaluation.

      Best regards,

      José Dallagnese

  • Posted on Aug 22, 2016 at 05:13 AM


    Check below link for your reference

    CO Production Order | SCN



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