PP-Questions

[Former Member]

Hi All,

I have some of questions came across on internet and I would like to know the answer with your help, so could you please guide me on this will be grateful.

1) How will you identify a material is a MTS or MTO (other than Strategy Group indicator (Material Master)) ?

2) If I have a scenario of planning in one plant and production in other plant- what are all the configuration step are required to

execute the scenarion (other than Special Procurement Key) ?

3) What is the purpose of settlement in production order ?

Thanks in Advance

[Former Member]

Hi Madhan,

1) Generally, we need to study the Business process to ascertain wheteher it's a MTS or MTO.

Apart, from the stategy group, the Requirement Type, Requirement Class and the Item category are the segregating parameters.

2) I think, you need to map the subcontracting scenario in this case. Also, you can apply the phantom assembly in this case.

3) Settlement is carried for settling out any variance, i.e, difference between the planned cost and the target cost. For details, please consult your CO-Consultant.

Hope it helps.

Regards,

Kaushik.

[Former Member]

Hi,

1. You can not identify whether it is MTO or MTS, even the strategy suggests the same.

It is totally depends upon the requirement type getting copied in the sales order through item category. That means even the strategy in mat mster might be of MTS but the item category in the SO might be of MTO.

2. You need to set up special procurement key 80 in MRP 2 view of the material master. In SPRO for this key you need to maintrain the plant in which the production is intended.

Secondly if you don't want to go for key 80, then in the routing for plant 1 maintain the work centers form other plant.

3. From PP point of view the settlement is neede to make the cost balance on the order zero to close the order.

Depending upon the reciver the cost is settled to either material or SO.

Hope ithis helps you.

SmanS