SAP S/4HANA PEO is designed for complex manufacturing industries handling low-volume, engineered products with long cycle times and multiple subassembly levels. These companies also engage in Make-to-Stock and Assemble-to-Stock scenarios with large batch sizes. Order splitting is essential, with production orders potentially splitting multiple times daily.
Reasons for Order Splitting:
- Quality issues or defects require partial quantity handling separately.
- Capacity limitations mean immediate processing of specific quantities.
- Material shortages or deadlines necessitate splitting confirmable quantities.
- Changed requirement dates for partial quantities require separate handling.
- Production facility disruptions necessitate splitting with different resources.
Order Split Criteria: Splitting is allowed when an order is Released or Partially Confirmed and not being altered. Splits occur at the operation level, ensuring serial numbers or quantities complete current activities before queuing for the split operation.
Serialized Products: Split serial numbers sharing the same processing status; flexible processing doesn't affect splitting.
Non-Serialized Products: Cannot be split if flexible processing is enabled.
Shop floor orders can be split with the following split methods:
- Split with Same Material - The system creates a child order with the same header material, routing group, and routing version as the parent order, and it splits the operations from the split operation onwards from the parent order to the child order, along with the master data assignments. The system automatically recalculates all the quantities affected by the order split, as well as dates at header, operation, and component level.
- Split to Warehouse - The system splits the partially processed quantity to a by-product (physical material) that is placed into storage. This by-product must differ from the one used to transfer costs to a child order when you split an order with the same material. The system generates a goods receipt material document for the by-product when you save the order after performing the split.
Cost Allocation for Order Splits
When you split an order with the same material, the system prompts you to specify a by-product to transfer already incurred costs proportionally from the parent order to the child order. This by-product must be a material that is subject to batch management and individually valuated. The system transfers all planned costs up to the split operation together (that is, not separated by cost element) from the parent order to the child order. This means you won't be able to perform detailed cost analysis in the child order
Note
If you want the system to use goods movements to allocate the component costs, you can use the following Business Add-Ins (BAdIs):
- BAdI: Additional Check for Split Quantity (BADI_SPLIT_QUANTITY_CHECK)costs, you can use the following Business Add-Ins
- (BAdIs)BAdI: Determination of GI Items for Transfer at Order Split (BADI_GOODS_ISSUE_TRANSFER)
If you implement the BAdIs, the system credits the actual component costs to the parent order and debits the same from the child order by reversing the goods issue postings for the parent order and posting them again for the child order. However, all other costs (machine costs, labor costs, fixed costs, and so on) remain in the parent order.
| Cost Transfer Method | Parent Order | Child Order | Cost Distribution |
|---|---|---|---|
| By-product | The system generates a by-product and posts a goods receipt for a by-product (movement type 531) with a negative quantity. The goods receipt is valuated with the proportional planned costs up to the time of the order split. | The system adds the generated by-product as a component to the first operation of the child order and posts a goods issue (movement type 261). | The parent order is credited the proportional planned costs up to the split operation, and the child order is debited the same costs. |
| Transfer goods issue items from parent to child order | The system posts a good issue reversal (movement type 262) for the components issued up to the operation where the order was split. | The system posts a goods issue (movement type 261) for the components that were reversed in the parent order. | The parent order is credited the actual component costs up to the split operation, and the child order is debited the same costs. |
Customizing in Order Splits
In the customization settings, you can decide whether changes to WBS elements and order types are allowed during an order split. Additionally, implementing BAdIs can facilitate the transfer of goods issue items from the parent to the child order instead of using a by-product.
Splitting a Serialized Shop Floor Order in SAP S/4HANA PEO:
- Order splits occur at the operation level, requiring serial numbers to complete all activities within the operation and be queued for splitting.
- Only serial numbers with a status of "In Queue" at the selected operation are eligible for splitting.
Process
- Select the operation destined for splitting Click the Split Order button in the upper right corner. View eligible serial numbers in the Split Order dialog.
- Cost Transfer Options During SplitWhen splitting, you may specify a by-product to transfer incurred costs:
Parent Order: Posts a semi-finished product by-product with movement type 531.
Child Order: Processes this by-product with movement type 261, transferring all costs (material, machine, labor) to the child order.
- After Order Split. Upon successful order splitting, several system updates occur: Assigns SPLT (Split) status to the parent order at both header and operation levels. Creates a child order with the same header material, routing group, and routing version. Splits the selected operation and transfers all successor operations and associated activities to the child order.Automatically recalculates affected quantities and dates at header, operation, and component levels.
- Viewing Order Split Details: You can access detailed order split information via the Manage Production Orders app by selecting Display - Related Orders. This dialog box displays details of both parent and child orders, including any applicable previous splits. Additionally, a network graph, accessible via a graph icon, illustrates relationships between related orders.
Note
The system aborts the order split if:
- Any failed material movements currently exist for the order. To resolve this issue, use the Reprocess Failed Material Movements app on the Fiori launchpad.
- Any open defects exist for the serial number to be split.
Flexible Routing and Rework Operation
When splitting orders with flexible routing, the system checks the serial number status. Only serial numbers with the same processing status can be split together; otherwise, each serial number is split individually. Unstarted operations in the sequence are copied to the child order for selected serial numbers.
Before splitting a serialized order, defects may prompt rework tasks associated with specific serial numbers. If one out of three serial numbers has a defect, rework operations apply only to that serial number and transfer to the child order. If several serial numbers are affected, rework operations stay in the parent order for those not split. The system verifies and adjusts rework operations based on serial number allocation.
Product Genealogy for Serial Number Split Across Orders
For serial numbers split across multiple orders, the Product Genealogy app tracks history referencing previous orders. Adding the Order column in the Operation Activity and Components view helps differentiate between parent and child orders. Components assembled in parent orders are distinguishable from those in child orders.
Splitting a Non-Serialized Shop Floor Order in SAP S/4HANA PEO
Non-serialized orders with non-flexible routing can be split at the operation level. Both parent and child orders share the same header material. To initiate a split, select the operation, click Split Order, and define the split quantity. The system ensures the quantity does not exceed the total available in the parent order. During the split, you can adjust the WBS element and order type for the child order.
Following a successful split, the system:
- Assigns SPLT (Split) status to the parent order at header and operation levels.
- Creates a child order with identical header material, routing group, and version.
- Transfers the selected operation and successor operations to the child order.
- Recalculates affected quantities and dates at header, operation, and component levels.
You can access split details using Display - Related Orders in the Manage Production Orders app. The dialog box presents details of both child and parent orders. A network graph can also be displayed, showing relationships between all related orders.
Rework Operation
For non-serialized shop floor orders featuring rework operations, the system displays the Rework Quantity field in the Split Dialog. Leave this field empty if no rework operations need copying to the child order. Specifying a rework quantity results in copying all rework operations from the parent to the child order and sets the available quantity to be processed at those operations.
Summary
This lesson explains how to split shop floor orders in SAP S/4HANA PEO, crucial for managing complex manufacturing processes.
- Reasons for Splitting: Quality issues, capacity limits, material shortages, deadlines, and facility disruptions necessitate order splitting.
- Split Methods: Orders can be split with the same material or to warehouse, transferring costs proportionally to child orders.
- Serialized Orders: Split at operation level; only serial numbers queued can be split, with cost transfers managed using by-products.
- Non-Serialized Orders: Split without flexible routing; rework operations can be copied to child orders if needed.
- Viewing Split Details: Use the Manage Production Orders app to access and visualize order split details and relationships.