Name: How to Set up Production Supply with Kanban in 5 Minutes - SAP S/4HANA Manufacturing & Supply Chain
Uploaded: 2020-12-14
Duration: 597 s
Description: This microlearning gives you an introduction to Material Replenishment with Kanban and a demo on how to setup a Stock Transfer Process with Kanban. The key learnings focus on: The Kanban Principle Important Master Data Objects Process Variants The system demo shows you: The setup of a classical Kanban Control Cycle A walkthrough Stock Transfer Process with Kanban

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<div><div><div><div>This microlearning gives you an introduction to Material Replenishment with Kanban and a demo on how to setup a Stock Transfer Process with Kanban. The key learnings focus on:<ul> <li>The Kanban Principle</li> <li>Important Master Data Objects</li> <li>Process Variants</li> </ul> <p>The system demo shows you: </p> <ul> <li>The  setup of a classical Kanban Control Cycle</li> <li>A walkthrough Stock Transfer Process with Kanban</li></ul></div></div></div></div>

How to Set up Production Supply with Kanban in 5 Minutes - SAP S/4HANA Manufacturing & Supply Chain

Welcome to today's micro learning session with the topic how to set up production supply with Kanban in 5 minutes. My name is Julia Menzel and I am part of the S4HANA product management organization where I am responsible for all Kanban related topics. During the session you will learn how Kanban can help you to optimize your material replenishment process and how you can easily set up a classical Kanban stock transfer process in your S4HANA cloud system. So, let's get started. The common method for controlling production and material flow is based on the actual stock quantity in production. Material that is required on a regular basis is continually provided in small quantities in production. Replenishment of a material is only triggered when a higher production level actually requires the material. With Kanman, the production process controls itself, and manually postings are reduced as far as possible. The result of this is a reduction in lead times in the inventory. The signal for replenishment can be triggered, for example, by a work center that requires the material, the so-called demand source, by sending a common card to the warehouse, an external supplier, or also a subassembly production line. This card describes which material is required, the quantity, and where it has to be delivered. When receiving the material, you can automatically post the goods receipt at the demand source by a further Kanban signal either via a barcode scan or with the new Kanban board, for example. And now let's see how easy it is to set up a Kanban stock transfer process in the system. I am now in my S4HANA Cloud system, and first of all, we would like to set up the necessary master data to continue with our Kanban stock transfer process later on. To do so, we will start to define a so-called production supply area, which typically represents an interim storage location on the shop floor to provide material directly to the production line. A supply area could be, for example, a shelving area. To create or check an existing production supply area, we use the application Maintain Production Supply Area. Here we enter the respective plant. In our case, it is Plant 1010. And as you can already see, there are a couple of production supply areas existing for Plant 1010. For the demo today, we want to reuse the supply area Kanban underscore 01. Now we will go into the details, and we can already see that the assigned storage location is our production storage location 101B, and the MAP controller 001 is maintained as well. In addition to that, we could also maintain further data like an unloading point. Having the production supply area in place, we will continue to set up a new Kanban control cycle. To do so, we open the AppManage Kanban Control Cycles, and here we enter the plant as well. To create a new control cycle, we go into the edit mode and we use the icon to create a new classic Kanban control cycle for our raw material that we would like to replenish from warehouse to the production storage location. Of course, we have the plant already assigned, and we enter the previously maintained supply area. The lifecycle status is currently in preparation, since we are still setting up the control cycle. Furthermore, we specified a number of circulating containers for our control cycle. For this demo, we will have five containers with a quantity of 10 pieces per container. Since we are focusing on a stock transfer process in the session today, I choose this stock transfer radio button and we assign a replenishment strategy. In our case, we choose PD10 to work with reservations. Just press Enter and we can now fill in additional fields like the supplying storage location. In our case, it's a raw material storage location with the name 101C. We can already do a consistency check and change the status to released. We save the newly created control cycle and you can see that we got a success message. We now completed the setup of the master data part and can continue with the process itself. To do so, I open the new FURY Kanban board application, where we can find our material again. Therefore, I can use the relevant filters. And as you can see, we have an entry for our raw material in the supply area kanban-underscore-01, where we are responsible for. You can also see that there are already five containers in the status weight since we did not have any replenishments triggered so far. To do so, we just select one Kanban container that is currently in status weight and we change the Kanban container status to empty to trigger the material replenishment in the background. We now see that the status change was successful. The color change from gray to red indicates that the actual status is empty. You can also see that the actual quantity of the container is zero pieces in the container details. This means that we now triggered a material reservation in the warehouse. The warehouse clerk will now fill the empty container again with our raw material and transfer it back to the production storage location. Once we get the material back at the production line, we can change the status again from empty to full to trigger also development material postings in the background. As you can see, the color changed from red to green and the actual quantity changed as well from 0 to 10 pieces now. Furthermore, we also have the last material document that you can see here. With that, we already completed the Kanban stock transfer process and as you can see, the setup and the trigger of the Kanban signal is very easy. With that you can easily automate your material flow and reduce the stock level. During this micro-learning, you got an overview of the Kanban method and the relevant master data objects in the system. You are now able to set up a classical Kanban control cycle to cover an internal stock transfer process to ensure production supply. Thank you very much for watching this video and talk to you in the next micro-learning session.