Name: Introducing Advanced Production Integration - SAP S/4HANA Cloud (Public Edition) - Warehouse Management
Uploaded: 2023-4-26
Duration: 691 s
Description: This Microlearning gives you an introduction to the new scope item Advanced Production Integration which comes with the release 2302 and gives you an overview of the process flow.

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<div><div>This Microlearning gives you an introduction to the new scope item Advanced Production Integration which comes with the release 2302 and gives you an overview of the process flow.<br></div></div>

Introducing Advanced Production Integration - SAP S/4HANA Cloud (Public Edition) - Warehouse Management

Hi everyone and welcome to Microlearnings. During this Microlearning we will see an introduction to the new scope item Advanced Production Integration which comes with the release 2302. As you can see we have divided our agenda in this Microlearning into five sections. The first topic is the definition of Advanced Production Integration in a nutshell, and then we will have an overview of the process flow, the advantages and a comparison of basic versus advanced production integration. In the end, we will summarize all the information with key takeaways. Let's start with the first point on our agenda. A short introduction of myself. My name is Ahmed Durmaz. I am an SAP S/4HANA Cloud Business Processes Consultant with focus on warehouse management. The first topic is the definition of advanced production integration. Advanced production integration comes with the release 2302 and allows you to have real time material flow between shop floor and warehouse. You can plan the staging of components to production over a period of time, so that a production supply area capacity is reasonably used. You can monitor and control the staging process. Furthermore, consumption can be posted directly from warehouse management and the consumption status can be monitored. In addition, consumption posting can be reversed directly from warehouse management. You can receive produced stock as soon as the good received request is triggered from the shop floor. You can also clear stock reference on leftover stock from the production supply area and move them back to the warehouse after the manufacturing process is complete. In that way, you can free up some capacity from the production supply area for other staging activities. Now, we will have a look on the process flow for advanced production integration. The first step is to create and release a production order. After that, we need to perform material staging for production order. In order to do that, the so-called productional material request document will be created by the system. Based on this document, we will execute the staging for requested materials to the production supply area. The materials will be used by production and therefore also a goods issue will be posted due to consumption. The consumption will be replicated to production order. After production order is done, we can receive the finished goods and post goods receives, either with an inbound delivery or without inbound delivery via synchronous goods received posting. This leads to completion of production order and the production material request is completed. If we have some unused materials in our production supply area, we can clear the production supply area and move materials back to the warehouse bins. After the production order is closed, the production material request document will be also closed. Lets have a look at the advantages of advanced production integration. First advantage is the production material request document. The production material request document contains all the warehouse managament relevant data for a production order. A production material request is used for planning and monitoring the supply of products to production and for the consumption of products by production. Second, the system will allow you different staging methods for different components. Single-Order, Cross-Order and Non-Staging relevant are the main staging methods within advanced production integration. Single-Order staging means the system creates a warehouse task to move the product to the production supply area for each production material request item. Each warehouse task has a reference to a single production material request. For Cross-Order staging, the system accumulates product from more than one production material request and creates a warehouse task to move them to the production supply area together. The warehouse tasks have no reference to the production material request item. Each production material request that has an item with the product can be used to consume the stock. This is a flexible method which allows to stage products, whether the product is required for one or several production material requests. Non-staging relevant components are assumed to be present in fixed bin in sufficient quantity. the components are to be consumed directly. Third advantage is to keep your production supply area stocked at a reasonable level. This ensures that if space at production supply area is limited, it is not blocked unnecessarily by products that are not required until later. The next advantage is that the transparency of your stock situation will be improved. Last, but not least, you can reserve stock for a specific production order. To understand the difference between basic and advanced production integration, we will have a look on the comparison table to highlight the main differences. The first comparison point is the best fit scenario. For basic, would fit the scenario if you would like to stage the exact quantity at an exact time for production. The best suited for the advanced production scenario is where staging and consumption of components takes over a longer time span. Especially when the space in your production is limited. And you don't want to stage the full quantity at the beginning of the operation, but to want planet after the other. The second comparison point is the representation of production order in warehouse management. For basic, there is no document created which reflects what ERP Production Order contains. For advanced, the virtual mirror of ERP Production Order is the so-called production material request document. This document in warehouse management is directly coupled with the ERP Production Order via the status management of the order and the production material request. The next topic is reference document for staging. For basic, the execution of material staging leads to the replication of an outbound delivery to warehouse management. An outbound delivery order is the main reference document for material staging. In Advanced Production Integration, the production material request is the main reference document which the staging is performed. Regarding stock reservation, in basic the stock is not reserved for specific production order. In advance, the stock can be reserved for specific production order using Single-Order staging. The staging methods can also be important. For basic, pick parts and release order parts are the main staging methods. In advance, you have the possibility to use Single-Order and Cross-Order staging methods as main methods. The next point is the goods issue posting quantity for production supply. The quantity what is requested in outbound delivery order with an inventory managed search location is a fixed quantity against which goods issue can be posted. In Advanced Production, the item quantity in a production material request document is a planned quantity, but not a fixed quantity. Hence, you can post a consumption even after posting full goods issue. The actual decision about the end of a production order is with the production, and when user decides to close the order, no goods movement can be posted. Warehouse management sets the status production order to the respective value when technical completion or completion status is received from ERP production order. Thus, there is no hard validation on the exact quantity instead of allowing the control of the production request via the production order instead. The last point is returns from manufacturing. In basic, returns are typically executed by triggering the attack movement of materials from production supply area to warehouse, as and when necessary. After the staging and consumption is finished, if there are unused and unconsumed materials in the production supply area, we have the option to use the app Clear Production Supply Area. Clear Production Supply Area is used to create warehouse tasks to move the material back to the warehouse bins, especially for all staged and unconsumed products that are not needed anymore for production material requests, with the status technically completed. Both delivery based production integration and advanced production integration methods have their own pros and cons. Careful evaluation and analysis should be done with the way the material flow and overall production process is executed between shop floor and the warehouse before deciding on the method that will be implemented. Now let's summarize what we have learned so far. With Advanced Production Integration we can directly work on the production material request document with all warehouse management relevant data. We can use for each production material request document different staging methods as Cross-Order, Single-Order or Non-Staging relevant methods. Since we can post consumption, we have the possibility also to reverse the consumption posting. In the end, we have an improved transparency of our stock. For further learnings, check out the OpenSAP courses. Thank you for watching this Microlearning and goodbye.