SAP AG 2003

Production

Maintaining bills of material (BOM)

Production process

Contents:

SAP AG 2003

Production: Unit Objectives

Describe the differences between individual bills of material (BOMs)

Carry out a production process for a production BOM

At the conclusion of this unit, you will be able to:

SAP AG 2003

Production: Course Overview Diagram

Cross-Functionality

Master Data

Sales Opportunities

Fundam

enta

ls o

f SA

P B

usi

ness

One

Purchasing – A/P

Sales – A/R

Production

Inventory Transactions

SAP AG 2003

Production - Business Scenario

Some of the items in your product range consist of various other items. You assemble these items shortly before they are delivered to the customer.

SAP AG 2003

Maintaining Bills of Material: Topic Objectives

Describe the elements used in production

Describe the differences between individual bills of material

Create bills of material

At the conclusion of this topic, you will be able to:

SAP AG 2003

Elements in Production

Bills of Material (BOM) Sales BOM Assembly BOM Template Production BOM

Reports/Analyses

Production Process(Production BOMs only) Work Orders Production Instructions Completion Confirmations

SAP AG 2003

Sales/Assembly BOM

Sales and assembly BOMs are collections of individual items in a set with a specific price.

You create the Bill of Material specifically for a sales order when the order is created.

The components are items that you can also sell individually.

Sales Order

Sales BOM

Assembly BOM

Finished Product andComponents

Finished Product Only

SAP AG 2003

Template

A template is a collection of individual items in a set that can be used as a copy model in a sales order.

You can change the components and quantities in the order as required.

Define Bill of Materials

Product No.Product Type Template

V001

ItemItem QuantityQuantity

A00001

A00002

A00003

2

1

1 ...

......

...

...

Customer

Item No. Description Quantity

C00001C00001

Price

V001

A00001

A00003

Template

Twin Seater

Armchair 2

2

1

A00005 Table 1

...

...

...

Order

SAP AG 2003

Production BOM

A production BOM is a collection of items that are used in the production/packaging process during final assembly.

It contains the semifinished/finished product, as well as the components and quantities.

It has its own price.

WoodenBoard

0.75 m²

TableLegs

4 Units

Screws20 Units

Drawer1 Units

WoodenBoard

0.28 m²

Screws7 Units

Handle1 Units

Computer Desk1 Units

SAP AG 2003

Maintaining Items for Bills of Material

Assembly Assembly BOMBOM

Production Production BOMBOM

Sales Sales BOMBOM

Purchased Item

Sales Item

WH Item

(1.)

(1.) If the finished product is also purchased

TemplateTemplate

BOM: Bill of Material

SAP AG 2003

Product No. Quantity

Price List Prices for Major Customers

E00003

E00004

E00005

1

2

2

Eur 433.50

Eur 6.00

Eur 9.00

Eur 433.50

Eur 12.00

Eur 18.00

Eur 463.50

Eur 439.00Parent Product Price

Item QuantityUnit Price Total

Product Description

Product Type

Production BOM

Production

Not a BOM

Assembly

Sales

Production

Template

P1

CancelUpdate

1

Creating a Bill of Material

Quantity of the item produced with the

components

Price of finished productfor specified price list

Price list fordetermining

the component prices

Totalprice of

components

Finished Product

Components Determine price of finished products

from component

prices

SAP AG 2003

Update Parent Item Prices

Price for Child Items in Price List changes

or

Accept the suggested price for the BOM

Keep the current price for the BOM

Update Parent Items Prices Globally

150 EUR150 EUR

Difference

360 EUR360 EURSuggested PriceItem

- 10 EUR - 10 EUR

New Price

350 EUR350 EURCurrent Price

200 EUR 200 EUR

BOMChild 1Child 2

run report

Update Remove

SAP AG 2003

Production Process: Topic Objectives

Describe the production process

Carry out a production process for a production BOM

At the conclusion of this topic, you will be able to:

SAP AG 2003

Production Process

For Production BOMs Only

1. Planning 2. Start of Production

3. End of Production

Inventory

WorkOrder

ProductionInstructions

WorkCompleted

OpenWorkOrdersReport

ProductionRecommendations

Manually

SAP AG 2003

Work Order - Header Data

Add Cancel Quantity Check

Remarks

P1 Production BOM 10.000 01 EUR309.00 EUR3,090.00

EUR3,090.00

Number

No. RangeCustomerRef.No.

Est. Comp. DateExecutor

6

Primary

Anonymous

NameCust. No.

Contact

Work Order

Prod. Instructions

Work Completed

Order Date

Instruction Date

Completion Date

02/10/

Work Order

Item Description Quantity WarehousePrice Total

Leave field blank if production for stock

Warehouse for the produced item

SAP AG 2003

Add Cancel Quantity Check

Remarks

P1 Production BOM 10.000 01 EUR309.00 EUR3,090.00

EUR3,090.00

Number

No. RangeCustomerRef.No.

Est. Comp. DateExecutor

6

Primary

Anonymous

NameCust. No.

Contact

Work Order

Prod. Instructions

Work Completed

Order Date

Instruction Date

Completion Date

02/10/02

Work Order

Item Description Quantity Warehouse Price Total

Missing Raw Material

Work Order – Items

Total moving average prices of the components

Some Raw Materials Required for Work Instructions are Missing.Item In Stock Ord. from Vend. Ord. by Cust. Avail. Stock

E00003E00005

214 42

21 -19-28

OK Cancel

Table FormatTable Format

Activate G/L account for additional costs(for example, power)

SAP AG 2003

Stock Changes in Logistics

In Stock - Commited + Ordered = AvailableTransaction

P

rod

uct

ion

Model Report: Stock Situation

Work Completed

Work Orders

Production Instructions

Components

Finished Product

Components

Finished Product

Components

Finished Product

+

(+)

+

(+)

+

+ -

(+) (-)

-- -

SAP AG 2003

Production: Unit Summary

Describe the differences between individual bills of material

Carry out a production process for a production BOM

You are now able to: