Planning for saleable components

[nihal_nayak]

Dear SAP Gurus,

I have the below scenario, where the FG BOM has an SFG as a component. Both the FG and SFG materials can be sold to customers. However the FG is a pure MTO product which cannot be forecasted, while the SFG material is manufactured and kept in stock, waiting to be either used in the FG production order, or be sold as is from stock. The stock requirement for SFG is known based on past requirements.

What planning strategies for the FG and SFG could be used in this scenario?

One solution I came up with with using strategy 20 for the FG, and reorder point planning for the SFG.

Another was to use strategy 20 for the FG, and strategy 40 for the SFG. PIRs can be uploaded for the SFG.

Is there any other solution that can be used?

Regards,

Nihal.

[Caetano]

Hello

If you are planning at component level, then you should use planning strategy 70 for your semi-finished and 20 for the finished product.

Another option is to use planning strategy 50, which is planning without final assembly. With this strategy, you will create PIRs for your finished product, but MRP will create a special type of planned order (VP), which is not convertible, and it is only used to drive the demand to the components. When a sales order is created, PIR is consumed and a real MTO planned order is created for the finished product.

Best regards,
Caetano Almeida

[nihal_nayak]

Thanks Caetano for the response. Here’s what I’ve found for the two approaches you have mentioned:

Planning strategy 70 for components: The standard strategy has no requirement type assigned in it for customer requirements. This means I don’t see the customer order for the SFG material in MD04.

Planning strategy 50: It is not practical to have a PIR for the FG since I cannot decide the quantity. It can range from small amounts to very large quantities. Hence it cannot be reliably used to drive procurement of the SFG and its components.