SAP PP stands for SAP Production Planning. It is a core module that empowers a concentrated system for implementing and Planning of business manufacturing and production processes in an organisation.
It helps in accommodating transactional and master data of production process and in setting a comprehensive plan of the production target that helps in monitoring and reporting process of manufacturing and production and establishing SAP Production Planning and Control.
- It provides the capabilities for efficient management of production capabilities, processes and facilities.
- Keeping track of Plan for lining up demand with manufacturing capacity
- It creates production and procurement plans for completed products and component materials.
- Manages and arrange the goods movement from the transformation of raw material to half-finished goods.
- The module is completely integrated with the other SAP modules mainly MM, WM, SD, PM, FICO.
- It prepares for SAP PP Certification and SAP PP Jobs.
- Helps in managing procurement and production schedules by keeping track of demand and manufacturing.
- It tracks the planned and actual costs.
- Aids by production planning with SAP.
A few of the many advantages of the implementation of the SAP PP module are
- Planning: Different planning tools will help to plan the production according to the demands. E.g., Sales and Operations Planning for forecasting and create sales and production plan.
- Demand Planning: Helps in the forecasting of demand for the stock production
- MRP: Material Requirement Planning to plan all types of materials and check the availability if not in stock, create procurement proposals.
- Capacity Requirement Planning: To manage all the capacities of the facilities efficiently
- Control: Production or Process order is the central point of control function in SAP PP. It takes care of 'what to produce?', 'when to produce?', 'where to produce?', 'how much to produce?', and 'how to monitor the costs?'.
Additionally, SAP PP module is tightly integrated with all the other modules in logistics
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