Logistik mit SAP
Chair or Production &
Operations Management
University of Vienna
The Logistic Chain
Franz Birsel
All for One Vienna, Austria
1
Definition of Item
Procedure of the
logistic Chain
Definition of items
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
2
Process
The logistic chain contains the process from the customer order to the delivery.
Customer order
no
available
no
Materialcomponent
Demand planning
available
Vendor
yes
yes
Stock
Order
Production order
Stock
Incoming goods
Invoice
Accounting control
Delivery
Invoice
Customer
Chair of Production & Operations Management
University of Vienna
Accounting
All for One Vienna, Austria
3
Customer Order – Master Data
For the creation of a customer order you need the following master data:
 Material Data
 Debitor Data
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
4
Customer Order
At entering an order the delivery of the goods can only be fulfilled on the date
of delivery if the product is available in time for all necessary handling activities
before the delivery.
On the side of provision you have to ensure that in case of insufficient
supply the production and the purchasing has to be informed in order to
produce and order the goods in time.
This information about materials needed for the sales is forwarded
through the demands to the disposition.
Demands therefore represent the planned despatches.
By passing on of demands the production is informed that goods have to
be produced and the purchasing is informed that orders have to be
created and sent to the vendors.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
5
Demand Planning
The demand planning (Material disposition) calculates the
material demand through the disposition of the lists of items
from the orders and compares the demand with the stocks
on hand and the current orders.
Based on the respective dates of orders the work plans are
calculated when which material quantities at what deadline
have to be ordered.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
6
Planned-/Production Order
For the creation of a planned-/production order you need following master data :
 Material data
 Work place
 Work schedule
 List of items
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
7
Work Plan / Workplace
In the work plan is defined which working steps (transaction) in what order are executed
in order to produce a product.
Behind each transaction stands a workplace.
Each transaction contains following information:
 Target time (Men and / or machines)
 scheduled availability (Shift model / working hours)
 available workload
 amount of machines
 Tariff for the calculation
 Information about confirmation/feedback
About the information of the transactions results the scheduling of the production orders:
Backwards-scheduling – the date of demand for the customer defines at what deadline
the production has to be started
Forward-scheduling
– the start of production defines at what deadline the production
has to be finished
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
8
List of Items
In the list of items all materials are listed which are necessary in order to produce the
the desired end product.
Each position of list of items can either be provided externally or produced internally.
External supply – the material is ordered through an order at the vendor
Internal supply – the material is provided through an own production order
For this material a work plan and a list of items has to exist
Every material in a list of items is related to a transaction in the work plan.
By scheduling the work plan it is exactly defined at what deadline which material has
to be available.
 single-level
The end product consists throughout of bought-in parts
 multi-level
The end product consists of bought-in parts and of manufactured in-house parts, which
also have an own list of items and initiate an own production order.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
9
Planning Order
The planning order is used for the despatching of orders of production disposition.
The planning order is connected with the work plan and the list of items.
From this connection the processing time of the order and the raw material needed is
calculated with the demand planning.
A planning order is only a notice of intent to produce sth. – a planning order cannot
be produced.
Changes in the lists of items and work plans will be considered in the course of the next
demand planning in the planning order.
In order to produce the planning order has to be converted in a demand order.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
10
Production Order
The production order is created from the planning order.
The production order is fixed within the system and will not be changed in the course of the demand
planning.
The production order contains a copy of the work plan and the lists of items – changes can only be
done directly on the production order.
At first the production order is created and then released.
Production order created
Reservations are created, the raw material needed can be taken from the stock.
Production order released
The production can be started, confirmations/feedbacks can be done.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
11
Demand Planning / Scheduling
Material supply from the list of items
Time of Production from
Work schedule
End-product
Today
End date
Start date
Customer-Delivery date
Material supply from the list of items
Time of Production from
Work schedule
Unfinished product
Today
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
12
Confirmations/Feedbacks
The feedback documents the state of the process of orders, transactions,
sub-transactions and single capacities and therefore is an instrument
of the order control.
The feedback is used to determine
 which quantity in a transaction was produced as yield, as junk or
as rework quantity
 how big the needed services were
 at which workplace the transaction was executed
 who has executed the transaction
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
13
Material Provision/Supply
 direct supply
After opening the production order the needed material is booked from the stock
true to quantity directly on the production order.
 retrograde charging
The needed material component is located in sufficient quantity at a storage location
in the production. The issue posting from the stock is done fully automatically
by feedback in the quantity which is lodged in the list of items.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
14
Material Disposition
 consumption-driven Disposition
By reaching the defined minimum stock level it will be fully automatically re-ordered and
also the stock re-filled to the defined maximum stock level.
 demand-driven Disposition
The needed material component will be ordered true to quantity due to the existing
production orders.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
15
Material Order
For the automatical creation of an order your need following mater data:
 Material data
 Creditor data
 Purchasing info record
 Order book
 Quotation (not compulsory)
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
16
Purchasing Info Record
The purchasing info record is used as source of information for the
purchasing.
Here the allocation of the vendor and the material is done.
The purchasing info record contains above all the following data:
 the current prices and conditions
 the number of the last order
 the limit of tolerance for the over- retr. underdeliveries
the planned time of delivery of the vendor for the material
 Vendor evaluation data
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
17
Order book
In the order book the possible resources for the material are listed, valid
within a defined period of time.
In the order book you can see within which period of time a material from a
certain vendor can be supplied.
The order book supports the clarification of the question: which vendors can
delivery a certain material at a certain period of time?
Is is also used for the automatical selection of vendors for a material.
The order book is an important part of the purchasing improvement and the
automatisation
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
18
Order Requisition
Request to the purchasing to provide a material or service in a certain
quantity at a certain date.
An order requisition contains items for which respectively a procurement type
is defined. There are the following procurement types:
 Normal
 Subcontracting
 Consignment
The item contains the quantity and the date of the delivered material retr. the
quantity of the rendered service.
For items which are assigned for subcontracting for every delivery date the
provided material components can be indicated.
A BANF is an internal slip, which has no use outside the company.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
19
Order
Request of the purchasing organisation to a vendor to deliver at a certain deadline a certain
quantity of materials retr. to render services.
The order can be created directly or through implementation from a BANF.
In the order each item is assigned for a factory.
Every factory belongs to an entry range to which the creditor invoice is issued.
The by an order followed business transactions will be documented item by item in the
purchase order history.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
20
Release of Communications
The Communication control serves to transfer the orders to the vendors.
Through the communication control the release of communications is
automated.
The order can be transfered as follows:
 Release on paper and transfer through regular mail
 Release through FAX
 Release through E-mail
 Transfer through EDI
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
21
Incoming Goods/Goods Receipt
At goods receipt of ordered material with reference to the order will be executed.
The orders which the purchasing create, contain all information which are
necessary for the execution of the goods receipt.
The goods receipt can be done directly in the „free available stock “ or in the
quality test area.
Material from the quality test area cannot be processed (taken) directly, but have
to be transferred to the „free available stock“ after finishing the necessary tests.
Material, which was order as consignment will be transferred automatically in a
consignment stock.
At goods receipt the slips for the accounting depts. will be fully automatically
issued.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
22
Invoice Receipt
The logistic accounting control is done with reference to the order.
The system checks if the invoiced price corresponds with the price on the
order and if the delivered quantity matches the invoiced quantity.
At conformity the invoiced amount will automatically be demanded for
payment in the accounting dept.
At non-conformity the invoice will be locked for payment and the
purchasing has to clarify the differences with the vendor.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
23
Delivery/Despatch
The delivery to the customer is executed with reference to the customer
order.
The system checks if the despatched goods are available in the stock.
Hereupon the packing and picking of the goods is done.
With the picking also the goods issue from the stock is done
simultaneously.
With the goods issue posting the system is informed that the customer
order is released for the invoicing.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
24
Invoicing
The invoicing is the last link in the logistic chain.
An invoice is automatically issued to the customer.
The basis of calculation is the commisioned and delivered quantity and the
specified price in the customer order.
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
25
Questions
???
Chair of Production & Operations Management
University of Vienna
All for One Vienna, Austria
26