Make to Stock-But were actually Make to Order Mfg

Is it possible to have a soft link between (lets say) 3 sales orders and 1 production order without using the stringent Make to Order functionality in SAP. I was told some time ago I can build a planning strategy utilizing the right combination of requirement class and requirement type plus associated triggers within the strategy profile to combine sales orders to a production orderand view the sales order assignments in the production order. The sales order numbers should have a link to the production order. What's important is flexibility to make planning adjustments with my production orders to sales orders. Keep in mind we are a make to Order Shop but for efficiency we plan as make to stock.
I would like to hear from anyone who uses such planning strategies to help me with the settings.
Thanks in advance.

Hi,
Pls. try Strategy Group 40 ( Planning with Final Assembly) which is best option when you need flexibility between Make-to-Stock & Make-to-Order scenarios because it gives you the flexibility of working with both PIR as well as CIR ( Sales Order). So as you said you can flexibly get Planned Orders against PIR as well as against Sales Orders which will serve your purpose of planning with MTS but execution in MTO way.
This strategy enables you to do dispatch readily when SO arrives with reduced Replenishment Lead Times.
Further you can use Indv/ Collective Indicator in Material Master -
> MRP-4 View as :
2 Collective requirements only
which will help you to get 1 production order against multiple Sales Order.
Hope this helps.
Revert if any doubt and reward if useful.
Regards,
Tejas

Similar Messages

Consignment stock, make to order scenario

Hi
We have a material which produce make to stock and make to order also.
In case of make to stock its fine. But when we are testing make to order then following is system behavour.
Action     Mvt Type     Accounting Document
GR     101     No Accounting Document
Consignment     631     Finish Inventory     Dr      at Standard Price
                    Consignment Inventory Change (VKA)     Cr
PGI     633     COGS     Dr      at Standard Price
                    Finish Inventory     Cr
My question is why not accounting document is generated at the time of GR 101 in case of make to order scenario.

Hi
MTO has 3 scenarios in it. (I think you either fall in Scenario 1 or 2)
1. Where the Qty of Prod order is tagged to sales order upon GR from prod order....
The valuation in this case happens at the std cost (CK11N).... Every thiing remains same as in MTS... You get variance as well
2. Where Qty & Value both are tagged to the sales order (Sales order is Cost Object & Stock is Valuated stock)
This is not recommended by SAP and should be chosen only in rare cases...
This scenario pertains to Complex MTO, means totally manufactured based on customer demand.. Like Cars, Boeing Air Crafts, etc
Sale order is a cost object...
Sales order cost estimate is done when sales order is created...
GR is valuated at sales order cost estimate... Variances are calculated based on this cost and actual cost incurred..
PGI and Revenue post to the sales order because SO is the CO object
Finally Sales order is settled to COPA
3. Where Qty & Value both are tagged to the sales order (Sales order is Cost Object & Stock is Non Valuated stock)
This is recommended by SAP
This scenario pertains to Complex MTO, means totally manufactured based on customer demand.. Like Cars, Boeing Air Crafts, etc
Sale order is a cost object...
Sales order cost estimate can be done when sales order is created...
GR is Non valuated... No Variances are calculated because GR is non valuated
Production Order settles upon sales order.. hence, actual cost goes to sales order...
PGI does not generate accounting doc because stock is Non Valuated
Revenue post to the sales order because SO is the CO object
Finally Sales order is settled to COPA
These are the 3 possible scenarios in MTO... There might be a slight variation in Consignment scenario.... I am nt sure if the "No Accounting doc" situation at GR is OK or not
Regards
Ajay M

Availability check for Make to stock and Make to Order

Dear All,
Client is selling Make to stock and make to Order material.
How and what settings need to do for Avaialbility check.or we can use standard one.
I hope in case of Make to Order availability check may not happen.
Please correct me.
Thanks in advance.
Regards,
Shrikant

hi,
yes for make to order we dont have AvChk. for make to stock items u need to follow the
below configuration.
Availability check
1. Availability check is an integral part of the business process that determines if the required delivery quantity can be met on a required delivery date. For this purpose the system takes into account pre-delivery activities such as scheduling for picking or packing times and the time taken to produce or obtain the material. It also performs several background functions such as Backorder processing, rescheduling and ATP quantities.
2. Backorder processing: processing of a sales order that has not been fully confirmed or not confirmed at a certain delivery date.
3. Rescheduling: is a proposal of how u2013 confirmed quantities already assigned to a sales order can be reassigned to other sales orders that have a higher priority.
4. Available to promise (ATP): is a process of checking the available quantities of a material. The ATP quantity consists of warehouse stock + planned receipts (incoming stock) u2013 planned issues (outgoing stock). to examine stock on hand (CO09) proceed to logistics u2013 sales & distribution u2013 sales u2013 environment u2013 availability overview.
5. Replenishment lead time (RLT): is the time taken for the material to become available either internally (in house production) or externally (from a vendor). The most important things to consider during an external procurement are purchasing and MRP 2 (procurement) views of MMR where the processing time for purchasing, planned delivery time and goods receipt processing time are taken into account. On the other hand internal procurement is based on in house production time (MRP 2 view) goods receipt processing time or alternatively RLT time, which is found on MRP 3 view.
6. RLT (Replenishment Lead Time) is the time taken for the material to become available. RLT is only used when doing an ATP check (Available To Promise). The value of RLT for a material is specified on material master record.
7. There are three types of availability checks u2013
Check on basis of ATP quantities.
Check against product allocation.
Check against planning.
Configuring Availability check through Checking Groups u2013
1. The checking group + checking rule determine how the availability check is to be performed.
2. The checking group determines whether and how the system checks the stock availability and generates requirements for material planning. The checking group defines what type of requirements will be passed on i.e. summarized requirements (daily/weekly) or individual requirements for each sales order.
3. The checking rule applies to how the availability check is to be carried out at the transaction level. Note that you must define checking rules for each individual application such as for production orders for example. In Sales and Distribution, the checking rule is specified internally within the system and cannot be changed.
4. The checking rule, in conjunction with the checking group, determines the scope of the availability check for every business operation; that is, which stocks, receipts and issues are to be included in the availability check and whether the check is to be carried out with or without the replenishment lead time.
5. Briefly explaining the above u2013 checking group determines which type of requirement to be passed on to MRP whether it be individual or summarized and checking rule which is at the transaction level and can be configured independently for each application module, determines which stocks, receipts and issues to be taken into account. For performing an availability check checking group has to work in conjunction with checking rule.
6. Advantages of individual processing over summarized processing u2013
Backorder processing is possible.
You can access (MD04) order, line and schedule line individually which gives a greater control on available stock and requirements placed on stock.
The system automatically uses individual requirements in case of special stock items.
7. Required data for the Availability check to be carried out u2013
The Availability check must be switched on at the requirement class level.
The Availability check must be set at the schedule line level.
A requirements type must exist by which the requirements class can be found.
A plant must be defined in the sales order for each schedule line item (in other words plant must be defined for every material in MMR).
A checking group must be defined in the material master record in the MRP3 screen in the availability check field.
8. Configuring Availability check and defining Checking Groups u2013
Checking groups are introduced into the sales order based on the setting in the material master record.
SAP standard checking groups are 01 u2013 summarized requirements and 02 u2013 individual requirements or you can create your own by copying the standard ones.
Total sales and total deliveries columns are there to configure a checking rule to sum up requirements to post to MRP either individually or by day or week.
Block quantity required can be set if you want several users to be able to process the material simultaneously in different transactions without blocking each other.
The no check indicator is CHECKED when you DO NOT want the system to carry out ATP check.
9. Defining material block for other users u2013 the block check box is an indicator that enables you to block material master records of a particular material during the availability check and restrict other users from accessing same master record and reserve the material. If the block is not set, two users can confirm the same material at the same time for two different orders, not knowing if the stock is available or not. If you select this field, the material is blocked during the availability check and other users cannot: a) Make changes in the material master record. b) Create purchase orders for the material. C) Create orders for the material.
10. Defining default values for checking groups - Checking groups are introduced into the sales order based on the setting in the material master record.
However if there is no entry present in the material master record for the checking group, a default value can be set here, depending on material type and plant.
This default value will be used by the system depending on the material type mentioned in MMR and plant in sales order.
If an entry exists, this default value is over written by MMR.
11. Controlling Availability Check u2013 in this section, you tell the system what stock on hand and what inward and outward movements of stock it must take into account when performing the availability check in addition to whether or not to consider the replenishment lead time.
12. These settings are based on the checking group that is assigned to the material master record and the checking rule that is predefined and assigned to the sales and distribution transaction.
13. These settings carry out control both for sales order and delivery as well. This is due to the fact that you may want to include specific stock or incoming stock for the sales order, yet at the time of the delivery only include physical stock on hand waiting to be shipped.
14. It is possible to indicate to the system that you would like the availability check NOT TO CHECK the stock at the storage location level. This indicator is used to set the scope of the availability check.
15. It is used to switch off the check at storage location level. You create a reservation for a particular storage location. However, the scope of the availability check is set in such a way as to exclude the storage location. In this case, the system carries out the check at plant level only and does not take the storage location into account that is specified in the reservation.
16. Should you not want the system to automatically check RLT, you may indicate so here. RLT is the time taken for a material to become available. It is only used when doing an ATP check and is taken from MMR.
17. Defining the elements in the availability check entirely depends on the business needs, but a few tips are given under u2013
When controlling the Availability check at the time of the sales order, a purchase requisition does not necessarily indicate by it is going to come into the plant.
A shipping notification on the other hand - a confirmed purchase order u2013 is a good indicator of receiving stock on a specified date.
It is always recommended not to select the shipping notifications for the delivery requirements type as you may not actually receive the stock into plant or warehouse for which you are creating a delivery.
regards
anand

Make to Order Stock

Dear PP GURUs,
I have a problem with Sales Order stock in MTO (Make to Order)
Prob : I have one FG (FG-001) with MTO, and One more FG (FG-002) with MTS
          One Raw Material (RM-001) common for the both FG's.
         Due to some reasons, Some quantity (Ex : 100KG) of RM-001 is spared in MTO
         Now I don't want to do MTO (FG-001).But I want to use the spare quantity in MTS (FG-002) manufacturing.
While running MRP for FG-002 (MTS), system not considering existing stock (MTO stock -100 Kg of RM-001). System againn generating Purchase requizations. If system consider the stock, need not required any purchse requizations.
How to configure these in System.
Please any body suggest me in this.
I am on line.
adv. thanks,
with regards,
Anand.M

Hi Anand,
The reason i said that was not because of any smart thinking, but simply because it would be helpful if there were some basic rules defined.
Tommorow a scenario could arise where you could be asked why are you considering sales stock for normal MTS scenario, then what would your reply be?
SAP is a system at the end of the day & we can configure / enhance it to meet any of our needs, but does that justify a good practise is what needs to be seen.
Anyways in MRP-4 view for Indv/coll indicator set it as blank & run MRP & check if it meets your need.
Good luck.
Regards,
Vivek
If your query is resolved, award points & close the thread, else revert.
Edited by: Vivek on Feb 19, 2009 3:59 PM

Make To Order - Commitment qty is 0 even if material on stock

Folks,
We are using Make to order with strategy group 82 (Assembly processing) requirement type is KMFA and class is 201. The availability check in material master is set to '02' individual requirements.
The KMAT has about 100 components. Of 100 components about 10 are set to 'KP' - no check. the rest are set to '02' - individual requirements in the MRP3 view.
On creating the sales order,the components with no availability check have the right committed qty whereas the rest shows 0 .(Eventhough there are enough stock) and are shown as missing parts. (the commitment date deaults to 12/31/9999)
I tried using Movement type 412 E to post the components in to sales order stock. It worked. But there are 100s of components and 100s of orders. We cannot afford to issue the components manually for each and every order.
Is there any way we could achieve this at one step? (like either posting to the order or reservation?) Am I missing something in the set up?
Helpful answers will be rewarded.

MRP 4 view "2" was missing in individual/Collective reqmts.

Message " You cannot make an assignment to make-to-order stock"

Hi,
i'm trying to create a production order for a specific material, but I get this error message:
"The component cannot be allocated to an individual stock because make-to-order production and engineer-to-order production cannot be executed with this order.
A possible cause is that you are trying to create an order with reference to a sales-order/project, where an account assignment to a sales order/project is not allowed in the settlement profile that is assigned to the chosen order type. This is inconsistant."
I have checked the settlement profile and valid receivers: "G/L account" and "sales order" are set to 1 "Settlement Optional".
Which can be the problem?
Thanks in advance,
Luis.

Hi,
in the allocation structure assigned in the settlement rule, is there an assignment for receiver category "SDI" (Sales Order Item) maintained? If not thats the reason.
best regards, Christian

Make-to-order: COPS for KMAT materials (Non-valuated sales stock)

Hello,
We are working with KMAT configurable material (i.e. non valuated sales order stock).
The client is requiring that inventory of these KMAT material should be shown in the financial accounting;however as we work with KMAT, this seems not possible.
The whole process is:
- taking of the sales order with the configuration
- MRP and Production order Execution
- Settlement of the PO to the sales order
- Settlement of the Sales orden to a given account in FI (just like "stock for customer order") - inventory.
The problem we are facing now is how to make the compensation of this account once the product is delivered.
It seems the sales order's default settlement receiver is only the PSG. can we have to use the result analysis key to calculate the cost of sales, and which valuation method can we use if I only want to settle the actual cost that settled from the production order.
By the way, I have search for the notes:Note 26459 it seems we have to run the sales cost estimate first for the KMAT.
Summary
Symptom
It is not possible to perform results analysis on sales order items with materials of material type KMAT.
Additional key words
Transactions KKA3, KKAK
Cause and prerequisites
In make-to-order production, the inventory and the cost of sales are not posted through goods movements because the materials are managed in a non-valuated sales order stock. The only way to create postings in FI is to use results analysis (see Note 26456). If the sales order item consists of a material of material type KMAT, results analysis is not possible because no cost estimate exists for this material.
Solution
Results analysis must be performed with a valuation method that uses profit basis C. With this profit basis, the system uses the planned costs of the production orders for the sales order instead of a cost estimate for the KMAT material.
In Release 2.2 a modification is needed for this which is described in Note 25772. In Release 3.0 this function is provided as standard.
From 3.0C onwards the planned costs of the sales order can also be calculated in a product cost estimate for the sales order. You should use profit basis E in this case.
However, if you are using assembly processing with production orders, you can only use profit basis C.
Hope the scenario is clear. Perhaps you have a different approach to work with KMAT materials.
Regards

Hi Friends,
Can you please provide the solution for my problem and its slight urgent.
Regards
Goutham

Make to order and sales from stock

Hi,
What are the important differences between make to order and sales from stock?
Thanks

Dear Yves,
Make-to-order
A type of production in which a product is manufactured for a particular customer.
Includes both sales order production and engineer-to-order.
Make-to-stock
An inventory of goods that were not manufactured for specific sales orders or projects.
I hope it will clear for you,
Regards,
Murali.

Make-To-Order MRP for components with unstricted-use stock

Dear Experts,
There is a finished goods of material with standard planning strategy group "20" in the material master.
There is a component e.g. material A, under the BOM of the FG material.
There is already enough unrestricted stock for material A which has no special stock indicator assigned.
After creating the sales order, I use MD50 to run the make-to-order MRP, but the result shows that there a purchase requisition has been generated for the material A with the sales order assigned and specail stock indicator = "E".
Is there any solution so that there will be no PR generated for mat A as there is enough unrestricted-use stock.
And in the production order of the FG, can the component only requires the unstricted-use stock instead of the "E" stock?
(It is ok for the FG goods receipt as "E" stock.)
Thanks a lot.

Hi Ram,
Thanks for your information.
I set the indi/coll = 2 and null for the strategy for the component material A
Just want to know, which strategy should I use for the finished goods? And any other setting for the finished goods and the component?
And which transaction MD02 or MD50 for the planning run for the finished goods?
In such setting, after the planning run , PR will be generated for the net external procurement?
Actaully my situation is that I just keep own stock for components, I want MRP to consider the own stock instead of sales order stock before generating PR.
Thanks for your help again.
Claude

Subcontracting availibility check on make to order stock

Dear All,
I have a material let's say 'X' which with a BOM/routing which includes a subcontracting step of material "Y" which is a also a make to stock item. When I create a sales order for material X and run a Plannings run I first produce material Y. Because it's a make to order item the stock it will be customer specific stock. The next step is to send material Y away to the subcontrator, in order to complete material X. However when a create a subcontracting PO and wants to delivery it via transaction ME2O I get the error message that there is no stock available. The reason for this is that teh availibilty check doesn't check the Make to order stock quantities.
I have treid several option but i am Not able to let sap to check the make to order stock when creating a subcontracting delivery. What I am missing or is this not supported by standard SAP?
Thanks in advance.

Dear All,
Thanks for your replies but it doesn't solve my problem because when creating a delivery SAP still uses the normal availability check (B) and not the client specific availability check (BE).
Just for the clarification the underlying material is a client specific item (with special stock indicator E) that needs to be send to the subcontractor. However the administrative stock of this material is stored as client specific and won't be picked up when we make a subcontracting delivery because the standard process use availability check B instead of BE.
Like I mentioned maybe it is not foreseen in the standard functionality.

Re Sales order stock in make-to-order scenario

Hi
    While doing make-to-order scenario after doing production order confirmation for the raw material the reserved stock is reduced but sales order stock is not reduced. how to solve this.
Thanks
Antony

Dear,
If you are using strategy 20 then please note,
You also must maintain the following master data settings for the finished product:
Strategy group 20 on the MRP screen
Item category group (such as NORM) on the Sales Organization screen
Sales Order -> MRP -> Customer Stock Finished Product -> Delivery -
+
   ^                                                                                |
   |                                                                                |                                                --      Reduction--
Goods Issue for Delivery and Reduction of Planned Independent Requirements
After goods issue for the delivery (choose Logistics -- Sales and distribution -- Shipping --Delivery --Create), the stock/requirements list is reset
Regards,
R.Brahmankar

You cannot make an assignment to make-to-order stock

HI ALL,
Here my scinario is make to order scenario. When in material master i given MRP PD, lot size lot for lot. Strategy 20. after creating sales order i did MRP run system created planned order but while converting plan order to process order the system not allow the conversion and gives following message ?You cannot make an assignment to make-to-order stock?. Please let me know why this erroer comes ?
Thanks & Regards
Rahul

hi,
can u please tell me the message class and number for your error.
regards
ramesh

Make to stock and make to order

Hello,
Is it possible , if we have a sales order (make to order sales order) when running MRP, to ready unrestricted stock. It means, there is a sales order for material A for customer B, in MMBE transaction there is not special stock for customer B, but there is unrestricted stock for material A. So, when running mrp, instead ECC/SAP creates a MTO purchase requisition for customer A, it reads unrestricted stock?
thanks.
Renato Rêllo Penna

i think there is a slight confusion in ur question. material A, customer A??. can u elaborate abit more

What is make to order and make to stock

what is make to order and make to stock

Hello Nikhita,
Make to Stock: In MTS scenario you can start the production with Planned independent requirements (from MD61...forecast demand without reference to customer)...much before you receive the sales orders from customers..,leter you can deliver this from warehouse to sales orders. This type of scenario you can use for the industries where they have constant demand for thier products in all seasons and products are not changed frequently and also they want to meet the requirements immediattely to delight the customers.
For this you have use approperaite planning strategies in MRP3 view for the finished parts (example 10, 11, 30, 40, 60 etc).
Make to Order:
In MTO you are working against the customer demands (sales orders). Planning and production will be carried out when you get the actual demand from SD (sales orders)... This type of scenation exists in the induatries where lot of products being manufactured and they changed fron one customer to another customer.
Example: Paint industry where you will be having 3000 sheds of colours and each customer comes with thier own requiremnt. You cannot work here with MTS.
Products will be manufactured exclusively for the particular customer and you cannot switch the stock of one customer to anothe customer.
Please rewards your points if helpful.
Regards
TAJUDDIN

Make to order for stock transfer orders

Hi all
I have set up "make to order" strategy (20) in a production plant A.
When I create a sales order for an external customer, in production plant A, the system creates a requirement in a special stock for the sales order in MD04, which is exactly what I expect. In this way, a planned order is pegged to the sales order.
I would like to have the same mechanisn with a requirement from a stock transfer order. In other words, this STO requirement would appear in a special stock in the MD04.
I know that it is possible if the STO is allocated to a sales orders in the distribution plant, but I want to avoid this strategy in the dsitribution plant.
Is there any way to do that ?
Thank you for your reply
Thierry

Hi,
It's not possible in std SAP, as a demand from an STO is not a special segment requirement eg: say like a project segment or a sales order requirement.
Hope it clarifies.
Regards,
Vivek

Make to Stock-But were actually Make to Order Mfg

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