User Experience Insights
Production Planning in a cross Plant/Company set-up
Hello Everyone,
This document explains the steps required to configure a system for Production planning in a cross Plant/Company set-up. Many members post questions with a bit of variation regarding this scenario. Hopefully, This blog will address the below 2 scenarios.
| Company | Plant | Header Mat | Item | Item | Item | |
| Scenario 1 | 7000 | 7001 | 311 | 312 | 250 | 321 |
| 7000 | 7002 | 250 | 271 |
| Scenario 2 | 7000 | 7001 | 311 | 312 | 250 | 321 |
| 8000 | 8002 | 321 | 327 |
Business Scenario 1: Different Plant in same Company code
The customer is placing a Sale Order in the 7001 plant.
The manufacturings of the products are happening in different plants.(i.e Assembly of the product happening in the plant (7001) and Semi-finished products are produced in another plant(7002)).
The demand from 7001 plant should come to 7002 plant and need to produce them according to the requirement.
After manufacturing the semi-finished product, the products from 7002 plant stock will be shipped(Stock transport Order) to the assembly plant (7001) for the assembling process.
Prerequisites:
Master Data:
| Material Type | Number | Plant | Example | BoM | Routing | PV |
| FERT | 1 | 7001 | 311 | ✓ | ✓ | ✓ |
| HALB | 1 | 7001 | 250 | |||
| ROH | 1 | 7001 | 312 | |||
| HALB | 1 | 7002 | 250 | ✓ | ✓ | ✓ |
| HALB | 1 | 8002 | 321 | ✓ | ✓ | ✓ |
Master Data Changes:
| Material | Plant | Procurement | Special Procurement |
| 311 | 7001 | E | |
| 250 | 7001 | F | 90 |
| 312 | 7001 | F | |
| 250 | 7002 | E | 70 |
| 321 | 7001 | F | 80 |
| 321 | 8002 | E | 70 |
For 321 material maintain the same changes.
Configuration:
Special Procurement Key: 70,80 and 90.
Special Procurement Key: 70 in SFG manufacturing plant
Special Procurement Key: 80 and 90 in FG/Assembly plant
Demand in both Plants (7001,7002)
In the 7001 plant, we will get STO PR. PR can be converted in STO purchase order. The item category will be “U”.
Please continue the normal STO process.
Business Scenario 2: Different Plant in different Company code
The customer is placing a Sale Order in the 7001 plant.
The manufacturings of the products are happening in different plants.(i.e Assembly of the product happening in the plant (7001) and Semi-finished products are produced in another plant(8002) under 8000 Company code).
The demand from 7001 plant should come to 8002 plant and need to produce them according to the requirement.
After manufacturing the semi-finished product, the products from 8002 plant stock will be shipped(Stock transport Order) to the assembly plant (7001) for the assembling process.
Demand in both Plants (7001,8002)
In the 7001 plant, we will get STO PR. PR can be converted in STO purchase order. The item category will be “U”.
Please continue the normal STO process.
Conclusion:
The production cost will capture in respective manufacturing plants. if the plants are in a different place then you can add transportation cost in the STO P.O.
There is N number of scenarios for Multi Plant/Company Planning, I hope this blog has established a baseline understanding of how Multi Plant Planning works.
If you have any queries please feel free to ask.
Good detailed information, Thank you Ranjith.
Thanks for sharing the information Ranjith.
Just curious to know about the price control for plant 7001 and 7002 with respect to the materials?
is it Like ( 7001 - V and 7002 - S)?
Hello Kumar,
Yes, The price control should be "V". Otherwise, we can't capture the additional cost incurred while doing the STO.
Dear Ranjith,
I have implemented in our company, it is working fine.
Thank you so much
Hi, thanks for this post. I have a problem however.
In our case, MTO sales orders are booked in regional warehouse - say plant 1000, company code 1000.
As per policy, regional warehouses are supplied stock from main warehouse - say plant 2000, company code 1000. So regional warehouse and main warehouse belong to the same company code 1000.
Any shortages are supplied from the factory - plant 3000, company code 3000.
I have an MTO sales order in plant 1000. As this is MTO and there is no stock in plant 1000, a special procurement key diverts requirement to main warehouse 2000. Up till here it's working correctly.
Again, as there is no MTO stock in warehouse plant 2000, through a special procurement key in plant 2000, I expect requirement to be forwarded to factory 3000. This is not happening.
For MTS, the entire cycle works perfectly from plant 1000 to 3000. Only in case of MTO the cross company special procurement key doesn't seem to be working. Any clues?