SAP PP (Production Planning)
Definition or Meaning - What is SAP PP?
Full form or SAP PP stands for (Production Planning) generally encompasses the integration and streamlining of the varied needs of a manufacturing enterprise and takes care of the proper planning of its allied processes. Globally, the main function of a production department is to produce reliable goods and services for end user consumption - the cost effective and effective way. In this regard, a smartly conceived and well organized production department is of utmost importance for higher productivity and profit making figures alike.
Production planning functionalities generally include:
- Planning of schedules
- Dispatching inspection
- Co-ordination and control of raw materials, employees and tools for achieving high quality products and meeting customer demands.
SAP Production planning tools are well equipped for enabling all the Master Data and making them readily available for advanced decision making tasks.
SAP Production Planning (PP) is composed of the following components
- DM (Data Management)
- LTP (Long tern planning)
- MRP(Material Requirement Planning)
- MPS (Master Production Schedule)
- SOP (Sales Operation Planning)
- Bills of Material (BOM)
- Shop Floor Control
- CRP (Capacity Requirement Planning)
- Automatic material requisitions on the basis of MRP
- Capacity planning
- Routings
- Information systems and so forth.
These SAP PP components make it easy to streamline the smaller details of the manufacturing process and can appropriately record and track planned costs, material flows and actual costs to perfection. This module is totally integrated with other SAP modules like:
- SAP FI CO (Financial Accounting and Controlling)
- SAP Sales and distribution (SD)
- SAP Material Management (MM)
- SAP Plant Maintenance (PM) and
- SAP Logistics Execution (LE).
SAP PP handles all business processes relevant to the production of a manufacturing unit. Here, the R/3 system modular data is appropriately classified as transaction data and master data; where the latter is defined in the form of individual module objects. These PP Master Data objects must be used prior to the use of transactions.
Scope and Opportunity of a Career in SAP PP (Production Planning)
A career in SAP PP requires the following basic skills:
- Degree from a recognized institute/ university and a good educational background.
- Basic knowledge of information and computer applications.
- Prior knowledge and hand-on experience (optional but beneficial) of production planning and ERP tools
Training in this SAP Module is best suited for project team members, business analysts, IT staff, inventory managers, managerial staff in the department of production and purchasing, consultants, trainers and so forth. After receiving a certification in this course, they can perform their tasks with the help of SAP PP tools and software applications –in an accurate and efficient manner.
Become a Certified SAP PP (Production Planning) Consultant
In the current scenario, there is an urgent requirement for SAP PP Certified professionals. As only 7 out of 10000 Indian professionals are having an expertise in SAP PP, there is a huge demand of entrants as well as experienced people in this field.
SAP PP (Production Planning) module certification can help candidates aspire for the lucrative job positions of senior consultants, SAP PP Consultants, assistant managers and senior level managers.
In India, the most popular locations for SAP PP professionals are Delhi, Gurgaon, Mumbai and Bengaluru. Mahindra and Mahindra, Hindustan Unilever, Tata Consultancy and Jindal Steel & Power are some of the top paying companies that are helping freshers embark on their careers. With attractive pay packages averaging in the range of 2.8 lacs p.a. to 5.14 lacs p.a. for fresh entrants with nil experience, this SAP module is indeed worthy of a look.
The top paying companies that are attracting SAP professionals with over 7 years of experience in their bag are: Promed Exports with a package of 50 lacs p.a. and Huawei Telecommunications with 30 lacs annually. These and other companies in the fray are known for paying huge bonuses and boast of a 17 percent increment in salaries after a year of experience.
So, gear up to unleash the powers of SAP PP and take your career to the next levels of success - today.
Read Next
Tutorials
- SAP BOM Tcode (Transaction codes)
Bill of material (BOM) A list of all of the items that make up a product or assembly. The list is complete for its given purpose, has a formal structure, and states the name, quantity, and unit of ... 
Difference between Goods Issue and Goods Receipt
Goods Issue Vs. Goods Receipt Goods Receipts and Goods Issue both deal with the inventory only. Goods Issue in SAP A Goods Issue is defined as a physical outbound movement of goods or materia ...
Difference between By-Product and Co-Product
By-Product vs Co-Product in SAP BOM Main difference between By-product and Co-product In the case of Co-product costs are settled with an apportionment structure whereas In the case of By- ...
SAP PP (Production Planning) Certification Cost and Course Duration in India
Numerous reputed institutes located across the world are now imparting SAP PP training to interested candidates in the entry and advanced levels of their SAP Career. The level of expertise and experie ...
Backflushing in SAP PP
If you want your auto goods receipt or good issues that will further result in saving in the manual interference and in so doing the cost using an instinctive process in the respective system you have ...- Production Planning Transaction Codes
Transaction Activity Master Data MD25 Create planning calendar MD26 Change planning calendar MD27 Display planning calendar MDSA Display BOM explosion number MDSP Edit BOM explosion nu ... - SAP PP Process Flow
The PP flow consists of planning and execution as described. Here is the flow of PP in simple language: First of all demand is generated for the product to be produced through demand ma ... 
Routing and Work Centers in SAP PP
For SAP PP consultants, it is very important to understand the concept of SAP workcenters as well as routings in SAP. What is Routing in SAP PP? Routing in SAP PP (Production Planning) refers to ...- KANBAN Processes, Procedure and Prerequisites with MRP
Prerequisites In this process, the storage location assigned to the supply area is not excluded from MRP.If a material is planned and procured with MRP, you must make the following settings ... 
SAP KANBAN and Implementation Considerations
What is SAP KANBAN? For those of us who are not aware what the term, "Kanban" refers to, this is a process which is related to monitoring and regulating the flow of material and productio ...- Job Profile & Salary Package for SAP PP (Production Planning) Consultant
Still this sector needs good number of Indian professionals. Currently 7 out of 10,000 of all Indian professionals are having expertise in SAP PP. The demand is huge and thus this is a good course tha ... - SAP Production Order Variance Report
Check out some of the reporting available through Controlling => Product Cost Controlling => Cost Object Controlling => Product Cost by Order => Information System => Summarized Analysi ... - Calculation to determine the delivery date and release date
There have been three parameters that SAP will take it into calculation to determine the delivery date and release date during material requirement planning. They are - 1) Planned Delivery Time w ... - SAP Factory Calendar in Plant
What is SAP Factory Calendar? Factory calendar contain company specific dates such as alternate working Saturdays, Plant shutdown etc. You can create your company factory calendar via transactio ... - IMPORTANT TCODES FOR KANBAN
Create Supply Area (Tcode: PK05) Create Control Cycle (Tcode: PKMC) Kanban Transaction through Scanning or Manual operation. (Tcode: PKBC) Event Driven Kanban ... - How to delete the assignment on handling units
Hi i want to delete the assignment on handling units to work order from 08 to 12 status You can change the assignment from the notifications and orders 1. call notification 2. Notification -> ... - Difference between MRP type PD and MPS type M0
SAP MPS vs MRP TypeWhen running MRP using transaction MD02 and MD41, what the difference should be?There is no difference in the processing logic as such. The only difference is that MPS only acts on ... - Qualifications and Skills requires to become a SAP PP (Production Planning) Consultant
Thus the basic skills required are: Good educational background, with a degree from reputed institute or university Basic knowledge of computers and information technology ... - Impact of NETCH, NETPL, NETUL on MRP
Procurement type does not affect MRP processing key, During regenerative planning, all materials are planned for a plant. This makes sense when you are carrying out the planning run for the first t ... - Cutover Activities followed for PP Module?
I am listing some cut over activities to be followed (for PP - Discrete Manufacturing). Production Planning / Master data: For Production planning, only master data shall be migrated to ...