SAP Make to order

[former_member266392]

Hi experts,

Please advice me how to map the below process in SAP

In our current production scenario, we are facing difficulties in delivering the finished goods to the customers at their expected time of delivery. This is because of the fact that the externally procured materials  have a higher lead time for delivery and the issue of raw materials to production does not happen in time. we procures the raw materials from different vendors after the sale orders are created and then releases the materials to production.

we cant reduce this lead time since it is standard for all vendors.

So please suggest if any planning type exist which suits this requirement or any other standard process to achieve this.

Thanks in advance.

[former_member266392]

Strategy 50 and 52 is not meeting our requirement.

[former_member266392]

Dear Friends,

In our scenario the raw material procurement time is 90 days. In Sales order delivery commitment they are considering only the in house production time.

The raw material procurement is based on sale order. So how to fill those gap?

We should make the delivery on time to the customer.

Your suggestion are highly appreciated.

[Caetano]

Hello

I believe that you should change your availability check to consider the total replenishment lead time, instead of only considering the in house production time. The total replenishment lead time must include the in house production time plus the raw material planned delivery time.

Take a look on the following link for more details:

Availability Check With or Without Replenishment Lead Time - Availability Check According to ATP Log...

BR
Caetano

[Caetano]

Hello

You have mentioned that you start the raw material procurement after the creation of a sales order, therefore, strategy 50 will  not be helpful on this scenario.

As far as I can see the problem here is the lead time of the raw materials. In this case, system will not be able to help you, unless you are willing to change your process and to have some stock of raw material on your plant.

Only in this case, you can use a planning strategy like 50 or 70 to plan your components in advance.

BR
Caetano

[Former Member]

Hi Prashanth,

There are multiple SAP planning strategies available for make to order scenario where you can keep the sub assmebly ready in advance and create final assembly once you get the sales order.

Explore strategy 50 - Planning w/o Final Assembly

Regards,

Rohit