C_TS422_2022 Questions and Answers

 A work center hierarchy is a business object in PP/DS that defines the structure and sequence of resources that are used for a production process. You use this object to represent the logical and physical dependencies of the resources and to control the scheduling and sequencing of the operations or orders. A work center hierarchy allows you to modelthe production flow and capacity more realistically and ensure the technical feasibility of the production plan1

A work center hierarchy can also be used to cumulate the available capacity and capacity requirements of the resources in capacity planning. You can cumulate the available capacities from subordinate work centers to a superior work center level in order to determine the total available capacity for the superior work center. This way, you can use a work center hierarchy as a group of alternative work centers that provide a cumulative available capacity for production23

References:

• Work center hierarchy | SAP Help Portal
• Work Center Hierarchy - SAP Help Portal
• Highlights for Manufacturing in SAP S/4HANA 2021 – Part 2: Production Planning, Engineering, Operations | SAP Blogs

You can select the following standard item categories inside a bill of material (BOM):

• Variable-size item: This item category is used for materials that have variable dimensions, such as pipes, wires, or fabrics. The system calculates the quantity of the variable-size item based on the formula and the dimensions entered in the BOM. You can also use the variable-size item to define a scrap percentage for the material.
• Non-stock item: This item category is used for materials that are not managed in inventory, such as consumables, services, or subcontracting items. The system does not create any reservations or stock movements for the non-stock item. You can use the non-stock item to trigger purchasing requisitions or purchase orders for the material. References: Bill of Material Item Category; Bills of Material in Production Planning

The system checks the master data selection settings during the creation of planned orders and production orders in the following places:

• In the bill of material (BOM), the system checks the selection ID, which determines which alternative BOM is selected for the material. The selection ID can be maintained in the material master or in the production version.
• In the routing, the system checks the selection ID, which determines which alternative routing is selected for the material. The selection ID can be maintained in the material master or in the production version.
• In the production version, the system checks the validity period, the lot size, and the selection profile, which determine whether the production version is valid and applicable for the material. The production version combines the BOM and the routing for a material and can be maintained in the material master or in the production version master data. References: SAP S/4HANA Manufacturing for Planning & Scheduling - Implementation Guide, page 16; [SAP S/4HANA Production Planning and Manufacturing Certification Guide], page 75.

 A line hierarchy in repetitive manufacturing represents the structure of a production line that consists of multiple work centers. A line hierarchy is a master data object that defines the sequence and the relationship of the work centers that are involved in producing a material. A line hierarchy can be split into different levels, such as line segments, processing stations, or takt areas, to reflect the complexity and the variability of the production line. A line hierarchy can be used for planning and scheduling operations, controlling material flow, and monitoring production performance12.

The other options are not correct for the following reasons:

• A production line with prioritized work centers (B): This is not correct. A line hierarchy does not define the priority of the work centers, but the order and the dependency of the work centers. The priority of the work centers can be determined by other factors, such as the capacity availability, the production rate, or the scheduling parameters.
• A production line with a parallel sequence in the routing ©: This is not correct. A line hierarchy does not represent the parallel sequence in the routing, but the linear sequence of the work centers. A parallel sequence in the routing means that two or more operations can be performed simultaneously on different work centers for the same material. A parallel sequence in the routing can be modeled by using alternative sequences or parallel sequences in the line hierarchy3.
• A production line with an alternative sequence in the routing (D): This is not correct. A line hierarchy does not represent the alternative sequence in the routing, but the main sequence of the work centers. An alternative sequence in the routing means that there are different options for performing an operation on different work centers for the samematerial. An alternative sequence in the routing can be modeled by using alternative sequences or parallel sequences in the line hierarchy3.

References:https://help.sap.com/docs/SAP_S4HANA_ON-PREMISE/48b24fbadbee4e0b9dae0e2b72762e68/db8151ba8ca14106bf037a1546cde6a9.html

https://help.sap.com/docs/SAP_S4HANA_ON-PREMISE/f899ce30af9044299d573ea30b533f1c/9231f9504a62eb5ee10000000a44538d.html

 A production version is a master data object that links a bill of material (BOM) and a routing or a production process model (PPM) for a material. A production version is required for creating a production order in SAP S/4HANA, as it determines the components, operations, and resources that are needed for producing the material. You can create a production version manually or automatically using the CS_BOM_PRODVER_MIGRATION02 report1.

If you are trying to create a production order and no valid production version can be selected, it could be because of the following reasons:

• No bills of material (BOMs) are assigned to the production versions (A): A BOM is a master data object that defines the components and the quantities that are required for producing a material. A production version must have a valid BOM assigned to it, otherwise it cannot be used for creating a production order. You can assign a BOM to a production version on the MRP 4 tab page of the material master2.
• The order lot size is not within the validity range of a production version ©: A production version has a validity range that defines the period and the lot size interval in which it can be used for production planning. The validity range is maintained on the MRP 4 tab page of the material master2. If the order lot size (the quantity of the material to be produced) is not within the lot size interval of any production version, then no valid production version can be selected for creating a production order.

The other options are not valid reasons for not being able to select a production version for creating a production order:

• All production versions for the material are locked (B): A production version can have a status that indicates whether it is active or locked. A locked production version cannot be used for production planning, but it can still be selected for creating a production order. However, the system will issue a warning message that the production version is locked and ask for confirmation before proceeding with the order creation3.
• No production lines are assigned to the production versions (D): A production line is an organizational unit that represents a group of resources that are used for producing a material. A production line can be assigned to a production version on the MRP 4 tab page of the material master2. However, this assignment is optional and not mandatory for creating a production order. A production line can be used for grouping production versions for reporting or analysis purposes, but it does not affect the selection of a production version for creating a production order4.

References:

 You have to use batch management in SAP S/4HANA to be able to track and use the information about materials whose specifications differ for each manufacturing process in all areas of logistics. Batch management is a function that allows you to manage materials that are produced or procured in batches, where each batch has a unique identifier and can have different characteristics or specifications. With batch management, you can:

• Define the batch characteristics and specifications for each material, such as color, potency, or shelf life.
• Assign a batch number to each batch of material and record the batch characteristics and specifications in the batch master record.
• Use the batch number as a key for tracking and tracing the batch throughout the logistics processes, such as goods receipt, production, quality inspection, goods issue, or delivery.
• Use the batch characteristics and specifications as criteria for batch determination, which is a function that automatically selects the suitable batches for a requirement based on predefined rules and conditions.
• Use the batch characteristics and specifications as input for batch valuation, which is a function that allows you to valuate batches of the same material differently based on their quality or market value.

References: [SAP S/4HANA Production Planning and Manufacturing Certification Guide], page 92; [SAP Help Portal: Batch Management].

When you assign a planned order to a production line manually, using the planning table in repetitive manufacturing, the system generates capacity requirements for the planned order. The capacity requirements are calculated based on the production line, the quantity, and the production rate of the planned order. The system also checks the availability of the production line and displays any capacity overload or underload. The planned order is not converted to a production order, nor is the component availability or the picking list affected by the manual assignment. References: SAP Help Portal - Assigning Planned Orders to Production Lines, SAP S/4HANA Production Planning and Manufacturing Certification Guide - Chapter 7: Repetitive Manufacturing

Planning strategy 40 (Planning with final assembly) is a make-to-stock strategy that uses planned independent requirements to trigger the procurement and production of the necessary assemblies and components before receipt of the sales orders. As soon as the sales order is received, it consumes the planned independent requirements and adjusts the master plan to suit the current requirements situation. This means that the important feature of this planning strategy is that you can react quickly to customers’ requirements. The consumption of planned independent requirements can take place when you create a sales order, as well as when you change or delete a sales order. References: Planning with Final Assembly (40), Sample Scenario: Strategy 40, Outlining Make-to-Stock Production

• One-off events: These are special events that affect the demand for a product, such as promotions, holidays, or product launches. You can use the one-off events function in SAP S/4HANA to create and maintain events and assign them to products. The system considers the events when generating the forecast and adjusts the demand accordingly.
• Past sales order quantities: These are the historical data of the actual sales orders for a product. You can use the past sales order quantities as the basis for forecasting the future demand. The system applies statistical methods and algorithms to analyze the past sales order quantities and identify the trends, patterns, and seasonality of the demand.
• Market intelligence: This is the external information that influences the demand for a product, such as market research, competitor analysis, or customer feedback. You can use the market intelligence function in SAP S/4HANA to import and integrate market data from various sources into the forecast. The system adjusts the demand based on the market intelligence data and the weighting factors that you define. References: Exploring the Steps of Supply Chain Planning; SAP S/4HANA Production Planning and Manufacturing II, Unit 2: Demand Management; [SAP S/4HANA Production Planning and Manufacturing Certification Guide], page 76.

• You can use mass processing to set production orders to technically complete. Mass processing allows you to perform the same action for multiple production orders at once, such as changing the status, printing, or confirming. You can use the Set to Technically Complete action to close the production orders that are finished and do not require any further processing. This action updates the order status to TECO and prevents any further changes to the order12.
• You can use trigger points to automatically create rework orders via confirmation. Trigger points are predefined events that occur during the execution of a production order, such as reaching a certain operation or quantity. You can assign actions to trigger points, such as creating a notification, a rework order, or a quality inspection. For example, you can use a trigger point to automatically create a rework order for defective goods when you confirm an operation. The rework order is linked to the original order and inherits the relevant data from it3 .

References:

• 1: SAP Help Portal: Mass Processing
• 2: SAP S/4HANA Production Planning and Manufacturing Certification Guide, Chapter 7: Process Orders
• 3: SAP Help Portal: Trigger Points
• : SAP S/4HANA Production Planning and Manufacturing Certification Guide, Chapter 6: Production Orders

The MRP planning file is a list of all materials relevant to the planning run. The system sets an entry in the planning file for a material when there is a change that affects the material requirements planning, such as changes to stock, requirements, receipts, or MRP data in the material master. The following processes lead to an entry in the MRP planning file:

• Changing the procurement type in the product master, which determines how the material is procured (internally or externally) and affects the MRP procedure and lot-sizing procedure.
• Changing the stock in inventory management, which changes the stock/requirements situation of the material and triggers a net requirements calculation.
• Changing the purchasing contract in materials management, which creates a purchase requisition as a receipt element and affects the availability of the material. References: Planning File, Planning File Entries for MRP Areas, SAP Exam C_TS422_1909 Topic 10 Question 10 Discussion

 When you save a confirmation for a finished product in repetitive manufacturing, the system performs the following actions by default12:

• Posting of production costs to the production cost collector: The system calculates the actual costs for the confirmed quantity and posts them to the production cost collector assigned to the product. The production cost collector is a cost object that collects the costs for all confirmations of a product in a plant for a period.
• Posting of goods receipt for the product: The system posts the confirmed quantity as a goods receipt to the warehouse. The product is valuated at the standard price defined in the material master record. The difference between the standard price and the actual costs is posted to a price difference account.
• Reduction of associated capacity requirements: The system reduces the capacity requirements for the work center where the confirmation was made. The capacity requirements are calculated based on the confirmed quantity and the standard values for setup, machine, and labor time in the routing. References: 1: Repetitive Manufacturing Confirmation | SAP Help Portal(https://help.sap.com/docs/SAP_S4HANA_ON-PREMISE/ee6ff9b281d8448f96b4fe6c89f2bdc8/66dd7fc2d4ac4a53b51f300a04ae24ac.html)2: Confirming Production in Repetitive Manufacturing | SAP Help Portal(https://help.sap.com/docs/SAP_S4HANA_ON-PREMISE/f899ce30af9044299d573ea30b533f1c/9231f9504a62eb5ee10000000a44538d.html).

The Advanced Planning flag is a field that indicates whether a data object is relevant for planning with Production Planning and Detailed Scheduling (PP/DS) in SAP S/4HANA. PP/DS is a component of Advanced Planning that provides more precise and flexible planning capabilities for critical products and resources. You can set the Advanced Planning flag for the following data objects:

• Work Center: This is a master data object that represents a location where operations are performed. A work center can have different capacities, such as machine, labor, or power, that are used for scheduling and capacity planning. You can set the Advanced Planning flag for a work center to enable it for PP/DS planning. This means that the work center can be used as a resource in PP/DS and its capacity can be optimized by PP/DS heuristics or optimization tools.
• Material: This is a master data object that represents a product or a component that is produced, procured, or consumed in a business process. A material can have different views, such as basic data, MRP, sales, or production, that contain different attributes and parameters for planning and execution. You can set the Advanced Planning flag for a material to enable it for PP/DS planning. This means that the material can be planned with exact times and quantities in PP/DS and its availability can be checked by PP/DS pegging.

The production version (B) and the plant (D) are not data objects that can have the Advanced Planning flag. The production version is a master data object that defines the combination of a bill of material (BOM) and a routing or a production process model (PPM) for a material. The production version does not have a separate flag for PP/DS, but it inherits the flag from the material and the work center. The plant is an organizational unit that represents a physical location where materials are produced or stored. The plant does not have a flag for PP/DS, but it is assigned to a location in PP/DS that represents the geographical or logical grouping of plants for planning purposes. References:https://blogs.sap.com/2018/02/12/ppds-for-sap-s4hana-advanced-planning-a-powerful-planning-and-scheduling-tool/

https://learning.sap.com/learning-journeys/explore-integrated-business-processes-in-sap-s-4hana-/advanced-planning_ae824eb6-4bf8-4720-a48f-ba86929a14de

A production planning run in Advanced Planning (PP/DS) is a process that optimizes the supply and demand situation for a set of materials and locations within a given planning horizon. The possible results of a production planning run are:

• Planned Order: A planned order is a proposal for internal production or external procurement of a material. A planned order can be converted into a production order or a purchase order, depending on the source of supply. A planned order can also be firmed, which means that it is not changed or deleted by subsequent planning runs.
• Production Order: A production order is a document that defines the operations, materials, resources, and costs required to produce a material. A production order is created from a planned order or directly by the user. A production order can be released, confirmed, and settled as part of the production process. References: [SAP S/4HANA Production Planning and Manufacturing Certification Guide], page 181; [SAP Help Portal: Production Planning Run].

 To use capacity availability checks for production orders, you need to make the following settings:

• The relevant for finite scheduling indicator must be set for the work centers or resources that you want to check. This indicator determines whether the system considers the capacity of the work center or resource during the capacity availability check and finitescheduling. You can set this indicator in the work center or resource master data, or in the routing or production version of the order12.
• An overall profile must be assigned in the checking control for the order type and plant. The overall profile defines the parameters for the capacity availability check, such as the period profile, the selection profile, the checking horizon, and the reaction. You can assign the overall profile in Customizing for Capacity Planning under Availability Check -> Checking Control34.

References:

• 1: SAP Help Portal: Work Center/Resource
• 2: SAP S/4HANA Production Planning and Manufacturing Certification Guide, Chapter 5: Master Data
• 3: SAP Help Portal: Checking Control
• 4: SAP S/4HANA Production Planning and Manufacturing Certification Guide, Chapter 9: Capacity Planning

The planning strategy settings in the Capacity Scheduling Table determine how the system schedules the operations or orders on the resources. You can select the following settings:

• Finiteness level: This setting defines how strictly the system considers the capacity availability of the resources when scheduling. You can choose between infinite, finite, and optimized scheduling. Infinite scheduling ignores the capacity availability and schedules the operations or orders as early as possible. Finite scheduling respects the capacity availability and schedules the operations or orders only in the free slots of the resources. Optimized scheduling tries to find the best compromise between infinite and finite scheduling by minimizing the delays and overloads12
• Scheduling control: This setting defines how the system handles the scheduling conflicts that may arise when scheduling the operations or orders. You can choose betweenrescheduling, shifting, and splitting. Rescheduling means that the system moves the conflicting operations or orders to a later date. Shifting means that the system moves the conflicting operations or orders to another resource within the same resource network. Splitting means that the system splits the conflicting operations or orders into smaller parts and schedules them on different resources or dates13
• Direction: This setting defines the direction of the scheduling. You can choose between forward and backward scheduling. Forward scheduling means that the system schedules the operations or orders from the start date to the end date. Backward scheduling means that the system schedules the operations or orders from the end date to the start date14

References:

• Planning Strategy Settings - SAP Help Portal
• Finiteness Level - SAP Help Portal
• Scheduling Control - SAP Help Portal
• Direction - SAP Help Portal

Material numbering is the process of assigning unique identifiers to materials in the system. Material numbering is defined at the client level, which means that the same material number can be used for different materials in different clients. However, within a client, the material number must be unique for each material. The material number can be either external or internal. External material numbers are entered manually by the user, while internal material numbers are generated automatically by the system. The maximum material number length is 40 characters for external numbers and 18 characters for internal numbers. The material number length can be customized in the configuration app Define Material Number Lengths1. The material number can also be formatted with prefixes, suffixes, and templates in the configuration app Define Material Number Formats2. References: Define Material Number Lengths | SAP Help Portal, Define Material Number Formats | SAP Help Portal

If the available stock is zero and the discontinuation date is in the past, the material requirements planning (MRP) process will be affected. MRP will not create any planned orders or purchase requisitions for the discontinued component. Instead, it will create a discontinuation indicator in the MRP list and a discontinuation message in the exception message list. This will inform the planner that the component is no longer available and that a follow-up material should be used instead. References: [SAP Help Portal] - Discontinuation of Materials.

A production version is a combination of a BOM and a routing that defines how a material is produced. For a production version to be valid and consistent, the following requirements must be fulfilled:

• The deletion flag must NOT be set for the BOM or the routing. The deletion flag indicates that the BOM or the routing is no longer used and should be archived. If the deletion flag is set, the production version cannot be used for production planning or execution.
• The lot size range must be within the lot size range of the assigned routing. The lot size range specifies the minimum and maximum order quantity for which the production version is valid. The lot size range of the production version must match or be smaller than the lot size range of the routing, otherwise the system will not find a suitable routing for the production order.
• The assigned routing and BOM must be valid in the entire validity period. The validity period defines the time frame for which the production version is valid. The validity period of the production version must be within or equal to the validity periods of the routing and the BOM, otherwise the system will not find a consistent BOM and routing combination for the production order. References: [SAP S/4HANA Production Planning and Manufacturing Certification Guide], page 113; [SAP Help Portal: Production Version].