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Production Management
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Contents
1 Introduction
2 Production Management
2.1 Configuration
2.2 Execution
3 Relationship with other areas
4 Application Menu
4.1 Transactions
4.2 Analysis Tools
4.3 Setup
Introduction
In Production Management the process of producing products from raw material is managed. The production process itself, as well as monitoring the quality of produced products, the
maintenance of the machine used in production and the cost management for raw material and end products in managed.
Production Management
The main documents to manage the production process are:
the Process Plan
the Work Requirement
the Work Effort
Configuration
Apart from the set up screens in the Production module, additional set ups are required.
For Production there are different products that are set up:
Raw material used in production
Average cost is used
the Production checkbox is selected to indicate the product is used for production
the process plan is selected
Finished products produced in production
Standard cost is used
the Production checkbox is selected to indicate the product is produced in production
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2. 6/23/2014 Production Management - OpenbravoWiki
the process plan is selected
the default storage bin that is used for the product is defined in the Purchasing tab
based on cost calculations a price is determined for the product and added to the price list
a safety stock level is determined and entered for the product
Any semi finished products are created directly in the process plan by copying the information of a raw material product used in the operation. Once created, the default storage bin
is defined in the Purchasing tab.
For more information about the configuration of products, please refer to the Product section.
Also Business Partners are configured for production:
In the Employee tab any employees that are involved in the production process have the operator checkbox selected.
For more information about the configuration of business partners, please refer to the Business Partner section.
Work Efforts can be posted to the General Ledger Journal. In order to facilitate the posting, the MaterialMgmtProductionTransaction table is activated in the Active Tables tab of the
General Ledger configuration.
Execution
Sales staff enter Sales Order for the product with the quantity required and the date by when it needs to be delivered. If the product is not in stock, it needs to be produced.
Also if the stock level is below the safety stock level, products have to be produced.
The information about the demand from sales orders and safety stock is handled in 2 ways:
automatically in MRP
manually by a production manager
Ideally the information is handled by MRP. If not, a production manager reviews if production of the product is required by reviewing the total demand:
the outstanding sales orders
the safety stock level
and compare it with the total supply:
the stock level
scheduled Work Requirements
If the demand is higher than the supply, or the dates of scheduled Work Requirements are not matching the dates of the outstanding sales orders, the product needs to be produced and
a production manager executes:
review of the stock of the raw material. If needed the raw material will be requested used the procurement management process.
entry of the Work Requirement for the required quantity with the required quantity and the planned date
generate Work Efforts from the Work Requirement.
The staff responsible for executing the production can see on the Production Run Status Report what production has to be executed.
At the end of each shift, the production managers enter the information of what is produced in the Production Run screen.
Finance staff can calculate the actual cost of the production for the product.
Relationship with other areas
Production Management interacts with the following modules:
Procurement Management: raw material required for use in production is bought using the Procure to Pay process
Sales Management: demand for the products that are produced are generated through the Order to Cash process
Warehouse Management:
raw material is taken from the warehouse to be used in production
end products that come out of production are put into stock
MRP: Work Requirements can be a result of MRP
Financial Management: Cost related to Production is calculated for finance.
Application Menu
Please find below detailed descriptions of all windows and report of the Production Management application area.
Transactions
Work Requirement
Work Effort
Production Run
Quality Control Report
Periodic Quality Control Data
Internal Consumption
Maintenance Order
Insert Maintenances
Maintenance Plan
Calculate Standard Costs
Create Production Costs
Analysis Tools
Standard Costs Report
Production Run Status Report
Pending Work Requirement
Production Cost Report
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Setup
The following screens are used to set up the components used in the production process:
Section
Work Center
Process Plan
Activity
Toolset
Machine Category
Machine
Manufacturing Cost Center
Periodic Quality Control
Quality Control Point
Work Incidence
Maintenance Task
Indirect Cost
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