Milestone Confirmation of the Process Order with Multiple Operations & with Multiple Phases involved

Business Process with Milestone Confirmation in the Process Order

For a Process Order, with multiple Operations & each Operation contains multiple Phases. During the confirmation of the last Phase of the last Operation, (which contains Milestone confirmation) System should automatically confirm all preceding Phases in all the Operations

Please find the sequence of steps involved in executing this Business Process/Requirement

 ---------- Requirements of the Master data settings ----------

1.Create Material Master for the FG/SFG & Raw Materials required, Transaction code: MM01

Created the below Materials for this scenario
For Example : Finished Product: FNP1 & Raw Material: QMATR1

2. Create the BOM for the finished Product, using he Transaction Code: CS01

Created the BOM for the Finished Product : FINP1, with the required set of components

3. Create the Resource using the Transaction Code: CRC1

Created/Used the below mentioned three Resources: 1111, 1112 & 1113, in the Plant 1100

Now, all the required Resources were set in the System

4. Create the Master Recipe, using the T Code: C201

Master Recipe settings plays important role, for this Milestone Confirmation, with the Multiple Operations with Multiple Phases. Need to maintain the Relationship between the Phases of all the operations involved.

This Mater Recipe creation can be the generic one, which can be used/assigned for multiple Header Materials that were going to be produced (or) specific to any one of the FG/SFG Material

In the initial screen, that is displayed, enter all the required fields & Press Enter

In the next screen, that is displayed, enter the required fields, then Press Enter

In the Next screen that is displayed, enter the required data

Enter all the sequence of Operations & the Phases of the respective Operations

Look at the details of the Control key settings

maintain the Relationship, between the Phase with Milestone Confirmation (0080 Phase), in all the other Phases (0020, 0040, 0060, 0070)

How to Maintain the Relationship (for Ex: for the Phase 0020)

Select the Phase & Click on the Relationships Icon (as shown)

In the next screen, that is displayed, enter the required data

Continue the same, for all the remaining Phases: 0040, 0060, and 0070

Make Sure, all the relationships are also updated in the Phase: 0080, as Predecessors

Click on Materials Tab, Enter the required Data

the Next Screen, that is displayed, If required, Check for Consistency & then save

Recipe was saved with group 50000162 and material FINP1.

Make sure, Material Master of the FG, is correctly updated with Production Version details

---------- Execution of the Transaction data ----------

1. Create the Process Order using the Transaction code: COR1

Create the Process Order using any of the standard steps/methods

Make sure, all the required data is entered, then Click on Save

Make sure, all the required data is entered, then Click on Save

2. Release the Process Order using the Transaction code: COR2

Go to Change mode of the Process Order,Click on Release Flag, then Click on save

3. Goods issue of the required components to the Process Order suing the T Code : MIGO

Material document 4900002598 posted

4. Confirmation of last Phase of the last Operation of Order, using Transaction Code: COR6N

With Milestone Confirmation

Enter the Process Order Number, Phase & Click on Actual data

In the Next Screen, that is displayed

Click on Save

Confirmation of order 70001034 saved

Look at the Operation confirmation details of the Order Now

5.Goods Receipt of the Header Material, can be done using the Transaction Code: MIGO

Enter the Process Order Number & the required details, press Enter

Click on Check & then Post.

Material document 5000000461 posted. & Process Order is updated with the Status: DLV

6. Confirmation of the Stock update using the Transaction Code: MMBE

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Difference in COGI and CO1P

I have been searching and reading all the documents regarding COGI and CO1P, to know why some goods movements are held in COGI, while some in CO1P. I would like to share my knowledge on where I started and ended in learning about these transactions. Hope this document will be final stop if you are also searching for this topic.

Let us consider that auto goods movement is setup for confirmations of production orders in the below scenarios.

Confirmation is saved but goods movements are failed?

To find out the reason for this we have to go to transaction code:

COGI - Postprocessing of Error Records from Automatic Goods Movements

As the name suggests, we can process failed goods movements from here after correcting the errors.

Give the order number and execute

For example, error here is due to deficit in stock of goods posted. Until stock is updated in the system this posting will be held in COGI, from where we can post the goods later.

Now after updating the stock open COGI again, select the required line items and click on save to post the goods. If the confirmation details have to be changed double click on the line item or select the line item and click on change details button, and then post the goods by clicking on save button.

How to configure system to stop the confirmation process, when error occurs in Goods Movements?

This can be configured under the IMG node “Define Confirmation Parameters”

This indicator specifies that if you save a confirmation with goods movement errors (that is, backflushing or automatic goods receipt), then the system displays an error log before saving.

Confirmation saved and no goods movements failed, still stock is not updated in production order?

In this case you may have to go to transaction code:

CO1P – Predefined Confirmation Process

As the name suggests, this is an already defined step in configuration to process all goods movements of that day at later point of time. For example, to improve system performance all goods movements of an hour can be held and processed through CO1P in one go. This is setup in decoupled confirmation settings.

Give the order number and execute

Select the required line items and click on save to post the goods.

What is decoupled confirmation? How can it be setup?

To avoid the issues with response time of confirmation process, we can decouple the steps taking place during confirmation. Following are the processes which can be decoupled

◉ Automatic Goods Receipt

◉ Backflush

◉ Actual cost determination

The execution time of above processes can be defined under IMG node “Define Time for Confirmation Processes”.

Which means above three tasks can be configured to be processed immediately at the time of confirmation itself or else later in background. This setup is known as decoupled confirmation.

This process control key can be maintained under the node “Confirmation Parameters” for required order type.

Then the goods movements related to this confirmation will be held in CO1P, until they are processed manually or by a background job.

When the option “Later in Background Job” is selected, system saves the confirmation data in below tables :

◉ AFRP1 – Auto GR confirmation records

◉ AFRP2 – Backflush confirmation records

◉ AFRP3 – Actual costs confirmation records

Stock is not updated against the order even after processing the entries from CO1P?

In this case you may have to look into COGI, if there are any further errors which are to be resolved.

Ex: Stock Deficit, Authorization issue, Production order status etc.

Why does system post entries sometimes into COGI and sometimes into CO1P?

So coming to the point, if there are any errors due to which system is not able to post the goods movements then such items are held in COGI. On the other hand stock postings will be held in CO1P when configuration is predefined as mentioned in above steps.

There is one exception for this, when load on system is huge and if locks occur during the time of confirmation no error record is generated in COGI, but instead a request is generated for a later update because the system assumes that the lock is only temporary. These requests can be found in CO1P.

What are the programs to run COGI, CO1P in background?

CORUPROC, CORUAFWP and CORUAFW0 are the reports which can be scheduled in background, to clear the postings that are held in COGI/CO1P at regular intervals.

But they have limitation when working with COGI entries, as these cannot be cleared until respective error is resolved. For example if the entry is due to stock deficit, then it cannot be cleared by these reports until stock is updated in system.

All these entries are stored in table AFFW. At the start of any of above programs, a global lock is set for all entries in table AFFW as well as a global process lock for goods issue and goods receipt. So it is advisable, not to run these reports in parallel as it may lead to job cancellations. So maintain some time gap while scheduling the jobs with different reports. Also we can differentiate the errors in table AFFW with error message numbers, if there is no error message number against a line item then it can be seen in CO1P.

What are CO16N and COFC used for?

CO16N - Postprocessing incorrect confirmations

This transaction deals with failed confirmations, whereas COGI/COPI deals with failed goods movement.

Confirmations with errors can arise if they were entered in one of the following ways:

◉ Upload from a PDC system

◉ Online entry ( Fast Entry or Mass Processing )

◉ Entry via BAPI interface

Errors might be like Order does not exist, Order was locked, Order already confirmed etc.

COFC - Postprocessing of confirmations with errors in calculation of actual costs

The errors in cost calculations during confirmations will be updated in the Transaction COFC. So this is not related to posting of goods movements we discussed above.

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MRP and Safety Stock in SAP PP

The SAP ERP system offers two types of safety stocks: absolute safety stock and safety days’ supply. The absolute safety stock enables the system to subtract it from material availability calculations (net requirements calculations). The safety stock must always be available to cover for unforeseen material shortages or unexpected high demand.

For days’ supply/safety time, the system plans the goods receipt in advance by the period specified as safety time. Thus, planned days’ supply of the stock, in fact, corresponds to the number of days specified as safety time. The system shifts backs the date of the receipts by the number of working days and also takes the factory calendar into account.

You make the relevant entries in the MRP 2 view of the material master. The system refers to the planning of a safety days’ supply as safety time. To consider the safety time, you need to set the Safety time ind. to “1” (for independent requirements) or “2” (for all requirements), and then also give the Safety time/act.cov. in days. Further, you can define deviations from the constant safety time using a safety time period profile (STime period profile field).

Let’s take a look at how the safety stock availability can be used in net requirements calculations and also the selection method that the system uses for receipts.

1. Safety Stock Availability

To avoid the unnecessary creation of planned orders for a smaller quantity, which can otherwise be covered by the safety stock, you can define the percentage (share) of safety stock that the system can use in such business scenarios. For example, during the MRP run, the system assesses a shortage of 2 PC of a material. You have, however, maintained a safety stock of 40 PC for this material, which the system doesn’t consider in the MRP run. If you define that a 10% safety stock can be used to account for smaller shortages, which for this example means that 4 PC come from safety stock, then the system can cater to this small requirement or shortage of 2 PC from the 4 PC available from safety stock and no longer creates a procurement proposal.

To define the safety stock parameters, use configuration (Transaction SPRO) menu path, Logistics > Production > Material Requirements Planning > Planning > MRP Calculation > Stocks > Define Safety Stock Availability. For this example, the system can consider 10% of the safety stock for Plnt 3000 and MRP group 0010 for net requirements calculation (see below). You eventually assign the MRP group in the MRP 1 view of the material master.

2. Master Data Selection

For material that’s produced in-house, you also create a BOM and routing (or master recipe). There might be several alternatives available for a BOM or a routing, so you can control the selection of alternatives. This ensures that the system is able to assign the relevant BOM and routing to the created planned orders, and it enables you to perform functions such as availability checks, and so on.

With the right control in place, the system automatically assigns the correct selection or alternate in the planned orders created from the planning run. This is accessed and managed in the MRP 4 view of the material master (Transaction MM02) as shown below.

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Pricing procedure Steps and Details in SAP MM

What is Pricing procedure?

The main concept of pricing procedure is combination of different type charges, like Gross price, freight, discount, surcharges etc etc.

We use pricing procedure to determine these all conditions into one procedure, where we can find the sub-total for net amount.

To understand pricing procedure we have to comfortable with these below things:

1. Condition Table

2. Access Sequence

3. Condition Type

4. Condition Record.

5. Schema Group

6. Calculation Schema

7. Schema Determination

Let’s discuss about all these points in details.

1. Condition Table

It’s a table where we can save the all fields with the combination for individual condition record. Suppose if I use Plant as condition table, then the condition record will be created for plant only.

We can use many fields in one condition tables.

2. Access Sequence

The main concept of Access sequence is, it searches condition record for condition type from condition table.

One access sequence contains many condition tables.

Suppose we maintain 4 condition tables in one access sequence. Then when a condition type will be searching for condition record via this access sequence, the access sequence will allow to search only this 4 condition tables.

3. Condition Type

In simple term, condition type is used for different type of charges. Like gross price, discount, freight, rebate etc etc.

Suppose we purchase a material for price 10, we get a discount of price 2. Then the price 10 will be going to a condition type and the price 2 will be going to another condition type.

4. Condition Record

Condition record contains the record which is maintained against condition table with regards to condition type.

It can be fetched via access sequence and condition type.

Suppose we maintain a condition record against condition table (vendor) with regards to condition type. Then whenever the vendor used this condition type, the condition record will be fetched.

5. Schema Group

It’s assigned to our vendor and Purchase Organization, It helps the vendor and purchase organization to choose pricing procedure.

One schema group will be assigned to vendor and one schema group will be assigned to Purchase organization. With this combination, system will fetch the pricing procedure.

6. Calculation Schema

Here we maintain sequence for the pricing calculation, like gross price, discount, rebate, surcharges etc. Here we maintain the calculation for all condition types and group together all required condition types for our pricing procedure.

7. Schema Determination

Here we maintain the pricing procedure for purchasing document. We maintain calculation schema combination of per each vendor – schema group and each purchase organization – schema group.

In general, below image will give the concept how a condition type will search for the condition records :

Configurations:

Step 1 : Maintain Condition Table

T-code M/03 or Path SPRO-IMG-MM-Purchasing-Conditions-Define Price Determination Process-Maintain Condition Table-Create condition table.

The initial screen will be appear for create condition table.

Give the new condition table no. You can use old condition table number as reference. To give reference just give the old condition table number in below “copy from condition table”.

Note: As per standard SAP, they give the entire condition table for general business requirement. If any condition table doesn’t fulfill your requirement, then you can create new condition table. Please use between 501 to 999 as condition table.

Now press enter

You can see the left side will be blank in initial screen, Right side will be always filled. Just double click on the right side field which you can add for this condition table.

When you double click the field the field will be blue colour and the field is appear in left side.

As we can see the 1 field I have selected in this condition table.

Save your data.

You can change the option as per your business requirement. For more details for these options, just press F1 on these option, you will find sap help doc.

Step 2: Maintain Access Sequence

T-code M/07 or path SPRO-IMG-MM-Purchasing-Conditions-Define Price Determination Process-Define Access Sequences.

The initial screen will appear.

You can create a new access sequence or maintain the condition table in existing access sequence (depend on your business process)

If you want to create then click New Entries. (Or you can use copy reference, Just select the access sequence and press Copy as…)

Enter your Access Sequence and give the description and also you can choose Access category.

Then select the AS and double click on Accesses

Click on New Entries

Enter the access number, condition table and if required the give routing number and Exclusive.

If you tick exclusive indicator, then if valid condition record found then system will stop searching after the first.

Choose as per your requirement.

Then select the line item and click on the fields (left side) to activate the condition table in access sequence. You do not need to do anything here, just double on the fields and go back. If you will not do that, then your condition table will be not accessible. You can add more condition table (s) on this access sequence.

Save your data.

Step 3: Maintain Condition Type

T-code M/06 or path SPRO-IMG-MM-Purchasing-Conditions-Define Price Determination Process-Define Condition Types-Define Condition Type

The initial screen will be appear 

As for gross price SAP default maintain as PBXX for time independent condition and PB00 for time dependent condition.

Time Independent condition is use with validity period, which can be differ as validity period (we use it in info record, RFQ, Contract, SA(as per configuration for document type)).

So we don’t need to create new condition type for gross price, although you can create your own starting with Z.

Assign you newly created access sequence to the gross price condition type (I have maintain in for PBXX)

Here you can find all types of condition type like as freight, discount, rebate, cash discount etc. If it can fulfill your requirement, then no need to create new condition type. If doesn’t the go for New Entries.

Here I have maintain ZCAH as discount, I give condition class A, Calculation type A, Plus/Minus X-Negative

(Note: Not required to maintain like that, you can maintain as per your requirement.)

As per this way please create other condition types as per your requirement (which will be used in Pricing Procedure)

Save you data.

Step 4: Maintain Calculation Schema

T-code M/08 or path SPRO-IMG-MM-Purchasing-Conditions-Define Price Determination Process-Define Calculation Schema

This is very very important part in pricing procedure.

Here we give the calculation for all condition types.

Here also you can find the SAP default calculation schema, you can also use one of them as your pricing procedure. Although you can create new calculation schema as per your requirement.

Just click on New Entry. (or you can copy old schema and can modify yourself. then select copy as…)

Give the name and description for new procedure.

Then Select this procedure and press Control (in left side)

You can see a lots of option there, You can read all option help which is provide by SAP (Just select the portion and press F1)

Maintain PBXX as gross price in step 1, counter 1, leave the from and to blank, Subtotal will be value 9-Copy values to KOMP-BRTWR (gross value).

Maintain other condition types as per your requirement.

I have maintained ZCAH and ZCAS, I have used from 1, it means it will calculate the value against Gross Price (PBXX)

I have used Total Discount amount, from 7 to 9, It shows the total discount value (Total of ZCAH and ZCAS)

At last I have used TOTAL AMOUNT, It shows net value for this pricing procedure.

Step 5: Maintain Schema Group for Vendor

T-code OMFN or path SPRO-IMG-MM-Purchasing-Conditions-Define Price Determination Process-Define Schema Group-Schema Groups: Vendor

Just click on New Entries and enter the Schema Grp Vndr and give the description.

Here I have maintained Z1.

Step 6: Maintain Schema Groups for Purchasing Organizations

T-code OMFM or path SPRO-IMG-MM-Purchasing-Conditions-Define Price Determination Process-Define Schema Group-Schema Groups for Purchasing Organizations

Just click on the new entries and enter the Schema GrpPOrg and description.

Here I have maintained ZMM1.

Step 6: Assign Schema Group to Purchasing Organization

T-code OMFP or path SPRO-IMG-MM-Purchasing-Conditions-Define Price Determination Process-Define Schema Group-Assignment of Schema Group to Purchasing Organization

Here find your Purchase Organization, and assign Schema GrpPOrg to Purchase organization.

Step 7: Maintain Schema Determination

T-code OMFO or path SPRO-IMG-MM-Purchasing-Conditions-Define Price Determination Process-Define Schema Determination-Determine Calculation Schema for Standard Purchase Orders

Step 8: Assign Schema group to Vendor

When you are going to create a vendor from XK01 in purchasing data you will find “Schema Group, Vendor”

Here assign the schema group which you have created on step 5.

You can also maintain it on existing vendor via XK02.

Step 9: Maintain Condition Record

T-code MEK2

Maintain the condition record against the key combination.

Save your data.

Finally all configurations has been done.

Now see the result.

Create PO with this purchase organization and with this vendor.

We can see the my new pricing procedure is working perfect.

We can use this in SA.

Just we have to configure this for document of schedule agreement.

Go to path SPRO-IMG-MM-Purchasing-Scheduling Agreement-Define Document Types

Just un-tick Time Dep. Condition for SA document type.

Then Create SA for this vendor and purchasing organization.

This is called time independent condition. You can also use this pricing procedure for RFQ. But Contract and Info record will be always time dependent condition.

Time Independent conditions are not dependent on time. It hasn’t any validity period, that means it will be always same for all time. The above settings are for time independent condition. Whenever you will use time independent condition, then you need to do these above settings.

Time dependent conditions are always time dependent. It has the validity period. You can use more than one price for the same condition record with different validity period, so that system will change it automatically as per the validity period.

I think I do not need to explain anything more about the differences Time dependent condition and Time Independent condition because there are many discussions already there for the differences.

You can use either time dependent or time independent for Schedule Agreement and Request For Quotation but you can only use time dependent condition for Contract and Info record and for Purchase Order, you need to always use time independent conditions.

For time dependent settings, you just need to set the up the condition type, Access sequence, Condition table and Calculation schema. Schema group is not needed for the time dependent condition.

We can also maintain the fixed discount for particular vendor.

Suppose one of my vendors gives me material as 5 % discount for all material.

We can maintain it in condition record.

Go to MEK2

Click on Supplement Condition. Maintain there your condition type for ZCAH as 5.

You can see the default 5% discount has been automatically arrived in PO or SA.

You can only able to see these condition types which is associated with the condition type which you have entered at the first screen and it will be your gross condition type.

To add some more condition type, you need to add these condition types in the associated calculation schema. To find the calculation schema which is associated with the gross condition type, you need to go to M/06 and you will find the calculation schema as below:

You can add your condition type in this calculation schema in t-code M/08. Then your condition type will be visible for time dependent condition (MEK1) or Info record or Contract.

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