SAP PPDS Process Flow: Complete Guide to S/4HANA Production Planning

The SAP PPDS (Production Planning and Detailed Scheduling) process assists companies in multiple ways:

• Optimize the utilization of resources, making sure that labor, machines, and other tools are utilized efficiently.
• Reducing lead times by planning production in line with the demand.
• Enhance delivery on time and fulfill orders of customers without delays.
• Increase visibility by using real-time production scheduling and planning.

With SAP's integrated PPDS in S/4HANA, organizations do not require an additional APO system, which makes the integration seamless.

This process flow of SAP's PPDS is a well-organized process that spans demand planning through production execution. Here is a simple flow:

1. Demand Forecasting
   • Forecasts demand for customers based on historical sales data as well as market trends.
   • Creates the planned independently required needs (PIRs).
2. Material Requirements Planning (MRP Live)
   • It runs MRP Live in S/4HANA to determine the materials required.
   • Be aware of lead times and safety levels of stock.
3. Order Creation
   • Develops plans for production orders or purchase requisitions to facilitate external procurement.
4. Detailed Scheduling
   • Utilizes SAP PPDS algorithms to plan production orders in relation to capacity and availability.
5. Production Execution
   • Makes the necessary orders on the floor of the shop.
   • Monitors the status of orders in real time.
6. Monitoring & Rescheduling
   • Adjusts schedules when there are delays or breakdowns, as well as demand shifts.

PPDS within SAP S/4HANA is closely connected to other modules such as:

• SAP (Materials Management) to purchase raw materials.
• SAP SD (Sales and Distribution) for managing customer orders.
• SAP PM (Plant Maintenance) for ensuring resource availability.

The main benefit is embedding the PPDS into the system. No separate system is required. This makes it easier to configure and reduces the need for data transfer and boosts performance.

1. Heuristics in SAP PPDS
   • SAP Heuristics for PPDS are algorithmic rules that are used to design practical schedules in a short time.
   • Common heuristics include:
     • SAP001 A schedule sequence inside the resource.
     • SAP002 schedules orders based on the earliest start date.
     • SAP003 Reschedule in the event of overloading capacity.
2. Detailed Scheduling Planning Board
   • A visual tool to help planners adjust the schedule manually.
   • Displays utilization of resources as well as order sequences and bottlenecks.
3. Alert Monitor
   • It highlights problems such as material shortages or capacity overloads.
   • Facilitates proactive resolution before delays happen.
4. Finite Scheduling
   • Make sure that orders are scheduled when there are resources available and prevent plans that are unrealistic.

1. Start with master data that is accurate.
   • Verify that BOMs, routings, and capacity of resources are in order.
   • Incorrect data can lead to poor outcomes in planning.
2. Use Heuristics Wisely
   • Choose the appropriate SAP PPDS algorithm depending on the nature of your production.
   • Make simulations before going live.
3. integrates to Shop Floor Systems
   • Connect PPDS to MES (Manufacturing Execution Systems) to receive real-time feedback.
4. Leverage Alerts for Proactive Management
   • Create alert profiles to identify issues earlier.
5. Provide SAP PPDS Training
   • Make sure planners and schedulers have the abilities to utilize the planning board, heuristics, and alert monitors efficiently.

The need in SAP PPDS roles is rising as more companies adopt SAP S/4HANA. The roles include:

• SAP PPDS Consultant
• Production Planner
• SAP S/4HANA Functional Consultant
• Manufacturing Planning Analyst

Professionals who have SAP PPDS education are able to work in fields such as FMCG, automotive electronics, pharmaceuticals, and automotive. The average salary is competitive, and opportunities for globalisation are plentiful.

While the benefits are substantial, there are also challenges to consider:

• A complex configuration requires experienced consultants.
• Quality of Data: Master data of poor quality can lead to an incorrect plan.
• Change Management—Users might resist the idea of switching from older planning systems.
• Optimization of Performance: Large production facilities require PPDS settings that are optimised for smooth operation.

Traditional MRP concentrates on the availability of material and availability, while SAP's PPDS is more extensive by taking into account the constraints on capacity. MRP may suggest that you produce 10,000 units in the next week; however, PPDS will inform you whether or not it's feasible, based on the availability of the machine and labour.

Example: How SAP PPDS Works in Real Life

Imagine a car manufacturer producing engines. The orders of customers fluctuate every week.

With the SAP Process Flow PPDS:

• The planner is running MRP Live—sees raw material needed for.
• PPDS plans production orders dependent on the availability of machines.
• An unexpected machine malfunction causes an alarm.
• The planner schedules orders with algorithms to avoid delivery delays.