Simplifying Production for High-Volume Products: Repetitive Manufacturing in SAP PP

In the fast-paced world of production planning, efficiency is king. SAP PP (Production Planning) offers a powerful tool for companies that manufacture the same products in large quantities: Repetitive Manufacturing (REM).

What is Repetitive Manufacturing?

REM is a strategy designed for production environments with:

• High product stability: The core product design remains constant.
• High repetition rates: The same products are manufactured regularly.
• Low product complexity: The Bill of Materials (BOM) is relatively simple.

Instead of creating individual production orders for each unit, REM leverages planned orders generated by Material Requirements Planning (MRP). These planned orders define the production schedule for a specific period, streamlining the process.

Benefits of REM in SAP PP

• Simplified Production Orders: Planned orders contain essential details like material, quantity, production dates, and production version.
• Reduced Administrative Burden: REM automates processes like goods issue, activity confirmation, and receipt through a single step called “backflush.”
• Improved Efficiency: Focusing on planned production periods allows for better resource allocation and capacity planning.

Critical Concepts in SAP REM

• Repetitive Manufacturing Profile: This profile defines how REM functions within your system, configuring backflush settings and other functionalities. (https://help.sap.com/docs/SAP_S4HANA_ON-PREMISE/48b24fbadbee4e0b9dae0e2b72762e68/476ab6531de6b64ce10000000a174cb4.html)
• Production Versions define the specific production processes (work centers, routing) used for a particular planned order.

Implementing REM in SAP PP

• Material Master Setup: Flag the relevant materials for REM and assign them a repetitive manufacturing profile.
• Production Planning: Utilize MRP to generate planned orders for your repetitive manufacturing needs.
• Backflush: Periodically execute backflush to confirm production activities, update stock levels, and manage component consumption.

REM vs. Discrete Manufacturing

While REM excels in high-volume scenarios, discrete manufacturing is better suited for products with more variation or that are produced based on specific customer orders. Understanding the characteristics of your production environment is crucial for choosing the right strategy.

Conclusion

By leveraging REM in SAP PP, companies can achieve significant efficiency gains in repetitive manufacturing processes. Reduced administrative tasks, streamlined workflows, and improved resource allocation contribute to a more productive and cost-effective production environment.