SAP (30) Welcome to our SAP PP interview questions and answers page!
We have compiled a comprehensive list of frequently asked questions and their detailed answers to help you prepare for your upcoming SAP PP interview. Explore and enhance your knowledge in SAP Production Planning, get ready to ace the interview!
Top 20 Basic SAP PP interview questions and answers
1. What is SAP PP?
SAP PP (Production Planning) is a module in SAP ERP system that deals with the processes of production planning and execution.
2. What are the key components of SAP PP?
The key components of SAP PP include master data, bills of material (BOM), work centers, routing, production orders, and capacity planning.
3. What is a work center in SAP PP?
A work center represents a physical location where production operations are carried out, such as a machine or a workbench.
4. What is a bill of material (BOM) in SAP PP?
A bill of material is a list of components required to produce a product. It contains information about the materials, quantities, and relationships between them.
5. What are the different types of BOM in SAP PP?
The different types of BOM in SAP PP are single-level BOM, multi-level BOM, variant BOM, and configurable BOM.
6. What is routing in SAP PP?
Routing defines the sequence of operations and work centers involved in the production process.
7. What is a production order in SAP PP?
A production order is a document that captures all the required information to execute a production process, such as materials, quantities, and dates.
8. What is capacity planning in SAP PP?
Capacity planning determines the available production capacity and evaluates if it is sufficient to meet the production requirements.
9. What is the difference between make-to-order and make-to-stock production in SAP PP?
In make-to-order production, products are manufactured based on specific customer orders, while in make-to-stock production, products are manufactured in anticipation of future demand.
10. How can you create a master recipe in SAP PP?
A master recipe can be created in SAP PP using the transaction code C201.
11. What is a production version in SAP PP?
A production version is a specific or planned version of a product’s routing and BOM.
12. What is the purpose of a work center category in SAP PP?
The work center category in SAP PP categorizes work centers based on their functionality, such as machine, labor, or cost center.
13. How do you define a material master in SAP PP?
A material master in SAP PP can be defined using the transaction code MM01.
14. What is capacity leveling in SAP PP?
Capacity leveling is the process of distributing the workload evenly across available capacity resources.
15. What is the difference between discrete manufacturing and repetitive manufacturing in SAP PP?
Discrete manufacturing involves producing individual products with unique configurations, while repetitive manufacturing involves producing standardized products in high volumes.
16. What is MRP (Material Requirements Planning) in SAP PP?
MRP is a planning tool in SAP PP that calculates the material requirements based on the demand and production parameters.
17. How can you perform capacity evaluation in SAP PP?
Capacity evaluation in SAP PP can be performed using the transaction code CM25.
18. What is the purpose of production order confirmation in SAP PP?
Production order confirmation in SAP PP is used to update the system with the actual quantities produced and the actual time consumed during production.
19. What are the key benefits of using SAP PP?
The key benefits of using SAP PP include efficient production planning, better resource utilization, improved inventory management, and enhanced visibility of production processes.
20. How can you analyze production variance in SAP PP?
Production variance in SAP PP can be analyzed using the transaction code COOIS.
Top 20 Advanced SAP PP interview questions and answers
1. What is SAP PP?
SAP PP (Production Planning) is a module in the SAP ERP system that helps businesses plan and manage manufacturing activities. It handles all aspects of production, from order creation to final product delivery.
2. What are the key components of SAP PP?
The key components of SAP PP include:
– Material Requirements Planning (MRP)
– Master Data Management
– Capacity Planning
– Production Orders
– Production Scheduling
– Shop Floor Control
3. Explain the difference between Discrete Manufacturing and Process Manufacturing in SAP PP.
In SAP PP, Discrete Manufacturing is used for producing individual and distinct products with specific characteristics, such as vehicles or furniture. On the other hand, Process Manufacturing is used for producing products that are not easily distinguishable, such as chemicals or pharmaceuticals.
4. What are the different types of production orders in SAP PP?
The different types of production orders in SAP PP are:
– Planned order
– Production order
– Process order
5. What is a Bill of Material (BOM) in SAP PP?
A Bill of Material (BOM) is a structured list of components required to manufacture a product. It specifies the quantity, unit of measure, and sequence of these components. BOM is a crucial element in the production planning process.
6. Explain Capacity Planning in SAP PP.
Capacity Planning in SAP PP involves determining the capacity requirements for production activities based on work center capacities, production orders, and resource availability. It helps organizations optimize their production resources and ensure efficient scheduling.
7. What is MRP (Material Requirements Planning) in SAP PP?
Material Requirements Planning (MRP) in SAP PP is a system-driven approach to determine the materials required for production. It considers factors like demand, available inventory, lead times, and production schedules to generate replenishment proposals for purchasing or production.
8. What is Routing in SAP PP?
Routing in SAP PP determines the sequence of operations required to manufacture a product. It specifies the work centers, operations, and activities involved in production, along with the time required for each step.
9. How do you create a Production Order in SAP PP?
To create a Production Order in SAP PP, follow these steps:
– Execute transaction code CO01.
– Enter the Order type, Material, Plant, and other relevant details.
– Save the order.
10. What is a Work Center in SAP PP?
A Work Center in SAP PP represents a physical or logical location where operations or activities are performed. It can be a machine, a group of machines, or even a specific work area. Work centers are essential for production planning and capacity scheduling.
11. What is the difference between a Planning Strategy 10 and Planning Strategy 11 in SAP PP?
Planning Strategy 10 is used for make-to-order production, where the production process starts only after receiving a customer order. Planning Strategy 11, on the other hand, is used for make-to-stock production, where products are manufactured based on demand forecasts.
12. What is Backflushing in SAP PP?
Backflushing in SAP PP is an automatic goods issue process that occurs during production. It automatically deducts the raw materials used and posts the finished goods’ goods receipt based on the BOM and routing data.
13. Explain Material Ledger in SAP PP.
Material Ledger in SAP PP is a component used for calculating and valuing the material stocks in multiple currencies or valuation views. It helps organizations determine accurate material costs and enables parallel valuation approaches.
14. What is Variant Configuration in SAP PP?
Variant Configuration in SAP PP enables organizations to produce configurable products with different options and variants. It allows for flexible manufacturing based on customer-specific requirements.
15. What is the purpose of Production Planning for Process Industries (PP-PI) in SAP PP?
Production Planning for Process Industries (PP-PI) is a sub-module of SAP PP designed specifically for process industries like chemicals, pharmaceuticals, and food manufacturing. It handles specific process-related functionalities such as formula management, batch management, and co-product handling.
16. What is Lean Manufacturing in SAP PP?
Lean Manufacturing in SAP PP focuses on optimizing the production process and reducing waste by eliminating non-value-added activities. It helps organizations achieve higher efficiency, reduce costs, and improve quality.
17. How can you perform Capacity Evaluation in SAP PP?
To perform Capacity Evaluation in SAP PP, follow these steps:
– Execute transaction code CM01.
– Enter the required selection criteria.
– Execute Capacity Evaluation.
18. What is the difference between Planned Independent Requirement (PIR) and Sales Order in SAP PP?
Planned Independent Requirement (PIR) is a long-term forecast of product demand based on historical data, while Sales Order represents actual customer orders received by the company.
19. Explain the significance of Key Performance Indicators (KPIs) in SAP PP.
Key Performance Indicators (KPIs) in SAP PP help monitor and measure the performance of production processes. They provide insights into production efficiency, resource utilization, order completion times, and other essential metrics to drive continuous improvement.
20. What is Repetitive Manufacturing in SAP PP?
Repetitive Manufacturing in SAP PP is used for manufacturing products with repetitive production activities, such as assembly lines. It helps streamline production by minimizing setup times and optimizing cycle times.
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