What are the key differences between discrete manufacturing and process manufacturing in SAP PP?

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Answered by suresh

Key Differences between Discrete Manufacturing and Process Manufacturing in SAP PP

Key Differences between Discrete Manufacturing and Process Manufacturing in SAP PP

Discrete Manufacturing and Process Manufacturing are two distinct types of manufacturing processes in SAP Production Planning (PP) module. Here are the key differences between them:

  1. Product Type: Discrete Manufacturing is used for producing individual, distinct products such as cars, phones, or appliances. Process Manufacturing, on the other hand, is used for producing homogenous products such as chemicals, food, or pharmaceuticals.
  2. Production Process: Discrete Manufacturing involves the assembly of components or parts to create the final product. Process Manufacturing involves mixing, blending, or chemical reactions to create the product.
  3. Production Planning: Discrete Manufacturing typically relies on Bill of Materials (BOM) and Routing for production planning. Process Manufacturing utilizes formulas and recipes for production planning.
  4. Inventory Management: Discrete Manufacturing uses discrete quantities for inventory management, while Process Manufacturing uses continuous or batch quantities.
  5. Production Orders: Discrete Manufacturing uses Production Orders to track and execute production activities. Process Manufacturing uses Process Orders for the same purpose.

Understanding these key differences is crucial for configuring and optimizing the SAP PP module according to the specific requirements of the manufacturing process.

Answer for Question: What are the key differences between discrete manufacturing and process manufacturing in SAP PP?