Blog

top 50 SAP PP (Production Planning) interview questions and answers for freshers in 2023

September 7th, 2023 | Uncategorized

1. What is SAP PP (Production Planning)?Answer: SAP PP stands for SAP Production Planning. It is a module within the SAP ERP system that deals with production planning, scheduling, and execution.
2. What is BOM in SAP PP?Answer: BOM stands for Bill of Materials. It is a list of components required to produce a product in SAP PP.
3. Explain the difference between Routing and Work Center in SAP PP.Answer: Routing defines the sequence of operations for a product, while a Work Center represents the machine, labor, or resource used to perform those operations.
4. What is a Production Order in SAP PP?Answer: A production order is a request to produce a specific quantity of a product in SAP PP. It contains information about what to produce, when to produce it, and where to produce it.
5. What are the key steps in SAP PP Production Planning process?Answer: The key steps include Demand Management, Material Requirement Planning (MRP), Long-term Planning, Capacity Planning, and Production Execution.
6. What is the purpose of MRP in SAP PP?Answer: MRP (Material Requirement Planning) in SAP PP helps in calculating the materials required for production based on demand and planning parameters.
7. Explain the concept of Capacity Planning in SAP PP.Answer: Capacity Planning in SAP PP involves determining the available capacity of work centers and ensuring that production orders are scheduled within the available capacity.
8. What is the significance of the Planned Order in SAP PP?Answer: A Planned Order is an unfirm production order that represents a future production requirement. It is used to evaluate material availability and capacity.
9. What is the difference between a Planned Order and a Production Order in SAP PP?Answer: A Planned Order is a preliminary production order used for planning, while a Production Order is a confirmed order that is ready for execution.
10. What are the different types of BOMs in SAP PP?Answer: In SAP PP, there are different types of BOMs, including Material BOM, Equipment BOM, Functional Location BOM, and Sales BOM.
11. What is a Work Center in SAP PP and what information is stored in it?Answer: A Work Center in SAP PP represents a physical or logical location where production operations take place. It stores information like capacity, scheduling data, and costs.
12. Explain the concept of Production Version in SAP PP.Answer: A Production Version is used to link a BOM and Routing to a specific material. It allows you to have multiple versions of a product’s structure and routing.
13. What is Backflushing in SAP PP and when is it used?Answer: Backflushing is the automatic consumption of materials during production without manual confirmation. It is used for materials that are consumed in fixed quantities.
14. What is the purpose of the Master Production Schedule (MPS) in SAP PP?Answer: MPS is used to create a detailed production plan for finished products based on demand forecasts, customer orders, and other factors.
15. Explain the difference between Make-to-Order (MTO) and Make-to-Stock (MTS) production strategies in SAP PP.Answer: MTO produces products based on customer orders, while MTS produces products in anticipation of demand, to be kept in stock.
16. What is a Capacity Requirement in SAP PP?Answer: Capacity Requirements in SAP PP represent the demand for capacity at work centers for production orders and other operations.
17. How can you perform Capacity leveling in SAP PP?Answer: Capacity leveling can be performed using the SAP standard transaction CM21 or CM25. It helps to balance the load on work centers.
18. What is the difference between Planned Independent Requirements (PIR) and Sales Orders in SAP PP?Answer: PIR represents forecasted demand for products, while Sales Orders represent confirmed customer orders.
19. Explain the purpose of the SAP Early Warning System in Production Planning.Answer: The Early Warning System in SAP PP alerts planners about potential capacity and material shortages well in advance to enable timely actions.
20. What is a Production Order Confirmation in SAP PP?Answer: Production Order Confirmation is the process of updating the system with actual production quantities and times, thus confirming the completion of production.
21. What are the key tables in SAP PP for storing production-related data?Answer: Important tables include MARA (Material Master), STPO (BOM Header), STKO (BOM Item), CRHD (Work Center Header), and AFVC (Production Order Operation).
22. What is the use of Work Scheduling View in the Material Master in SAP PP?Answer: The Work Scheduling View in the Material Master stores information related to production planning, such as the production scheduling profile and the lot size.
23. Explain the difference between a Goods Issue and a Goods Receipt in SAP PP.Answer: Goods Issue is the process of taking materials out of inventory, while Goods Receipt is the process of receiving materials into inventory.
24. What is the significance of the Lead Time in SAP PP?Answer: Lead Time represents the time required for the procurement or production of a material, including processing and transportation times.
25. How can you create a Production Order in SAP PP?Answer: You can create a Production Order using transaction code CO01 or by converting a Planned Order using CO41.
26. What is the role of the Production Supervisor in SAP PP?Answer: The Production Supervisor uses SAP PP to monitor and manage production orders, ensuring they are executed efficiently and on schedule.
27. Explain the concept of Scheduling Margin Key in SAP PP.Answer: The Scheduling Margin Key is used to define the time intervals for scheduling production orders, taking into account safety and float times.
28. What is the significance of the Order Type in SAP PP?Answer: Order Types are used to differentiate between various categories of production orders, such as standard orders, maintenance orders, and refurbishment orders.
29. What are the different ways to release a Production Order in SAP PP?Answer: Production Orders can be released manually using CO02 or automatically using the Release Profile.
30. How can you monitor the progress of a Production Order in SAP PP?Answer: You can monitor a Production Order’s progress using transaction codes COOIS and COOISPI.
31. What is the use of the Worklist in SAP PP?Answer: The Worklist is used to manage and prioritize production orders and operations based on various criteria such as due date and priority.
32. Explain the concept of Repetitive Manufacturing in SAP PP.Answer: Repetitive Manufacturing is a production process used for products with constant or cyclic demand, where the same product is produced repeatedly.
33. What is a Phantom Assembly in SAP PP?Answer: A Phantom Assembly is a subassembly that is not stocked but is exploded in the BOM for the purpose of planning and production.
34. What is a Rate Routing in SAP PP?Answer: A Rate Routing is used for products that are produced in a continuous or repetitive manufacturing environment, where production rates are constant.
35. Explain the concept of Lot Size in SAP PP.Answer: Lot Size in SAP PP represents the quantity in which a material is produced or procured. Common lot size strategies include fixed lot size, lot-for-lot, and safety stock.
36. What is the significance of the Order Settlement process in SAP PP?Answer: Order Settlement is the process of transferring costs from production orders to cost centers or other objects in SAP controlling.
37. How can you handle Scrap and Rework in SAP PP?Answer: Scrap and Rework can be managed using the SAP PP functionality by specifying the relevant quantities and reasons in the production order.
38. Explain the concept of Alternative BOM in SAP PP.Answer: An Alternative BOM is used to define multiple BOMs for the same material, allowing flexibility in production based on available components.
39. What is the role of the Bill of Operations (BOO) in SAP PP?Answer: The Bill of Operations (BOO) represents the sequence of operations required to produce a material and is used primarily in industries where the routing is complex.
40. What is the purpose of Work Scheduling in SAP PP?Answer: Work Scheduling in SAP PP determines when and how production operations are scheduled, taking into account capacity, lead times, and other factors.
41. How can you integrate SAP PP with other SAP modules like SAP MM and SAP SD?Answer: SAP PP can be integrated with SAP MM for material procurement and with SAP SD for order processing and customer demand management.
42. What is the significance of a Confirmation in SAP PP?Answer: Confirmation in SAP PP is the process of confirming that the production operations have been completed as planned.
43. How can you perform Backflushing in SAP PP?Answer: Backflushing can be performed using transaction code CO15 or by configuring the system to perform it automatically.
44. What are the key reports and transactions used in SAP PP for monitoring and analysis?Answer: Important reports and transactions include COOIS, COHV, MD04, MF50, and MF51.
45. What is a Work Center Category in SAP PP, and why is it important?Answer: Work Center Category classifies work centers based on their function or use, helping in the selection of the appropriate work center for an operation.
46. Explain the purpose of a Transfer Order in SAP PP.Answer: A Transfer Order is used to move materials within a plant or between plants, and it can be generated as part of the production process.
47. What is the significance of the Lot Size Calculation in SAP PP?Answer: Lot Size Calculation helps determine the optimal quantity to be produced or procured based on various factors such as demand, capacity, and lead time.
48. How can you handle Make-to-Order (MTO) scenarios in SAP PP?Answer: MTO scenarios can be handled by configuring the system to create production orders automatically upon receiving customer orders.
49. What are the key challenges in Production Planning, and how can SAP PP help address them?Answer: Challenges include demand fluctuations, capacity constraints, and material shortages. SAP PP helps by providing tools for efficient planning and scheduling.
50. What is a Phantom Order in SAP PP?Answer: A Phantom Order is a temporary production order used to capture costs for operations that are not part of the main production process but are required for planning and costing.