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STRATEGY 50

Strategy 50 is probably one of the most widely used strategies in a make-to-order environment.
Like all make to order startegies, we can use stategy 50 if production is unique for each and
every customer and raw material planning to be based on the finsihed product demand.

1. Production quantities are planned effectively by using information from the Sales
Information System, SOP, or other planning tools to
plan production quantities.

2. Prrocurement of the components is planned by means of PIR entered at the finished


product level. The system creates special planned orders at the finished product level for
these PIRs. These orders are only relevant for production once a sales order for the
finished product exists.

3. PIRs that are planned using this particular strategy are listed in a separate segment in
the MRP list. The planned orders are created with the order type VP and are
unconvertible. The sales orders for this strategy are entered as individual customer
requirements and are maintained in a separate segment in the planning run

4. Production Process(Final assembly/assemblies) is triggered once a sales order has been


entered

5. The incoming sales order consumes the planned independent requirements, and this in
turn reduces the unconvertible planned order quantity.

6. System creates a new convertible planned order for the sales order quantity.

7. Planned independent requirement of the finished goods quantities that are left
unconsumed increase the warehouse stock of the components and cause procurement
to be decreased.

Prerequisites:
Master date to be maintained are listed below

1. Startegy Group 50 for finished material

2. Consumption parameters (Consumption mode, Bwd consumption, Fwd consumption) so


that the independent requirements can be found.

3. Item category group (for example, NORM) on the Sales Organization view.

4. MRP Type PD in MRP 1 view

5. Individual/coll.indicator 2 in MRP 4 View

SAP STEPS

1) MM01
FG STRATEGY 50 , SFG ,RAW
2) CS01
FG- SFG , SFG- RAW
3) CR01
4) CA01
FG AND SFG
5) MD61

REQMTS TYPE -VSE


6) MD02
7) VA01
8) MD04

SAP PROCESS

1) CREATE FG -MM01
STRATEGY -50
CREATE SFG
CREATE RAW
2) CREATE BOM-CS01
SFG
RAW
FG

SFG
3) CREATE WORK CENTER CR01
4) CREATE ROUTING-CA01
FG AND SFG
5)

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