BCSE ERP Production Planning (PP) and Controlling (CO) 3

Question 1

What is 'Demand Management' in SAP PP?

Accepted Answer

The process of creating planned independent requirements (PIRs) as input for MRP planning

Answer

Demand Management in SAP PP creates Planned Independent Requirements (PIRs) based on sales forecasts or plans, which serve as input for Material Requirements Planning to generate procurement proposals.

Question 2

What is 'goods issue' to a production order in SAP PP?

Accepted Answer

The movement that withdraws raw materials or components from warehouse stock to be consumed in production

Answer

Goods issue to a production order in SAP PP withdraws the required components from inventory and charges their cost to the production order, reducing warehouse stock.

Question 3

What is 'confirmation' of a production order operation in SAP PP?

Accepted Answer

Recording the actual time, quantities, and personnel used for a completed production operation

Answer

Confirmation in SAP PP records the actual activity quantities (machine hours, labor hours) and quantities produced/scrapped for each production order operation as work progresses.

Question 4

What is 'profit center' in SAP CO?

Accepted Answer

An organizational unit representing an independent area of responsibility whose profitability is measured

Answer

A profit center in SAP CO is a management-oriented organizational unit used to generate internal profit and loss statements for segments like product lines or business divisions.

Question 5

In SAP PP, what is the 'work center' master record used for?

Accepted Answer

Representing a machine, production line, or employee group where production operations are performed, with capacity and cost data

Answer

The work center master in SAP PP stores capacity data (available hours), cost rates, and default values for the machines or labor groups where production routing operations are executed.

BCSE ERP - Business Certified SAP ERP Practice Test

BCSE ERP - Business Certified SAP ERP Practice Test

BCSE ERP Production Planning (PP) and Controlling (CO) 3