SAP-for-Manufacturing Focus
In the manufacturing world, different production processes cater to varying product types and demand patterns. Repetitive Manufacturing is a production strategy optimized for high-volume, continuous manufacturing of standardized products. Unlike discrete manufacturing, which produces items in distinct batches, repetitive manufacturing focuses on the steady, continuous flow of production, minimizing setup times and maximizing throughput.
SAP ERP provides robust support for repetitive manufacturing processes, enabling manufacturers to streamline operations, reduce costs, and respond efficiently to market demand.
Repetitive Manufacturing (RM) is a production method where products are produced continuously over a long period, often in assembly line settings. This approach suits industries like automotive, consumer goods, electronics, and food & beverage, where demand is steady, and product variation is minimal.
In SAP, repetitive manufacturing is supported through specific planning, execution, and control mechanisms tailored to the continuous production environment.
SAP’s Repetitive Manufacturing solution differs from discrete manufacturing by emphasizing simplified data structures and continuous production monitoring. Key SAP features include:
SAP defines a repetitive manufacturing profile for materials, distinguishing them from discrete production items. This enables specific planning and execution methods.
Instead of production orders, SAP uses rate-based planning where production quantities are planned based on a predefined production rate (units per time period). This supports continuous manufacturing with planned rates aligned to demand forecasts.
Backflushing is a critical feature in RM where material consumption is automatically posted based on production quantities, eliminating the need for manual component withdrawal postings. This streamlines inventory updates and reduces administrative work.
SAP’s RM process can be combined with Kanban systems for just-in-time material replenishment, enhancing lean manufacturing practices and reducing waste.
SAP offers tools for real-time production monitoring, tracking actual production rates, variances, and inventory levels to enable quick adjustments.
Typical industries benefiting from SAP Repetitive Manufacturing include:
Repetitive Manufacturing is an effective production strategy for high-volume, standardized products, enabling manufacturers to achieve operational excellence and cost savings. SAP’s dedicated functionality for repetitive manufacturing supports continuous production processes through rate-based planning, backflush processing, and integrated material replenishment methods. By leveraging these SAP capabilities, manufacturers can maintain steady production flow, improve inventory management, and enhance overall productivity.