SAP Manufacturing


Manufacturing Defined

Manufacturing refers to the creation of finished goods with the help of equipment, labor, machines, tools, parts, and raw materials. It includes variable factors like supplies, equipment, overhead, parts, and skilled workers. Production planning and scheduling contain comprehensive planning features and integrated scheduling to create efficiencies and lower costs. Modern manufacturing solutions include on-premise deployment, collaboration enterprise-wide, seamless digital capabilities, and real-time analytics for problem-solving and robust decision-making.

SAP Manufacturing

Key Capabilities of SAP S/4HANA Manufacturing for planning and scheduling include:

  • Comprehensive end-to-end planning: Planning production resources beyond material requirements planning (MRP) functionality, considering capacity and material availability constraints in the planning model, and integrating manufacturing master data.
  • Integrated scheduling: Streamline scheduling through global production environments, use industry scheduling for block, campaign, shelf-life and model mix planning, and perform detailed scheduling.

Manufacturing Defined

Manufacturing refers to the creation of finished goods with the help of equipment, labor, machines, tools, parts, and raw materials. It includes variable factors like supplies, equipment, overhead, parts, and skilled workers. Production planning and scheduling contain comprehensive planning features and integrated scheduling to create efficiencies and lower costs. Modern manufacturing solutions include on-premise deployment, collaboration enterprise-wide, seamless digital capabilities, and real-time analytics for problem-solving and robust decision-making.

SAP Manufacturing

Key Capabilities of SAP S/4HANA Manufacturing for planning and scheduling include:

  • Comprehensive end-to-end planning: Planning production resources beyond material requirements planning (MRP) functionality, considering capacity and material availability constraints in the planning model, and integrating manufacturing master data.
  • Integrated scheduling: Streamline scheduling through global production environments, use industry scheduling for block, campaign, shelf-life and model mix planning, and perform detailed scheduling.

Key Capabilities of SAP S/4HANA Manufacturing for production engineering and operations include:

  • Streamlined engineering: Digital collaboration with master data, design handovers, process planning, and change management. Simplify build package creation, management, and delivery for global environments.
  • Enhanced operations management: Analyze change impact and change implementation. System-optimized monitoring of shop floor operations with issue detection, root cause analysis, and decision support.

The importance of manufacturing is that it leads to research and development, innovation, productivity, exports, and jobs. It helps to raise living standards and generates more economic activity than any other business sector.

3 benefits are:

  1. Simplify functionality: Digital enterprise collaboration to simplify product planning, change management, and operations. Decrease days in inventory by integrating scheduling and execution for a full view of product data.
  2. Optimize adaptability: Minimize production disruptions in shop floor execution. Reduce cycle time by adapting production schedules to plant conditions.
  3. Enhance planning capabilities: Streamline build package creation, planning, and shop floor operations. Reduce revenue loss from stock outs by improving flexibility into production planning scenarios.

Vendor partners to modernize your manufacturing and increase efficiency include: Forcam, SAP, and Movilitas.

Key Considerations for SAPinsiders are:

  • Expert Panel Discussion: Boost Manufacturing Agility and Flexibility with SAP HANA. Listen to leaders engage about the state of manufacturing agility and flexibility by using SAP HANA.
  • Belmo Increases Warehouse Productivity and Order Fulfillment by 30%. Read the case study on how the use of technology, like machine learning, can have significant benefits.
  • Industry 4.0: The Journey to the Future of Productivity. Read about the importance of digital technologies, but also understand automation and collaboration are the path to success.

959 results

  1. Live from SAPinsider Studio: Mike Lackey on the Evolving Nature of Manufacturing

    Mike Lackey, Global VP of Solution Management for LoB Manufacturing at SAP, joins SAPinsider Studio at the SAP SCM 2016 event to discuss how IoT and digital business is transforming the nature of manufacturing. Natalie Miller, SAPinsider: Hi, I’m Natalie Miller with SAPinsider and we’re at the SCM, CRM, and IoT event in Las Vegas…

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    Follow these best practices and tips outlined by Ameya Pimpalgaonkar if you are planning to execute an SAPUI5 project. See how an SAPUI5 project differs from a traditional project and why the design process is essential if you want to avoid technical errors. Key Concept It is essential that all SAPUI5 projects begin with a...…

  3. Accurate Order Promising through Global ATP in a Consolidation Environment

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    Learn how to implement rules-based available-to-promise (ATP) in a consolidation scenario including the use of multi-level ATP. Key Concept Fixed pegging is the process of establishing the relationship of a receipt document to the requirement document it fulfills. This linkage is not broken when receipts or requirements are rescheduled in time or through a planning...…

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  5. How to Leverage Customer Experience Data in Manufacturing

    Published: 11/November/2019

    Reading time: 5 mins

    Customer trends in the consumer and B2B marketplaces today are moving toward models where manufacturers can deliver unique services versus traditional “off-the-shelf” products. Demand for this sort of individualized manufacturing puts pressure on manufacturers to innovate/design and deliver goods faster. Therefore, supply chain professionals are challenged with how to become more flexible and adaptable. This…

  6. Responsive Manufacturing: Redefining the Digital Enterprise

    Published: 04/August/2016

    Reading time: 6 mins

    Customers in the digital age are demanding more: more customization, more control over their purchases, and more guarantees of immediacy. To meet these demands, manufacturers must do more to become flexible and responsive. This means leveraging the Internet of Things (IoT) to enable digital manufacturing processes and gather actionable insights about asset performance. Discover strategies…

  7. Don’t Let Your Sustainability Footprint Leave You Behind

    Published: 28/October/2021

    Reading time: 6 mins

    Sustainability was once primarily associated with green initiatives. Today, the term “sustainability” encompasses several environmental, economic, and societal issues, such as affordable and clean energy, reduced inequality, and zero hunger, that require the world’s immediate attention. As one critical group of actors among many, corporations are on the front lines driving sustainable development across the…

  8. Examining AI’s Role in Thailand’s Manufacturing Transformation

    Published: 29/May/2025

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    A whitepaper from TDRI, ETDA, and SAP highlights AI’s pivotal role in advancing Thailand 4.0 by identifying 300 potential manufacturing use cases and estimating a 60% adoption increase by 2025, while addressing challenges such as data quality and infrastructure to unlock significant productivity and safety benefits.

  9. Complete the Manufacturing Process with Period-End Postings to Recognize Production Variances

    Published: 09/December/2009

    Reading time: 11 mins

    After you manufacture a product, it is received into finished goods inventory at its standard cost. Understand the month-end postings that are necessary to clear any work in process on the production order, and to recognize manufacturing variances on the profit and loss statement. Key Concept The standard cost of a product is used for...…

  10. Manufacturing Execution Systems

    Critical Role of Manufacturing Execution Systems (MES)

    Published: 18/October/2022

    Reading time: 3 mins

    As supply chain challenges increase due to increasing supply chain complexities, organizations are increasingly looking at leveraging data and analytics tools and technologies to help them address their supply chain challenges. Manufacturing plays a crucial role in supply chain networks, and recent events have emphasized its importance in building supply chain resiliency and agility. This has…