BBP Packing Cement Production v2

BUSINESS BLUE PRINT
PRODUCTION PLANNING OF PACKING

CEMENT
GOLD STONE CEMENT LIMITED
SAP Implementation Partner
Version 1.1
Prepared By: Debasish Ghosh

Business Blue Print Material Management
Gold Stone Cement Limited August, 2019
Sign-off /Approval
Name of team members Organization/Business Unit Signature
Mr.Dilip Agarwal C.O.O

GOLD STONE CEMENT
Mr.Sanjib Mitra SAP PROJECT MANAGER

GOLD STONE CEMENT
Mr.S.Katiyar PLANT HEAD

GOLD STONE CEMENT
Mr.M.K.Ghosh SAP PROJECT COORDINATOR
GOLD STONE CEMENT
Mr.Sudesh Sharma SAP BUSINESS PROCESS OWNER

GOLD STONE CEMENT
Mr.Dubey SAP CORE TEAM MEMBER
GOLD STONE CEMENT
Mr.Supriya Mitra SAP PROJECT MANAGER
SGN SOFTWARE
Mr.Debasish Behera SAP PROJECT LEAD
SGN SOFTWARE
Mr.Debasish Ghosh SAP PP CONSULTANT

SGN SOFTWARE
Mr.Arpan Mondal SAP PM CONSULTANT
SGN SOFTWARE
SGN SOFTWARE PVT LTD 2019, All Rights Reserved. This document is proprietary to SGN Software Pvt. Ltd.
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by any means, nor may you modify or create derivative works based on the text of any file, or any part thereof for public, private or commercial
use, without prior written permission from Globalnest
EXECUTIVE SUMMURY
Goldstone Cements Limited is an public limited company.
Goldstone Cements Limited was incorporated on 26 December, 2007. The plant of the company
is at VILL MUSIANG LAMARE (OLD), KHLIEHRIAT, KHLIEHRIAT, and Meghalaya.
BUISNESS BLUEPRINT OVERVIEW

This document summarizes the findings of the SGN consulting team and GSCL Team, with
respects to SAP processes to be implemented in GSCL.
Following activities were carried out during different phases of the project.
Business Process Mapping
GAP Analysis
The information was gathered through above activities carried out during different phases of
projects i.e. reviews of business processes, business procedures, documentation and relevant
reports
The purpose of Business Blueprint document is to prepare to move forward with the
implementation of GSCL's SAP S4 HANA system. At the conclusion of the blueprint, SGN
consultants will determine the SAP functionality required to run the GSCL business.
The Blueprint and its associated appendices present a summarized perspective of all functional
business processes that will be implemented. As such, the Blueprint document will serve from
this point forward the dual role of both official project scope as well as system acceptance
criteria.
The body of this document describes the organizational structure, Master Data, and S4 HANA
functional process flows to be implemented at GSCL. Generally, requirements that can be met
using standard S4 HANA functionality through routine configuration tasks are not explicitly
documented. However, certain key requirements are explicitly identified and summarized to
highlight their importance to GSCL and to document the approach proposed to meet the
requirement.
One section of the document summarizes identified gaps. The project team has discussed this
list with agreement on the approach going forward. Acceptable approaches may require:
Additional programming or technical effort.


Recognition and acceptance of procedural changes ("Workarounds") using standard S4 HANA
Additional resource commitment.
Simply the recognition and acceptance of a limitation – meaning, the recognition and
acceptance of a product gap, arising due to the non-availability of the feature in the SAP
software.
Other section of the document summarizes Value SAP Q&A on Organization Structure, Master
Data andBusiness Processes. These were used as per Value SAP Methodology to discuss the
GSCL requirements in detail.
The Blueprint reiterates the S4 HANA organizational structures that have been identified and
will serve as the basis for the initial configuration activities. No significant configuration and
customization choices have been identified that will prevent the future implementation of
additional capabilities within the S4 HANA environment. The Logistics Information Systems is
being configured with reference to the Journey Cycle. Accordingly the transaction data is
stored, updated and retrieved by the system on the basis of monthly Calendar defined for a
specific financial year. In future if the business process changes and GSCL chooses to follow the
Calendar Year concept in place of Calendar, the system stores, updates and retrieves the data
on the basis of the Calendar Year. The information gathered and documented in the Blueprint is
sufficient for the team to go forward into the Realization phase. However, it is critical that both
the SGN and GSCL team agree on the scope of the project as presented in this document.
Acceptance by both teams is required to move the project into the next phase.
Contents
EXECUTIVE SUMMURY.................................................................................................................................3
BUISNESS BLUEPRINT OVERVIEW................................................................................................................3
1. Existing Processes / Requirements / Expectations:..............................................................................6
1.1. Existing process............................................................................................................................6
PACKING PROCESS of CEMENT:............................................................................................................6
MAPPING IN SAP.....................................................................................................................................7
1.2 Requirements and Exceptions.....................................................................................................7
2. Organizational Considerations.................................................................................................................8
3. Process Flow Diagram..............................................................................................................................8
4. Changes to Existing Organization Processes............................................................................................9
5. Description of Improvements:...............................................................................................................10
6. Solution in SAP:...................................................................................................................................10
6.1 Specific consideration w.r.t. GSCL....................................................................................................12
7. Description of Functional Deficits..........................................................................................................14
8.Intregration consideration......................................................................................................................15
9. Reporting Requirements........................................................................................................................15
10. Authorization Requirements................................................................................................................17
1. Existing Processes / Requirements / Expectations:
1.1. Existing process

PACKING PROCESS of CEMENT:
Packing is made as per Sales Order requirement. There are dedicated silo for OPC & PPC.
Inside the cement silo aeration blower starts.There are 6 air slides, each air slide having 1
motorized gate and 1 pneumatic gate.Each air slide opreates in 180 sec.
Then cement is fed to a bin followed by automatic filling and emptying process. It is delivered
to bucket elevator. During this time double screening occurs, the output materials is fed in
packer hopper, which has 30mt. capacity and gives indication when weight becomes 20mt.
There is a pneumatic gate under hopper,after opening the gate cement is fed to the packer. In
packer there are 8 spouts which are used to fill the bags.
Labours fit those bags into the spouts or nozzle .If the weight of packed cement becomes 50
kg,it’s automatically discharged.
Bags are discharged from nozzle and move to printing machine to print mrp, week, month ,
year & best before of 3 months.
Then the bags are loaded in trucks.It moves to weighbridge for weighment.
During the above process spillage cement is fed to hopper.
BUCKET
ELEVATR
POPC/PPC DOUBLSCREE
AREATION NING
SILO
PACKER
PNEUMATIC GATE
BAG HOPPER
8 SPOUT BAG
DISCHARGE
WEIGH
PRINTING Truck loader
BRIDGE
MACHINE
MAPPING IN SAP
Packed Cement material to be newly defined with Quality parameters.
Bagging Process will be mapped as a resource. BOM will be defined Monthly Process orders will
be created through COR1. Release the order through COR2. At the time of Partial Confirmation
through COR6N, packed cement will be received and the Cement and Bag will be consumed.
Batch Management will be activated for the Packed Cement, Externally managed number to be
assigned at the time of good receipt. Activities like labor and
Power will also be posted. Inprocess Inspection lot will be generated during order release
.Result will be recorded and usage decision through QA32. Order Status Through COOISPI and

the Production- Consumption report through COID. The unit of measurement (UOM) for Packed
material will be managed through both MT and Bag. The conversion factor is 1 Bag=50 Kgs
1.2 Requirements and Exceptions
 Daily production report should be available in sap.
 It should be possible to record the progress of production targets.
 It should be possible to track the consumption of materials pertaining to

production.
 It should be possible to track the cost of production against the planned costs.
 It should be possible to generate production reports from SAP for MIS

reporting.
 Shift wise production report in SAP.
 Operator Performance Report.
 It should be possible to maintain historical data for production in SAP.
2. Organizational Considerations
The following are the organizational elements required for production.
 Plant
 Storage location
 Cost Center
3. Process Flow Diagram
rrr
4. Changes to Existing Organization Processes

 Production targets generated from the cement dispatch targets will be tracked in SAP
using process orders.
 Prices for materials/consumables used to Packed cement will be maintained in SAP,

hence using cost roll-up planned cost for cement will be generated in SAP.
 Operating costs during production will be recorded in SAP using a combination of master
recipes and activities
 Actual cost of production will be tracked in SAP.
 Shortfalls / over-deliveries in production will be tracked in SAP
 MIS reporting on production will be done through data generated from production in
SAP.
5. Description of Improvements:
 Production targets will be recorded in SAP so that it is easy to monitor the progress
against the targets
 Through cost roll-up, cost component structure for limestone can be recorded in SAP
and used to track planned and actual costs.
 Costs of production relating to all the activities performed for manufacture of

cement, starting from the mines, will be tracked in SAP using master recipe and
activities. This can help track the costs and optimize production.
Overhead and variance during production will be tracked in SAP using process
orders. This will enable detailed cost analysis.
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or by any means, nor may you modify or create derivative works based on the text of any file, or any part thereof for public, private or
commercial use, without prior written permission from Globalnest

 Since production processes will be mapped in SAP, it will be possible to
generate all required reports from SAP for MIS reporting as well as internal reporting.
This will enable production optimization and help in making key decisions.
 The need for manual activities relating to production reporting will be minimized .
6. Solution in SAP:
Process order management is a central component of a complex process chain that
starts with independent requirements (planned or customer requirements) and ends
in the issue of a finished product.
Process order management in the SAP System only controls the whole process of
in-house production.Process orders are the main element used for the detailed
planning and execution of process manufacturing.A process order describes the
production of materials in a production run or the rendering of services. It is
generated from the master recipe and contains all the information specified
during process planning.Process order will be used to plan the quantities, dates,
and resources of the manufacturing process, to control process order execution,
and to define rules for the account assignment and settlement of the costs
incurred.
Process Order Management:

The procedure involved in process order management can be divided into the following steps:
 Process planning
 Process order execution
 Process order settlement.
 Order closing
Process planning comprises all activities that are performed during the creation and release of a
process order. Important steps in process planning are:
Order creation
Scheduling

Capacity requirements planning
Material availability check
Order release
The release of the process order represents the end of process planning and is the prerequisite
for carrying out the business functions for process order execution and process management .
Process order execution comprises:

 Withdrawal of required material components from the warehouse
 Confirmations on the order processing status
 In-process quality inspections for the inspection lot
 Goods receipt from production
Data flow in Process Manufacturing:

A production process is triggered by existing production requirements. During material
requirements planning, production requirements are converted into planned orders defining the
planned basic dates and production quantities. During process planning, planned orders are
converted into process orders. The basic dates and production quantities are copied from the
planned order. The actual production dates are calculated using the basic dates. You can also
create a process order manually.A process order provides a detailed description of the actual
production of one or more materials in one production run.
A master recipe is used as the basis for a process order. It defines, for example, the planned
resources and material components.
Scheduling:
In order processing, the scheduling function calculates the production dates and capacity
requirements for all operations within a process order.The scheduling process starts with the
basic order dates (basic start and basic finish). Thesystem either takes the basic order dates
from the planned order, or you enter them manually on the header screen of the process order.
A process order is always scheduled automatically when it is created. In Customizing, you can
specify whether you also want the order to be automatically rescheduled before saving
whenever you make changes that are relevant to scheduling.
Master Data

 Maintain Material Master with MRP1, 2, 3, 4 & work Scheduling View.
 Order Types will be defined as per given logic.
 Production Schedulers has to be maintained.
 Maintaining of BOM, Master Recipe.
 Maintain Production Version
6.1 Specific consideration w.r.t. GSCL
 GSCL Implementation will be covered in PP-PI
 All Production process will start from Process Order Creation
 Monthly one process order for Packed Cement Grade wise will be created
 Process order types are made according to the Department Controls.
Key Data Structure for
GSCL: Order Types PACK CEMENT
ODER TYPE DESCRIPTION NUMBER RANGE
PACKED CEMENT ORDER

TYPE
Goods receipt for process order:

The Goods Receipt for a Process order is done because this is declaring the Production
of finished goods or Intermediate. By this the Inventory gets updated.
Goods movements can be created with a confirmation:
Back flush: If you confirm an order / operation with components that have the Back
flushing indicator set, the system automatically posts a goods issue for these
components. Automatic Goods Receipt If the control key of the operation being
confirmed specifies automatic goods receipt, the system automatically posts
the produced material to stock. Automatic goods receipt can also be
activated by the production scheduling profile. For more information refer to
Automatic Goods Receipt.

Manual good Receipt: By this, control can be kept on declaring the Production.
Master Data
 Maintain Control Key for Auto GR
 For manual GR Storage location has to be maintained
 For Back flush in routing activation has to be done.
Settlement
When a process order is settled, the actual costs incurred for the order are settled to
one or more receiver cost-objects (for example, to the account for the material
produced or to a sales order). Offsetting entries are generated automatically to credit
the process orde
If the costs for the process order are settled to a material account, the order is
credited each time material is delivered to stock. The material stock account is
debited accordingly.
• If the costs for the process order are settled to another receiver (for example to a
sales
order), the order is credited automatically at the time of settlement. The cost-objects
are debited accordingly.
• Pre-requisite: All Process Orders must have status “DLV” (Delivered) and
“TECO” (Technically Complete) at the month end.
The debit posting remains in the order and can be displayed even after the costs have
been settled. The settled costs are updated in the corresponding receiver cost-object
and can be displayed in reporting.
The debit posting remains in the order and can be displayed even after the costs have
been settled. The settled costs are updated in the corresponding receiver cost-object
and can be displayed in reporting.
7. Description of Functional Deficits

 Daily production report.
 Monthly and annually production report.

 Production cost.
 Power consumption
8.Integration consideration
 Integration with MM module for goods issues and goods receipts
 Integration with CO module for costing, activities and power consumption
 Integration with QM module for quality inspections
9. Reporting Requirements
 Document the various reports that you would require
 Reports required by GSCL are:
 Daily production report.
 Monthly and annually production report
 Production cost.
 Power consumption
 Standard Information Systems for Process Manufacturing in SAP are as below:
Bill of Material
 CS11–Material List

 CS12 –Material List structure
 CS13 – Summarized BOM Where-Used List
 CS15 – Material
 CS14 - BOM Comparison
Resource
 CR05 – Resource List
 CR06 - Cost Center Assignment
 CR07 - Resource Capacities
 CR08 - Work Center Hierarchy
Where –Used List
CA81 – Resource
Production version
C252 – Production Version List
Common Standard Information Systems:

Current Stock / Requirement List –MD04 / MD07
This gives you the current situation information mostly used after MRP Run.
MRP List- MD05
This gives information for the last MRP Run.
Stock Overview –MMBE
This gives you the current available stock in Unrestricted Use (Saleable Stock), Quality
Stock, Blocked Stock.
Material Document List-MB51

This gives details about material movements with respect to any application like Production,
Purchase order, Sales etc…
Capacity evaluation & leveling -CM01, CM56, CM29 ,This gives the capacity overview on
particular resource.
Standard Information Systems for Process Manufacturing:

Order Information Systems-COOISPI
In this report individual can have information in any Production Planning related
activities like Order Header, Component Issues, Operation wise etc.
Order Information – COID
Availability Overview – CO09
In this individual can check the material availability with respect to the process
order.
10. Authorization Requirements

Document the level of authorizations that you need for each process in the system
GSCL Team will formalize the level of authorizations that are needed for each process in the
system.

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BUSINESS BLUE PRINT

PRODUCTION PLANNING OF PACKING

GOLD STONE CEMENT LIMITED

SAP Implementation Partner

Prepared By: Debasish Ghosh

Gold Stone Cement Limited August, 2019

Name of team members Organization/Business Unit Signature

Mr.Dilip Agarwal C.O.O

Mr.Sanjib Mitra SAP PROJECT MANAGER

Mr.S.Katiyar PLANT HEAD

Mr.Sudesh Sharma SAP BUSINESS PROCESS OWNER

Mr.Debasish Ghosh SAP PP CONSULTANT

Gold Stone Cement Limited August, 2019

BUISNESS BLUEPRINT OVERVIEW

Business Process Mapping

Additional programming or technical effort.

Gold Stone Cement Limited August, 2019

Gold Stone Cement Limited August, 2019

BUISNESS BLUEPRINT OVERVIEW................................................................................................................3

1. Existing Processes / Requirements / Expectations:..............................................................................6

1.1. Existing process............................................................................................................................6

PACKING PROCESS of CEMENT:............................................................................................................6

1.2 Requirements and Exceptions.....................................................................................................7

3. Process Flow Diagram..............................................................................................................................8

4. Changes to Existing Organization Processes............................................................................................9

6.1 Specific consideration w.r.t. GSCL....................................................................................................12

7. Description of Functional Deficits..........................................................................................................14

10. Authorization Requirements................................................................................................................17

Gold Stone Cement Limited August, 2019

1. Existing Processes / Requirements / Expectations:

1.1. Existing process

During the above process spillage cement is fed to hopper.

Gold Stone Cement Limited August, 2019

Packed Cement material to be newly defined with Quality parameters.

Gold Stone Cement Limited August, 2019

1.2 Requirements and Exceptions

 Daily production report should be available in sap.

 It should be possible to record the progress of production targets.

 It should be possible to track the consumption of materials pertaining to

 It should be possible to generate production reports from SAP for MIS

 Shift wise production report in SAP.

 Operator Performance Report.

 It should be possible to maintain historical data for production in SAP.

The following are the organizational elements required for production.

Gold Stone Cement Limited August, 2019

3. Process Flow Diagram

Gold Stone Cement Limited August, 2019

4. Changes to Existing Organization Processes

 Prices for materials/consumables used to Packed cement will be maintained in SAP,

 Actual cost of production will be tracked in SAP.

 Shortfalls / over-deliveries in production will be tracked in SAP

 Costs of production relating to all the activities performed for manufacture of

Gold Stone Cement Limited August, 2019

Process Order Management:

 Process order execution

 Process order settlement.

Gold Stone Cement Limited August, 2019

Material availability check

Process order execution comprises: