SAP SCM Interview Questions and Answers
Q1. What do you apprehend by Supply Chain Management method?
Ans: SAP Supply Chain Management is one of the key module in SAP ERP and controls Production Planning, business forecasting and call for planning, and enables the enterprise to manipulate their supply chain system in a dynamic environment.
Q2. What are the exclusive stake holders in Supply chain method?
Ans: SAP SCM technique helps providers, customers, producer, business partners and retailers to connect with every other to control deliver chain system correctly and efficaciously.
Q3. Which distinctive packages which you have used as a part of Supply Chain Process?
Ans: The number one packages are SAP General Areas, SAP Supply Network Collaboration SNC, SAP Extended Warehouse Management EWM, Advanced Planning and Optimization (APO), Forecasting and Replenishment FRE and SAP Transportation Management TM.
Q4. As in keeping with capability what are the one-of-a-kind additives under SAP SCM process?
To perform demand planning and forecasting, you could link to Customer Relationship Management CRM to get statistics related to customer campaigns, and so on.
Supply Network Planning SNP
To view organisation as a network of places and to test stock projections and stock retaining standards. Calculations in SNP power dependent necessities all the way down to providing places manufacturing and receiving shops.
Production Planning and Detailed Scheduling
This is to check the dependent necessities from locations in the supply network, surpassed down from SNP. This is linked with Material Requirement Planning MRP in Production Planning, which determines the inbound cloth required to finish a production order.
Q5. What is distinction between Supply Chain Collaboration and Supply chain Coordination?
Ans: SC Collaboration
This is used to assist in making collaborative forecasts and agreements.
This element in Supply Chain is used to coordinate the alternate of information and data between exclusive enterprise gadgets.
Q6. What are the key benefits of the usage of Supply Chain system in an organization?
Ans: Organizations can obtain following blessings in a disbursed surroundings −
To reduce money owed receivable collections with better visibility into the AR method, growing older and extension of credit score, and assist to lessen day’s sales incredible the use of SCM system.
To effectively control forecasting and dealing with sudden adjustments in demand and deliver process.
To effectively use Net Fixed property NFA like plants and system.
To meet customer demands, you can neatly plan and manipulate Supply chain Management method in an enterprise.
Proper stock optimization, order fulfillment and delivery of the products.
Distribution of the key information to all the stake holders spread throughout the network.
Improved communique and collaboration among extraordinary commercial enterprise strains to control demand and supply technique in an company.
To improve production performance and reduction in production high-quality problems and consequently lessen fee of goods offered.
To lessen transportation responsibilities and taxes, and increase rebates and incentives. It additionally facilitates to reduce transportation errors.
Q7. Explain demand making plans and control process you have got handled as a part of Supply Chain?
Ans: Demand management is used to forecast, control and plan the needs of products and has defined set of strategies and skills to provide goods. This aspect is used to improve the call for planning by means of making use of promotions.
Based on historic sales information, you could handle demand for each save, product from different customers and as a result you may see client responses as in keeping with trade in pricing policies, and earnings for a selected product in the organisation.
You use demand models to are expecting clients’ response with charge trade. As consistent with agency desires like - boom profit, sales, and many others. You may define promoting strategies for the products.
Q8. What is PIR Planned Independent Requirement?
Ans: Demand management is performed through Planned Independent requirement PIR. Planned Independent requirement presents input for manufacturing making plans. A PIR includes one planned amount of product and one date for cloth or a Planned Quantity is cut up over a span of term.
Q9. What is MTS and MTO Planning strategy under Supply Chain?
Ans: Make to Stock Planning strategy (MTS)
This is making plans method in which stock is produced without sales order. It is used to satisfy patron demands in destiny.
Make to Order planning method (MTO)
In this planning strategy, end merchandise are not produced until you obtain income order from a patron. For MRP run, you handiest do not forget Sales order.
In MTO approach, you best produce income order inventory and merchandise are delivered as consistent with sales orders from specific consumer.
Q10. What is Planning strategy you choose to carry out MTS and MTO?
Ans: When you use Planning strategy 10, handiest PIR amount is considered for MRP run and sales order are absolutely unnoticed. In this PIR requirement kind LSF and is reduced whilst you supply stock to purchaser.
When you use Planning strategy 40, for MRP run maximum of 2 PIR and Sales order can be taken into consideration and PIR is reduced while enter the Sales order. PIR requirement kind is VSF in this situation.
You use Planning method 20 for make to reserve MTO method and making plans strategy 25 is used to supply product editions whilst there may be request for variation merchandise from consumer.
Q11. What is the usage of MRP run or making plans run?
Ans: MRP run or planning run is an engine which is used to fill demand and supply gap. Issues & Receipts are called MRP Elements. Issues include PIRs, Dependent Requirements, Order Reservations, Sales Orders, Issuing Stock Transfer Orders, and so forth. And receipts include Production Orders, Purchase Requisitions, Purchase Orders, Open Production Orders, Receiving Stock Transfer Order, Schedule lines, and so on.
Q12. What are the specific types of MRP run?
In this run system remember the ones fabric which has gone through a few changes from the preceding MRP run.
NetChange in making plans horizon
This run considers the requirement in predefined making plans horizon and now not like internet change which check the future requirements.
In this run, machine consider simplest the ones fabric which has undergone some adjustments from their last MRP run.
In this run, machine do not forget all the cloth no matter changes and it's time consuming and no longer common in Production planning.
Q13. Explain the difference between primary scheduling and lead time scheduling?
Ans: Basic Scheduling
It most effective calculates basic dates for orders in MRP run and in residence manufacturing time for cloth grasp in use.
Lead time Scheduling
In this MRP, manufacturing dates are described by way of lead time scheduling for deliberate orders.
Q14. What is Bill Of material grasp information and what information it consists of?
Ans: Bills of fabric master statistics is related to cloth requirement planning and offers the listing of additives to produce the product.
Q15. What is the use of tremendous BOM?
Ans: To produce a product with specific variations, you may create first rate Bills of Material that has listing of components to fabricate extraordinary variants of a product and choice of issue depends on info mentioned in making plans order. You can create as much as 99 Bills of Material.
Q16. How do you switch statistics from SAP ERP machine to SCM device?
Ans: To switch master and transaction facts from ERP machine to SCM device, you need to outline an integration version. When you create an integration version, machine mechanically generates a new edition of this model.
Q17. Is it viable to keep multiple versions of integration model energetic at the same time?
Ans: No, you could create as many versions of an integration version as you need but simplest one version is energetic at a time.
Q18. What is Good difficulty procedure? What is motion kind for Goods problem?
Ans: Goods difficulty is finished while raw material is fed on to supply fabric as in keeping with Production order. When goods are issued, device decreases the inventory of components on the garage vicinity in Production Planning gadget.
Movement type 261 is used for goods issue.
Q19. How do you control cancelled items problem for an order in SCM manner?
Ans: Goods trouble reversal is used while you cancel the products problem for an order. Goods problem can be cancelled until order repute is showed CNF in machine.
Movement kind is 262 in Goods problem reversal.
To perform goods trouble reversal, use T-code: MB1A or visit Logistics → Production → Production Control → Goods Movement → Goods Issue
Q20. What is planned order introduction? Can you convert a deliberate order to manufacturing order, how?
Ans: In SAP machine, you can create a planned order request during making plans run for a plant to trigger the procurement of material with the sure quantity for a specific term.
Planned orders are created as result of scarcity of materials which might be set to internal procurement will create deliberate orders and you can convert planned orders to production orders using T-Code: CO40/CO41.
Q21. Is it possible to create a Planned Order manually, how?
Ans: You can create a planned order manually the usage of T-Code: MD11.
How do you evaluate MRP run in SCM gadget?
This is used to look contemporary inventory and planned receipts. Use T-code: MD04
Q22. What is Material Requirement Planning MRP list?
Ans: MRP List is used to generate static file that incorporates making plans run fabric sensible and it displays time of MRP run on the pinnacle.
Q23. What is Production Order in Supply Chain?
Ans: A Production order is used to define the material to be produced, plant area in which manufacturing must be accomplished, date and time of manufacturing, amount of products required. A Production Order also defines which additives and collection of operations are for use and the way the order costs are to be settled.
During introduction of production order, where do you get the information of list of additives and operational statistics inside the order?
BOM and routing records of the substances are copied into the Production order which determines the listing of additives and operational facts within the order.
Q24. What are the stairs completed when you change a planned order to Production Order?
Ans: First step is to transform a deliberate order to production order. When you create a Production Order, type is described in SAP PP gadget.
To begin the production process, it is vital to trouble Production order. Till a manufacturing order isn't always launched, execution of manufacturing manner isn't always started out.
Issuing items is required for supplying the products to execute the Production order. Once items are problems, file number can be updated within the gadget.
All the sub methods are done according with required operations to verify the manufacturing as consistent with Production order.
Q25. While growing an integration version in case you don’t pick out a restrict what occurs?
Ans: When you don’t select a limit, it prompts that a completely long run time is predicted in case you select execute.
When an integration model is deactivated, it deletes all the gadgets which can be transferred in SCM machine?
No, whilst you deactivate an integration model, it doesn’t mean that every one the gadgets which can be transferred may be deleted in SCM gadget.
Q26. What is BOM usage kind for Production?
Q27. What are not unusual Supply Chain grasp data sorts?
Q28. What is the use of Routing grasp data in Supply Chain Management system?
Ans: Routing defines collection of sports accomplished at work middle. Routing plays in crucial role in calculating manufacturing fee, gadget time and exertions time.
Q29. What is using Work Center in ERP device w.R.T Supply Chain Management Process?
Ans: For each aid area in SAP APO/SCM, you have got relevant paintings middle in ERP gadget.
Q30. What are the exclusive resource types in SAP Supply Chain?
Ans: Resource kind defines how the gadget plan resources as in step with the planning parameters. There are diverse making plans parameters for each useful resource kind. When you transfer paintings facilities from ERP machine, following resource kinds are already created −
Single-Activity and Multi activity Resource
Single-Mixed and Multi blended Resources
Single-Activity and Multi hobby Resource
In Single activity resource, one interest can be executed at a time. In multi interest useful resource, several activities can be finished at one time.
Single-Mixed and Multi blended Resources
In SAP SCM, you operate combined resources to carry out Production Planning SAP PP and Detailed Scheduling both the sports.
Now single combined sources manner that a unmarried activity sources in Production making plans PP and in Detailed Scheduling DS and multi-combined sources allow multi activity resources.
It defines running time and rates of line. A line aid is created in APO for each line you create in DI system.
Provide a few examples of manually created useful resource kind in SCM device?
Q31. What is Production Data Structure generated from R/three gadget?
Ans: Production Data Structure is referred to as structure of master records that can be utilized in planning system. PDS are generated whilst you transfer the master statistics the usage of Core Interface in APO device from SAP ERP gadget.
Q32. What are distinctive kinds of Production Data Structure?
PDS for Production and Detailed Planning
PDS for Supply Network Planning
PDS for Demand Planning
PDS for CTM Planning
Template PDS for enterprise specific optimizer
Q33. What is using Core interface in generating Production Data Structure PDS?
Ans: SAP APO Core Interface (CIF) is called interface that permits you to change statistics between SAP APO and ERP device.
You can carry out the subsequent functions the use of CIF −
Source and goal machine dedication inside complicated device environments
Supply of SAP APO with the master and transaction facts applicable to planning
Transfer of adjustments to transaction records.
Return of making plans consequences from SAP APO
Q34. How do you convert PDS records in Supply Chain process?
Ans: To exchange the PDS information, it should be changed in statistics in SAP ERP and generate the production information shape PDS the usage of SAP APO core interface CIF.
Q35. To generate Supply Network Planning PDS records, what should be PDS type?
Ans: PDS type ought to be SNP or SNP Subcontracting.
Q36. How do you switch changed grasp statistics and production model to SCM machine?
To transfer changed master statistics and manufacturing variations to SAP SCM, go to Logistics → Central Functions → Supply Chain Planning Interface → Core Interface Advanced Planner and Optimizer → Integration Model → Change Transfer → Production Data Structure PDS → Transfer Production Data Structure.
Q37. Explain Model and model management in SCM?
Ans: In SAP SCM, you operate supply chain model for the making plans. SAP system considers the master data this is assigned to a version for the planning motive. You can assign the grasp facts to a model both in the Supply Chain Engineer or in grasp statistics. Maintenance transaction.
It is also feasible to assign one or more making plans versions to a version. All the master facts released for the planning need to be assigned to the energetic version and the lively planning model- version 000 and planning version 000 respectively. In production machine all master statistics which you switch from SAP R/three is routinely assigned to the active version and the lively making plans version.
Q38. Is it feasible to create a couple of versions underneath a model in SCM?
Q39. When you delete a version, all the planning model remains to be had in gadget?
Ans: No, when a model is deleted, it also remove all the making plans versions that has been created for this version.
Q40. What features may be performed the use of SAP Advanced Planning and Optimization application?
Ans: SAP Advanced Planning and Optimization presents a variety of functions that can be used to devise and execute the supply chain approaches in an employer. SAP Advanced Planning and Optimization helps the following features −
You can use this to carry out collaboration on a strategic, tactical, and operational planning degree.
This is used to perform the coordination between companions at all ranges of the deliver chain method.
You can acquire constant optimization and evaluation of the supply chain community’s efficiency.
Q41. What is the usage of alert display below Supply Chain Monitoring?
Ans: You can use the Alert Monitor to screen whether your utility is going for walks without troubles. You can use alert profiles to specify in what conditions the device reports the trouble.
Using alert reveal, you could screen all of the indicators which have occurred, and may flow the utility immediately to see the trouble.
Q42. Which of SCM applications assist use of alert reveal?
Ans: You can only use the Alert Monitor in those applications - Advanced Planning and Optimization, SAP Forecasting and Replenishment and Extended Warehouse Management.
Q43. What is Supply Network Collaboration?
Ans: Using Supply community collaboration, it permits you to synchronize records go with the flow in a agency and its providers. You can consist of key steps associated with purchase order processing, provider inventory, etc. Can be applied.
Q44. What mission can be completed using Supply Network Collaboration?
Custom Key figures
Creating alert notifications
Configuring UI enhancements and hiding column in ALV and plenty of extra
Q45. Explain Forecasting & Replenishment procedure underneath Supply Chain Management?
Ans: In Supply Chain Management SCM, Forecasting & Replenishment enables the planning and executing of inventory strategies. It perform the streamlining inventories with supply chain and decrease standard stock tiers and fee.
Q46. What are the key functions you could perform underneath Forecasting & Replenishment system?
Ans: Following are the key capabilities that you could perform the use of SAP SCM F&R
Alert-pushed guide interventions
Monitoring the nice of the techniques and of the answer implementation.
Management of excessive records volumes