What are the main processes of the embedded PP/OS in SAP S/4HANA?

The embedded PP/OS (Production Planning and Optimization System) in SAP S/4HANA focuses on enhancing and streamlining production-oriented processes. The optimization of the production plan is a critical function of this system as it ensures that manufacturing operations are as efficient and cost-effective as possible. By continuously adjusting and refining the production plans according to real-time data and changing circumstances, organizations can respond more swiftly to demand fluctuations and resource availability.

This optimization process not only improves operational efficiency but also helps companies meet delivery deadlines, reduce inventory costs, and increase overall customer satisfaction by aligning production schedules with market needs. The embedded nature of PP/OS allows for seamless integration with other SAP modules, facilitating better data flow and decision-making across the organization, which further enhances production efficacy.

While other processes such as source determination for external procurement, calculation of inventory buffer size, and long-term production planning are relevant in the broader context of supply chain and production planning, the primary focus of the embedded PP/OS is on the dynamic optimization of the production plan itself. Therefore, choosing optimization reflects the core capability and purpose of the embedded PP/OS within SAP S/4HANA.