Producers of Flexible Packaging

The production of packaging materials is usually planned as a make-to-order production with customer-specific customization of finished products. However, production is often done in multiple stages and some of the early production stages can be organized as a make-to-stock production of non-customized intermediate products. For this kind of supply chain with mixed production strategy, it can be challenging to keep track of dependencies between stage production orders in order to execute ATP (available to promise) or CTP (capable to promise) checks if only standard SAP ERP transactions are used.

Additionally, for cost-efficient production it is necessary to combine multiple stage production orders in stage production blocks in order to minimize setup times in sequential manufacturing. However this minimization can yield to increased lead times and increased stock of work-in-progress or semifinished products. In addition, long production blocks do not always match well with customer requirement dates, which are often confirmed on short notice.

This scenario is characteristic for the packaging industry as well as for the timber and paper processing industries. SAP IS Mill covers a majority of industry-specific business process requirements in this industry sector. ORSOFT Manufacturing Workbench allows integration of further individualized business process support, in particular for the planning and scheduling of supply chains with mixed production strategy of make-to-stock and make-to-order production, while keeping in line with the SAP ERP and IS Mill standard business model and processes.

ORSOFT Manufacturing Workbench supports intelligent sequence scheduling of production orders on a work center with a heuristic algorithm. In addition to order basic dates, the algorithm can consider a variety of technological parameters that are selected and weighted depending on the production technology (e.g. extrusion, printing and coating).

The Supply Chain Alert Monitor analyzes all existing sales orders with regard to on-time availability of intermediate products on each production stage and checks for conflicts in capacities, dates and material availability (raw materials and purchased materials). If available, static allocations of production orders to sales order item schedule lines are evaluated in the analysis, otherwise the materials stock / requirements list is evaluated in a "first-come, first-serve" sequence. The Supply Chain Alert Monitor is an essential element for the evaluation of the feasibility of a production plan.