202
MODULE TOPICExplore the capabilities that make P2M work

P2M 202 · DECIDE

Supply proposals are recommendations that planners review before execution.

Externally procured material usually produces purchase requisitions; in-house production produces planned orders. Dates and quantities can be adjusted before conversion.

HOW IT WORKS

A shortage becomes a proposal before it becomes a commitment

Identifying a shortage does not mean SAP immediately creates an executable commitment. Planning first creates supply proposals representing what could be purchased or produced. These proposals allow quantities and dates to be reviewed before the organization commits resources or external procurement.

Concept flow: Shortage → proposal → planner decision → execution commitment. A planned order can become a production order, while procurement requirements can progress toward purchasing documents.

CAPABILITY MODEL

Understand the input, decision, and result

Read the capability as a connected planning decision before moving into detailed SAP controls.

INPUT

Planning shortage

MRP identifies a quantity and date that existing supply does not cover.

PROPOSAL

Possible response

A planned order or purchase requisition represents supply that could close the gap.

DECISION

Commit or adjust

A planner reviews timing, quantity, source, and priority before execution documents are created.

OPERATIONAL FLOW

How the capability performs

The sequence connects business need to a planning or execution result.

01IDENTIFY

Start from the shortage

Use the requirement, available supply, and date to understand why a proposal exists.

02REVIEW

Challenge the proposal

Check quantity, date, source, lot size, capacity, inventory policy, and business priority.

03FIRM

Protect the decision

Firm or otherwise stabilize the proposal when the organization is ready to preserve the intended response.

04CONVERT

Cross into execution

Convert the proposal into a production or purchasing document only when the commitment is authorized.

DESIGN & CONTROL

What shapes the result

These controls work together; a locally correct setting can still produce the wrong planning outcome.

Procurement treatment

Procurement type, special procurement, source determination, and quota rules decide the proposal family.

Timing and quantity

Scheduling, lot sizing, lead times, firming, and planning fences shape what the proposal recommends.

Commitment boundary

Conversion and approval rules distinguish a flexible planning recommendation from executable supply.

DIAGNOSTIC EVIDENCE

What proves the result?

Use the business input, system objects, and resulting state together.

SHORTAGE

Requirement, supply elements, uncovered quantity, date, and exception context.

PROPOSAL

Planned order or purchase requisition with quantity, dates, source, status, and firming state.

COMMITMENT

Converted production or purchasing document and the planner or approval decision behind it.

PLANNING MOMENT

A shortage appears for a component, but the supplier lead time has changed.

The planner adjusts the proposal date, checks the downstream production impact, and converts it only after the supply decision is accepted. A proposal remains visible as planning intent until that boundary is crossed.

  • Shortage is understood
  • Proposal is challenged
  • Decision is recorded
  • Commitment is deliberate

IN SAP

Simple representation

These are the main planning objects to recognize before moving into detailed controls.

CORE OBJECTS

Planned order · Purchase requisition · Conversion into execution objects

How SAP controls it

Procurement type, special procurement, source determination, quota arrangements, scheduling, and firming rules determine proposal behavior.

Example

A planner firms a near-term planned order and converts it to production while leaving later proposals flexible.

CONTINUE THE PATHContinue to P2M 303

Connect this capability to the complete execution and integration story.

Open practitioner map