What Is SAP CO01 (Create Production Order)?
Also known as: CO01, SAP production order, SAP PP production order, CO02 CO03
Definition
CO01 creates a production order in SAP PP for a material, quantity and dates. The order copies the BOM and routing, reserves components, collects costs, and moves through release, confirmation, goods receipt, technical completion and settlement.
SAP CO01 (Create Production Order) Explained
A production order is created manually with CO01, converted from a planned order in MD04 or CO40, or created collectively with CO41. CO02 changes and CO03 displays it. The order type (for example PP01) controls settlement profile and number range. On creation, SAP explodes the BOM into component reservations (table RESB) and copies the routing operations, with header data in AUFK and AFKO and the item in AFPO.
The lifecycle is driven by system statuses. CRTD is created, REL is released, which allows goods issues and confirmations, PCNF and CNF reflect partial and full confirmation, DLV is delivered, TECO is technically complete, and CLSD is closed. Scheduling (forward, backward or today) determines operation dates and capacity requirements, and availability check (component, capacity, tools) can block release.
Execution postings are goods issue of components through movement 261 in MIGO (or automatically through backflushing set by the material or work center), operation confirmation through CO11N or CORK, and goods receipt of the finished product through movement 101. Confirmations record yield, scrap, rework and labor or machine time that feed activity costing.
Costs collect on the order from components, activities and overhead. Target cost is computed from the quantity and standard, and actual cost accumulates from postings. At period end, variances are calculated and settled to inventory or price difference accounts (KKS1 or KO88 for settlement), and the order is technically completed once nothing further is expected.
Why It Matters
- The production order is the shop floor system of record, so inaccurate confirmations distort inventory, labor cost and MRP.
- Component availability checks at release prevent starting jobs that will stall waiting for material.
- Variance between target and actual cost on the order is how cost accounting finds scrap, yield and routing problems.
- Open orders left without TECO continue to hold WIP and reservations, which inflates period-end balances.
In Practice
An order for 100 housings is released. Components are issued at 261 for 100 castings plus 5 percent scrap allowance. Operations are confirmed in CO11N with a yield of 96 and scrap of 4. Goods receipt 101 puts 96 into stock. At month end, the 4 scrapped units and any price differences settle as variance, and the order is set to TECO.
Frequently Asked Questions
What does TECO mean on a production order?
TECO is technical completion. It stops further goods issues and confirmations, releases remaining reservations, and signals that the order is done before final settlement and closing.
What is the difference between CO11N and CO15?
CO11N confirms a single operation of a production order, while CO15 confirms the order at the production order level, mainly posting yield and goods movements together.
Which tables hold SAP production order data?
AUFK holds order master data, AFKO the header, AFPO the order items, AFVC the operations and RESB the component reservations.
Related Terms
Work Order
A work order is the ERP document that authorizes production of a defined quantity of an item by a due date. It snapshots the bill of materials and routing, drives material issues and labor reporting, and collects actual cost for the job.
Planned Order
A planned order is a system-generated supply proposal that MRP creates to cover a net requirement. It has a quantity and dates but is not yet a committed job, production order or purchase order, and MRP can delete or reschedule it on every run.
BOM (Bill of Materials)
A BOM (bill of materials) is the structured, hierarchical list of components, sub-assemblies, and quantities required to produce one unit of a parent item, and it is the primary input MRP explodes to calculate material requirements.
Routing
A routing is the ERP record that defines the ordered sequence of operations required to manufacture an item, specifying for each step the work center or machine, setup time, run time per unit, move and queue time, and any outside processing.
WIP (Work in Process)
WIP (Work in Process) is inventory that has been released to production and has begun conversion but is not yet a finished good. It includes partially machined parts, subassemblies, and material sitting in queue between operations.
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