What is pegging relationship in SAP SCM-APO-PPS - Production Planning and Detailed Scheduling?

SAP Term: pegging relationship

• Component: SCM-APO-PPS

• Component Name: Production Planning and Detailed Scheduling

• Description: Connection between the receipt element and issue element of a product in a pegging structure. The receipt/issue quantities of a product can differ from one another. In this case, a requirement has to be covered by several receipt elements or an order can cover several requirements. This means that a requirement is connected with several receipt elements by means of pegging or that an order is connected with several issue elements.

Smart SAP Assistant

• Key Concepts: 
  A pegging relationship is a type of relationship between two objects in the SAP Production Planning and Detailed Scheduling (SCM-APO-PPS) component. It is used to link a demand object to a supply object, such as a sales order to a production order. This relationship is used to ensure that the supply object can meet the demand of the demand object. 
  
  How to use it: 
  In order to create a pegging relationship, you must first create both the demand and supply objects. Once both objects have been created, you can then create the pegging relationship by selecting the “Create Pegging Relationship” option in the menu. You will then be prompted to select the demand and supply objects that you wish to link together. Once selected, the pegging relationship will be created and you will be able to view it in the “Pegging Relationships” tab. 
  
  Tips & Tricks: 
  When creating a pegging relationship, it is important to ensure that the demand and supply objects are compatible. For example, if you are creating a pegging relationship between a sales order and a production order, make sure that they are for the same product and quantity. Additionally, it is important to ensure that the pegging relationship is valid by checking the “Validity” field in the “Pegging Relationships” tab. 
  
  Related Information: 
  For more information on pegging relationships in SAP Production Planning and Detailed Scheduling (SCM-APO-PPS), please refer to SAP Help documentation or contact your local SAP support team.