SAP PP How to Create Production Order by Converting Planned Order
In SAP PP, a Planned Order is a proposal created by MRP or by a planner. It is not yet an actual production instruction. When you convert it into a Production Order, it becomes a real manufacturing order that the shop floor can execute.
Prerequisites -
- Valid planned order must exist.
- Material master must support in-house production.
- BOM and routing must exist.
Here’s a step-by-step to Create Production Order by Converting Planned Order –
Step-1: - Enter the transaction code MD16 in SAP command field and press Enter to continue.

Step-2: - Display Planned Orders window will be displayed. Select the MRP Controller from list. Press Enter button.

Step-3: - Search for Planned Orders via MRP Controller window is appeared. Enter the details of Plant code, MRP Controller and End selection date. Click on the right mark.

Step-4: - Display planned Orders window appears with list of orders.

Step-5: - Now select the grid want to convert the planned orders and press "convert to production order" button.
The Production orders are created after conversion of planned orders.

Technical details –
- Transaction code: MD16
- Menu path: SAP menu → Logistics → Production → MRP → Planned Order → Display → Collective Display.