Production Planning is the process of aligning demand with manufacturing capacity to create production and procurement schedules for finished products and component materials.
SAP PP is an important module of SAP. It tracks and makes a record of the manufacturing process flows, for example, the planned and actual costs. Also, goods movements from the conversion of raw material to semi-finished goods.
It is fully integrated with the other SAP modules: SD, MM, QM, FICO & PM.