Executive Summary 3rd party processing is how 3rd parties are managed in SAP APO for converting sales orders into an external requisition. There are important steps in the configuration process for 3rd party processing. Introduction This is the definition of third party processing. This is the ability of a sales order to be entered in…
Executive Summary A background on SAP Help The issue with SAP Help What software vendors write the best technical documentation in supply chain management? Introduction SAP is one of the few vendors to have much of its help documentation available online. Putting help documentation is the right move, and this is particularly true for SAP as…
Executive Summary Subcontracting is a specific process where manufacturing is performed outside of the company’s plants. There are several subcontracting process flows. There is extra complexity to subcontracting that must be understood before implementing subcontracting in a system like APO. Subcontracting can be considered a type of bi-directional planning. Introduction Subcontracting, in supply chain management,…
Executive Summary Professional service agreements or independent contractor subcontractor agreements are tools in the consulting trade. With the entry of low quality and almost entirely Indian recruiting companies, the clauses in these contracts are increasingly out of synch with US and European standards and practices. Video Introduction Skip reading the introduction and watch the following…
Executive Summary Companies, promoted by consultants, continually propose that they would like to move to make to order. What goes unmentioned is that only a tiny percentage of companies can go to make to order. Why assemble to order is confused with make to order. Introduction At Brightwork Research & Analysis, we receive questions on…
Executive Summary SAP EWM has a very particular design based upon a third-party logistics provider rather than a shipper. This has had negative implications for customers but is not discussed by SAP consulting companies. Introduction This article will discuss how major SAP consultancies conspired with SAP to bring a completely inappropriate application called EWM to…
Executive Summary Dynamic safety stock in ERP and external supply planning systems is commonly desired to be activated by companies. Extensive testing and observations illustrate that the standard dynamic safety stock calculation is incorrect. In this article, we cover many topics around dynamic safety stock. Introduction to Dynamic Safety Stock This article covers the topic…
Executive Summary Companies maintain private fleets and they have important advantages. The largest private fleets are concentrated in specific areas. Specific areas of logistics are more prone to outsourcing. Private fleets are shrinking. Interestingly, outsourced transportation is highly promoted while it is infrequent to promote private fleets. Introduction to the Overestimation of 3PL vs Private…
References The complete list for the book “Supply Chain Forecasting Software.” ____________________________ Anbarci, Nejat, and Jungmin Lee, “Economic Bias of Weather Forecasting: A Spatial Modeling Approach,” Deakin University, 2008 Answering the Sales Forecasting Challenge for Manufacturers, Right90 Armstrong, J. Scott, “Forecasting by Extrapolation: Conclusions of 25 Years of Research,” University of Pennsylvania, Published in Interfaces,…
References The complete list for the book “Supply Planning with MRP/DRP and APS Software” _____________________________ Abraham, Ajit and Goldberg, Robert. Evolutionary Multiobjective Optimization: Theoretical Advances and Applications (Advanced Information and Knowledge Processing). Springer. 2005 Baker, Kenneth. Optimization Modeling with Spreadsheets. Wiley, 2011. Bazara, Mokhtar S. and John J. Jarvis. Linear Programming and Network Flows. 4th…