Search Results for: supply-planning

  • How to Understand the Flow of STRs and PRs Through APO with a Custom Deployment Solution

    … heuristic can meet the needs of most companies.  The deployment heuristic is entirely disconnected from initial supply planning methods, including CTM and the cost optimizer. This topic can be an area of confusion for those that come from another planning system.
    The role of the initial supply plan is to create planned stock on hand. The role of deployment is to move planned stock on hand down through the supply network. The heuristic deployment starts to pick up after the initial supply plan has been created and performs this second step that follows mostly a very different set of …

  • How to Capacity Constrain Vendor Locations in SAP SNP

    Executive Summary

    The requirements for vendor capacity modeling have been driven in part by contract manufacturing, where the outsourced plant is not a typical supplier but rather a slave plant.
    Often the question arises as to whether there is value to using a vendor planning book.
    There are several approaches to constrain based planning at vendor locations.
    There is also the issue of modeling the vendor in APO versus ERP.

    Introduction to Supplier Constraints
    This article will address one of the most complex and problematic types of modeling in supply planning, which is capacity constraints for the supplier of a …

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    Managing Storage Location MRP Areas in SNP and GATP

    … approach to automating a process that requires a good deal of manual effort if GATP is not included in the design. The design described in this article requires that the GATP have rules set up that treats each storage location as an allocation. It also requires that the storage locations be properly planned in SNP. It’s unnecessary to use a complex supply planning method to plan the initial or child storage locations. A target stock level should help maintain the proportional stocks as desired, although to see how this actually works in practice would require some prototyping that …

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    The Relationship of Allocations in CTM and GATP

    … The second way is to enter the allocations into GATP from outside of the system. (This is actually a novel way of modeling supplier capacities as is described in this article.)

    This is described in the graphic below:

    The allocation direction is one way. That is, allocations go from CTM / supply planning to GATP / order promising. The allocations can prevent sales orders from coming into supply planning, but the allocations are not bi-directional. So allocations that are entered into GATP are not reflected or seen in CTM. The only interaction described above is preventing the acceptance of sales orders …

  • How to Improve Knowledge Transfer on SAP Projects

    … the result is that, as with any other software, the company must come out of the process to run, troubleshoot, and understand the software. Many companies do not get the knowledge transfer from the consulting companies that they require.
    I have a related article to this specific to a complex supply planning method and the lack of socialization that this method receives.
    The Importance of SAP Project Documentation
    One of the most critical parts of knowledge transfer is project documentation. However, there are essential but often undiscussed features of the criteria for project documentation discussed in this article.
    Writing Criteria …

  • How to Use GATP Allocations for Supplier Capacity Modeling

    … this is done, let us review some important aspects of GATP to begin.
    GATP Background
    GATP has the following unusual characteristics:

    CIF synchronizes the data between SAP ERP and GATP in near real-time.
    The ATP check is performed in ERP when GATP is not available.
    GATP integrates closely with supply planning for the order fulfillment process and commits to customer’s orders based on the input information provided by the supply planning receipt elements.

    There are four workflows, which connect supply planning or SNP to GATP:

    (GATP Check) ATP quantity (developed from inventory or MPS)
    (GATP Check) Sourcing (based …

  • Where PPDS Stops and SNP Starts With Respect to Time and Location

    … planning, although the planning areas may also overlap.” – SAP Help
    Therefore, the SNP Production Horizon and the PPDS Planning Horizon can be set to the same value. This is applicable in situations when the design is to have the production planners simply plan and schedule what they are given by supply planning.
    Within the SNP Production Horizon
    Within the SNP Production Horizon, SNP will not create any planned orders. Therefore this can be seen as the stable or frozen period. In the different design, and when there is significant overlap between the SNP Production Horizon and the PP/DS Planning …

  • How to Understand The History of MRP and DRP

    … basis of DRP, and how both became absorbed into ERP.

    Video Introduction: How to Understand The History of MRP and DRP
    https://youtu.be/C2VEOoW3yFM
    Text Introduction (Skip if You Watched the Video)
    This is a comprehensive article on the history of MRP and DRP. It reviews the history of supply planning before MRP and DRP arrived on the scene and how MRP and DRP can be set up in some well-known systems. It shows how MRP and DRP fit into the various supply planning methods. Each one of the major supply planning methods is found applications in business …

  • How to Effectively Front Load Resources in CTM

    Executive Summary

    Forward scheduling front loads resources, which allows for prioritization in supply planning.
    Forward scheduling can be performed in SAP CTM.
    There are multiple options for forward scheduling in CTM, such as setting a profile sequence, setting the maximum earliness of production orders, and using two CTM runs.

    Introduction
    In this article, we will cover forward scheduling in CTM.
    Our References for This Article
    If you want to see our references for this article and other related Brightwork articles, see this link.
    Notice of Lack of Financial Bias: We have no financial ties to SAP or any other entity …

  • What if Your Planning Roles are Not Setup for APO?

    … around a role segmentation that is standard for advanced planning and has been unchanged since I began working in advanced planning in 1998. Essentially the planning roles at a company are designed around the modules. Therefore, a demand planning planner focuses on the tasks within the demand planning module, a supply planning role for SNP, etc. However, at some companies that may be in an ERP or have an ERP system but be in a pre-ERP stage (for the various stages and their implications, see this article.)
    Our References for This Article
    If you want to see our references …