Executive Summary Problem decomposition is how the problem is divided up for processing. There are major problems in decomposition for the supply chain optimization in SNP. There are important benefits to decomposition. One test that can be used is running the optimizer for a single location in the supply network. Introduction In finding a way…
Executive Summary There are general misconceptions regarding the MRP Type. The MRP Type controls many important items in APO. Introduction The MRP.Type is a field on the Material Master in ERP which does two things: It controls the planning method (whether it’s MRP, MPS, Reorder Point Planning, etc..) It also serves as a “switch” that…
Executive Summary There are fixed and variable production setup costs for SNP and PP/DS. We cover how they are used and, what fixed and variable production costs are frequently set up in practice. We cover how well setup costs are maintained on projects. Introduction to Fixed Costs and Variable Production Costs in SAP SNP and SAP PP/DS…
Executive Summary Shaun is the Founder of Brightwork Research & Analysis Shaun created Brightwork as there was, and really still is, no unbiased independent research entity that covers SAP or Oracle. Shaun Snapp’s Publications and Video Linking to and Following Shaun Snapp Contact information Bio Shaun wears several hats. Shaun is an independent SAP APO…
Executive Summary Forecast prototyping is performing forecast and supply testing. Prototyping is critical to understanding how to make changes to the forecasting and supply system. Companies make a significant mistake when they select one forecasting system and trust that everything in that system will work as advertised. Instead, forecasting should be prototyped in another competitive…
Executive Summary The Storage Bucket Profile is assigned to the Planning Book. We cover the Planning Bucket and periodicities and how they are mixed. We cover when to use CTM. Introduction to Storage and Planning Buckets The Storage Bucket and Planning Buckets are used to control the timings within APO. You will learn the logic…
Executive Summary The SNP optimizer is the CPLEX optimizer now owned by IBM. We cover how to use a heuristic with the optimizer and comparative optimizer settings, costs, ordinary optimizer, and problem segmentation problems. Introduction: Getting into Depth on the SNP Optimizer The SNP optimizer has many essential features not published due to those that…
Executive Summary Constraint planning can be performed in SAP APO. APO can perform both finite and infinite resources. One can use the days of supply in the SNP cost optimizer. Days’ Supply = Total Inventory / Average Daily Consumption On the other hand, the Safety Stock is “hard coded” and does not vary. This keeps…
Executive Summary Resources are how capacity is managed in SAP APO. Different resources are used per APO module, while mixed resources can be used for either SNP or PP/DS. We cover front loading as a requirement that is backward versus forward scheduling. Introduction to Resources There are multiple resources in SAP APO. These are designed…