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[ Learning Points
APO features in SCM 7.0 Enhancement Pack 1 APO features in SCM 7.0 Enhancement Pack 2 Enterprise Inventory Optimization by SmartOps Update Supply Chain Response Management by ICON-SCM Update
Direct Shipment
* Enable supply chain planning with direct shipping to end customers from vendors and factories
Enhancements in APO DP, SNP Improved Chart Engine Forecast Consumption Transport Load Builder
gATP Enhancements
* Sub-Items * Inconsistencies with Descriptive Characteristics * Correction report for Sales. * MATP & Remaining Qtys.. * BOPIN Enhancements * Performance Enhancements
Enhancement Package 1 for SAP APO 7.0 [SAP Direct Shipment Planning / Third Party Order Planning
Objective of the new developments The off-shore vendor and off-shore own manufacturing model has grown significantly over the last years led by the fashion, hi-tech, and consumer products industries. Companies increasingly save on transportation and own distribution center handling costs by direct shipping to end customers from vendors and factories. Support of mid-term supply chain planning for third party orders considering forecasting capabilities and finite capacities at the supplier.
BRAND OWNER
- Low costs of co-ordination - Low costs of DC space
Sales Order
Purchase Order
CUSTOMER
VENDOR / FACTORY
Prerequisite: Business Function SCM_APO_DRS_PLAN & LOG_MM_OM_2 (ECC EhP5) need to be switched on.
Real Experience. Real Advantage.
Comparison Report
TP-Purchase Reqs vs. CTM planned orders
Manual Adjustments
Notes: TP = Third Party Only Single Sourcing for DS Orders supported Vendor location has to be modelled in APO Direct Ship Check can be based on Product Group, Customer, Order Size,
SAP Enhancement Package 1 for SAP APO 7.0 Aggregated Planning (AFS)
Objective of the new developments With SAP APO 5.0, the concept of aggregated planning has been introduced to SAP APO. Currently, the aggregated planning does not consider the AFS distribution profile and works only correctly if infinite capacity is assumed. With SCM 7.0 EhP1, accurate aggregated planning in SAP APO includes the consideration of the AFS distribution profile, automatic aggregation in CTM and a new dis-aggregation report Functional Enhancements Transfer of AFS distribution profile to SAP APO via CIF Release of Forecasts from DP to SNP / Forecast Consumption Consideration of AFS distribution profile Forecast consumption on aggregated level CTM Enhancements Automatic aggregation Consistent disaggregation SNP Interactive Planning Order changes on aggregated level can be disaggregated according to AFS distribution profile, quotations or demands in the bucket. Pegging information is shown at detailed order level and will be retained.
Prerequisite: Business Function SCM_APO_HIER_AGG_PLAN needs to be switched on
Functional Enhancements
Interaction between chart and grid: marking of cells in the grid highlight the according points in the chart, and vice versa Display of the chart: Dynamically setting of start and end period of the chart Definition of shown periods in the chart independently from the grid Scalability of the Y-axis ( value axis): set of minimum and maximum value Show or hide chart legend The chart can be shown in full screen mode Inverting of key figure values Printing of the chart Central maintenance and transport from chart customizing: report /SAPAPO/MSDP_CHART_CUSTOM to copy and delete chart engine customizing
Prerequisite: Business Function SCM_APO_DP_SNP_CTM needs to be switched on
Real Experience. Real Advantage.
Enhancement Package 1 for SAP APO 7.0 [ SAP DP /SNP Chart Engine
General Chart Customizing in Design Mode of the Planning Book
Application Log for Demand Planning (transaction: /sapapo/sdpapplog) to access the standard application logs for: DP in the background Promotion management Proportional factor calculation.
[ SAP Enhancement Package 1 for SAP APO 7.0 CTM Continuous Improvements
Objective of the new developments
Avoidance of excess supply caused by lot sizes and lot splits Better understanding of CTM results
Explanation Tool
Prior to today the CTM explanation tool gave insufficient and partly misleading information.With SCM 7.0 EhP1 new explanations are introduced to get a better understanding which issues have caused the capacity, lateness, or partial \ non fulfillment of orders. If the supply element is outside the threshold for notification setting in the Explanation Profile, will receive Order was scheduled with earliness of x hours message.
Prerequisite: Business Function SCM_APO_DP_SNP_CTM needs to be switched on
Real Experience. Real Advantage.
[ SAP Enhancement Package 1 for SAP APO 7.0 CTM Continuous Improvements
[ SAP Enhancement Package 1 for SAP APO 7.0 CTM Continuous Improvements
[ SAP Enhancement Package 1 for SAP APO 7.0 CTM Continuous Improvements
Inconsistencies with Descriptive Characteristics Correction report for Sales Orders and Deliveries, SDRQCR21, now will check and correct inconsistencies with descriptive characteristics. Multilevel available-to-promise (MATP) & Remaining Qtys. When creating the remaining requirement on component level of a MATP the checking horizon is used for correlating the results to header level . Backorder Processing (BOPIN) Enhancements General enhancements done in the interactive BOP transaction to allow for better navigation such as search functionality by availability date, Paging buttons enabled
Performance Enhancements Reading/Writing to the Planning Area in DP enhanced. Memory consumption down which could lead to a 20-25% improvement. Multi-item single delivery location (MISL) Enhancements Validities on Products, Exclusive Rules for Product determination
[ Learning Points
APO features in SCM 7.0 Enhancement Pack 1 APO features in SCM 7.0 Enhancement Pack 2 Enterprise Inventory Optimization by SmartOps Update Supply Chain Response Management by ICON-SCM Update
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[ Legal Disclaimer
The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of SAP. This presentation is not subject to your license agreement or any other service or subscription agreement with SAP. SAP has no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation and SAP's strategy and possible future developments, products and/or platforms directions and functionality are all subject to change and may be changed by SAP at any time for any reason without notice. The information on this document is not a commitment, promise or legal obligation to deliver any material, code or functionality. This document is provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement. This document is for informational purposes and may not be incorporated into a contract. SAP assumes no responsibility for errors or omissions in this document, and shall have no liability for damages of any kind including without limitation direct, special, indirect, or consequential damages that may result from the use of this document. This limitation shall not apply in cases of intent or gross negligence. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.
Simulation
Enhanced flexibility in managing supply chain scenarios and production plans Improved version management
Functional Enhancements
Improved handling of outliers, events & causal effects in Demand Planning Classification and forecast optimization Enable availability check during planning runs Enhanced capabilities for process industries in PP/DS Consistency checks for Service Parts Planning
[ APO UI Re-Design
SCM 7.0 EhP2 delivers the first step of a new SAP APO user experience
Solution Enhancements Start on a roadmap to re-design the most relevant interactive screens in SAP APO based on latest UI technology and user experience research In EhP2 focus is on re-designing interactive Backorder Processing, Alert Monitoring and introducing a Planners Home Page Key Benefits Improved usability and user efficiency Based on latest SAP UI technology Homogeneous end user experience between APO applications Enhanced built-in personalization features
Content Blocks
Key Benefits Higher efficiency in re-assigning order confirmations Display of relevant items in new requirements worklist can be personalized Better control of re-assignment results
Simulation
Enhanced flexibility in managing supply chain scenarios and production plans Improved version management
Functional Enhancements
Improved handling of outliers, events & causal effects in Demand Planning Classification and forecast optimization Enable availability check during planning runs Enhanced capabilities for process industries in PP/DS Consistency checks for Service Parts Planning
PP/DS
YES YES YES* YES YES YES
SNP
YES YES YES** YES** NO NO
CTM
YES NO NO NO NO NO
* No structural changes allowed, only fields that are editable in PDS_MAINT are changeable ** No structural changes allowed, only header fields from PDS_MAINT changeable
Simulation
Enhanced flexibility in managing supply chain scenarios and production plans Improved version management
Functional Enhancements
Improved handling of outliers, events & causal effects in Demand Planning Classification and forecast optimization Enable availability check during planning runs Enhanced capabilities for process industries in PP/DS Consistency checks for Service Parts Planning
Distribution Center
Stock = 0
Stock = 100
Plant 1
Plant 2
Plant 3
Explanation: Stock of 100 PC from secondary path (Plant 2) is used-up to fulfill the forecast of 100 PC in the distribution center instead of creating a new supply along the primary path in Plant 1
Orders
Key Benefits Better compliance to due dates and minimization of set-up time Support finite production planning scenarios with all alternative resources The modeling of alternative resources is not only restricted to modes and can also be done by alternative sources of supply
[ Learning Points
APO features in SCM 7.0 Enhancement Pack 1 APO features in SCM 7.0 Enhancement Pack 2 Enterprise Inventory Optimization by SmartOps Update Supply Chain Response Management by ICON-SCM Update
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Distribution Centers
Customers Customers
Manufacturers
Retailers
Capacity Constraints/Variability
Increasing asset utilization pressures and capacity shortages
Balance inventory and service levels Considers entire network at all levels simultaneously (manufacturing, distribution, supply) to minimize total inventory cost Supports risk-pooling (reduction in variability of demand at component level by aggregating all end-item demands) SAP Enterprise Inventory Optimization by SmartOps
Lead time mean Order date Ship date Receipt date Supply Intelligence Module
In-transit Order processing / goods receipt
Inventory Segmentation
VMI Customer
DC
Central DC
MFG
Suppliers
Inventory Optimization
Advanced demand, supply & production variability analysis Optimal, time-phased inventory policies for multi-tier network Inventory segmentation
Real Experience. Real Advantage.
Inventory Policies
Benefit Enabler
Optimize inventory levels to "fix the mix Analyze and implement planning parameters that meet longer term service objectives
Benefits
5-10% increase in order fill rates and on time delivery 30-50% reduction in out of stocks and order lead time variability 15-30% reduction in inventory and working capital 20-40% reduction in inventory carrying and obsolescence costs 20-30% reduction in time used in expediting 10-20% reduction time spent on manual inventory planning processes
Manage inventory by SKU, location, and planning period Manage dynamic, integrated demand, supply, production, and inventory analytics and exceptions Reduce expediting and firefighting Effectively handle large numbers of low volume SKUs
Transition from push to pull strategies Reduce over production, excessive storage facilities, and expediting
Source Systems
Standard SAP Enhancements Topology Converter Transfer
Load
Data Gateway
Outputs
SAP Connector
Data Store
Outputs
Outputs
Intelligence Modules
Easiest to Maintain
Leverages existing data Sustainable automated process
Least Risk
Proven enterprise integration Accurate inventory targets over time
Inputs
APS
ERP
Extract
Feeds inventory targets to SAP MM or APO tables Co-developed by SAP and SmartOps, and updated with SAP upgrades Reduces interface development time and effort
Real Experience. Real Advantage.
SAP when part of material data SmartOps when system information New Functionality Item-Location (EIO 1) Item-Location-Customer (EIO 2)
Integration/Infra structure
Reconfiguration of existing Material BAPI to leverage standardization and improve performance Configuration of BAPIs to take advantage of SmartOps data now in SAP
[ Learning Points
APO features in SCM 7.0 Enhancement Pack 1 APO features in SCM 7.0 Enhancement Pack 2 Enterprise Inventory Optimization by SmartOps Update Supply Chain Response Management by ICON-SCM Update
58
Internal View
How to protect commits for key accounts?
Operationally, against the actual demand/supply situation In simulation, against hypothetical situations
Responsive planning and what-if analysis to ensure highly efficient demand-supply matching
Key Capabilities Offered Order-based, operational replanning to adjust for changes to demand and supply What-If simulation and analysis to resolve real and hypothetical challenges Characteristics
Fast Finite materials and capacity Multi-tier Intelligent, synchronized supply planning Flexible Transparent / Explainable
Real Experience. Real Advantage.
1.
2.
Supply Planning
Matches supply and demand Efficiently plans deliveries and planned orders Fully pegs through all tiers of supply network
3.
APO/
Capable to Match
APO/
global Available to Promise
APO/
Demand Planning
ERP
[ Use Cases
Use Case Master Scheduling Simulation Description
Derive feasible, balanced multi-site demand/supply plan What-if analysis for changes to master or transactional data
Timefram e
Shadow Planning
M i d S h o r t
Allocations Planning
APO DP, ERP, APO gATP APO DP, ERP, (SNC) ERP
Response Management
Re-planning to match demand and supply to make short-term supply changes and/or reschedule demand Generate build triggers to internal and/or external manufacturing
Build Determination
SAP Supply Network Collaboration Extends supply requirements to suppliers Provides VMI requirements and demand
SAP Supply Chain Response Mgmt Operational re-planning and simulation Demand prioritization and feasible supply analysis
SAP ERP Provides current orders and demand data for prioritization Provides current supply data Receives updates & changes from SCRM
[ Return on Investment
If applicable, highlight any aspect of your presentation that can contribute to a significant ROI. Omit slide from presentation if necessary.
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[ Key Learnings
Understand recent changes to SCM-APO for Enhancemnet Package 1 & 2 Review upcoming improvements to Enterprise Inventory Optimization by SmartOps including Analytics & Integration Short overeview and update on new version for Supply Chain Response Management by ICON
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]
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