Supply Chain Planning and SAP APO Overview

SAP APO Training. For APO training needs please feel free to reach

1. SAP Advanced Planning and Optimization ( APO ) Overview Email id : [email protected] Phone (Anup-Trainer ) : [phone] (USA) Phone (Admin) : 7829052104 (India) Skype id : sapapoexpert Website : www.sapapoexpert.com

2. Production Planning & Detail Scheduling SCM /APO Overview Global ATP Agenda Demand Planning Supply Network Planning Q & A www.sapapoexpert.com Email [email protected] Phone [phone] (USA) :: 7829052104 (India)

3. Also referred to as the logistics network It’s a set of approaches used to efficiently integrate Suppliers , Manufacturers , Warehouses , Distribution centers, So that the product is produced and distributed, In the right quantities, To the right locations and at the right time System-wide costs are minimized and Service level requirements are satisfied What is the Supply Chain Suppliers Manufacturer Distribution Retailer Consumer Maintenance/After Sales Service Product/Services Information Cash www.sapapoexpert.com Email [email protected] Phone [phone] (USA) :: 7829052104 (India)

4. Evaluation of SAP SCM Solution www.sapapoexpert.com Email [email protected] Phone [phone] (USA) :: 7829052104 (India)

5. APO Application Architecture Supply Network Planning (SNP) Demand Planning (DP) Production Planning ( PPDS) Deployment SAP NerWeaver BI Planning Sequence www.sapapoexpert.com Email [email protected] Phone [phone] (USA) :: 7829052104 (India)

6. APO Demand Planning Overview Anticipation of Future Demand (POS to actual delivery time frame) Demand visibility and consistency Forecast quality (Forecast techniques) Avoid Stock outs High inventory levels R esponse to changing market Collaborative forecasts www.sapapoexpert.com Email [email protected] Phone [phone] (USA) :: 7829052104 (India)

7. Product Launch Aggregate End of Life Life Cycle Planning Promotion Planning 2009 2010 2011 Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr 150 200 150 50 20 100 150 150 150 100 20 20 350 220 400 320 20 Seasonal Planning Collaborative Planning Vendor Sales Production Distributors Duet Planning APO Demand Planning Overview www.sapapoexpert.com Email [email protected] Phone [phone] (USA) :: 7829052104 (India)

8. SNP ensures the optimal Use of Manufacturing, Distribution, and Transportation Resources to meet Forecasts and actual Demand while considering all Constraints in the Supply Chain SNP plans Production, Procurement and Transportation throughout the entire Supply Network using Optimizing and Heuristic Approaches SNP Overview 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 Supplying Location (Goods issue processing time = 1 day) Transport (Tranfer time = 4 days) Distribution Center (Goods receipt processing time = 1 day) Due date Delivery date Distribution Center Distribution Center Plants Plants Plants Transportation Lanes Transportation Lanes Demand (SALES Orders / Forecast) www.sapapoexpert.com Email [email protected] Phone [phone] (USA) :: 7829052104 (India)

9. Categories Model 1 Model 2   Unfulfilled Demand 100000 100000   Production Cost 5000 1000   Safety Stock 7000 8000   Shelf Life 1000 7000   Storage Cost 9000 9000   Transportation Cost 1000 90000 SNP Algorithms: SNP Heuristics, CTM, SNP Optimizer SNP Heuristics SNP Optimizer Capable To Match Quota Arrangements Cost Based Planning Model Matches supply to available demand via production and transportation capacity check Production capacity check Selection of best production site Capacity leveling Optimization of production, transportation, and inv. costs Ex FMCG, Electronics Ex Trading Orgs Ex Textiles, Electronics www.sapapoexpert.com Email [email protected] Phone [phone] (USA) :: 7829052104 (India)

10. SNP Overview: Deployment, TLB, VMI Date ATD - Quantity Requirements 01.05.2012 1000 100 (DC1) 01.06.2012 900 500 (DC2) 01.07.2012 400 800 (DC 1+ DC2) Requirement Summation     DC1 200   DC2 600         Deployment Result   01.05.2012 Plant to DC 1 100 01.06.2012 Plant to DC 2 500 01.07.2012 Plant to DC 1 100 01.07.2012 Plant to DC 2 300 Deployment Transport Load Builder Vendor Managed Inventory Optimized plan for stock transfers Group transport loads for certain means of transport Replenish Vendor Stock Push/Pull Rule Upper Limit Lower Limit definition Replenish Manufacturer Stock Fair Share Rules Means of Transportation www.sapapoexpert.com Email [email protected] Phone [phone] (USA) :: 7829052104 (India)

11. GATP is a part of sap APO tool that supports business to promise to delivery of customer demands based on predefined checks on existing stocks. Global Available To Promise comprise of : Basic Methods Product Check Product Allocation Check Against Forecast Combination of all these Advanced Methods CTP MLATP Product Check Rules BOP – Back Order Processing Product A - Stock 200 Product A - Stock 300 Product A - Stock 100 Product A - Stock 200 Product A - Stock 200 Transportation Time 7 Days 3 days 2 days 2 days Product A = Product B Product B - Stock 200 Lead Time 5 days GATP – Global Available To Promise www.sapapoexpert.com Email [email protected] Phone [phone] (USA) :: 7829052104 (India)

12. PPDS– Production Planning and Detail Scheduling Time continuous planning Suitable for plant level planning DS board for graphical order planning Integrated with GATP Optimal planning such as: Sequence Optimization Block Planning Shelf Life Planning Campaign planning Heuristic based planning Supports variant configuration and CDP www.sapapoexpert.com Email [email protected] Phone [phone] (USA) :: 7829052104 (India)

13. Reduction in costs due to simulation, ‘what-if’ capabilities Integrating companies in the supply chain Simultaneous planning of the problem to reach a synchronized sales, procurement, distribution and transport planning across the supply chain Robust Supply Chain modeling capabilities. Decision making capabilities for the optimal location of facilities for the supply chain network All modules (DP/SNP/GATP/PPDS) are tightly integrated so that the supply chain entities can change their plans according to the needs of the market and this change can be seamlessly integrated across all the module Tightly Integrated with ECC using Core Interface – enabling easy sync between planning and execution Benefits of Advanced Planner and Optimizer www.sapapoexpert.com Email [email protected] Phone [phone] (USA) :: 7829052104 (India)

14. Thank You