Production Planning with SAP APO (2nd Edition)

Production Planning with SAP APO (2nd Edition)

2010
978-1-59229-354-4
396

Product Details

This book provides you with a comprehensive and practical guide to implementing, customizing, and using production planning in SAP Advanced Planning & Optimization (APO). You’ll learn how to set up the data exchange between SAP ERP and SAP APO to ensure that you’re making the most out of the versatile functions and options of APO-PP/DS. In addition to covering the standard processes, you’ll learn about various advanced processes, such as multi-resource planning and the MRP-based detailed scheduling.

Production Planning with SAP ERP and APO
Learn about the interaction of ERP and APO-PP/DS in production planning, as well as everything you need to know about APO Core Interface (CIF).

Planning in APO-PP/DS
Explore planning in APO-PP/DS and develop the expertise you need for new concepts. Topics covered include APO master data, finite scheduling, heuristics, cost-based planning, pegging, and much more.

Planning Tools and Alerts
Learn how to use order views, planning boards, and the Alert Monitor, and how to use these tools efficiently.

Advanced Processes
Discover versatile usage options of APO-PP/DS for planning, such as Capable to Promise (CTP) and setup optimization.

Second Edition, Updated and Extended
This edition has been updated for SAP SCM 7.0, and includes new content, including variant configuration with APO.

Highlights

· Core Interface (CIF) and APO Master Data
    o CIF customizing
    o APO master data: products, resources, production data structure (PDS), and much more 
    o Transaction data integration
· Production Planning
    o Heuristics, pegging, setup optimization, and much more
    o Finite scheduling
    o Evaluation and processing of planning with product view, detailed scheduling planning board, Alert Monitor, and much more
· Advanced Processes
    o PP/DS Optimizer
    o CTP sales order processing
    o Variant configuration

The Authors

Dr. Jochen Balla teaches mathematics and physics at Bochum University of Applied Sciences. Dr. Frank Layer works in the knowledge transfer area for SCM applications at SAP.

 Table of Contents 

  • 1 ... An Overview of Planning with SAP SCM ... 17
  • 1.1 ... SAP SCM ... 17
  • 1.2 ... SAP APO ... 19
  • 2 ... An Overview of Production Planning with SAP ECC and APO-PP/DS ... 23
  • 2.1 ... Production Planning Functions ... 23
  • 2.1.1 ... Material Requirements Planning ... 24
  • 2.1.2 ... Multilevel Planning ... 27
  • 2.1.3 ... Material Planning and Capacity Planning ... 29
  • 2.2 ... Advanced Production Planning with APO‑PP/DS ... 32
  • 2.2.1 ... Requirements Planning with Exact Times ... 33
  • 2.2.2 ... Descriptive Characteristics ... 33
  • 2.2.3 ... Simultaneous Quantity and Capacity Planning ... 34
  • 2.2.4 ... Production Planning Runs with Several Steps ... 34
  • 2.2.5 ... Pegging and Control of the Material Flow ... 35
  • 2.2.6 ... Determining the Source of Supply and Cost-Based Planning ... 37
  • 2.2.7 ... Advanced Alert Handling ... 39
  • 2.2.8 ... Advanced Options in Capacity Planning ... 41
  • 2.2.9 ... Simple Options for Enhancement with Custom Functions and Heuristics ... 44
  • 2.3 ... Planning in SAP APO and Execution in SAP ECC ... 44
  • 2.4 ... Summary ... 46
  • 3 ... The APO Core Interface ... 47
  • 3.1 ... Design of the CIF ... 47
  • 3.1.1 ... Plug-In ... 48
  • 3.1.2 ... Connecting the Systems Using RFC ... 51
  • 3.1.3 ... APO-Specific Settings ... 54
  • 3.2 ... The Principle of Master Data Transfer ... 60
  • 3.2.1 ... Initial Transfer of Master Data ... 63
  • 3.2.2 ... Transferring New APO-Relevant Master Data ... 75
  • 3.2.3 ... Change Transfer of Master Data ... 77
  • 3.3 ... The Principle of Transaction Data Transfer ... 87
  • 3.3.1 ... Transaction Data in ECC and APO ... 88
  • 3.3.2 ... Initial and Change Transfers for Transaction Data ... 89
  • 3.3.3 ... Transfer of Transaction Data from APO to ECC ... 92
  • 3.4 ... CIF Monitoring ... 95
  • 3.4.1 ... The Principle of qRFC ... 96
  • 3.4.2 ... Tools for Troubleshooting Transfer Errors ... 99
  • 3.4.3 ... Eliminating Transfer Errors ... 101
  • 3.5 ... Summary ... 103
  • 4 ... Master Data ... 105
  • 4.1 ... Mapping Principle ... 105
  • 4.2 ... Locations ... 106
  • 4.2.1 ... Transferring Plants and Distribution Centers ... 107
  • 4.2.2 ... Storage Location MRP Areas ... 109
  • 4.2.3 ... Customers and Vendors ... 110
  • 4.2.4 ... External Procurement Relationships and Transportation Lanes ... 112
  • 4.3 ... Products ... 114
  • 4.3.1 ... Header Data ... 116
  • 4.3.2 ... ATP Settings ... 116
  • 4.3.3 ... Requirements Settings ... 117
  • 4.3.4 ... Lot Size Settings ... 118
  • 4.3.5 ... Additional Settings ... 120
  • 4.4 ... Resources ... 121
  • 4.4.1 ... Resources in APO ... 121
  • 4.4.2 ... APO Resource Data ... 123
  • 4.5 ... Production Data Structures and Production Process Models ... 124
  • 4.5.1 ... PPM, RTO, PDS, and APO Releases ... 124
  • 4.5.2 ... Release-Dependent Notes for RTO or PDS ... 125
  • 4.5.3 ... PPM and PDS Structures ... 127
  • 4.5.4 ... Transfer from ECC ... 129
  • 4.6 ... Mass Changes to APO Master Data ... 132
  • 4.7 ... Summary ... 134
  • 5 ... Basic Functions of Production Planning ... 135
  • 5.1 ... Basic Settings ... 135
  • 5.1.1 ... CIF Integration ... 135
  • 5.1.2 ... Global Settings ... 136
  • 5.1.3 ... Planning Procedure ... 138
  • 5.2 ... Independent Requirements ... 142
  • 5.2.1 ... Sales Orders ... 142
  • 5.2.2 ... Planned Independent Requirements in APO ... 144
  • 5.2.3 ... Requirements Strategies ... 148
  • 5.2.4 ... Reducing Planned Independent Requirements ... 153
  • 5.2.5 ... Descriptive Characteristics ... 153
  • 5.3 ... The Planning Procedure ... 156
  • 5.3.1 ... Interactive Planning ... 157
  • 5.3.2 ... Production Planning Run ... 159
  • 5.3.3 ... Capable-to-Match (CTM) ... 163
  • 5.4 ... Heuristics ... 164
  • 5.4.1 ... Product Heuristics ... 166
  • 5.4.2 ... Heuristics for Flow Control ... 171
  • 5.4.3 ... Service Heuristics ... 173
  • 5.5 ... Example of a Complete Planning Run ... 174
  • 5.6 ... Firming ... 176
  • 5.6.1 ... Manual Firming ... 176
  • 5.6.2 ... Firming Based on a Firming Period ... 178
  • 5.7 ... Net Requirements Calculation and Lot Sizes ... 180
  • 5.7.1 ... Net Requirements Calculation ... 180
  • 5.7.2 ... Lot Size Calculation ... 182
  • 5.8 ... Determining the Source of Supply ... 183
  • 5.8.1 ... Procurement Types ... 183
  • 5.8.2 ... Automatic Determination of the Supply Source ... 185
  • 5.8.3 ... Interactive Sourcing ... 187
  • 5.9 ... Scheduling ... 189
  • 5.9.1 ... Scheduling for External Procurement ... 189
  • 5.9.2 ... Scheduling for In-House Production ... 189
  • 5.9.3 ... Planning Strategy ... 192
  • 5.9.4 ... Finiteness Level ... 198
  • 5.9.5 ... Alternative Resources ... 200
  • 5.9.6 ... Scheduled Planned Orders ... 202
  • 5.10 ... Pegging ... 202
  • 5.10.1 ... Dynamic Pegging ... 204
  • 5.10.2 ... Fixed Pegging ... 207
  • 5.10.3 ... Safety Stocks in SAP liveCache ... 208
  • 5.11 ... Setup Times in Planning ... 209
  • 5.12 ... Product Interchangeability ... 211
  • 5.13 ... Executing Planning in ECC ... 214
  • 5.14 ... Summary ... 215
  • 6 ... Tools to Evaluate and Process Planning ... 217
  • 6.1 ... Order Views ... 217
  • 6.1.1 ... Entering the Product View ... 218
  • 6.1.2 ... Structure of the Product View ... 218
  • 6.1.3 ... Using the Product View ... 220
  • 6.1.4 ... Customizing the Product View ... 221
  • 6.2 ... Product Planning Table ... 222
  • 6.2.1 ... Entering the Product Planning Table ... 223
  • 6.2.2 ... Structure of the Product Planning Table ... 223
  • 6.2.3 ... Using the Product Planning Table ... 224
  • 6.2.4 ... Customizing the Product Planning Table ... 227
  • 6.3 ... Product Overview ... 228
  • 6.3.1 ... Entering the Product Overview ... 229
  • 6.3.2 ... Structure of the Product Overview ... 229
  • 6.3.3 ... Using the Product Overview ... 230
  • 6.4 ... Detailed Scheduling Planning Board ... 231
  • 6.4.1 ... Entering the Detailed Scheduling Planning Board ... 231
  • 6.4.2 ... Structure of the Detailed Scheduling Planning Board ... 233
  • 6.4.3 ... Using the Detailed Scheduling Planning Board ... 234
  • 6.4.4 ... Settings for Detailed Scheduling Strategies ... 238
  • 6.4.5 ... Support of Interactive Planning with Detailed Scheduling Heuristics ... 248
  • 6.4.6 ... Customizing the Detailed Scheduling Planning Board ... 249
  • 6.5 ... Resource Planning Table ... 251
  • 6.5.1 ... Entering the Resource Planning Table ... 251
  • 6.5.2 ... Structure of the Resource Planning Table ... 252
  • 6.5.3 ... Using the Resource Planning Table ... 253
  • 6.5.4 ... Customizing the Resource Planning Table ... 254
  • 6.6 ... PP/DS Optimizer ... 254
  • 6.6.1 ... Basics of PP/DS Optimization ... 254
  • 6.6.2 ... Entering the Optimizer ... 255
  • 6.6.3 ... Structure of the Evaluation View of the Optimizer ... 256
  • 6.6.4 ... Parameterization of the Optimizer ... 257
  • 6.7 ... Alert Monitor ... 263
  • 6.7.1 ... Entering the Alert Monitor ... 263
  • 6.7.2 ... Structure of the Alert Monitor ... 263
  • 6.7.3 ... Using the Alert Monitor ... 265
  • 6.7.4 ... Customizing the Alert Monitor ... 266
  • 6.8 ... Summary ... 267
  • 7 ... Advanced Processes in APO-PP/DS ... 269
  • 7.1 ... Finite Planning with the Planning Run ... 270
  • 7.1.1 ... Finite Requirements Planning ... 270
  • 7.1.2 ... Finite Planning as Multi-Step Procedure ... 271
  • 7.2 ... Setup-Optimal Sequencing with the PP/DS Optimizer ... 285
  • 7.2.1 ... The PP/DS Optimizer as an Interactive Planning Tool ... 285
  • 7.2.2 ... Sample Process for Interactive Setup Optimization ... 286
  • 7.3 ... Capable-to-Promise (CTP) ... 295
  • 7.3.1 ... Prerequisites for the CTP Procedure ... 296
  • 7.3.2 ... CTP Process ... 296
  • 7.4 ... Planned Material Flow ... 304
  • 7.4.1 ... Fixed Material Flow Using Pegging ATP ... 305
  • 7.4.2 ... Fixed Material Flow Using the Material Requirements Planning ... 307
  • 7.4.3 ... Fixed Material Flow to Support the Optimization ... 307
  • 7.4.4 ... Fixed Material Flow to Support the CTP Procedure ... 309
  • 7.5 ... Multi-Resource Planning with the Wave Algorithm ... 310
  • 7.5.1 ... Prerequisites for the Multi-Resource Planning ... 310
  • 7.5.2 ... Multi-Resource Planning Process ... 311
  • 7.5.3 ... Alternative to Multi-Resource Planning ... 318
  • 7.6 ... Integration of Variant Configuration ... 319
  • 7.6.1 ... Overview of the Procedures with SCM APO Integration ... 320
  • 7.6.2 ... Basic Prerequisites for the VC Configuration under SCM APO ... 322
  • 7.6.3 ... Scenario 1: Make-to-Order Production with VC Configuration without Characteristic-Based Forecasting ... 328
  • 7.6.4 ... Scenario 2: Make-to-Order Production with VC Configuration and Characteristic-Based Forecasting ... 332
  • 7.7 ... MRP-Based Detailed Scheduling ... 343
  • 7.8 ... Summary ... 346
  • ... Appendices ... 347
  • A ... Transactions and Menu Paths ... 349
  • A.1 ... ECC Core Interface ... 349
  • A.2 ... ECC Customizing ... 351
  • A.3 ... APO-PP/DS Master Data ... 352
  • A.4 ... APO-PP/DS Planning ... 354
  • A.5 ... APO Monitoring ... 356
  • A.6 ... APO Administration ... 357
  • A.7 ... APO Customizing ... 358
  • B ... SAP Notes on APO‑PP/DS ... 363
  • B.1 ... APO-PP/DS in General ... 363
  • B.2 ... Master Data in General ... 363
  • B.3 ... Production Process Model, Runtime Object and Production Data Structure ... 364
  • B.4 ... MRP areas ... 365
  • B.5 ... Product Interchangeability ... 365
  • B.6 ... Integration ... 365
  • B.7 ... Production Planning in General ... 365
  • B.8 ... Production Planning Run, Heuristics, MRP ... 366
  • B.9 ... Product View and Product Planning Table ... 367
  • B.10 ... Pegging ... 367
  • B.11 ... CTP Check, Multilevel ATP Check ... 368
  • B.12 ... Conversion of Orders ... 368
  • B.13 ... Safety Stock ... 369
  • B.14 ... Characteristic Dependent Planning/Block Planning ... 369
  • B.15 ... Special Planning Processes ... 370
  • B.16 ... Detailed Scheduling—Integration ... 370
  • B.17 ... Detailed Scheduling Planning Board ... 370
  • B.18 ... Scheduling ... 371
  • B.19 ... Customer-specific Heuristics ... 372
  • B.20 ... Optimization ... 372
  • B.21 ... Alert Monitor ... 373
  • C ... Heuristics ... 375
  • C.1 ... Heuristics for SAP APO 3.0 ... 376
  • C.2 ... New Heuristics Introduced in SAP APO 3.1 ... 378
  • C.3 ... New Heuristics Introduced in SAP SCM 4.0 ... 380
  • C.4 ... New Heuristics Introduced in SAP SCM 4.1 ... 382
  • C.5 ... New Heuristics Introduced in SAP SCM 5.0 ... 382
  • C.6 ... New Heuristics Introduced in SAP SCM 5.1 ... 384
  • C.7 ... New Heuristics Introduced in SAP SCM 7.0 ... 384
  • C.8 ... New Heuristics Introduced in SAP SCM 7.0, Enhancement Package 1 ... 385
  • D ... Abbreviations ... 387
  • E ... The Authors ... 389
  • ... Index ... 391