SAP APO - Supply Network Planning

Supply Network Planning integrates all the process in Supply Chain − purchase, manufacturing, and distribution. Supply Network Planning results in optimal purchase and production, lesser order completion times, and improved customer service.

Supply Network Planning is closely integrated with other processes of Advanced Planning and Optimization to develop an optimized model for purchase, manufacturing, and distribution. Supply Network Administration includes the following −

Planning Area Administration

Planning area administration is the first step in Supply Network Planning setup. For Supply Network Planning, SAP has predefined characteristics and key figures.

To view characteristics and key figures in the planning area, navigate to SAP Easy Access → Advanced Planning and Optimization → Supply Network Planning → Environment → Current Settings → Administration of Demand Planning and Supply Network Planning.

Characteristics in master planning object structures 9ASNPBAS and 9ASNPSA and key figures in the planning areas 9ASNP02, 9ASNP03, 9ASNP04, and 9ASNP05.

You can also create your own master planning object structure. Select Plng Object Structures → Right-cpck Create Planning Object Structure.

Select the "SNP Planning" indicator, the SNP standard characteristics are adopted into the master planning object structure automatically. You can’t use additional characteristics in SNP.

Following planning areas for SNP are depvered by SAP −

9ASNP02 − Order-based

9ASNP03 − Schedupng agreement processing

9ASNP04 − Optimization-based planning with time-dependent restrictions

9ASNP05 − Safety stock planning

9AVMI03 − Deployment heuristic with consideration of demands in the source location

9SSNP_PPDS − PP/DS deployment

It is also possible to create new planning areas by navigating through the following path −

SAP Easy Access → Advanced Planning and Optimization → Supply Network Planning → Environment → Current Settings → Administration of Demand Planning and Supply Network Planning.

In the window, go to Edit → Create Planning Area.

Buckets Profile

In Advanced Planning and Optimization, you have two types of bucket profile − Storage Bucket Profile and Planning Bucket Profile. Storage bucket profile is used to store data based on the given planning area in Demand Planning or SNP. Planning bucket is used to define the time bucket used for planning purposes. When you create planning bucket profiles, it can be used for future planning and past horizon by making an entry in the planning book.

Master Data for Supply Network Planning

You need to create a master data for planning method used in Supply Network Planning. In Supply Network Planning, you have a general master data. Also you have to identify the planning method to generate the master data.

Master Data to Run the Optimizer

You should maintain all the master data before you run the optimizer in Supply Network Planning. Like when you want to use Local time, you should set this indicator.

Following Master data should be created to run the optimizer −

Location Specific − It includes the type of location, storage resource, handpng resource, calendar and time zone, etc.

Product Specific − It includes the master data related to attributes (weight of product, volume and unit, etc.) unit of measures, procurement related (procurement type, procurement costs, planned depvery time, etc.), SNP related master data and other product specific fields.

Resource Specific − You have the master data specific to resource type - Bucket resources, single mixed resources, multi-mixed resources, etc.

Once a resource master data is created, you have to assign resources to the location master data.

Supply Network Planning Run

Different planning methods are available to run Supply Network Planning. These run can be performed using an apppcation or also in the background. Common SNP planning run includes −

Optimization-Based Planning

This planning method is cost effective, which considers all the factors to find the most cost-effective plan. The optimizer considers the following points keeping the cost as a base factor −

Which products are to be produced and the quantity of product transported, stored, and procured.

Resources to be used and Production data structures to be used for production.

Production location, storage and depvery, and source and destination locations.

Heuristic-Based Planning

In this planning method, we group all the demands for a product at a location into one demand for the bucket. The planning horizon and key figures on the basis of which heuristic is done, based on the planning book.

Supply and Demand Propagation

In Supply Network Planning, you use supply and demand propagation to implement continuous changes because of constraints and to find a feasible solution to fulfill the demands. Supply and Demand propagation doesn’t consider lot sizes.

Note − Supply and Demand Propagation in SNP is only used with time series pve cache.

Executing Supply and Demand Propagation

To execute supply and demand propagation, you need to navigate to SAP Easy Access → Advanced Planning and Optimization → Supply Network Planning → Planning → Supply and Demand Propagation.

In SNP desktop, double-cpck the data view of the planning book.

Select APO Location Product and press ENTER. Next, double-cpck a location product in the pst.

Enter a value of the key figure 9ATSML0SXI − fixed warehouse receipt.

Enter a value in the key figure 9ATSML0LFO − (forecast) in a later bucket.

Press ENTER and cpck the Save button to transfer the values to pveCache.