Concept of Toll Manufacturing in Supply Network Planning

[former_member215376]

Hi Expert,

This is to ask for your help with regard to toll-manufacturing. Currently, the business would need to separate some brands as another company or entity. With this, new locations will be created and new t-lanes will be setupped in APO SNP. As agreed, the current location will served as the "toller". What is the concept of toller in SNP? What are the take aways that we should consider to proceed with the configurations and other setups? Thanks.

Regards,

Anonymous

[former_member215376]

Thanks a lot Ravi. But I have few more questions left here. What if the business would not want or not yet ready to explore Capacity Planning in APO? and apart from the Toller-Vendor setup, there's still under Location intended for Packaging? Will the concept be the same or not? What could be the points to be considered? Thank you.

[ravi_malpani]

Hi!

At my current client, we use similar terminology of Toller plant. Here Toller plant is the Company owned plant which takes care of placing the PO to vendor, supplying the component goods & receiving the finished / semi-finished goods from vendor.

Material-Toller plant combination will have the procurement type F-30 defined in ECC. There should be T lane between Toller plant and Vendor.

Toller Plant --> Vendor (TL to supply components)

Vendor --> Toller Plant (TL to supply finished / semi-finished goods)

SNP PDS to be created (in APO via CIF) at vendor plant for the header product so that dependent demand is created for component via BOM explosion.

These are few pointers.

You may also refer to my blog to get a different take on sub-contracting / Tolling.

http://scn.sap.com/community/scm/apo/demand-and-supply-network-planning/blog/2013/09/26/mapping-subc...

Regards,
Ravi

[former_member906762]

Hello Ravi,

How we create SNP PDS instead of subcontracting PDS because currently even thougt i took the production version out of info record still when i try to generate the PDS it is giving me subcontracting PDS.

Regards,

Nick

[ravi_malpani]

What is the info record category? Subcontracting or Standard? Please choose standard IR