on 07-06-2015 4:53 AM
Hi Experts,
I have the following scenario, please confirm whether APO can handle this type of business requirement ?
Example After MRP run in ECC
SKU's
F00001-- Finished Goods --- Water 100L
F00002-- Finished Goods --- Water 200L
To the above FG, Semi Finished Qty (S00001) will be 300L as planned order.
This semi-finished of 300L can't manufacture as minimum production capacity is 1000L, so plant will produce 1000L and 700L qty remains extra which blocks inventory.
So to this extra 700L Qty production person call to supply chain to get the SKU's details in which they can pack the SFG to liquidate the stock from their plants. So in APO can system automatic provide the planning to production dept without calling to supply chain. Is it possible in APO ?
Regards,
Hi Sun,
The next demand (SO, forecast, DC demand) will create a dependent demand for semi finished product and will consume the stock or will create another order to fulfill the demand on time.
Thanks,
Regards, Marius
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Hello,
You can map this process in APO as well as in ECC.
For Semi Finished Qty (S00001) use the fixed lot size as 1000L
so that This semi-finished of 300L can't manufacture as minimum production capacity is 1000L, so plant will produce 1000L and 700L qty remains extra which blocks inventory
You will have the planned order of 1000L always even if the requirement of of 300L.
and this 700L extra inventor you can use for further processing as per your requirements.
Best Regards,
R.Brahmankar
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Hello Sunriser,
This extra inventory can be used in other production order, however if you used the optimizer based on high storage cost it can generate the procurement proposal to consume these inventory.This means that the stock of SFG products should always be 0 or constant. And discretion will help you to keep lot size 1000 of SFG as hard constraint. And your FG product will be plan by taking SFG constraint in considerations and non-delivery cost and delay penalty of FG products.
However only to map such scenario implement the APO is not a solution.
Best Regards,
R.Brahmankar
Sun,
We know that it is possible in ECC through fixed lot size, but for the extra 700L(SFG) system should automatically propose the plan to pack in SKU's(FG) based on the sales forecast.
If you have a sales forecast, why aren't you including it in your planning demand? System would automatically continue to build your SFGs into FGs until your forecast has been fulfilled.....
Best Regards,
DB49
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