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Sales and operation planning in Make to Order ( APO)

Dear Experts ,

Sorry for Long post , hope you have patience to read through :)

Sales and operation planning in APO (IMP: CTM and Optimizer is out of project budget)

We need to have S&OP in below 2 situations. S&OP is used in MTS but for one customer we need to use MTO and build sales order stock.

1)When Finished product is same/common and can be sold to any customer

2)When finished product is same (in terms of characteristics) but different material codes in SAP for different customer. (This is to separate stocks for different customer)

In general, if we have to build sales order stock then we need to use MTO strategy e.g. 30 in our case. I got to know that SNP heuristic does not support strategy 30 hence we have to look for S&OP in DP.

Lets discuss 2nd situation first

2)For the second situation, there are different material codes for different customer. For some

products we have strategy 20 (MTS) and some 30 (MTO). Requirements are

A)We need to have prioritization for some customers for capacity allocations.

B)We also need to send confirmation to customers after capacity leveling

If suppose we have an Info cube to capture customer demand and then transfer forecast to Live cache. In DP planning book we can handle customer priority and technical/per day capacity leveling on characteristics level. (Assume we have Product, Location and Customer, Resource) and then send confirmation to customer (May be download of Key figure to CSV or txt file). We can also send this leveled forecast to different inactive versions in ERP as a result of S&OP, so that SD can create sales orders for different customers. Each inactive version will represent different customer.

Here the challenge is, what if the customer expects confirmation with reference to their purchase orders? How do we send constraint checked S&OP plan with reference of Purchase orders as a confirmation?

Is there any way we can do S&OP in SNP ?

Here we can receive forecast from customer to Info cube then transfer to live cache DP planning book. Later we can release demand to SNP for heuristic and capacity planning with product prioritization.

Here the challenge is, SNP heuristic will only consider forecast for strategy 20 (MTS) and not for 30 (MTO).This means we won’t have correct Heuristic/capacity planning. How to address this situation? Since PPDS supports both the strategy, will it be good to plan S&OP in DP release to ERP and then handle capacity planning and sequencing in PPDS?

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