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Former Member

Heristic scenarios

Hi,

This question is about the location and Network Heuristics.

I understand that in both the Location and network heuristics, a location specific product is planned. The difference being receipts are created at the destination location(without demand in source) in Location heuristics but the network heuristics creates both receipt and destination and demand at source.

Can somebody please give examples of what kinds of products need to be planned for both receipts at destination and demand at source?

Thanks.

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    Former Member
    May 29, 2008 at 07:04 AM

    Hello,

    the location heuristic plans only the specified product / location combination without considering any other locations in your supply network. The network heuristic plans location comprehensive based on the low level codes across your supply network. See following example.

    A product is delivered to the customer from DC X and the product is produced in plant Y. In plant Y the product is maintained for inhouse production and in the DC X the product is maintained for external procurement from plant Y. LLC in DC is 0 and the LLC in the plant is 1. So the network heuristic will plan the produkt first in the DC and then in the plant. The following happens:

    If you have a PIR in the DC, the heuristik will apply a purchase requisition for that demand. In the plant you have now a stock transport requisition. Then the heuristic plans the plant and applies inhouse production orders.

    To reach the same result with location heuristic you have do define the planing sequence by your own. You have to execute it first for the DC and than for the plant.

    I hope that helps...

    Christian

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