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Check the capacity for new sales order

Hi Experts,

Our client is asking to provide the facility to check the Capacity for upcoming sales order, whether they can go for handling production for that new sales order to deliver the products at right time as per the customer expecting delivery date. Based on the dates given by the system they will commit the delivery date to the customer. Where can we check the existing capacity loaded % and how to check the capacity against of upcoming sales order to promise the exact delivery date to the customer.

Please give guideline for the above issue

Thanks in advance.

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3 Answers

  • author's profile photo Former Member
    Former Member
    Posted on Aug 31, 2013 at 09:20 PM

    Standard SAP ECC does offer a capacity check during sales order ATP but you must ensure you are using the correct planning strategy and the correct Sales Order ATP “scope of check”.

    Here are just three example Make to Stock strategies and how they handle the capacity availability check during Sales Order processing; there are several more.

    Strategy 40 Planning with Final Assembly – this is the most populate Make to Stock strategy. Planned Independent Requirements (PIRs) are entered into the future weeks/months. MRP runs and production builds to this forecast. Sales Orders that exceed that period’s forecast add to the plan. Sales Order ATP is against the “Scope of Check”. You must carefully consider the “Scope of Check” you use in a capacity constrained environment. The Scope of Check needs to be configured so that it will check against:

    1. Inventory
    2. Production/Process
      Orders
    3. Capacity
      Leveled Planned Orders but NOT all Planned Orders
    4. It will NOT
      resort to Replenishment Lead time as a last resort

    By using this Scope of Check you will promise a customer a date and quantity only when you have the capacity to make more, i.e. the date of the capacity leveled planned order(s). If you don’t have the capacity to make more, the sales order remains unconfirmed. A customer service manager can intervene and re-allocate the inventory manually. And/or you can run a batch job to re-ATP sales orders nightly. The sales order will become committed once there is either more inventory, production orders or capacity leveled planned orders in the horizon.

    Strategy 52 Planning without Final Assembly

    Strategy 63 Planning with a Planning Material – In these two planning strategies you enter forecast for the future weeks/months for either the finished good or a planning material which represents several similar finished goods. After running MRP you review the CM01 capacity report and you do not allow capacity overloads to exist in the planning period. You fix the capacity situation by either adding capacity in future weeks (e.g. put on a 3rd shift for the month of October) or you decrease the forecast in the month(s) where it is overloaded.

    MRP will drive you procure up to 1 level below the finished goods. When the sales order is received it checks “against planning”, in other words, it commits against the quantities and dates of the PIRs that you have forecasted. If this committed PIR is within the lead time to “finish off” this last level of the BOM; the Sales Order ATP check will add the In House Production time to the date of the PIR and promise the
    customer that date.

    These two strategies do NOT check against the “Scope of Check” elements described above. This is a very important distinction.

    So essentially, the capacity required for the sales order quantity replaces the capacity required for the PIR that you had already forecasted. Therefore you HAVE the capacity to do the sales order. If the sales order is abnormally large, no problem, the commitment will be made against this month’s and next month’s PIRs and provide the customer with a recommended split delivery (he can have a partial quantity this month
    and the final amount next month).

    We are using all 3 of these planning strategies in our capacity constrained environment and they provide accurate Sales Order ATP dates.

    Please let me know if you have any questions.

    Regards,

    Ann

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    • Former Member Former Member

      Hi Dogboy,

      I agree with all you've said especially the point about needing to have a sales order confirmed immediately. In our current client we have 24 hours to send an order acknowledgement so lots of time to (under strategy 40) save the sales order, run MPS/MRP, level load in CM25, run V_V2 and get a confirmed date to the customer.

      I generally work with clients who are considered small to medium sized so they either don't need APO, or don't have the budget to implement APO or they have failed to implement it properly to make use of Global ATP. The demand plan is created per plant and the delivering plant is know for each sales order item. We do not need to look into the availability of the item in other plants during Sales Order Processing.

      Best regards,

      Ann

  • Posted on Jul 31, 2012 at 06:58 AM

    Dear,

    This functionality (check Cap availability on creation) does exist in APO.

    In ECC you can use Assemble to Order Strategy 82 or 81 automatically creates a production order or planned order for Finished Goods upon entry of the sales order.The production order can create capacity requirements upon save.

    Please refer this link,

    http://help.sap.com/erp2005_ehp_04/helpdata/EN/41/191eb845fd11d188ff0000e8322f96/frameset.htm

    Regards,

    R.Brahmankar

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  • author's profile photo Former Member
    Former Member
    Posted on Jul 31, 2012 at 07:50 AM

    Hi,

    Sale order having a provision to do material availability check and not a capacity availability check.

    Regards,

    Dharma

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