Professional Documents
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My First Plan
Wolfgang Eddigehausen
Copyright Notes
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of this publication may be reproduced or distributed in any form or by any means without the prior
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system.
It is recognized that certain words and abbreviations used in this document are the property of the
respective trademark holder. They are used for clarification and information purposes only. This
document is not an official publication of any company mentioned in it. SAP™, R/2™, R/3®,
AcceleratedSAP™, and ABAP/4® are registered trademarks of SAP Aktiengesellschaft,
Neurottstrasse 16. 69190 Walldorf, Germany. The document “The APO Knowledge Book – Supply
and Demand Planning” is an independent publication. Neither SAP, nor any other company
mentioned in this publication is responsible for the contents of this document under any aspect of
press law.
The information in this document is correct and complete to the best of the author’s knowledge. It
is based on APO release 3.0 and patch level 20 as well as the published information of APO release
3.1. All recommendations made in this document are made without any guarantee whatsoever. The
author also disclaims any liability in connection with the use of this document, the used data, and
the recommendations contained in there.
The views expressed in this document are solely those of the author.
Contents 3
1 My First Plan
The first steps are the most difficult ones. This applies to many things in life and using APO is not
one of the easiest tasks either. This section of the Knowledge Bank is dedicated to those who want
to get going on the system. Learning about APO without actively working on the system is like
trying to learn driving a car through reading a book. There are several ways to really learn to drive
a car, and the route taken depends on personal preferences. The same applies to APO.
This section is subdivided into three streams, each containing several blocks aimed at supporting an
efficient learning process.
The User Stream
In this stream, which should be used by any novice to the system, some basic activities are
shown in a step-by-step easy to follow manner. The aim is to get a first impression on how
processes are carried out in the system. During this process a complete own “environment” is
set up providing an ideal platform for further investigation and knowledge enhancement. All
exercises introduced in this stream should be working on the standard SAP delivered APO
system.
I would like to encourage any beginner using this model as a base and then to further develop
it. This is much easier than expected, as the main difficulty is to get started – and that is where
the APO Knowledge Bank helps.
The Developer Stream
In this stream, which should be looked at by users with considerable experience, some
interesting exercises are carried out. They are very handy for anybody who is part of an
implementation team, as they not only teach how to do a certain task but also serve as a
reminder and help in consequent repetitions. These tasks should only be carried out by more
experienced users, either those who worked through the User Stream exercises, or from those
with previous experience.
The Specialty Stream
There is also a special section dealing with some common module independent processes.
Setup and usage of safety stock or VMI planning are two examples. Exercises in this stream
can be carried out after the User Stream and independent of the Developer Stream.
The User Stream is subdivided into several building blocks. The blocks follow each other in a
logical sequence and it is advised to go through them in the described sequence. The learning
blocks are lined up to a large degree with the APO modules. The Developer Stream is more aligned
with system requirements, as is to a large degree the Specialty Stream.
My First Plan 6
Basic Usage
In this block univariate forecasts are carried out and several parameters of the forecast profiles
will be investigated. It also provides an introduction to the maintenance of proportional factors.
Promotion Planning
Planning promotions is vital in most industries and part of this block.
Advanced Usage
The main emphasis is the usage of multiple linear regression as well as the integration with
other APO modules.
The DP planning area and the corresponding InfoCube have 6 characteristics (Product, Product
Group, Location, Country, Customer, and Customer Group). A total of 10 key figures are defined,
of which 4 are stored in the InfoCube. For these InfoCube based key figures, sample data is
provided in a spreadsheet, which can be loaded into APO. Please note that the spreadsheet needs to
be saved as a comma delimited file before it can be used for uploading. The spreadsheet contains
data for various products, locations and planning versions. The table below lists the first section of
the spreadsheet with the data for “Tdd” equal to “T00”. The consequent sections contain the same
data with “dd” changing running from “00” through to “25”.
The info objects are grouped in catalogues. The planning granularity is weeks and months. The
planning area supports standard (i.e. no characteristics dependent) planning. Data is displayed in
the planning book using a telescoping planning buckets profile for historical and future data. The
planning book, which is created for the exercises is basic, but supports all normal planning
activities.
The master forecast profile supports all types of forecasts. It uses a 36-months history (01/1999
through to 12/2001) and 24-months forecast (01/2002 through to 12/2003) horizon. Both are
defined with fixed dates that are aligned with the provided test data.
The forecast created in the “Forecasting” exercises can be used as an input to the “Supply and
Demand Planning” exercises. All master data is aligned.
My First Plan 8
Info Objects are the main elements of any planning area. They are used to define characteristics and
key figures of planning areas, irrespective of the way the data is stored (i.e. in liveCache or in an
InfoCube). The first step is to create these Info Objects. Before starting with the creation of the Info
Objects, check whether the Info Area “APOTRAINING” is set up. If this is not the case, it needs to
be created. Create the following Info Objects as described with dd being your initials.
From the APO tree structure, select Demand Planning > Environment > Current Settings >
Administrator Workbench
Check whether the Info Area “APOTRAINING” is listed on the right side of the screen. The
entries might not be in alphabetical order. If the Info Area does not exist, follow these tasks
else proceed to the next step.
⇒ Select the “Data Targets” node (not the header line) on the right side of the screen and
activate the context sensitive menu.
⇒ Select “Create Info Area”.
⇒ Define the Info Area name (APOTRAINING) and a long description.
⇒ Press the <Enter> pushbutton.
Press the <Maintain Info Objects> pushbutton (Shift F8) on the button bar.
Specify the Info Objects listed below, select their type and press the <Create> pushbutton.
Select “APO” (and not “BW”) on the next pop-up window. Press <Activate> and <Return>
after the creation of each characteristic.
⇒ Select Type “Characteristic” and create the following Characteristics:
o Characteristic Long Description. Reference Char. Data Type Length
TddCH01 Product 9AMATNR
TddCH02 Product Group Char 7
TddCH03 Location 9ALOCNO
My First Plan 9
In this subsequent step the previously created Info Objects are grouped in Info Object Catalogs.
This is an optional step. Using an Info Object Catalog helps easily identify “own” Info Objects and
speeds up subsequent tasks.
From the APO tree structure, select Supply Chain Planning > Demand Planning > Environment >
Current Settings > Administrator Workbench
Press the <Edit Info Objects> pushbutton (Shift F5) on the button bar.
Press the <Info Object Catalog> pushbutton (Ctrl F6) on the button bar.
Specify the name of the new catalog (TddCHC for the Characteristics) and press the <Edit>
pushbutton.
Enter the name (TddCHC) and a description for the catalog of the characteristics.
Specify the Info Object Type “Characteristics”, the Info Area “APOTRAINING”, and select
“Create”. Do not use a template.
Using the <Transfer Fields> pushbutton, copy the desired characteristics (the newly created
ones in the previous step) from the template to the structure. Once all Characteristics are added
to the Info Object Catalog select <Activate> and <Back>.
Repeat the previous steps for all Key Figures accordingly (name for the Key Figures Catalog is
TddKFC and Info Object Type is “Key Figure”).
Leave the Administrator Workbench.
The InfoCube is used to store historical data. It can only be read, and consequently, the forecast is
not written into the InfoCube based key figures, but into liveCache based key figures.
Subsequently, the InfoCube will be linked to the planning area.
From the APO tree structure, select Supply Chain Planning > Demand Planning > Environment >
Current Settings > Administrator Workbench
Activate the context sensitive menu on Info Area “APOTRAINING” and select “Create
InfoCube”. Enter a name (TddIC) and a description for the InfoCube and select <Create>.
Select “BW” as your choice of BW application (do not use APO!) and select <Continue>.
Select the Characteristics tab.
Choose the characteristic “9AVERSION” to be included in the structure. Transfer the
characteristic from the template to the structure using the <Transfer Fields> pushbutton in the
middle of the screen.
Select the characteristics from your Info Object catalog by clicking on the Info Object catalog
icon in the upper right corner and double clicking on the name of the Info Object catalog
TddCHC.
Confirm the “Transfer Fields Automatically” query with “Yes”. This copies all Characteristics
of your catalog into your InfoCube automatically.
Click on the <Dimensions> pushbutton.
Create four dimensions; one for the version, and the others for the other characteristics. You do
not need to create dimensions for time characteristics or units; these are created automatically.
o Select the <Create> pushbutton and define a dimension description. Repeat this step for all
dimensions.
Dimension Characteristic 1 Characteristic 2
Planning Version 9AVERSION
Product TddCH01 TddCH02
Location TddCH03 TddCH04
Customer TddCH05 TddCH06
o Then click on the Assign tab.
o Select the characteristic you want to assign. To do so click on the check box of the
respective characteristic and place the cursor on the dimension to which you wish to
assign it and click on the <Assign> pushbutton. After all characteristics are assigned to
dimensions, select <Continue>.
Click on the Time Characteristics tab.
Transfer the Time Characteristics “0CALMONTH” and 0CALWEEK” from the template to
the structure.
Click on the Key figure tab.
Select the key figures “TddKF01” through to “TddKF04” and press the <Transfer Fields>
pushbutton (do not transfer all your previously created key figures!)
Choose <Activate>, <Back> and confirm the “Save” query (if any).
Leave the Administrator Workbench.
In order to carry out forecasting exercises, test data is required. The loading of this test data from a
spreadsheet into the InfoCube is carried out in this step. The loading of data is a multi-step process.
It is easy to make mistakes during this process, which will lead to an incorrect, if any, data load. In
this case, it is best to start right from the beginning of the activities listed here.
From the APO tree structure select Supply Chain Planning > Demand Planning > Environment >
Current Settings > Administrator Workbench
In this step the storage buckets profile, which determines the way the data is stored, is defined.
Since we also need a time stream, this time stream (also called periodicity) is created at the same
time.
My First Plan 13
From the APO tree structure select Supply Network Planning > Environment > Current Settings >
Maintain Planning Calendar (Time Stream)
Type in the time stream ID (TddTSDP), and then click on the <Create> button.
Define a name for the time stream on the upcoming screen and select the appropriate tabs to
define the following:
Header Data
⇒ Years In Past 4
⇒ Years In Future 4
⇒ Time Zone UTC
⇒ Calendar AU
⇒ Factory Calendar with Gaps “on”
Calculation Rule
⇒ Select the <Change Calculation Rule> pushbutton and select “Week (weekdays)”.
⇒ Define the “From” and “To” times for periods Monday through to Friday. To do so type a
“1” into the first period field and specify the start and end times (00:00:00 to 24:00:00).
Continue for all 5 workday periods.
⇒ Press Enter to see all day definitions.
⇒ Select the <Generate Periods> pushbutton.
⇒ Select <Save> and <Exit>.
From the APO tree structure select Demand Planning > Environment > Current Settings >
Periodicities for Planning Area
Name the storage buckets profile TddSBP and press <Enter>. This automatically creates the
profile.
Select the required periodicities “week” and “month”
Define the horizon 01.01.1999 through to 01.01.2010
Select the Time Steam ID “TddTSDP”.
Select the <Save> and <Exit> pushbuttons.
The master planning object structure determines the functionality of the planning area that is
created in the next step.
From the APO tree structure select Demand Planning > Environment > Current Settings >
Administration of Demand Planning and Supply Network Planning
Select all 6 characteristics as listed below in the right (Copy From) pane and press the <Add
Characteristic> pushbutton to transfer them to the left (Planning Object Structure) pane.
⇒ TddCH01 Product
⇒ TddCH02 Product Group
⇒ TddCH03 Location
⇒ TddCH04 Country
⇒ TddCH05 Customer
⇒ TddCH06 Customer Group
Select “Extras > Assign Prod/Loc” and define the following:
⇒ Product TddCH01
⇒ Location TddCH03
Press the <Continue> pushbutton.
Activate the master planning object structure, save and return to the menu.
In order to carry out Life Cycle Management, some specific settings are required. The first two
settings were the characteristic assignments carried out above. The othet required activities are
listed below.
From the APO tree structure select Tools > Accelerated SAP > Customizing > Edit Project
From the APO tree structure select Tools > Administration > User Maintenance > Users
The planning area is the central object, linking various elements, such as e.g. the storage buckets
profile and the InfoCube. It is based on a master planning object structure. Aggregation and
disaggregation rules are proposed, but could be changed if required.
From the APO tree structure select Demand Planning > Environment > Current Settings >
Administration of Demand Planning and Supply Network Planning
My First Plan 15
Enter the planning version “Tdd” to be used. The planning version must exist already! For
instructions how to create planning versions and supply chain models see steps four through to
six of the “SDP Building Block 1”.
Enter the start (01.01.1999) and end (31.12.2003) date.
Press the <Execute> pushbutton.
Exit the transaction.
The characteristics value combinations are the key to access the data in the planning area (InfoCube
or liveCache) and must be created prior to planning.
From the APO tree structure select Master Data > Demand Planning Master Data > Maintain
Characteristics Values
Specify your Master Planning Object Structure (TddMPOS) and the InfoCube (TddIC).
Select “Generate Characteristic Combination” and the planning version. The planning version
is the same as the one used when loading the data (Tdd).
Set the time interval (01.01.1999 to 31.12.2001).
Select “Create Time Series Objects”.
Press the <Execute> pushbutton.
The first created planning buckets profile determines how the data (history and future) is viewed. It
is not determining the forecast horizon. The second planning buckets profile is used to determine
the number of forecast value periods released from DP to SNP.
From the APO tree structure select Demand Planning > Environment > Current Settings > Maintain
Time Bucket Profiles for Demand Planning and Supply Network Planning
Name the planning buckets profile (TddPBP), its description, and press <Enter>.
Set the field “Number” to “24”.
Set the “Display Periodicity” to “M”.
Pressing <Enter> automatically opens the second line and populates some fields with data.
Set the field “Number” to “12”.
Set the “Display Periodicity” to “W”.
Press the <Save> pushbutton.
From the APO tree structure select Demand Planning > Environment > Current Settings > Maintain
Time Bucket Profiles for Demand Planning and Supply Network Planning
Name the planning buckets profile (TddPBPREL), its description, and press <Enter>.
Set the field “Number” to “365”.
My First Plan 17
The planning book is the interface to the user. It is based on one specific planning area. In this step
we also create a very basic macro, which will add up the base forecast and the promotions to give
us the total forecast.
From the APO tree structure select Demand Planning > Environment > Current Settings > Design
Planning Books
Set the “Planning Book” flag, define the planning book name (TddPBDP), and press <Create>.
A pop-up screen appears with various tabs. Go through the tabs as described:
⇒ Tab Planning Book
o Define the planning book description.
o Link the planning book to the planning area TddPADP.
o In the “Include Standard Functions” section leave all flags off except “Manual
Proportion Maintenance”, which must be on.
o Switch all flags in “Navigate to Views” on.
o Press the <Continue> pushbutton.
⇒ Tab Key Figures
o Drag and drop all key figures from the right “Planning Area” panel to the left
“Planning Book” panel or press the <Add All Key Figures> pushbutton.
o Press the <Continue> pushbutton.
⇒ Tab Characteristics
o Drag and drop all characteristics from the right “Planning Area” panel to the left
“Planning Book” panel or press the <Add All Characteristics> pushbutton.
o Press the <Continue> pushbutton.
⇒ Tab Key Figure Attributes
o This tab is skipped when creating planning books based on DP planning areas.
⇒ Tab Data View
o Specify the data view name (TddPBDPDV) and a description.
o Set the “Planning Start” to “01.01.2002”.
o Select the planning (time) buckets profile for future and historical data. Use
“TddPBP” for both
o Set the “Visible” flag and specify the “From” to be M01.2000 using the F4 function.
o Press the <Continue> pushbutton.
⇒ Tab Key Figures
o Drag and drop all key figures from the right “Planning Book” panel to the left “Data
View” panel or press the <Add All Key Figures> pushbutton.
o Press the <Complete> pushbutton.
Confirm to save the planning book.
Press the <Edit> pushbutton and go again through the planning book design tabs by pressing
the <Continue> and <Complete> pushbuttons. Change, if desired, the sequence of the key
My First Plan 18
figures using the drag and drop functionality on the second “Key Figure” tab. Also, drag the
“Proportional Factor” key figure from the right to the left side.
Exit the transaction.
From the APO tree structure select Demand Planning > Environment > Current Settings > Macro
Builder
Define the Planning Book View “TddPBDPDV”, and press the <Execute> pushbutton.
Drag the “Macro” symbol from the “Elements” area onto the “Macro” tree structure in the
middle of the screen.
A pop-up window appears.
⇒ Define the macro name “Total Forecast”.
⇒ Set the flag “No Direct Execution”.
⇒ Press the <Continue> pushbutton.
Drag the “Step” symbol from the “Elements” area onto your new macro “Total Forecast”.
A pop-up window appears.
⇒ Define the step name “Step 1”.
⇒ Set the “Processing Area” to “Future”.
⇒ Press the <Continue> pushbutton.
Drag the “Row” symbol from the “Elements – Planning Table” area onto the first step of your
new macro “Total Forecast”.
A pop-up window appears.
⇒ Select the row “Total Forecast”.
⇒ Press the <Continue> pushbutton.
Drag the “Row” symbol from the “Elements – Planning Table” area onto the new row of the
first step of your new macro “Total Forecast”.
Select “Create in Next Level”.
A pop-up window appears.
⇒ Select the row “Base Forecast”.
⇒ Press the <Continue> pushbutton.
Drag the “Operator/Function” symbol from the “Elements – Planning Table” area onto the
second new row of the first step of your new macro “Total Forecast”.
Select “Append”.
A pop-up window appears.
⇒ Select the function “+”.
⇒ Press the <Continue> pushbutton.
Drag the “Row” symbol from the “Elements – Planning Table” area onto the operator/function
symbol of your new macro “Total Forecast”.
Select “Append”.
A pop-up window appears.
⇒ Select the row “Promotion”.
⇒ Press the <Continue> pushbutton.
Select your new macro, which has a red light.
Press the <Generate> pushbutton above it, which changes its color to green.
Drag your new macro onto the “Default” symbol in the “Events” area.
Press the <Save> and <Exit> pushbuttons.
My First Plan 19
The master forecast profile with its subordinate profiles determines the way the forecast is carried
out and its horizons. Various of such profiles can exist for one planning area.
From the APO tree structure select Demand Planning > Environment > Maintain Forecast Profiles
The main screen appears with various tabs. Go through the tabs as described:
⇒ Master Profile Tab
o Specify the Planning Area (TddPADP), Master Profile (TddMFP), and description.
o Define the following:
Forecast Key Figure TddKF05 Must be a liveCache Key Figure
Period Indicator W Determines the forecast calculation
granularity
Material Forecast “On” Enables Life Cycle Management
Forecast Horizon From 31.12.2001
Forecast Horizon To 29.12.2002
History Horizon From 04.01.1999
History Horizon To 30.12.2001
⇒ Univariate Profile Tab
o Specify the Univariate Profile Name (TddUFP) and description.
o Define the following:
Key Figure TddKF01 Usually an InfoCube Key Figure
Version Tdd
Forecast Strategy 50
Seasonal Periods 12
o Press the <Save Single Profile> and <Copy> pushbuttons.
⇒ Master Profile Tab
o Press the <Save> pushbutton.
Once these activities are finished the master forecast profile needs to be assigned.
Select the <Assign Forecast Profiles> pushbutton.
Specify the following parameters and press <Copy>.
⇒ Planning Area TddPADP
⇒ Forecast Key Figure TddKF05
⇒ Planning Version Tdd
⇒ Forecast Profile TddMFP
⇒ Forecast Type Univariate
Press the <Copy>, <Save>, and <Back> pushbuttons.
My First Plan 20
The first interactive DP planning exercise is using historical data that resembles constant and trend
behavior.
From the APO tree structure select Demand Planning > Planning > Interactive Demand Planning
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
Activate the <Selection Window> pushbutton in the Info Objects Area and select “Show” all
“Products” that belong to “Planning Version” Tdd.
Press <Adopt>.
Select (double-click) the product TddPR01
Make yourself familiar with the Demand Planning Interactive screen
Run several Univariate Forecasts (one per product) and apply the following models per
product
⇒ Model Product
Constant TddPR01
Trend TddPR02
⇒ View the information on the various tabs.
⇒ Save each of the forecasts.
Leave the transaction
The usage of selection ID’s supports an easy re-selection of data based on user-specific definitions.
From the APO tree structure select Demand Planning > Planning > Interactive Demand Planning
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
My First Plan 21
Activate the <Selection Window> pushbutton in the Info Objects Area and select “Show” all
“Products” that belong to “Planning Version” Tdd.
Press the <Save Selection> pushbutton and provide a unique selection description (Tdd
Products).
Press the <Save> and <Adopt>pushbuttons.
Double-click on the “Selection Profile” bar in the Info Objects Area.
Drag and drop your selection ID from the right to the left and press <Save> followed by
<Copy>.
Select (double-click) the product TddPR01.
The system can calculate various forecast errors that make it possible to compare the quality of
forecasts.
From the APO tree structure select Demand Planning > Environment > Maintain Forecast Profiles
Outlier and Workday correction is used to minimize the impact of months with non-constant
workdays and randomly occurring peaks and troughs.
From the APO tree structure select Demand Planning > Environment > Maintain Forecast Profiles
The first interactive DP planning exercise is using historical data that resembles constant and trend
behavior.
From the APO tree structure select Demand Planning > Planning > Interactive Demand Planning
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
Select (double-click) the selection ID for your products.
Select (double-click) the product TddPR01.
Run several Univariate Forecasts (one per product) and apply the following models per
product
⇒ Model Product
Constant TddPR01
Trend TddPR02
⇒ View the impact of outlier and workday correction
⇒ Save each of the forecasts.
Leave the transaction
The second interactive DP planning exercise is using historical data that resembles seasonal and
seasonal trend behavior.
From the APO tree structure select Demand Planning > Planning > Interactive Demand Planning
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
Select (double-click) the selection ID for your products
Select (double-click) the product TddPR01
Activate the <Selection Window> pushbutton in the Info Objects Area and select “Show” all
“Products” that belong to “Planning Version” Tdd and where the location is “TddDC02”.
Double-click on product TddPR03.
Run several Univariate Forecasts (one per product) and apply the following models per
product
⇒ Model Product Location
Seasonal TddPR03 TddDC02
⇒ View the information on the various tabs.
⇒ Save each of the forecasts.
My First Plan 23
Activate the <Selection Window> pushbutton in the Info Objects Area and select “Show” all
“Products” that belong to “Planning Version” Tdd and where the location is “TddDC03”.
Double-click on product TddPR03.
Run several Univariate Forecasts (one per product) and apply the following models per
product
⇒ Model Product Location
Seasonal Trend TddPR03 TddDC03
⇒ View the information on the various tabs.
⇒ Save each of the forecasts.
Leave the transaction
Proportional factors are usually working in the “background”, but can be viewed and changed if
desired.
From the APO tree structure select Demand Planning > Environment > Calculate Proportional
Factors
From the APO tree structure select Demand Planning > Planning > Interactive Demand Planning
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
Double-click on one of your selection ID’s.
Double-click on product TddPR01.
View the Proportional Factors
My First Plan 24
These settings have to be carried out initially before any promotion planning can be carried out.
From the APO tree structure select Demand Planning > Planning > Promotion > Maintain
Promotion Key Figures
A promotion with two products attached to it is created in this step. The promotion can
subsequently be viewed in the DP Interactive Planning screen.
From the APO tree structure select Demand Planning > Planning > Interactive Demand Planning
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
Select the <Promotion Planning> pushbutton.
Select the <Create Promotion> pushbutton.
Define the following:
⇒ Short Text TddPROM01
⇒ Description Promotion 01
⇒ Type + (Absolute)
⇒ Periodicity W
⇒ Number of Periods 4
⇒ Period From 01.10.2002
⇒ Planning Version Tdd
⇒ Planning Key Figure TddKF05
Press <Enter> and the <Save> pushbuttons.
Select (double-click) the selection ID for your products
My First Plan 25
Promotion valuations are carried out to gain a rough view on the financial impact a promotion has.
It compares fixed and variable costs and profits.
From the APO tree structure select Demand Planning > Planning > Interactive Demand Planning
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
Select the <Promotion Planning> pushbutton.
Activate the <Selection Window> pushbutton in the Info Objects Area and select “Show” all
“Promotion” that belongs to “Planning Version” Tdd.
Press the <Save Selection> pushbutton and provide a unique selection description (Tdd
Promotions).
Press the <Save> and <Adopt>pushbuttons.
Double-click on the “Selection Profile” bar in the Info Objects Area.
Drag and drop your selection ID from the right to the left and press <Save> followed by
<Copy>.
Press <Adopt>.
Select (double click) your promotion TddPROM01.
Select the <Object View> pushbutton and then “Pre-Evaluation”.
Define the following costs per period (the same for both products):
⇒ (Promotion) Costs 100 100 100 100
⇒ Planned (Selling) Price (each) 5 5 5 5
⇒ Promotion (Selling) Price (each) 4 4 4 4
Press the <Save> and <Back> pushbuttons.
My First Plan 26
The third interactive DP planning exercise evolves around the impact that promotions have on the
previously created forecasts.
From the APO tree structure select Demand Planning > Planning > Interactive Demand Planning
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
Double-click on your selection ID.
Double-click on product TddPR01.
View the forecast values in the periods starting 01.10.2002.
Double-click on product TddPR02.
View the forecast values in the periods starting 01.10.2002.
Leave the transaction.
My First Plan 27
The Like Profile is used to ensure that a newly introduced product uses the historical data of
another product (or group of products) during the forecasting task. The historical data as such is not
copied across.
From the APO tree structure select Demand Planning > Environment > Maintain Forecast Profiles
The phase-in and phase-out profiles ensure that historical as well as forecast data is adjusted in
accordance with the specified profiles.
From the APO tree structure select Demand Planning > Environment > Maintain Forecast Profiles
⇒ Period 2 10
⇒ Period 3 15
⇒ Period 4 20
⇒ Period 5 25
⇒ Period 6 30
⇒ Period 7 35
⇒ Period 8 40
⇒ Period 9 50
⇒ Period 10 60
⇒ Period 11 70
⇒ Period 12 80
⇒ Period 13 90
Press the <Copy> pushbutton.
Press the <Assign Life Cycle> pushbutton.
Update the line with the product number “TddPR05” by adding the phase-in profile “TddPI”.
Press the <Copy> pushbutton.
Press the <Save> and <Back> pushbuttons.
The forth interactive DP planning exercise is using historical data that reveals the impact of life
cycle management profiles on the forecast.
From the APO tree structure select Demand Planning > Planning > Interactive Demand Planning
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
Double-click on your selection ID.
Double-click on product TddPR05.
Run several Univariate Forecasts.
Leave the transaction
My First Plan 29
1. Distribution Functions
2. DP Interactive Planning 6 (Header, Distribution, DP Notes)
3. Create MLR and Composite Profile
4. DP Interactive Planning 7 (MLR and Composite Forecast)
5. Release to SNP
The usage of distribution functions is an easy way to carry out interactive bulk updates of any data
that is open for update (i.e. not for historical data or data that is in “display-only” cells).
From the APO tree structure select Demand Planning > Environment > Current Settings > Maintain
Distribution Function
The sixth interactive DP planning exercise elaborates on some tools provided to the planner.
From the APO tree structure select Demand Planning > Planning > Interactive Demand Planning
1. Header Usage:
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
Press the <Header On/Off> pushbutton.
Press the <Header Information Settings> pushbutton.
Define Number “1” and Characteristic “Product”, then Number “2” and Characteristic
“Location”
Press <Adopt>.
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2. Distribution Function
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
Select (double-click) the product TddPR01
Press the <Distribute> pushbutton. On the upcoming “Distribution Functions” window define
the following:
⇒ Key Figure 05 (Distribute values by means of discrete data)
o Value 2
o Operand *
⇒ Key Figure 06 (Distribute values by means of predefined distribution function)
o Operand DE
o Distribution Function TddDF
3. Notes:
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
Select (double-click) the product TddPR01.
Add a note to a cell in the planning table.
⇒ Select a cell and activate the context sensitive menu, choose “Display Note”.
⇒ Type in any text and press the <Save Note> pushbutton.
⇒ Press the <Close Notes Editor> pushbutton.
⇒ Press the <Save> pushbutton.
Leave the transaction.
In this step, the previously created master forecast profile is updated through the addition of new
sub-profiles.
From the APO tree structure select Demand Planning > Environment > Current Settings > Maintain
Forecast Profiles
The main screen appears with various tabs. Go through the tabs as described:
⇒ Master Profile Tab
My First Plan 31
The fifth interactive DP planning exercise is using historical data to create MLR based and
composite forecasts.
From the APO tree structure select Demand Planning > Planning > Interactive Demand Planning
Select your planning book (TddPBDP) and data view (TddPBDPDV) in the Data View (left
side of the screen).
Double-click on your selection ID.
Select (double-click) the product TddPR01.
Make yourself familiar with the Demand Planning Interactive screen.
Run several MLR based Forecasts (one per product) and apply the following models per
product
⇒ Model Product
MLR TddPR01
MLR TddPR02
⇒ View the information on the various tabs.
⇒ Save each of the forecasts.
Run several Composite Forecasts (one per product) and apply the following models per
product
⇒ Model Product
Composite TddPR03
Composite TddPR04
⇒ View the information on the various tabs.
⇒ Save each of the forecasts.
Leave the transaction.
My First Plan 32
Finally, after all forecasting tasks have been finished, the unconstrained forecast needs to be
released to the SNP environment. Note that this step can only be carried out after all of the products
and locations that are used in DP are defined and linked to the appropriate supply chain model.
This is explained in the “SDP Building Block 1” steps two, three, and seven. Since the data is
released into a new planning version, it has to be created together with its supply chain model
beforehand and activated. These steps are explained in the “SDP Building Block 1” steps four
through to six. Please refer to the explanations there and carry out before releasing data to SNP.
From the APO tree structure select Demand Planning > Planning > Release to Supply Network
Planning
SNP Optimization
This building block solely deals with optimization and introduces to the cost data maintenance
and the usage of the SNP and the deployment Optimizer.
Planning Support
Last but not least are a few exercises covering the area of safety stock levels. In addition to this
we have a look at the usage of profiles and other helpful utilities that make the everyday
working life a bit easier.
Supply and Demand Planning requires a substantial amount of master data to be created before any
planning can be carried out. Also, some demand elements (e.g. forecasts or sales orders) are
required. The forecast created in the “Forecasting” exercises can be used as an input to the “Supply
and Demand Planning” exercises. All master data is aligned. In addition to this, some sales orders
are created.
The location and product masters created in the Supply and Demand Planning exercises are those
also used by the Forecasting exercises. For the finished products, forecasted in the previous
My First Plan 34
exercises, production process models are created, which also use specifically created resources.
There are also some components that are used as input products in the PPM’s. The extended safety
stock exercises require that the Forecasting exercises were carried out beforehand.
My First Plan 35
This step creates a new planning area based on the existing delivered planning area “9ASNP02”.
By default, only the author can change the newly created planning area.
From the APO tree structure select Supply Network Planning > Environment > Current Settings >
Administration of Demand Planning and Supply Network Planning
From the APO tree structure select Supply Network Planning > Environment > Current Settings >
Maintain Time Bucket Profiles for Demand Planning and Supply Network Planning
Name the planning buckets profile (TddPBPSNP), its description, and press <Enter>.
Set the field “Number” to “52”.
Set the “Display Periodicity” to “W”.
Pressing <Enter> automatically opens the second line and populates some fields with data.
Set the field “Number” to “13”.
Set the “Display Periodicity” to “T”.
Press the <Save> pushbutton.
Planning books are based on exactly one planning area. In this step we shall copy the standard
delivered planning book “S19ASNP94” with its views “SNP94(1)” and “SNP94(2)”. Initially the
new planning book will refer to the standard delivered planning area “9ASNP02” and thus we have
to change this assignment consequently.
It is mandatory that the planning area created in the previous step has not been changed, as
otherwise inconsistencies might occur. Changes the planning area and the planning book should
only be carried out after the panning book assignment was changed (see last step).
After these parameter changes it is possible to change planning areas, planning books, planning
book data views, and macros without restrictions.
From the APO tree structure select Demand Planning > Environment > Current Settings > Design
Planning Books
2. Activate Macros
From the APO tree structure select Demand Planning > Environment > Current Settings > Macro
Builder
Select the planning book view “TddPBSNP(1)” and press the <Execute> pushbutton.
Press the <Generate Macros (Shift + F2)> pushbutton and then the <Back> pushbutton.
Select the planning book view “TddPBSNP(2)” and press the <Execute> pushbutton.
Press the <Generate Macros (Shift + F2)> pushbutton and then the <Back> pushbutton.
Exit the transaction.
Specify the database table /SAPAPO/PBMVW and then the <Display> pushbutton.
Then choose “Utilities > Table contents > Display”.
On the upcoming screen define in the field “MVIEW” your newly created planning book
TddPBSNP and press the <Execute> pushbutton.
Select (do not double-click) the entry and press the <Change> pushbutton on the top of the
screen.
Change the “PAREANAME” from 9ASNP02 to the name of your own planning area
TddPASNP.
Do not change anything else!
Press the <Save> pushbutton.
Exit the transaction.
Create the time stream TddTS01 (with dd being your initials). This time stream will be linked in a
subsequent step to all of your locations as production, storage location, and production calendars.
From the APO tree structure select Supply Network Planning > Environment > Current Settings >
Maintain Planning Calendar (Time Stream)
Type in the time stream ID (TddTS01) and click on the <Create> pushbutton.
Define a name for the time stream on the upcoming screen and select the appropriate tabs to
define the following:
Header Data
⇒ Years In Past 1
⇒ Years In Future 4
⇒ Time Zone UTC
⇒ Calendar AU
⇒ Factory Calendar with Gaps “on”
Calculation Rule
⇒ Press the <Change Calculation Rule> pushbutton and select “Week (weekdays)”.
⇒ Define the “From” and “To” times for periods Monday through to Friday. To do so type a
“1” into the first period field and specify the start and end times (00:00:00 to 24:00:00).
Continue for all 7 periods.
⇒ Press <Enter> to see all day definitions.
⇒ Press the <Generate Periods> pushbutton.
⇒ Press the <Save> and <Exit> pushbuttons.
Create a supply chain model to establish your own data environment by linking the various master
data objects (e.g. locations) to it. The supply chain model might have been already created as part
of the Forecasting exercises.
My First Plan 38
From the APO tree structure select Master Data > Planning Version Management > Model and
Version Management
Once you are in this transaction, select the <Create Model/Planning Version> pushbutton and
select “Model”. Define your supply chain model name (TddMODEL01, with dd being your
initials) on the right hand side of the screen, and give it a description.
Press the <Create and Save> pushbuttons.
Press the <Exit> pushbutton.
Create a planning version to establish your own data environment by linking the various master
data objects (e.g. locations) to it. The planning version might have been already created as part of
the Forecasting exercises.
From the APO tree structure select Master Data > Planning Version Management > Model and
Version Management
Select (highlight) your newly created supply chain model. Then select the “Create
Model/Planning Version” pushbutton and select “Planning Version”. Define your planning
version name (Tdd, with dd being your initials) on the right hand side of the screen and give it
a description.
Activate the following radio buttons:
⇒ SNP Change active.
⇒ PP/DS Change active.
⇒ PP/DS Automatic Planning active.
Set the “PP/DS: Take Safety Stock into Account” to “2”.
Press the <Create and Save> pushbutton.
Press the <Exit> pushbutton.
The newly created planning version needs to be linked to a planning area before it can be used.
This activity is referred to as “initializing the planning version”.
From the APO tree structure select Supply Network Planning > Environment > Current Settings >
Administration of Demand Planning and Supply Network Planning
Highlight the planning area “TddPASNP”, activate the context sensitive menu, and choose
“Initialize Planning Version”. Define your planning version Tdd (with dd being your initials).
Press the <Execute> and <Exit> pushbuttons.
My First Plan 39
1. Location Master
2. Product Master (F/G only)
3. Assign Data to Work Area and Supply Chain Model
4. Create Transportation Lanes
5. Create Quota Arrangement
6. Create Demand
7. Run Heuristics
Create the locations TddDC01, TddDC02, TddPP11, and TddPP12 (with dd being your initials).
Locations TddPP11 and TddPP12 are of type 1001 (production plant) and locations TddDC01 and
TddDC02 are of type 1002 (distribution center).
From the APO tree structure select Master Data > Location > Location
Type in the location number and location type to be created, then click on the <Create>
pushbutton.
On the next screen, define a description and then select the appropriate tab to define the
following:
⇒ General
o Time Zone UTC
⇒ Address
o Country AU
⇒ Calendar Tab
o Production Calendar TddTS01
o Storage Location Calendar TddTS01
o Shipping Calendar TddTS01
Press the <Save> and <Exit> pushbuttons.
Note that the longitude and latitude information is not required at this stage, and a specific value
will automatically be inserted by the system in accordance with the specified country. When the
location is placed on the map during the allocation of the location to the Supply Chain Model, the
coordinates can be changed. This task is performed in the Supply Chain Engineer.
You will create 2 product masters named TddPR01 and TddPR02. These products represent
finished goods and will be updated in subsequent exercises.
Please note that any Product Master will consist of Global and Location Data. Once you have
created the Global and Location Data for a product, you only have to create Location specific data
if you want to extend the Product Master to be available in another location. The initial creation of
Global and Location Data for a product can be done in one step.
From the APO tree structure select Master Data > Product
Specify your first product number (TddPR01) and location (TddDC01), click the “Location”
radio pushbutton and then select the <Create> pushbutton.
On the next screen select the appropriate tab and define the following:
⇒ Top Section, not on any tab
o Product Description Short description of the product
o Base unit PC (Piece)
⇒ SNP2
o Forecast Horizon 7
o Pull Deployment Horizon 28
o Production Horizon 14
o Stock Transfer Horizon 2
o Push Deployment Horizon 28
⇒ Procurement
o Procurement Type X
o Planned Delivery Time 5
Press the <Save> pushbutton.
Repeat all of the above tasks except those under “top section” for the same product in the next
locations (TddDC02, TddPP11, and TddDPP12) and then for the next product (TddPR02)
again in all four locations. Make sure you create a total of six location products.
Press the <Exit> pushbutton.
1.2.2.3 Step 3: Assign Data to Work Area and Supply Chain Model
Assign your master data objects to your work area and supply chain model. There is no explicit
create function for the work area. Whenever a new work area is used the first time, the system
informs the user about this fact and creates it immediately.
From the APO tree structure select Master Data > Supply Chain Engineer > Maintain Model
Type in your Supply Chain Model number (TddMODEL01) and your Work Area number
(TddWORK01) with dd being your initials. Press the <Change Model> pushbutton. Then perform
the following tasks:
Assign Objects to your Work Area
⇒ Select the <Redefine Work Area> pushbutton in the upper part of the screen.
⇒ On the upcoming “Select Work Area” slide the left sliding bar op to the top.
My First Plan 41
⇒ Define the location number (in the field “Internal Characteristics (from) Value”) as
“Tdd*”. This ensures that all locations starting with “Tdd” will be added to your work
area.
⇒ Double-click on “Product Number” in the lef side of the screen.
⇒ Define the product number (in the field “Internal Characteristics (from) Value”) as
“Tdd*”. This ensures that all locations starting with “Tdd” will be added to your work
area.
⇒ Press the <Copy> pushbutton.
Assign Locations to your Supply Chain Model
⇒ Select the “Locations” tab.
⇒ Select all locations by clicking on them while the <Ctrl> key is depressed.
⇒ Activate the context sensitive menu and select “Add to Model” and “Location”.
⇒ Press the <Continue> pushbutton.
Move Locations
If locations should be moved on the map, press the <Move> pushbutton on the right side of the
screen, then drag and drop the locations in the map as required.
Assign Products to your Supply Chain Model
⇒ Select the “Products” tab.
⇒ Select all products by clicking on them while the <Ctrl> key is depressed.
⇒ Activate the context sensitive menu and select “Add to Model” and “Location Product”.
⇒ On the upcoming screen press the <Multiple Selection Change> pushbutton.
⇒ Define “Tdd*” as the product number.
⇒ Press the <Execute> pushbutton.
⇒ Press the <Continue> pushbutton.
⇒ Press the <Execute Query> pushbutton.
⇒ Press the <Continue> pushbutton.
Press the <Save> and <Exit> pushbuttons.
Create various transportation lanes linking your locations and allowing goods movements within
them.
From the APO tree structure select Master Data > Supply Chain Engineer > Maintain Model
Type in your Supply Chain Model number (TddMODEL01) and your Work Area number
(TddWORK01) with dd being your initials. Press the <Change Model> pushbutton. Select the
“Transportation Lanes” tab and press the <Connect> pushbutton on top of the map. Then perform
the following tasks:
Create a transportation lane from location TddPP11 to TddDC01 (beware of the direction!). To
do so click on the source location icon and drag the pointer over to the destination location.
Then release the mouse pushbutton. A new screen will come up allowing the maintenance of
the transportation lane. Note that transportation lanes are direction dependent.
Press the <Creation of a new Entry> pushbutton in the ”Product Procurement” block.
Define the following data while leaving all fields that are not mentioned blank.
My First Plan 42
⇒ Product Selection
o Product TddPR01
o All Products this flag must be off
⇒ Validity
o Start Date 01.01.2001
o End Date 01.01.2011
⇒ Form of Procurement
o Standard set this flag
Press the <Copy> pushbutton.
Change the product number to TddPR02.
Press the <Copy and Close> pushbuttons.
Click on the <Creation of a new Entry> pushbutton in the ”Means of Transport” block.
Define the following data while leaving all fields that are not mentioned as is (i.e. do not
change proposed values).
⇒ Validity
o Transportation Method 0001
o Start Date 01.01.2001
o End Date 01.01.2011
⇒ Parameters
o Transportation Calendar TddTS01
o Transportation Duration 24:00
o Trip Distance 100
o Transportation Cost and UoM 0.1 PC (Piece)
Press the <Copy and Close> pushbuttons.
Press the <Header Data> pushbutton.
⇒ Transportation Planner APO
⇒ Description “as required”
Press the <Copy and Close> pushbuttons.
Press the <Back> pushbutton.
Repeat these steps using the same parameters for the other transportation lanes.
⇒ From location TddPP12 to TddDC01.
⇒ From location TddPP11 to TddDC02.
⇒ From location TddPP12 to TddDC02.
Press the <Save> and <Exit> pushbuttons.
Create various quota arrangements for one of your locations. This allows quota-based procurement
and deployment when using heuristic planning methods.
From the APO tree structure select Master Data > Supply Chain Engineer > Maintain Model
Type in your Supply Chain Model number (TddMODEL01) and your Work Area number
(TddWORK01) with dd being your initials. Press the <Change Model> pushbutton. Select the
My First Plan 43
“Locations” tab and open the locations tree structure to an extent that the individual locations can
be seen. Then perform the following tasks:
Create inbound quota arrangement for location TddDC01. To do so select the location, open
the context sensitive menu and choose “Quota Arrangements – Change Incoming Quota
Arrangements”. A new screen will come up allowing the maintenance of the quota
arrangement.
Press the <Creation of a new Entry> pushbutton in the ”Quota Arrangements” block. This
creates the header data of the quota arrangement.
Define the following data while leaving all fields that are not mentioned blank.
⇒ Product Selection
o Product TddPR01
⇒ Validity Period
o End Date 01.01.2011
⇒ Parameters
o Allow Requirement Splitting set this flag
o Requirements Grouping <blank>
o Min Split Quantity and UoM 100 PC (Piece)
Press the <Copy and Close> pushbuttons.
Select your newly created line in the “Quota Arrangements” block and press the <Display
Quota Arrangement Position> pushbutton. Then press the <Creation of a new Entry>
pushbutton in the ”Quota Arrangement Items” block. This creates the first line item of the
quota arrangement.
Press the <Quota Arrangement for Location> pushbutton.
Select Location TddPP11 using the <Selection> pushbutton in the “Quota Arrangement for
Location” block.
Define the following data while leaving all fields that are not mentioned blank.
⇒ Parameters
o Quota Arrangement 100
Press the <Copy> pushbutton.
Select Location TddPP12 using the <Selection> pushbutton in the “Quota Arrangement for
Location” block.
Define the following data while leaving all fields that are not mentioned blank.
⇒ Parameters
o Quota Arrangement 100
Press the <Copy and Close> pushbuttons.
Press the <Back> pushbutton.
Press the <Save> and <Exit> pushbuttons.
Repeat all relevant steps for location TddDC02 and product TddPR01.
In order to have system planning supplies, we need to create some demand. In a live environment
this would usually be the demand forecast from DP and/or sales orders from the R/3 system, to
name two of the possibilities. There is a utility transaction in APO that allows the creation of
demand elements for test purposes. We will use this function. Note that the creation of demand
My First Plan 44
elements with this transaction is possible for all planning versions, except the active one (000). The
field “Horizon” specifies how many times the creation of the sales order will be repeated. The
value of “100” means thus the creation of 100 sales orders!
From the APO tree structure type in the transaction name “SE38” into the command field.
On the upcoming screen, type the program name “/SAPAPO/SJKTST01” into the “program”
field and select the <Execute> pushbutton. Please be careful to precisely type in the following
data while leaving all fields that are not mentioned with their contents as suggested.
⇒ Type of Order CUST
⇒ Planning Area TddPASNP
⇒ Planning Version Tdd
⇒ Location TddDC02
⇒ Category BM
⇒ Product TddPR01
⇒ Date “date of next Monday”
⇒ Horizon 100
⇒ Quantity 100
Press the <Execute> pushbutton and confirm possible upcoming messages.
Press the <Back> pushbutton.
Repeat the steps above with the same data but for location TddDC02.
Press the <Back> pushbutton twice.
We now have five sales orders in the system for your product and location. Another way of
creating demand is via the forecast release from DP to SNP. This is explained in the “Forecasting
Building Block 5” step five. Refer to the instructions of this step. In the next step you will use the
heuristic supply network planning to establish sources of supply for the demand created above.
From the APO tree structure select Supply Network Planning > Planning > Interactive Supply
Network Planning
Double click on the “Selection Profile” bar and drag your newly created selection ID from the
right to the left.
Press the <Save> and <Copy> pushbuttons.
Double click on the first product line at location “TddDC01” and the previously created
demands should appear in the grid on the right hand side of the screen.
All data for the first product is loaded now and a planning run can be started.
Press the <Change> pushbutton.
Press the <Heuristic (Network)> pushbutton.
A message on the bottom of the screen informs about how many location products were
planned. If this figure is Zero, something went wrong.
Double click on the <Total Demand> key figure to open the key figure line. This will display
all elements that make out the total requirement.
Double click on the <Total Supply> key figure to open the key figure line. This will display all
elements that make out the total supply.
Investigate the results and “play” around to make yourself familiar with this screen.
Activate the context sensitive menu on any “Distribution Receipt (planned)” cell that contains
a value. Then select “Display Details”
Press the <Close> pushbutton.
Press the <Save> pushbutton.
You will create two product masters named TddPR11 and TddPR12 in both production locations.
These products represent components.
From the APO tree structure select Master Data > Product
Specify your product number TddPR11 and location TddPP11, click the “Location” radio
pushbutton and then select the <Create> pushbutton.
On the next screen select the appropriate tab and define the following:
⇒ Top Section, not on any tab
o Product Description Short description of the product
o Base unit kg (kilogram)
⇒ SNP2
o Forecast Horizon 7
o Pull Deployment Horizon 28
o Production Horizon 14
o Stock Transfer Horizon 2
o Push Deployment Horizon 28
⇒ Procurement
o Procurement Type F
o Planned Delivery Time 5
Press the <Save> pushbutton.
Repeat all of the above tasks except those under “top section” for the same product in the next
location (TddPP12), then for the next product again in both production locations.
From the APO tree structure select Master Data > Resource
Ensure that all fields are left blank on the initial screen and press the <Create> pushbutton
There are two possibilities to capture all required information on the next screen. Either you
use the grid on top, or select the appropriate tab and define the data. In either case it is required
to first select the “Single Mixed” tab in the top grid to switch over to single mixed resource
creation, and to define the resource name, resource category, and the factory calendar in the
grid. Once the type of resource is defined it cannot be changed anymore.
Select the “Single Mixed” tab and type in the following values:
⇒ General Data
o Resource Tdd-PP11-SMR01
o Resource Category P
o Location TddPP11
o Factory Calendar AU
o Press <Enter>
⇒ Standard Capacity
o Start 06:00:00
o End 22:00:00
o Press <Enter>
⇒ Short Texts
o Language EN
o Description “as required”
Press the <Save> pushbutton.
Select the newly created resource Tdd-PP11-SMR01 and then press the <Copy Resources>
pushbutton.
On the upcoming window specify the new resource name (Tdd-PP11-SMR02) and description.
Press the <Copy Object> pushbutton.
Repeat the last three tasks in this step for the next resource Tdd-PP12-SMR01 in location
TddPP12 and then again for the last resource Tdd-PP12-SMR02 in location TddPP12.
Press the <Save> and <Exit> pushbuttons.
In this step two production process models will be created, each using one finished product and two
components. The plan will be called Tdd-PLANyy (with dd being your initials, and yy a counter).
The embedded PPM will be called Tdd-PPMyy (with dd being your initials, and yy a counter).
From the APO tree structure select Master Data > Production Process Model
My First Plan 48
Name the plan to be created (Tdd-PLAN01) and the usage type (S). Ensure that all other fields
on the initial screen are left as they are and then press the <Create Plan> pushbutton.
When the next screen appears, type in a description of the plan.
Next, type in an operation description (e.g. Op. 10) for operation “0010”.
Double click on the operation you just defined to open the “activities” sub-screen.
In the sub-screen, maintain the following values:
⇒ Activity no. 100
⇒ Description Activity 100
⇒ Activity type P (Produce)
Double click on the activity you just defined to go to the next screen.
Under the “Components” tab, type in the component numbers you have created previously
while using the following values:
⇒ Product TddPR11 and TddPR12
⇒ Location TddPP11
⇒ I/O I (Input) for both
⇒ Consumption type S (Start) for both
⇒ Variable Consumption 1 for both
Click on the “Mode” tab to create a new mode while using the following values:
⇒ Mode 10
⇒ Primary resource Tdd-PP11-SMR01
⇒ Unit of measure D (Days)
⇒ Duration (fix) 1
Double click on the Mode line you just defined to open the Resources sub-screen and maintain
the following fields:
⇒ Unit MIN
⇒ Var. Bucket Consumption 10
Next, type in the operation description (e.g. Op. 20) for operation “0020”.
Double click on the operation you just defined to open the “activities” sub-screen.
In the sub-screen, maintain the following values:
⇒ Activity no. 200
⇒ Description Activity 100
⇒ Activity cat. P (Produce)
Double click on the activity you just defined to go to the next screen.
Under the “Components” tab, type in the finished product number you have created previously
(TddPR01) while using the following values:
⇒ Product TddPR01
⇒ Location TddPP11
⇒ I/O O (Output)
⇒ Consumption type E (End)
⇒ Variable Consumption 1
Click on the “Mode” tab to create a new mode while using the following values:
⇒ Mode 10
My First Plan 49
Click on the pushbutton <Activity Relationships>, which has got two arrows, one going up,
and one down.
Define the relationship on the predecessor tab using the following values:
⇒ Operation 0010
⇒ Activity 100
Press the pushbutton <Product Plan Assignment> and define the following values:
⇒ Production Process Model Tdd-PPM01
⇒ Description (as required)
⇒ Location TddPP11
⇒ Minimum Lot Size 1
⇒ Maximum Lot Size 9999999999
Click on the pushbutton <Check Plan>. Confirm the upcoming warning. A message should
come up confirming that the PPM is error free. Only proceed if this is the case.
Click on the pushbutton <Activate>. Confirm the upcoming warning. A message should come
up confirming that the plan has been activated.
Press the <Save> pushbutton, confirm the upcoming message and select the <Back>
pushbutton twice.
Repeat all of the above steps for the plan Tdd-PLAN02, using the resources in location
TddPP12. The PPM will be called Tdd-PPM02 and created for the location TddPP12.
In order to use the created master data objects, they must be linked to your work area and supply
chain model.
From the APO tree structure select Master Data > Supply Chain Engineer > Maintain Model
Type in your Supply Chain Model number (TddMODEL01) and your Work Area number
(TddWORK01) with dd being your initials. Press the <Change Model> pushbutton.
Select the “Resources” tab and then activate the context sensitive menu on it. Select “Add
Objects to Work Area”. On the upcoming “Select Work Area” screen define “Tdd*” (with dd
being your initials) as the “Internal Characteristics (from) Value”. This ensures that all
resources starting with “Tdd” will be added to your work area. Press the <Copy> pushbutton.
All resources can be seen in the tree structure on the left hand side of the screen. They are
displayed with an icon that looks like an inverse one-way-street sign, symbolizing that the
products are in the work area, but not in the model.
Assign Resources to your Supply Chain Model
Select (highlight) all of your resource icons in the tree structure and activate the context
sensitive menu on it. Select “Add to Model”. Confirm the upcoming message.
Assign PPM’s to your Work Area
Repeat the same tasks accordingly for the newly created Production Process Models.
Assign PPM’s to your Supply Chain Model
Repeat the same tasks accordingly for the newly created Products.
Press the <Save> and <Exit> pushbutton.
From the APO tree structure select Supply Network Planning > Planning > Interactive Supply
Network Planning
Select your planning book (TddPBSNP) and data view (TddPBSNP(1)) in the Data View (left
side of the screen).
Refer to the previous “Heuristics Planning Step” and perform tasks accordingly.
Press the <Heuristics (Multi-Level)> pushbutton instead of the <Heuristic (Network)>
pushbutton.
View the capacity load of your resources and level them as required.
From the APO tree structure select Supply Network Planning > Planning > Interactive Supply
Network Planning
All data for the first resource is loaded now and capacity leveling can be started. We will perform
the leveling for the first of our resources.
Press the <Change> pushbutton.
Press the <Capacity Leveling> pushbutton and navigate through the upcoming screens.
Select “Capacity Leveling by Backward and Forward Scheduling” and <Continue Enter>.
Select “Time Based Capacity Leveling without Priority Rule” and <Continue Enter>.
Clear the field “Firm Result Quantity” and <Continue Enter>.
Confirm possible upcoming messages.
Investigate the results and “play” around to make yourself familiar with this screen.
Press the <Save> and <Back> pushbuttons.
This optional exercise can only be carried out if the Demand Planning exercises were completed
beforehand!
From the APO tree structure select Supply Network Planning > Environment > Release to Demand
Planning
SNP Optimization requires extensive cost data maintenance before the planning can be carried out.
This is done in this step.
From the APO main menu select Master Data > Supply Network Planning Master Data > Maintain
Costs (Directory)
Since the cost data has been defined, the SNP Optimization planning can be carried out. Note that
any change of the cost data setting potentially has the affect that the planning result changes.
From the APO tree structure select Supply Network Planning > Planning > Interactive Supply
Network Planning
From the APO tree structure select Demand Planning > Environment > Release SNP confirmed
Forecast to Demand Planning
1. Deployment
2. TLB
Deployment is orientated towards the distribution of products that are (stock), or will be
(procurement orders) available. In this step the previously created production orders at the
manufacturing locations will be used to satisfy the distribution center demand.
From the APO tree structure select Supply Network Planning > Planning > Interactive Supply
Network Planning
Double click on the first product line at location “TddPP11”, and the previously created supply
and demand elements should appear in the grid on the right hand side of the screen.
Press the <Change> pushbutton.
Press the <Deployment> pushbutton.
Press the <Save> pushbutton.
View the impact for the product in location “TddDC01”
Repeat all relevant steps for the next product at location “TddPP12”.
View the impact for the product in location “TddDC01”
The TLB run converts single product deployment orders into multi product TLB orders.
From the APO tree structure select Supply Network Planning > Planning > Interactive Supply
Network Planning
Select your planning book (TddPBSNP) and data view (TddPBSNP(1)) in the Data View (left
side of the screen).
Press the <Transport Load Builder View> pushbutton.
Press the <Selection Window> pushbutton.
Set the “Show” field to “APO – Transportation Lane”.
Set the condition “APO – Planning Version” field to “Tdd”.
Press the <Save Selection> pushbutton and provide a unique selection description (Tdd T/Ls).
Press the <Save> and <Adopt> pushbuttons.
Your transportation lanes should appear in the top left section of the screen.
Double click on the “Selection Profile” bar and drag your newly created selection ID from the
right to the left.
Press the <Save> and <Copy> pushbuttons.
Double click on the transportation lane from “TddPP11” to “TddDC01”. The previously
created deployment orders should appear in the grid on the right hand side of the screen
(Deployment Stock Transfers).
Press the <TLB Parameter> pushbutton and the following settings:
⇒ Start Date “Today”
⇒ End Date “Today plus 1 year”
⇒ From “Today”
⇒ To “Today plus 1 year”
Press the <Start TLB> pushbutton to convert deployment orders into TLB orders. They are
visible in the “TLB Shipments” section.
Double-click any order in the “TLB Shipments” section to view its details in the “Order Items”
section.
Press the <Save> and <Exit> pushbuttons.
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You will update the two product masters TddPR11 and TddPR12 in both production plants with the
appropriate safety stock settings to enable safety stock quantity and demand related definitions.
From the APO tree structure select Master Data > Product
Specify your product number TddPR11 and location TddPP11, click the “Location” radio
pushbutton and then select the <Change> pushbutton.
On the next screen select the appropriate tab and define the following:
⇒ Lot Size
o Safety Stock Method SB
o Safety Stock 500
Press the <Save> pushbutton.
Repeat all of the above tasks for the same product in the next location (TddPP12).
Specify your product number TddPR12 and location TddPP11, click the “Location” radio
pushbutton and then select the <Change> pushbutton.
On the next screen select the appropriate tab and define the following:
⇒ Lot Size
o Safety Stock Method SZ
o Safety Days’ Supply 10
Press the <Save> pushbutton.
Repeat all of the above tasks for the same product in the next location (TddPP12).
From the APO tree structure select Supply Network Planning > Planning > Interactive Supply
Network Planning
Select your planning book (TddPBSNP) and data view (TddPBSNP(1)) in the Data View (left
side of the screen).
My First Plan 59
Refer to the previous “Heuristics Planning Step” and perform tasks accordingly.
Carry out the planning for both products TddPR01 and TddPR02.
Use the <Heuristics (Multi-Level)> pushbutton.
You will update the two product masters TddPR11 and TddPR12 in both distribution centers with
the appropriate safety stock settings to enable safety stock quantity and demand related definitions.
After that, the extended safety stock calculation takes place.
From the APO tree structure select Master Data > Product
Specify your product number TddPR11 and location TddDC01, click the “Location” radio
pushbutton and then select the <Change> pushbutton.
On the next screen select the appropriate tab and define the following:
⇒ Lot Size
o Safety Stock Method AS
o Service Level 95
o Target Days’ Supply 1
Press the <Save> pushbutton.
Repeat all of the above tasks for the same product in the next location (TddDC02).
Specify your product number TddPR12 and location TddDC01, click the “Location” radio
pushbutton and then select the <Change> pushbutton.
On the next screen select the appropriate tab and define the following:
⇒ Lot Size
o Safety Stock Method BS
o Service Level 95
o Target Days’ Supply 1
Press the <Save> pushbutton.
Repeat all of the above tasks for the same product in the next location (TddDC02).
From the APO tree structure select Supply Network Planning > Planning > Safety Stock Planning
From the APO tree structure select Supply Network Planning > Planning > Interactive Supply
Network Planning
Select your planning book (TddPBSNP) and data view (TddPBSNP(1)) in the Data View (left
side of the screen).
Refer to the previous “Heuristics Planning Step” and perform tasks accordingly.
Carry out the planning for both products TddPR01 and TddPR02.
Use the <Heuristics (Multi-Level)> pushbutton.
Create a demand profile, which can be linked to the product master record.
From the APO main menu select Master Data > Product
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From the Product Master initial screen, select “SNP: Demand Profile”.
Type in the name of the profile to be created (TddSNPDP).
Press the <Create> pushbutton.
Enter the following values for the profile:
⇒ Profile Description Tdd D Profile
⇒ Forecast Horizon 7
⇒ Pull Deployment Horizon 21
⇒ Period Split <blank>
⇒ Promotion Lead Time <blank>
Press the <Save> pushbutton.
Specify your first product number (TddPR01) and location (TddDC01), click the “Location”
radio pushbutton and then select the <Change> pushbutton.
On the next screen select the appropriate tab and define the following:
⇒ SNP2
o SNP Demand Profile TddSNPDP
Press <Enter> to see that the profiles are now used instead of the directly defined data.
Press the <Save> and <Exit> pushbuttons.
Create a supply profile, which can be linked to the product master record.
From the APO main menu select Master Data > Product
From the Product Master initial screen, select “SNP: Supply Profile”.
Type in the name of the profile to be created (TddSNPSP).
Press the <Create> pushbutton.
Enter the following values for the profile:
⇒ Profile Description Tdd S Profile
⇒ Production Horizon 14
⇒ Stock Transfer Horizon 2
⇒ Push Deployment Horizon 21
⇒ Deployment SS Push Horizon <blank>
⇒ Firm Production off
⇒ Fix Transports off
Press the <Save> pushbutton.
Specify your first product number (TddPR01) and location (TddDC01), click the “Location”
radio pushbutton and then select the <Change> pushbutton.
On the next screen select the appropriate tab and define the following:
⇒ SNP2
o SNP Supply Profile TddSNPSP
Press <Enter> to see that the profiles are now used instead of the directly defined data.
Press the <Save> and <Exit> pushbuttons.
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