Incremental Optimization and Pre-Existing Orders as Fixed Constraints

October 15, 2011

What This Article Covers How can the SNP optimizer be run with respect to processing versus the previous run? How is the SNP optimizer typically run? Background As with CTM, the SNP Optimizer can be run in net change mode. This allows the fixing that occurred in the previous optimization run to be maintained. This is well …

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Using an External System to Check Optimization Results

October 12, 2011

What This Article is About What limits the understanding of a system? Why is properly supported interpretation so important to understanding complex systems? Why are external prototyping systems generally not used? What have been the problems with cost optimizers generally? Why are Prototype Environments Important? Prototype environments allow greater latitude in testing and ultimately more creativity in all environments …

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SNP Optimizer Sub Problem Division and Decomposition

October 12, 2011

What This Article Covers What is problem decomposition? How can a supply planning optimization problem be decomposed in SNP? The benefits of decomposition. Background In finding a way to segregate the problem, cost optimizers are typically programmed to process material supply network by material supply network. This is called “decomposition,” which means to “decompose” the …

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Firming Types of the MRP Types and the Planning Time Fence

October 12, 2011

What This Article Covers What are MRP firming types? Firming types and the planning  time fence. Background There are a number of different MRP Types in the SAP ERP that are simply related to different fixing types. Here are several of the different MRP “MRP Types.” P1 MRP, fixing type -1- P2 MRP, fixing type …

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Was the MRP Type Field Named Correctly?

October 11, 2011

What This Article Covers What does the MRP Type control? What is one of the general misconceptions about MRP Type? How the MRP Type fits with MPS. Why we generally speak of a product being planned in one system or another. Why is “planned in” is not a sufficiently detailed description to explain what is …

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Documenting the Process Chain with a Spreadsheet

September 26, 2011

What This Article Covers What is the state of process chain documentation. A method for dealing with this lack of documentation. Background Process chains are functionality in APO which allows of the scheduling of different events. While process chains can be very handy, one issue is that they have a tendency to be undocumented. Therefore, …

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Transportation Lane Settings

September 23, 2011

What This Article Covers Costs associated with transportation lanes. The logic of the transportation lane view. What are product specific means of transportation? Product specific transportation lanes. What are block indicators? Transportation lane lot sizes. Procurement costs. A walk through of a number of transportation lane fields. Background Transportation lanes have several costs associated with …

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The Low Quality Level of Infosys SAP Technical Papers

September 20, 2011

What This Article Covers Can Infosys write worthwhile white papers? Is Infosys spending very much one on their “collateral” development? Why it may not be a good idea for InfoSys to continue to write white papers. Background I recently decided to review a white paper written by Infosys. This is the probably the third time …

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CTM – Demand Prioritization or Supply Prioritization?

August 15, 2011

What This Article Covers What is the downside to the sequential approach to allocation? Background There is an excellent point brought up in the book “Real Optimization with SAP APO” as to the limitations with respect to CTM. This highlights the fact that while CTM can provide sophisticated demand prioritization, its order based approach does not …

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Setting Up Fixed and Variable Production Costs for SNP and PP/DS

July 22, 2011

What This Article Covers Setup costs for SNP and PP/DS. Where are they located? What is frequently setup in practice? How well are setup costs generally maintained on projects? Background A common need is to set up production costs in the system for production so they can be picked up by the optimizer. In this …

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