SAP-APO or SAP-PP---SAP - APO is it a feasible solution?

APO: Advanced Planning and Optimization

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SAP-APO or SAP-PP---SAP - APO is it a feasible solution?

Post by rajeshvittal » Thu Jan 17, 2008 4:19 pm

I am in a decision making process of my industry scenario to map in SAP.

My scenario is as below
Sales region representatives input their requirement for 1 months in system as below
Input is
• region(in SAP it is route destination)
• Qty
• Material number
• Selling price
• Period

Once they enter the data system should collect all the data from each regional and run a statistical calculation taken fast history and generate a unconstrained sales plan/regional for 18 months.

It will be passed to a optimizer where in we will put the following constraints

• Capacity of production line with respect to that material grade
• Selling price (from input data)
• Minimum allocation qty per region/Grade
• Customer grading ABC, A is good C is worst
• Inventory available in all region and production plant for that grade
• Net back that material can fetch
• One of the important sub assembly/intermediate material – availability for future months
• Grade change over loss in USD.

With the above constraint system should generate a region plan giving details of which material (grade wise) and qty

Second output is the production plan telling which grade how much to produce and when

Is it possible to do the above in normal SAP PP or we need to go for SAP SCM?
Rajesha vittal, PMP

Posts: 14
Joined: Wed Apr 16, 2003 9:31 pm
Location: Shanghai, China

Post by endymion » Mon Feb 04, 2008 8:43 am

Your requirement can not realize in SAP R/3.
APO can realize most of your requirement by DP and SNP module, but APO do not touch price and can not provide your USD lost report based on my knowledge.
Maybe new SCM 5 can provide some new function to support it, you can write to ask SAP.

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