10 Tips for Implementing SAP APO SNP

  • by Plan4Demand Solutions
  • October 15, 2007
As you implement Advanced Planning and Optimization Supply Network Planning, consider these 10 preparation and setup tips to help you maximize your system resources and eliminate potential data problems.
Key Concept
Supply Network Planning (SNP) in SAP Advanced Planning and Optimization (APO) provides a link between Demand Planning’s (DP’s) forecasting functionality and the more detailed scheduling that takes place either in the Production Planning component of SAP ERP Central Component or in APO’s Production Planning/Detailed Scheduling module. SNP takes the forecast provided by DP and nets it against existing inventory to generate replenishment requirements for an organization’s entire supply infrastructure.

Although Demand Planning (DP) is the most frequently implemented module of Advanced Planning and Optimization (APO), Supply Network Planning (SNP) is almost as common. SNP is a natural hand-off from DP because the forecast from DP is the key input for SNP. The main benefit of SNP is the projection of mid- to long-term large volume loads for facilities, machines, labor, or raw materials based on the forecast. Here are 10 tips — gleaned from the experience of numerous installations — to consider when implementing APO SNP.

The tips are categorized into two sections: “Preparation” and “Technical Setup.” The “Preparation” section offers tips for the project planning phase. Topics include scope, team roles, and deadlines. Before customization/configuration begins, the five preparation tips can help teams focus and avoid potential headaches down the road. The “Technical Setup” section provides tips for configuring SNP.

Plan4Demand Solutions

Plan4Demand (www.plan4demand.com) is a supply chain consulting firm with deep expertise in demand and supply planning, S&OP, warehouse/transportation management, and network optimization. Its world-cl

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