Single Level & Multiple Level Cost in PPM

[Former Member]

Hello ,

I am not clear on the Single Level & Multiple Level Cost we mantain in PPM . Can any one please explain the significance ..

Thanks

Kaushik

[Former Member · Accepted solution]

Hi Kaushik,

These parameters are used for the scheduling heuristic in PP/DS. If there is a shortage of a product, the system first determines all possible sources of supply. Sources include transporation lanes and the production process model.

These are sorted according to their costs. The source of supply with the lowest costs is first checked. If the product can be taken from this source on time, the system terminates the search.

If this is not possible, the system checks the next source with the lowest costs.

Both Single level and multilevel are quantity-dependent costs which are incurred when using this production process model

Hope it is clear now

Please confirm

Regards

R. Senthil Mareeswaran.

[kaushik_choudhury2 · Accepted solution]

Hello Senthil ,

Thanks for sharing the information .....I'm still not very clear on the differrence between the Single Level & Multiple Level Cost .

Can you please tell me some scenerio where we maintain the either one ...

Regards

Kaushik

[kaushik_choudhury2 · Accepted solution]

Hello ,

I read now in some material that single level cost is relevant for SNP optimizer whereas the multilevel cost is for CTM & PP/DS. Can any one please suggest if there is any other diff between the two ...

Regards

Kaushik