When running aggregate planning for SNP the distribution requirements are not initially recognized and the same thing seems to happen on disaggregation.
What I am trying to determine is whether SNP is capable of handling a situation where a bulk material is both sold and consumed by the finished goods that exist in the same hierarchy.
THE PROBLEM:
The default SAP hierarcies, SNP_LOC_HIER, SNP_PROD_HIER, SNP_LOCPROD_HIER and SNP_PDS_HIER and are used.
The SNP_LOCPROD_HIER is generated as follows:
Agg1, Mfg Plant:
Material Bulk, MFG Plant
Material A, MFG Plant
Material B, MFG Plant
Agg1, DC1:
Material B, DC1
Below the aggregate demand is calculated from the following members of the hierarchy:
Agg1, Mfg Plant = 50
Material Bulk,Mfg Plant = 20
Material A, Mfg Plant = 30
Material B,Mfg Plant = 0
Agg1, DC 1 = 50
Material B,DC 1 = 50
Process:
Step 1.) Run SNP low level code. Not really sure if this is necessary
Result: The low level code is correctly determined
Step 2.) In SNP interactive planning run the mulit-level heuristic for Agg1, MFG Plant. This heuristic should look at multiple Product/Locations (i.e. the entire network)
Result: On the first run of multi-level, Interactive SNP does not see any "distribution requirements". For the example above, we would expect to see 50 flowing back from DC 1 to Mfg Plant.
Step 3.) We run the multi-level heuristic again.
Result: This time the system recognizes the distribution requirement and correctly calculates the "planned production". This is not ideal to have to run the heuristic twice, but is not fatal.
Step 4.) Save the results then disaggregate using "network disaggregation" at Agg1, MFG Plant.
Result: The correct total amount is disaggregated. However, similar to Step 2, the proportions that SNP uses to disaggregate do not account for the "distribution requirement".
Upon disaggregation we would expect to see the following planned orders at a product level at the MFG Plant:
Material Bulk (Mfg) = 20, Material A (Mfg)= 30, Material B (DC1)= 50, which would represent 20%, 30% and 50% respectively.
What we actually see is :
Material Bulk (Mfg) = 40, Material A (Mfg) = 60 and Material B (DC1) = 0. What has happened is the "distribution requirement" of 50 for material B was not included in the proportional breakdown, so you essentially get the proportional factors of Material Bulk = 20/50 = 40% * 100 = 40 and Material A = 30/50 = 60% = 60. As a result we have produced too much Material Bulk and Material A and not enough B.
I hope I explained this is adequate as it is difficult to explain.
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