SNP Optimizer - Safety Stock and Receipts generation

[Former Member]

Hi Experts,

We are working for trading industry where we procure and sell the products. We haven't setup PPM/PDS. We are using Optimizer extensively. We have been facing the following two issues. If you encouter the same, please let us know.

-> We have saftey stock maintained in location master (Destination) with method SB. When we run optimizer system doesn't considering the safety stock and only considering the demand. Please suggest How do we make system to consider safety stock also as demand.

-> After Optimization, receipts are generated at Distribution receipts at Source even product is marked for "X" in procurement tab page at source level. Why system is not giving importance to Production receipts is worrying me. Can you please throw some light.

Thanks & Regards

Ugamesh

[former_member187488]

Hi,

Please first make sure that:

1)In product master, you have maintained safety stock on 'lot size' tab.

2)In product master, 'Procurement' tab, whether you have set anything for the below two fileds:

Prod. Storage Costs

Safety Stock Penalty

If storage costs is high, you may not get stock created.

3)In optimizer profile, you set other option than 'Ignore safety stock' on the first tab.

Then you go to /sapapo/opt11 to check the optimizer log. Find your log, and push the application log icon (on the second column).

In the Input log, there's a table calls 'ET_LOCPROD'. Check whether safety stock is correctly input.

You can also check result log, but if you use 'Expain' functionality, you may get a better view of the result.

Regarding the source of supply, optimizer source determination is based on costs.

If the costs on PPM/PDS is more than transportation lane, transportaion lane will be chosen and distribution receipts are created instead of production receipts.

Please refer to online help http://help.sap.com/saphelp_scm70/helpdata/EN/da/8df3128121304a8dc1eef961a6d3a8/frameset.htm

Source Determination in Supply Network Planning -> Source Determination (Optimizer)

Best Regards/Ada