Quata based quantities (for quota arrangement ) generation from SNP Optimser

[Former Member]

Hello APO Experts,

Scenario : SNP optimiser generate the Quota based quantities.

I just want to know , about all the master data requirement for this scenario.

How this facility of quota generation will be useful in which business conditions?

Regards,

Rajesh

[rajkj]

Hi Rajesh,

Here are few more links on master data requirements to support optimized-based planning.

Master Data: http://help.sap.com/saphelp_SCM700_ehp02/helpdata/en/25/a4e44d64fe11d3b6390000e82de178/content.htm

Optimization Profiles: http://help.sap.com/saphelp_SCM700_ehp02/helpdata/en/c0/717b37db6bcd66e10000009b38f889/content.htm

Optimized quota generation:

SNP Optimizer attempts to find an optimized planning that is most cost effective based on the constraints placed on the system and different costs (relative costs or weightages) involved such as

• Production, procurement, storage, and transportation costs
• Costs for increasing the production capacity, storage capacity, transportation capacity, and handling capacity
• Costs for violating (falling below) the safety stock level
• Costs for late delivery
• Stockout costs

It uses the linear programming method (Operations Research's simplex method) to take account of all planning-problem-related factors simultaneously within one optimal solution.

As Pawan mentioned, if you select the option 'Modify quota arrangements', the optimizer run will generate optimal quotas  considering the costs, penalties, and priorities maintained in SNP Costs/ SNP Penalty Cost Group profiles.

Typically, optimizer run is scheduled to run once in a week with quotas update option selected. The generated quotas are used as a basis for short-term planning such as deployment run.

Thanks,
Rajesh

[former_member209769]

Hi Rajesh,

Read the following link to understand more about SNP Optimizer run:

http://help.sap.com/SCENARIOS_BUS2007/helpdata/EN/46/1d693f078b5a68e10000000a1553f7/frameset.htmhttp://help.sap.com/SCENARIOS_BUS2007/helpdata/EN/18/e74041b02e4c0de10000000a1550b0/content.htm

To be specific, line 7 gives you an answer:

"The results of the optimization run can be used to calculate quota arrangements for use in the heuristic (inbound quota arrangements) and the deployment heuristic (outbound quota arrangements)"

You would also get some good information about quota creation by optimizer through F1 help documentation on the check box "modify quota arrangements" in the transaction /sapapo/snpop.

Thanks - Pawan