SNP and PPDS planning horizons

[Former Member]

Hai,

I am reading through SNP and PP/DS planning horizons. I understand that SNP doesnot plan anything within SNP production horizon whereas PP/DS plans only within the PP/DS horizon.

Now, I get confused when trying to understand the following sentences:

1. If production horizon of SNP is smaller than the PP/DS horizon, the planning horizons of SNP and PP/DS overlap with each other. In this horizon, SNP determines the receipts with most cost-effective sources of supply and lot sizes and PP/DS plans the receipts in more detail.

2. If requirements within the SNP production horizon cannot be covered by PP/DS, then SNP plans the receipt outside the SNP production horizon(this corresponds to the logic in the PP/DS planning time fence in short term planning).

3. If the PP/DS horizon in the product master is set to be greater than SNP production horizon, this gives rise to an overlapping area in both SNP and PP/DS receipts are created.

Can anyone please help me undestand the above? An example or somedocumentation reference is appreciated.

Thank you.

[somnath_manna · Accepted solution]

Hi Visu,

Good question. You missed Planning Time Fence in the equation.

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1. PTF SNP PPDS

You execute PPDS Heuristic (Product Heuristic) then requirements upto PPDS horizon will be covered by receipt elements (beyond Planning Time Fence). If you run SNP Heuristic then receipt elements will be created from SNP Horizon out in future deleting the receipt elements created by the previous PPDS run. But note that while PPDS planning is down to the second level SNP planning is minimum at a day level. If you have weekly buckets then all requirements for one week will be clubbed and single receipt element will get created. However you can consider SNP orders as fixed during PPDS Net Requirement Calculation through appropriate development.

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PTF PPDS SNP

2. This is also not clear to me as I cannot build the scenario as described. The above diagram is the closest I could come up with. But in this case if you run SNP Heuristic and there are unmet requirements (sitting between PPDS and SNP horizon) then the receipt for that will be created only at the start of the SNP Horizon.

3. This is correct but already explained in 1.

Hope this clarifies or at least does not add to the confusion. BTW if you are interested then please read OSS Note 481906 - SNP - PP/DS integration (documentation).

Thanks,

Somnath

[Former Member · Accepted solution]

Hai Somnath,

Thanks for the reply. I now understand half of it. When its saying that the PP/DS horizon and SNP production horizon overlap with each other, then the both PP/DS receipts and SNP planned orders are created and the SNP planned orders overwrite the previous PP/DS receipts.

Here is the question: As far I understand, for example, SNP plans orders for lets say 10 days and then PP/DS has to plan for details like for minutes or seconds within the 10 days. The words "small" & "big" confuse me. SNP production horizon is always larger than the PP/DS horizon. Is it talking about different horizons? like previous bucket's SNP production horizon and the next bucket's PP/DS horizon overlap?

Thanks again for your time and knowledgeable answers.

[somnath_manna · Accepted solution]

Hi Visu,

This (SNP and PPDS integration) is one of the confusing topics of APO which really needs to be tried out hands on.

"for example, SNP plans orders for lets say 10 days and then PP/DS has to plan for details like for minutes or seconds within the 10 days"

There cannot exist two sets of orders for the same period because that means double amount of receipt elements. So logically you have run SNP Heuristic and created orders and then later as this period comes closer to TODAY you run PPDS Heuristic which plans it in more detail. Please note there may be one SNP order covering the requirements for whole of 10 days (say 1 requirement per day) whereas PPDS will create 10 orders to cover each requirement per day.

In terms of order duration, SNP PPM will have a minimum of 1 day per operation and mostly only the bottleneck operation and resource is considered. On the other hand PPDS PPM will be detailed with all relevant operations planned and down to hours, minutes and seconds. As a result the total duration maybe less or more than one working day for all the operations.

Does this answer your query?

Thanks,

Somnath

[Former Member · Accepted solution]

Hai Somnath and Harish,

First of all thanks to Somanth for taking so much time and interest to answer these questions. Thanks for Harish too. Thanks for that note. It's very elaborate.

I think I am now clear with the scenarios. I am logically talking about only 2 scenarios here wherein I have the SNP horizon is shorter than(comes before) PP/DS horizon and when the PP/DS horizon is shorter than(comes before)SNP horizon.

In my first case, as the PP/DS is not yet covered, so SNP plans receipts with the most cost-effective sources of supply and lot sizes. Then PP/DS comes into picture and it plans in more detail.

In my second case, the PP/DS comes first and then SNP is run. I'm assuming that the PP/DS is still running covering for previous SNP run. Then there is no overlap and the SNP plans receipts outside the SNP production horizon.

Somanth, I see what you say about PP/DS being more detail in case of PPMs. PP/DS PPM has many resources and operations. But when its converted to SNP PPM has only one resource and operation.

Thanks a lot for the help.

Using the words small and big confused me. It is actually meaning before and after. Is it?

Please correct me if I am wrong.

[Former Member · Accepted solution]

Hi Visu.. no worries...

Its easy to understand if you think of SNP and PPDS planning as 2 completely independent planning activities. The purpose and the heuristics used for both are different.

Technically the PPDS plan is superior and can overwrite the SNP plan within the SNP planning horizon , so, if the logic for your SNP and PPDS are in conflit, you you couldve not even bothered to have run the SNP.

Ideally the SNP plan should flow through into a PPDS plan hence not losing the planning effort and benefits of SNP

I suppose the small and big here mean the length of the horizon and not the period itself.. so yeah before and after as stated by you

Scenario 1:

"Supply Network Planning (SNP) is permitted to plan outside of the SNP production horizon only. If the SNP production horizon is smaller than the PP/DS horizon, the planning horizons of SNP and PP/DS overlap. SNP and PP/DS can both use this overlapping period for planning."

[Former Member · Accepted solution]

Thanks Harish for the reply. I wanted to giv more points that the system is just permitting only 2 points here. Thanks a lot anyway.

[Former Member · Accepted solution]

points dont matter as long as it helped its fine

[Former Member]

Hi visu

Note 481906 gives a very elaborate explanation on this topic. Hope that helps