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snp heuristics and optmizer

Former Member
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dear experts

i have a basic question.

heuritics - in case i have a demand on 01 Dec 2012 for 100 and 10 Dec 2012 for 200

then depending on the leat times and so on.....the heuritic run will give me supply elements for date , say 20 Nov 2012 and 01 Dec 2012.

is it right ?

optmization - in case i have a demand on 01 Dec 2012 for 100 and 10 Dec 2012 for 200

in case i run optimizer the end result will also be the same , i.e give me the supply elements , right ?

in optmization , can it happen that the demand on 01 Dec / 10 Dec cannot be satisfied - rather it gets pushed / delayed ( because of other prriorities )

thank you in advance for your help.

regards

kk

Accepted Solutions (1)

Accepted Solutions (1)

rajkj
Active Contributor
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Hi KK,

Heuristics - This planning run uses infinite loading and generates supply elements just based on the master data settings (i.e. lead times, calendars, etc). In case of exceptions, the planners have to depend on the alerts and change the plan manually.

Optimizer - This planning is based on linear programming and loads the resources finitely. Based on the cost factors (partial fulfillment, late supply penalties, etc) maintained in the system, the optimization run generates supply proposals to either maximize the profit or minimize the costs. Depending on the customer and order priorities, these orders can be delayed or advanced to earlier date.

Thanks,
Rajesh

Former Member
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Dear Rajesh

As usual you are right on target.

I got it.

But in LP we have objectives ( where we maximize profits / minimize costs ) , we also have decision variables and we also have constraints.

How do we differentiate these 3 in our SNP ?

Thanks for your explanation in advance.

Regards

KK

rajkj
Active Contributor
0 Kudos

Hi KK,

Thanks for the nice comments.

With respect to optimization (linear or discrete), the optimization profile allows you to define the objective and constraints like capacity, shelf life, safety stock, etc. The  cost profiles allow you to define the coefficients. The cost functions define costs of penalty and non-conformity. In highly generalized form, your product mix, resources and their capacities, demand, stocks, vendors, transportation means, etc constitute the decision variables for your model.

Thanks,
Rajesh

Answers (0)