Planning for Raw Materials in APO

[Former Member]

Hello All,

Thank you for reading this post. We have a situation here. The business uses demand planning to forecast the finished goods. Now we want to forecast the Raw Materials required to make the finished goods as well. The business do not want to use the Char Based Forecasting. Can you suggest anything else. Thanks.

Regards,

Rohit.

[Former Member · Accepted solution]

There are two possible solution. Here assumption is that the raw material/component is included in the BOM of finish product.

First solution is the use of DP BOM. The forecast of the finish product will drive the demand for components.

Second solution is to plan the finish product by SNP. The SNP planned orders of finish product will drive the demand (dependent demand) for the components or raw material.

Regards,

Mukesh

[Former Member · Accepted solution]

Thank you Mukesh. I have suggested them these scenarios earlier and I am waiting for their response. So I was thinking if there is another alternative.

Regards,

Rohit.

[former_member629801 · Accepted solution]

Hi Mukesh

I also tried with second option for panning the raw material but my concern is , i don't want the planned orders to be created for Header material , only dependent material should get planned .

How can i avoid system to avoid header material but propagate the dependent demand to Components.

kindly suggest.

Thanks