Harsh,
I have never heard of step-down used directly in RM planning.
Step-down is done in manufacturing, to minimize setups, maximize efficiency, and reduce scrap, in industries where different operations within an order execute multiple iterations through the same work center, each time with progressively (either progressively smaller or progressively larger) different setups. Number of iterations in each order may be different, but the setups are always progressive for each individual order. Setup time/costs are substantial. The Step-down matrix allows you define how to plan the execution of your orders and the execution of your operations through the iterative work center in the mid and long term, all the while minimizing setup costs, but also minimizing work in process and staying within capacity constraints.
You would think that such problems would be solved with an optimizer. I once talked to a consulting company who implemented step-down in SNP through SNP Optimizer, where the work center in question was a rolling mill used in manufacturing rolls of sheet steel. Unfortunately, I have never actually implemented one myself, nor seen one in operation; sorry to say. I have never seen step-down in SAP's Best Practices(but there are new ones appearing all the time!). There might be something in the DIMP add-on docs, that would be the first place I would search.
It is not clear to me how anyone would apply step-down planning to a RM, which are typically purchased and not manufactured.
Best Regards,
DB49
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