Product Substitution in APO SNP

[former_member197663]

Hi

I have a scenario, where the inventory could be in 2 different codes (Material A & Material B).

Main material that is in PDS is A.

The requirement is to derive production and procurement plan of A, it should also check inventory of Material B.

Need your help to know the steps to get it done in APO SNP.

Thanks

Pradipta Sahoo

[Former Member]

Hi Pradipta.

This is what I understood from your query:

- Material A & B are substitutes, i.e., A can be used in place of B, and vice-versa

- You have a source of supply (SNP PDS) only for A

- You would like to check and use up the inventory/stock of B during your planning runs for A, and generate procurement/production plans only for the balance demand

eg: Demand for A = 100 units; stock for B = 30 units; procurement/production plan for A should be 100-30=70 units

For this, you can define Supersession (SS) interchangeability group:

- create SS interchangeability relationship between A & B, B being the predecessor and A being the successor (B->A)

- use 'forward-interchangeability'

- provide the date from which this relationship is valid

- check the 'use-up' flag

- assign the locations, save and assign the group to the model (000 or otherwise)

Now, when you trigger a planning run, the system would first check and consume the stock for B (use-up checked), and then generate procurement/production plans for the balance demand of A. If you are using SNP optimizer, check the relevant box in the optimizer profile. Check the appropriate box before triggering the planning run. You should be able to see relevant substitution demand and receipt elements in the planning book.

However, point to be noted is that any demand for B will also be satisfied by generating plans for A.

You can also go through the link below to get an overview of product interchangeability in SNP:

Product Interchangeability in Supply Network Planning - Supply Network Planning Run - SAP Library

Hope this helps.

Regards,

Arpan