source of supply selection

[Former Member]

HI

We have a requirement where in we have an inhouse source of supply and an external source of supply. The material has to be produced in house ( so system has to create planned orders) per the resource capacity and the rest has to be procured externally. Further the users want the ability to switch the sources of supply when needed.

I am wondering if any one can advise how to do this in SNP using heuristics/capacity leveling or CTM. Optimizer is not in scope.

I believe quota arrangements can be setup only between inhouse or between external and not both. I think CTM supply categorization is an option. we are exploring that too. If any one has more details about supply categorization ( except sap help), please share.

Thanks.

[Former Member]

Hi KA,

I think that can be achieved with procurement type X - In House or External Procurement.

Normally if capacity exist at work center level the first step is to consume the capacity of the work center at 100% then if the demand can't be satisfied on time by in house production the heuristic will create Purch.Requisition (external procurement) to cover on time the rest of the requirements.

The users can switch manually the type of source of supply direct in the SNP planning book by creating pl.orders or p.req.   

You could also use quotas. In this case you need to use a dummy PPM to model External procurement.

Thanks.

Regards, Marius  

[Former Member]

HI Marius

Thanks for your reply. Yes we have X as procurement type.

"The users can switch manually the type of source of supply direct in the SNP planning book by creating pl.orders or p.req."

This is actually for background run. The requirement is to change a parameter and the system should take care of this in background run. Also can you throw some light on how to model dummy PPM with contracting location as source? Thanks.

[Former Member]

Hi

I think there are multiple ways to achieve this requirement.

You can define priority while selecting source of supply or transport lanes between Distribution center to factory and Distribution center to external vendor. In our case we are achieving this requirement by using transportation priorities and we are using CTM.

you have to assign priority to transportation lanes manually . It cannot be achieved using CIF

Thanks

[Former Member]

Hi Amol

Thanks for your reply.

I am a bit confused with your answer. The demand is at plant and we have a PPM or a transportation lane ( to manufacturer to plant) as the two sources.

As I understand we can only apply quotas between transportation lanes or between PPMs. Not between transportation lane and a PPM. You said you managed this in CTM. How did you manage this in CTM?

"You can define priority while selecting source of supply or transport lanes between Distribution center to factory and Distribution center to external vendor."

How do you define priorities in transportation lane for a PPM?

Can you please help me understand?