CTM and the cost of PPM & Transportation Lane
From the on-line document, we know that CTM will take the fixed multilevel cost of PPM and the means of transport cost of the transportation lane into consideration. I already set these values but it seems no influence for the CTM run. I've checked the other settings(priority, transportation time, CTM master data) and all of them are OK. Did I miss something in the IMG or CTM profile? Why the cost function doesn't work?
Thanks for your advice,
With procurement type In-House Production or External
Procurement, the system compares the procurement priority from the
transportation lane with the multi-level costs in the PPM. The source
of supply with the lower value has priority over the source of supply
with the higher value
If procurement type is X.
The calculation of PPM priority is given below:
Costs (Priority) = var. costs x quantity + fixed costs
var. costs, fixed costs -> Plan multilevel cost
quantity -> first demand quantity for each product
The lane priority is directly considered. And when the two are compared
the one with the lower priority number is taken.