APO CTM - Timely demand fulfillment

[Former Member]

Hi All,

As per my understanding, CTM is supposed to violate priority and quota arrangement to honour the due date of demand from the factory. Is this true?

The help file says "CTM planning always first tries to fulfill the demand on time. This is also the case if the system cannot take the specified Quota Arrangement or Procurement Priority into consideration".

However, in my prototype, I am seeing that the demand due date is not being met even though there is some idle capacity lying in some other supplier. i.e. demand at the factory is being fulfilled late even though some idle capacity exists in a particular supplier in the network. Can anybody throw some light on this?

Thanks in advance

Ehsan Ahmed

[srinivas_krishnamoorthy]

What are your global settings for CTM's late demand fulfilment ? Does it have adequate number of days in the past ? Due to lead time constraints, sometimes demand may need to be fulfilled late even though capacities are available.

[Former Member]

Hi Srini,

In the global settings, we have the following settings:

Allow Late Demand fulfilllment 999 days

Strategy : Domino Strategy

Order Creation Frame 999 days

Max earliness for planned orders 999 days

I have selected Backward scheduling in CTM profile....I have two suppliers with different priorities but I still find that both the supplier capacity is not being fully utilized even though the demand is being fulfilled late.

Regards

Ehsan Ahmed

[Former Member]

Hi,

CTM will violate the priority and quota and fulfil the demand on time only if it is possible as per the lead time defined in Transportation lane.

If the it cant fulfill the demand on time it will check for source which can fulfill the demand as close to demand date as possible, so I think even if their is excess capacity as in your case it is not meeting the demand on time becausea of the lead time.

Thanks,

Sanjog