Supply Chain Management Blogs by Members
Learn about SAP SCM software from firsthand experiences of community members. Share your own post and join the conversation about supply chain management.
cancel
Turn on suggestions
Auto-suggest helps you quickly narrow down your search results by suggesting possible matches as you type.
Showing results for 
Search instead for 
Did you mean: 

SAP Advanced ATP Supply creation-based confirmation (SBC) with Product Allocation (PAL)

ArindamBasu
Explorer
‎2024 Nov 05 12:06 PM
487

SAP continuously evolving its technology to meet global business needs. A key transition is the big shift from Advanced Planning and Optimization (APO) Production Planning/Detailed Scheduling (PPDS) to the more advanced SAP S/4HANA Production Planning and Detailed Scheduling (S/4 PP/DS) – formerly known as ePP/DS.

This meaningful transition marks a leap from a somewhat isolated planning tool within the broader APO suite to a fully integrated component of the S/4HANA landscape now-a days. S/4 PP/DS embeds detailed scheduling and planning capabilities directly into the digital core of S/4HANA, leveraging the power of HANA’s in-memory technology to enhance performance and real-time data processing.

A typical high level process flow diagram for SBC for Make to order scenario (MTO) is depicted in below image. A sales order is created for a MTO product which calls for ATP (Availability-to-promise) check in aATP and finds no available stock, hence it goes to embedded PP-DS (now called as Advanced planning in S/4HANA) for ‘Capacity & Scheduling simulation). Subsequently, a Delivery proposal is created in S/HANA core and a Planned orders are created in PP-DS on saving of Sales order for the finished good as well as for components.

ArindamBasu_0-1730473973856.png

Business Scenario:  In MTO scenario customer’s order doesn’t have inventory to fulfil the order. And by leveraging the SBC functionality Order confirmation should happen and subsequent Planned order should be available, we will use Capacity Product Allocation check and confirm the Sales order accordingly.

Process flow:

  • SBC provides effective methods such as a Product Availability Check (PAC) to assess availability. By using PP/DS features, SBC can simulate, plan and create the needed supply elements when current inventories are insufficient, taking into account factors such as capacity and component availability too.
  •  After running a PAC, aATP identifies the shortfall and sends this information to PP/DS for capacity and scheduling simulations. PP/DS then creates temporary supply elements, such as planned orders and purchase requisitions, to hold capacity for the complete BoM.
  • Once the sales order is saved, the temporary elements are turned into permanent supply elements in PP/DS, ensuring a seamless transition from planning to execution. Below is an overview of the process and the functionality that owns it.

ArindamBasu_2-1730474092369.pngQuick Notes to set-up SBC:

As I observed the most of the settings are already covered as per the SAP Standard settings from both PP/DS and SD ATP side, you may check the blogs mentioned in the reference section for the details. Still, please take a note of the followings:

  1. Availability Check should be active for both Advanced ATP and SBC check.
  2. Master data need to be set-up like :
  3. Relevant Availability check should be assigned in Material Master.
  4. In ‘Advanced Planning’ tab of Material Master should have Product Heuristic (SAP_PP_SBC) details, PP plng Procedue should have appropriate value ( 3 or 4 ) based on the business scenario.
  5. Advanced Planning should be activated in the Advanced Planning tab of Material Master.
  6. If master data set-up is finished or you made changes, transfer the changes to PP/DS (S/4 internal) with transaction CURTOADV_CREATE (with absolute transfer if you want to go for sure).

First displayed is the sales order creation in the Fiori app Create Sales Order.

ArindamBasu_3-1730474147557.png

Once the sales order has been created, the aATP run has been triggered and the Supply Creation-Based Confirmation has been initiated, the user can see an overview of the check executed in the intermediate results view.

ArindamBasu_4-1730474175584.png

 

As long as the sales order has not been saved, the user can check the temporary requirements in the product view to see the proposed results of the ATP check.

ArindamBasu_5-1730474210639.png

Product Allocation (PAL) with SBC :

I will not go into details about Product Allocation, as it is a blog for itself. You can read about how to use and setup PAL in different blog posts or please refer to SAP Help document as mentioned in the reference section.

For my use case, as I described above, I have a straightforward PAL setup, with: monthly buckets for the capacity allocations.

The reason for not using Sales PAL here is within an MTO scenario including sales PAL will not update the PAL time bucket after the data in the planning order will change. This may cause a high discrepancy between the date of the PAL consumption and the delivery date. Please refer to the SAP FAQ document: 2691783 - FAQ: Product Allocation Check (PAL) with aATP - SAP for Me ( Point : 37)

Conclusion: This is a nice feature if you have a MTO scenario and you can leverage SBC with Capacity PAL to get the more accurate results.

Reference:

  1. SAP S/4HANA aATP Supply creation-Based Confirmatio... - SAP Community
  2. 2691783 - FAQ: Product Allocation Check (PAL) with aATP - SAP for Me
  1. "Product Allocation in advanced Available-to-Promise" by Andreas Krause
  1. "SAP S/4HANA advanced ATP Product Allocation – One way to prioritize customer demand" by Albrecht Hu...
  2. Advanced ATP Check | SAP Help Portal

 

 

Labels:
Labels in this area
Popular Blog Posts