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Conversion of SNP orders into PP/DS orders (enhanced) ( RELNAPO_310_PPS_SNP2PPDS )

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Conversion of SNP orders into PP/DS orders (enhanced)

Use

When planning, you can use Supply Network Planning (SNP) together with Production Planning and Detailed Scheduling (PP/DS). You use SNP for medium to long-term aggregated planning. Here, you can determine the sources of supply (external procurement or production) that are optimal from a cost point of view (for example, external procurement costs or storage costs. You use PP/DS for detailed scheduling and optimization of dates, resource assignment and the sequence of in-house production orders, for example. If you want to base the PP/DS planning on SNP planning, you convert the SNP orders into PP/DS orders.

To improve integration between SNP and PP/DS, the conversion function has been enhanced for SAP APO 3.1. For example, the enhancements support a scenario in which SNP has the planning control, and can specify the lot sizes, sources of supply and - for in-house production - production alternatives (mode selection) for production planning; PP/DS is only used to create complete PP/DS planned orders from SNP planned orders - in general only the most important components are planned in SNP - and to create a sequence of orders with detailed dates. In such a scenario, requirements planning only a task in SNP, that is, PP/DS orders are created for the products only through the conversion of SNP orders.)

Planning horizons and conversion horizons

Previously, the areas of responsibility of SNP and PP/DS were only separated by one horizon, the production horizon: Within the production horizon, PP/DS heuristics were used for planning, and outside the production horizon SNP was used. SNP or Capable-To-Match planning (CTM) orders could be converted into PP/DS orders, for which the start date of the first activity was within the production horizon. By specifying an offset, you could extend the conversion horizon and also convert SNP/CTM orders that began later.

In SAP APO 3.1 a horizon has been introduced that is specific to PP/DS - PP/DS horizon - in which you can plan using PP/DS heuristics. The conversion horizon is now determined by the PP/DS horizon and the offset. The horizon previously called the production horizon is now only relevant for SNP and has thus been renamed the SNP production horizon; SNP can only plan production outside this horizon.

If you define overlapping horizons, that is, if the SNP production horizon is shorter than the PP/DS horizon, then SNP and PP/DS will have the same planning area. When using mixed resources, in SNP you can consider the resources loaded by PP/DS orders and adjust the planning in the shared planning area to the current PP/DS planning. If you are using reconciled plans (production process models, iPPE plans and runtime objects) in SNP and PP/DS, with suitable conversion parameters, you can integrate SNP planning seamlessly into PP/DS planning.

You specify the PP/DS horizon and the SNP production horizon in the location product master. In the planning version you can specify a default PP/DS horizon that is used by the system if no PP/DS horizon is specified in the location product master. In the event of an upgrade, the system automatically transfers the value of the (SNP) production horizon into the new PP/DS horizon.

Adjusting the conversion horizon to the SNP time buckets profile

If the end of the conversion horizon is in the middle of an SNP planning period, not all SNP/CTM orders in this period will be converted into PP/DS orders. This may be undesirable. In SAP APO 3.1, the system can automatically extend the conversion horizon to the end of the SNP planning period in which the end of the conversion horizon lies. The system converts all SNP/CTM orders in this period.

Order types to be converted

In the new order type field, you specify which SNP orders the system should convert into PP/DS orders. This field replaces the ATP category and convert time-continuous CTM orders fields, with which the order types to be converted were previously defined.

Lot sizes of PP/DS orders

For the conversion of in-house production orders, the system has to determine the lot sizes of the PP/DS orders. Previously, you had the following options:

• The system converts an SNP/CTM order into a PP/DS order with the same quantity.

• The system determines the lot sizes according to the lot size settings in the location product master and creates corresponding PP/DS orders.

You specified which option the system should use using the lot size determination indicator.

In SAP APO 3.1 there is a further option with which the system can determine the lot sizes from the lot size interval in the PP/DS plan (PPM, iPPE Plan or runtime object) or the transportation lane; you define the lot size interval by entering a minimum lot size and a maximum lot size. The lot sizes created by the system for PP/DS orders depend on the receipt quantity of the SNP/CTM order, as follows:

1. The receipt quantity of the SNP/CTM order is less than the minimum lot size.

Here, the system automatically rounds the receipt quantity up to the minimum lot size and creates a PP/DS order with this quantity.

1. The receipt quantity of the SNP/CTM order is between the minimum and maximum lot size.

Here, the system creates a PP/DS order that has the same quantity as the SNP/CTM order.

1. The receipt quantity of the SNP/CTM order is greater than the maximum lot size.

Here, the system splits the receipt quantity of the SNP/CTM order into partial quantities, the same size as the maximum lot size, and creates planned orders for these lot sizes. The system determines a lot size for the remaining quantity according to rules 1) and 2) and creates a planned order with this lot size.

In the new lot size field, that replaces the old lot size determination indicator, you specify which lot size option the system should use.

Note: As of SAP APO 3.1, the system can create an SNP PPM with a lot size interval the same as the lot size interval that you have already defined for the PP/DS PPM. For more information, see the release information on Creating SNP PPMs.

Mode selection

Previously, you were also able to specify that, for conversion of PP/DS planned orders, the system should use the PP/DS PPM that is entered in the SNP PPM. If different modes were assigned to the operations in the PP/DS PPM and so that different production alternatives could be modelled, the system automatically executed mode selection when creating the PP/DS planning orders.

In SAP APO 3.1 SNP can specify not only the PPM for PP/DS, but also the mode selection. A prerequisite is that you have created corresponding SNP PPMs from a PP/DS PPM that allows different mode combinations. You do this using the generation report for the SNP PPM. For more information, see the release information on Generating SNP PPMs.

Order status of the PP/DS orders

Previously, you could specify that the PP/DS orders should have the status output fixed. In SAP APO 3.1 you can now also specify that the system should set the conversion indicator for the PP/DS orders, for conversion in the active planning version 000; a planned order or purchase requisition, for which the conversion indicator is set, will be converted into a production order or a purchase order immediately after transfer to the SAP R/3 system. Before setting the conversion indicator, the system can execute a conversion check. For more information, see the release information on Checks with Order Opening.

Conversion mode

In the conversion mode field you could previously specify if the system should plan components or stock transport requiremenets of the newly created PP/DS orders. In SAP APO 3.1 the conversion mode field has been removed; the system plans the components and stock transport requirements according to the planning procedure specified in the location product master. For more information, see the release information on PP Planning Procedure.

Displaying orders to be converted

You can now use the display selection indicator to specify that the system should display the SNP/CTM orders to be converted. In the display you can start the conversion specifically for selected orders.

Effects on Existing Data

Effects on Data Transfer

Effects on System Administration

Effects on Customizing

Further Information

Release Information

• Creating SNP PPMs from PP/DS PPMs

• Cross-Period Lot Sizes

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