Order-based Planning with SAP Integrated Business Planning for Response and Supply

Objectives

After completing this lesson, you will be able to:

  • Understand the concepts of Order-based Planning with SAP Integrated Business Planning for Response and Supply

Order-based Planning with SAP Integrated Business Planning for Response and Supply

Response Management to Meet Quick Changes Coming from Supply and Demand Signals

Use response management to plan your company's supply and demand. This means ensuring that you always have enough stock available, and that you can respond quickly to any changes that might arise on short notice.

With response management, you can take care of the entire process as follows:

  • Create a supply plan, which can be tailored to your individual customer requirements based on master, transactional, and configuration data imported from any systems, as well as forecast information.

  • Control which orders will be processed first by creating rules to rank customer orders by priority.

  • React quickly to any unforeseen supply and demand changes, using simulations (what-if analysis) to try out potential solutions, and then update your live plan accordingly.

  • Analyze gating factors to better overcome them in future.

Response management requires master data (especially locations and materials), transactional data (especially order information), and proper configuration to work.

Order-based Planning with SAP Integrated Business Planning Response and Supply - Key Capabilities

SAP Integrated Business Planning for response and supply is very similar to APO GATP (Global Available to Promise) in that it considers Demand Prioritization (based on customizable rules), allocations and sequence of back-order processing.

Note
ATP is now called aATP (Advanced Available-to-Promise) which is a business function in SAP S/4HANA that provides a response to order fulfillment inquiries in Sales and Distribution (SD) and Production Planning (PP). For further information about aATP, see SAP Help Portal → Advanced Available-to-Promise (aATP)

Planning Processes

The following Planning processes are supported by order-based Planning:

  • Demand-drive replenishment and Order-based Planning: With demand-driven replenishment, you can generate supply elements as part of the DDMRP process in SAP IBP.

  • Response management: You can create a supply and allocations plan and react to supply and demand changes in response management.

  • Production Planning integration: You can do detailed Planning and scheduling in an SAP S/4HANA system that is connected to your SAP IBP system with production Planning integration.

  • Deployment Plan: You can distribute available supply to demand with deployment Planning.

Integration for order-based Planning takes place between the order taking system and SAP Integrated Business Planning for Supply Chain. This planning task is done via SDI (SAP Smart Data Integration) and RTI (Real-Time Integration). For Time-Series Planning, CI-DS works as Middleware transferring information back and forth (bi-directional integration) between a third-party (on-premise or cloud) solution or a SAP (On-premise or cloud) solution, and SAP IBP for Supply Chain.

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