Differentiating between Planning Sources: IBP and ERP


After completing this lesson, you will be able to:

  • Differentiate between Forecast sources: IBP vs. ERP

Planning Collaboration – IBP vs. ERP

SAP Integrated Business Planning (IBP) is a planning software. One of IBP's functionalities is the ability to consume the commitments that the suppliers return in reply to forecasts. SAP ERP does not have functionality to consume and use Planning Collaboration data.


Typically operational planning for all components is undertaken in ERP. Source of forecasts in ERP can be:

  • Planned orders
  • Purchase requisitions
  • Scheduling agreement releases (forecast only)


  • Forecasts in IBP is a part of Sales and Operational Planning (S&OP) process and only critical components are planned.
  • Capacity constrained forecasts from IBP become source for detailed component planning in ERP.
  • Source of forecasts in IBP is S&OP plan.

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