Coverage

Objective

After completing this lesson, you will be able to explain Modeling Requirements for the Coverage Function

Coverage Function

The IBP_COVERAGE function can calculate coverage for a key figure in one step.

You can use the IBP_COVERAGE function for a variety of business scenarios. One of the most common ones is calculating Days of Coverage and Projected Stock.

Coverage calculation is more technically involved than simpler functions, like Period Shift. Building a calculation chain where this function is used several times can come with a performance impact.

Mandatory and Optional Parameters of Coverage Function

  1. Input key figure at the input planning level or a constant (mandatory parameter). It represents the amount that must be covered.
  2. Input key figure at the input planning level (mandatory parameter). It represents the amount that is covering the first parameter.
  3. Input key figure at the input planning level or a constant (positive number). Values of the third parameter are summed for all time periods where the second parameter covers the amount of the first parameter. If the second parameter covers only a fraction of the amount of the first parameter for a given time period, the same fraction of the third parameter in the given time period is included in the aggregation.
  4. Start of coverage (mandatory parameter). This parameter determines whether coverage calculation starts with the value of the current or next bucket.
    1. Possible values are: NEXTBUCKET and CURRENTBUCKET
  5. Zero coverage (mandatory parameter). This parameter determines if the zero value of the second parameter can cover the zero value of the first parameter
    1. Possible values are: USEZEROSTOCK and IGNOREZEROSTOCK
  6. Calculation horizon (mandatory parameter)
    1. Possible values: PAST, PASTCURRENT, PASTCURRENTFUTURE, CURRENT, CURRENTFUTURE, and FUTURE.
    2. If you use one key figure for coverage, regardless of the horizon, use the PASTCURRENTFUTURE value for this parameter.
  7. Infinite coverage (optional parameter). It notifies the planner that the value of the second parameter for a time period is larger than the sum of the values of the first key figure in all the subsequent periods in the planning horizon. It has to be an integer (high number).
  8. Number of time periods (optional parameter). It can only be used if the previous parameter has been defined. It limits the time window across which coverage is calculated.

Coverage function can be used at REQUEST.

Coverage is not an aggregator function. The input planning levels and the output planning level must have an identical structure containing the same set of attributes, including the same set of root attributes.

The IBP_COVERAGE function can’t be used at the base planning level in the calculation graph of a key figure used as the input or output of a supply planning or forecast consumption operator.

Demonstration: How to Use the Coverage Function to Calculate Periods of Coverage

ExerciseStart Exercise

Use the Coverage Function to Calculate Periods of Coverage

In this exercise, we will determine the coverage of the demand element with the initial inventory using the IBP_COVERAGE function. In our example, we will adapt the Demand by Location key figure and then calculate coverage of this key figure.

We will also use a commonly used function ROUND.

Task 1: Create Configuration

Steps

  1. Create a key figure called ADAPTEDDEPDEMAND at the PERPRODLOC planning level, displaying the rounded one-hundredth of the Demand by Location key figure.

    Use the following data.

    FieldValue
    Key Figure IDADAPTEDDEPDEMAND
    Base Planning LevelPERPRODLOC
    NameAdapted Dependent Demand
    Calculated√

    1. Select your T## planning area and navigate to Key Figures tab at the top.

    2. Choose New.

    3. Enter the Key Figure ID, followed by other values from the table.

    4. Validate the request level calculation that will be generated automatically.

  2. Add the following calculation:

    ADAPTEDDEPDEMAND@PERPROLOC = ROUND(("DEPENDENTDEMANDQTY@PERPRODLOC"/100),0)

    1. While in your ADAPTEDDEPDEMAND key figure navigate to Add Calculation Definition tab.

    2. Enter the PERPRODLOC level in the window.

    3. Enter the right side of the equation in the space.

    4. Click on the Inputs and validate that DEPENDENTDEMANDQTY@PERPRODLOC is calculated.

    5. Validate the calculation.

    6. Click Save.

  3. Add the following calculation:

    ADAPTEDDEPDEMAND@MTHPRODLOC = SUM("ADAPTEDDEPDEMAND@PERPRODLOC")

    1. While in your ADAPTEDDEPDEMAND key figure navigate to Add Calculation Definition tab.

    2. Enter the MTHPRODLOC level in the window.

    3. Enter the right side of the equation in the space.

    4. Click on the Inputs and validate that ADAPTEDDEPDEMAND@PERPRODLOC is calculated.

    5. Validate the calculation.

    6. Click Save.

  4. Create a key figure called COVERAGE at the MTHPRODLOC planning level, displaying the coverage of the Adapted Dependent Demand.

    Use the following data.

    Field

    Value

    Key Figure IDCOVERAGE
    Base Planning LevelMTHPRODLOC
    NameMonths of Supply
    StoredNot Selected
    CalculatedSelected

    1. Select your T## planning area and navigate to Key Figures tab at the top.

    2. Choose New.

    3. Enter the Key Figure ID, followed by other values from the table.

    4. Validate the request level calculation that will be generated automatically, and change the aggregation if necessary.

      You may see a warning message, proceed anyway, we will define the calculation in the next step.

  5. Add the following calculation:

    COVERAGE@MTHPRODLOC = IBP_COVERAGE("ADAPTEDDEPDEMAND@MTHPRODLOC","INITIALINVENTORYQTY@MTHPRODLOC",1,''NEXTBUCKET'', ''USEZEROSTOCK'',''PASTCURRENTFUTURE'')

    1. While in your COVERAGE key figure navigate to Add Calculation Definition tab.

    2. Enter the MTHPRODLOC level in the window.

    3. Enter the right side of the equation in the space. Be mindful of single quotation marks around parameters four thru six.

    4. Click on the Inputs and validate that ADAPTEDDEPDEMAND@MTHPRODLOC is calculated while the second input is stored.

    5. Validate the calculation.

    6. If shown a warning, choose to proceed.

    7. Choose Save.

Task 2: Activate Your Planning Area

Steps

  1. Activate your planning area.

    1. Choose Activate → Full Scope with Dependencies.

    2. Choose Activate in the confirmation pop-up.

    3. Refer to the activation logs to ensure that your planning area is activated.

Task 3: Test Your Solution in the Planner Workspace

Steps

  1. Test your solution by creating a Planner Workspace using the following information.

    FieldValue
    Time
    Time PeriodMonthly
    FromCurrent Month
    ToCurrent Month + 12
    RollingYes
    Planning Level
    Product ID

    Selected

    Location ID

    Selected

    Key Figures 
    Adapted Dependent Demand

    Selected

    Demand by LocationSelected
    Initial Inventory Qty

    Selected

    Months of SupplySelected
    Filters
    Product IDx100 Phone

    1. Choose Planner Workspaces app in the General Planner group.

    2. Open the workspace 300_##.

    3. On the top right, choose Workspace → Design.

    4. Choose Settings on the top right of your existing planning view.

    5. Under the More dialog (three dots), choose Manage Workspace Content.

    6. Select your component and choose Copy.

    7. Name your new planning view as Coverage.

    8. Return to the Planner Workspaces app and choose Planning View.

    9. Select the copied content.

    10. Complete the dialog box with the information provided in the table.

    11. To display the planning view, choose Apply.

    12. Validate the demand coverage by the inventory starting from the next bucket. Try changing the Consensus Demand Qty values in buckets 4-5 (reduce the values by approximately three times) and checking the impact on the coverage.

    13. When you will observe how the formula calculates the coverage, choose Workspace → Save on the top right.

Task 4: Review the Historical States of Your Planning Area

Steps

  1. Use the Manage Historical States app to view all the states of your custom planning area T##.

    1. Choose the Manage Historical States app in the Model Configuration group.

    2. Select your planning area T##, and choose Go.

    3. You should see several different states taken after each activation and an after-copy initial state.

    4. Select one of the earlier states and navigate to it via the hyperlink.

    5. Check the number of key figures in that state and compare it to the number of key figures in the latest state.

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