Professional Documents
Culture Documents
Agenda
SCM today. Why APO?
APO functions
APO Integration
APO Market
INFORMATION FLOW
Transfer
Supplier
Transfer
Manufacturer
Transfer
Distribution
Transfer
Retail Outlet
CASH FLOW
SAP AG 2001
2001 Andersen. All rights reserved 3
Consumer
NEW CONCEPT??????
SAP AG
SAP AG
SAP AG
Tier 3
Supplier
Tier 2
Supplier
Tier 1
Supplier
Today
2002
Manual communication
(phone/fax/EDI)
Unsynchronized planning cycles
78%
65%
FAX, e-mail
60%
EDI
60%
Assumption-based planning
28%
Excessive inventory buffers
SAP AG
Online
88%
(Internet/Extranet)
Forrester Research, 2000
The initial strategy of SAP was to certify interfases of external vendors in Advance
planning.
This interfases are still in use.
The market requires for a functionality of advance planning and scheduling:
optimizor
simulation
restriction based
APO integration
Analysis
BW
Execution
Vendor
P
Procurement
S
Production
Contracts
Contracts
Internet
Intranet
R/3
ERP
SAP AG
Customer
Distribution
Internet
APO features I
Simultaneous material and capacity planning across multiple levels of the logistics
chain
APO features II
Maximize ability to react to customer
Flexibility
Ability to supply
Agenda
SCM today. Why APO?
APO functions
Introduction.Business Scenarios
Demand Planning
Supply Network Planning
PP/DS
Global ATP
Transport Planning
APO Integration
APO Market
2001 Andersen. All rights reserved 15
Supply Network
Planning
Forecast
Planned Orders
Recommended
Transport Orders
Production Planning
Detailed Scheduling
Deployment
Transport Load
Builder
Confirmed
Transport Orders
Transport
Orders
R
SAP AG
APO Areas
Measure
Strategize
Source
Make
Direct
Procurement
Manufacturing
Demand and
Supply Planning
Deliver
Order
Fulfillment
Partner
Customer
Collaborate
Collaborate
Supply Chain
Network
Supplier
Plan
Supply Chain
Network
Partner
Track
Network Design
SAP AG
(plan infrastructure)
Customer
External procurement
for example,
LES, MM
SAP AG
Production
planning
PP/DS
SNP
Production
for example, PP
Outbound delivery
for example, LES,
MM, SD
Execution
Delivery planning
Deploy,
TP/VS, ATP
External
procurement at
customer
Partner
(operational planning)
Functional Arquitecture.
R/3
R/3
APO
APO
SAP -BW
SAPBW
Data
Data
Sales
Orders
Key
Key
Production
Perform.
Perform.
Planning and
Manufacturing
Execution
Global
Detailed
Scheduling
ATP
Deployment
Transport
SAP AG
Network
Planning
Inventory
Management
Supply
Indicators
Indicators
External
External
Data
Data
(e.g.
(e.g. POS)
POS)
Agenda
SCM today. Why APO?
APO functions
Introduction.Business Scenarios
Demand Planning
Supply Network Planning
PP/DS
Global ATP
Transport Planning
APO Integration
APO Market
2001 Andersen. All rights reserved 21
Strategize
Supply Chain Collaboration
Supplier
Collaborate
Supply Chain
Network
Source
Make
Direct
Procurement
Manufacturing
Demand and
Supply Planning
Deliver
Order
Fulfillment
Partner
Customer
Collaborate
Measure
Demand Planning
Supply Chain
Network
Partner
Track
SAP AG
Historic
Collaboration
Promotion planning
Canibalization
Lifecycle planning
Forecasting Accuracy
Planning levels:
Product
Product Group
Dimensions: Sales area,
client,.
Planning material
2001 Andersen. All rights reserved 23
Planning Book
SAP AG
Promotion Planning
SAP AG
Tools (1)
Tool to share information and collaborate between 2 or more partners (external and
internal).
Information about demand and forecasting.
Supplying information
Data selection throught selection IDs.
Optional update list.
Display and manage alerts.
Grouped by type.
Filtered by priority
Macros execution. (Possible to link macros and alerts).
Sending mails trought email
2001 Andersen. All rights reserved 26
Tools (2)
Advances Macros technics:
Logic functions: if, else if, ...
Pick-the-best.
Promotion planning
Analysis and comparing results.
Releasing the plan to SNP.
2001 Andersen. All rights reserved 27
Manual forecasting
Graphical capabilities
Life cycle
Like modelling
Pase-in/out (ie product introduction)
SAP AG
SAP AG
Benefits
Demand visibility
Agenda
SCM today. Why APO?
APO functions
Introduction.Business Scenarios
Demand Planning
Supply Network Planning
PP/DS
Global ATP
Transport Planning
APO Integration
APO Market
2001 Andersen. All rights reserved 32
Partner
SAP AG
Demand and
Supply Planning
Deliver
Source
When and whereMake
should material be sourced,
produced, moved and stored?
Order
HowDirect
to satisfy demandManufacturing
at minimal cost?
Procurement
Fulfillment
Can all demand be satisfied while respecting all
constraints?
What is my profit- or cost-optimal product mix
given supply constraints?
What are the
consequences
of raising
my
Supply
Chain Event
Management
service level?
Customer
Collaborate
Collaborate
Supply Chain
Network
Supplier
Plan
Supply Chain Collaboration
Strategize
Supply Chain
Network
Partner
Track
SAP AG
Basic Functionality
Deployment
APO-SNP: Strategies
Production Model
SNP Heuristics:
Distribution by quotes
Manufacturer Plant
Manufacurer
DC
Customer DC
Supplier Plant
Capable-to-Match
APO-SNP: Capable-to-Match
Categorized
receipts
Capable-to-Match
Prioritized
requirements
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
SAP AG
11.
SAP AG
SNP Sourcing
Make or Buy decission
Costs
Costs
Transportation costs
Production costs
Inventory costs
Handling costs
Procurement costs
Location costs / subsidies
Fixed costs of maintenance
Costs of opening / closing down of locations
Public subsidies
Deployment
Model with restriccions: capacities, calendars
Montreal
Calgary
Winnipeg
Montreal
Customer
Philadelphia
Chicago
Philadelphia
Benefits
Agenda
SCM today. Why APO?
APO functions
Introduction.Business Scenarios
Demand Planning
Supply Network Planning
PP/DS
Global ATP
Transport Planning
APO Integration
APO Market
2001 Andersen. All rights reserved 43
Source
Make
Direct
Procurement
Manufacturing
Demand and
Supply Planning
Deliver
Order
Fulfillment
Partner
Customer
Collaborate
Supply Chain
Network
Collaborate
Supply Chain
Network
Partner
Track
Simultaneous material and capacity requirements planning for in-house production, external
procurement, and stock transfers in a production plant at operation level: Fast generation of
feasible plans
Immediate and automatic planning (for example, to trigger production from the plant) - close
integration with plant
Planning with exact times, even for dependent requirements (for example, a prerequisite for
material staging by shift)
Dynamic exception messages in real-time and based on order linking (pegging) across the whole
supply chain
Example.
Available
Occupied
Sales Order
Desired date
Final loading
and quantity
Confirmed date
and quantity
Capacity 1
Capacity 2
Capacity 3
t
Today
SAP AG
Right
Key
Planned in APO
Planned in R/3
Benefits
Agenda
SCM today. Why APO?
APO functions
Introduction.Business Scenarios
Demand Planning
Supply Network Planning
PP/DS
Global ATP
Transport Planning
APO Integration
APO Market
2001 Andersen. All rights reserved 50
Order Fulfillment
Measure
Make
Direct
Procurement
Manufacturing
Demand and
Supply Planning
Deliver
Order
Fulfillment
Partner
Customer
Collaborate
Source
Plan
Supply Chain Collaboration
Supply Chain
Network
Collaborate
Supply Chain
Network
Partner
Track
Availability check
product availability
product substitution
location substitution
Product allocation
check against planning
check against production
check of production versions
capacity check
component availability
SAP AG
SAP AG
R/3
APO
Confirmation
Sales (SD)
ATP request
Sales order
Planned order
MRP
Planned order
ATP check
For non-availability
Production Planning/
Detailed Scheduling
SAP AG
Produce
Benefits
Agenda
SCM today. Why APO?
APO functions
Introduction.Business Scenarios
Demand Planning
Supply Network Planning
PP/DS
Global ATP
Transport Planning
APO Integration
APO Market
2001 Andersen. All rights reserved 56
Transport Planning
Measure
Supplier
Collaborate
Supply Chain
Network
Source
Make
Direct
Procurement
Manufacturing
Demand and
Supply Planning
Deliver
Order
Fulfillment
Partner
Customer
Collaborate
Strategize
Supply Chain
Network
Partner
Track
SAP AG
Transport Planning
Transportation planning
medium-term and bucket planning
compressed view of requirements for one period (e.g. week, month, year)
Vehicle scheduling
short-term and order planning (usually next couple of days)
planning for actual and virtual orders
link to the SAP Logistics Execution System (LES) to support the planned
business processes
SAP AG
SAP AG
Transport Planning
Service line descriptor - OPTIONAL - in case there isnt any, cancel grey line
Space Reserved
for
Fotograph or icon
(OPTIONAL)
Alerts
Logo del
Cliente (opcional)
Alerts
Measure
Strategize
Source
Direct
Procurement
Demand and
Supply Planning
Customer
Collaborate
Collaborate
Supply Chain
Network
Supplier
Plan
Supply Chain
How can I stay in control in view of an increasing need for
Network
business velocity?
Make
How can I effectivelyDeliver
coordinate processes both internally
and throughout the extended supply chain?
How
can I automate responseOrder
to unplanned events?
Manufacturing
Fulfillment
Partner
Partner
Track
Planung
PlanungStammdaten
Material
Material
Auftrag
Auftrag
Stammdaten
System
Hilfe
Liste
APO
SAP AG
Alert Monitor
Planung
Planung
Stammdaten
Material
Auftrag
Material Stammdaten
Auftrag
Hilfe
Engineer
System
Liste
Alerts
Modelizing
Several views to monitor
SAP AG
APO
APO
Basic Functionality
Supply Chain Modelizor
Global visibility
Cockpit
Managing exceptions.
APO integration with R3 and BW.
Supply Network Design.
Alert Monitor
KPIs.
Queries.
SAP AG
Agenda
SCM today. Why APO?
APO functions
Introduction.Business Scenarios
Demand Planning
Supply Network Planning
PP/DS
Global ATP
Transport Planning
APO Integration
APO Market
2001 Andersen. All rights reserved 66
APO
R/3 Plugin
CRM
BW
R/3
BBP
SEM
Integration
SAP AG
APO Arquitecture
Demand Planning
Collaborative
Planning
Production
Planning
Transportation
Planning
Global
ATP
Solver
liveCache
InfoCube
ERP
BW
SAP AG
R/3
R/2
Optimization
Cartridge
Marketplace
Agenda
SCM today. Why APO?
APO functions
Introduction.Business Scenarios
Demand Planning
Supply Network Planning
PP/DS
Global ATP
Transport Planning
APO Integration
APO Market
2001 Andersen. All rights reserved 69
Networking
Planning
Execution
Coordination
SAP AG
Metal Products
Colombo Filippetti
Metal Products. camshaft mechanism
- material planning and resource detailed scheduling
- supplier scheduling
- Available To Promise
DP in live
Currently, rest of APO modules in progress
implementation
Owens Corning
Inventory levels, DOS, production
confirmation levels,
shipment levels
SAP AG
Hewlett Packard
Supply Chain KPIs:
Inventory,
Orders,
Delivery,
Profitability,
Customer information
Roche Diagnostics
Stock analysis,
Batch controlling,
Backorder analysis,
Forecast accuracy by plant, product
END
Questions???