SAP ERP Central Component’s (SAP ECC) Available-to-Promise (ATP) is the order fulfillment process that is designed to provide a commitment to customer-requested order quantities and dates based on availability of products, components, and resources. SAP’s Advanced Planning & Optimization (SAP APO) Global Available-To-Promise (Global ATP) is implemented to take advantage of several advanced functionalities that standard SAP ECC does not provide.

The first part of this series provides a high-level overview of Global ATP functionality, and the second part discusses integration aspects of Global ATP. In this first part, we compare the functionality between Global ATP and SAP ECC ATP. We also talk about the kind of business environments that would most benefit from using Global ATP. Finally, we look at some of the required must-knows before embarking on a Global ATP implementation.  

1. Why Implement Global ATP? How Is It Different from SAP ECC ATP?

Companies are showing more and more signs of using the Global ATP module to perform the ATP check function, replacing the SAP ECC ATP check. If an enterprise has implemented other modules of SAP SCM (such as Demand Planning [DP]/ Supply Network Planning [SNP], or Production Planning and Detailed Scheduling [PP/DS]), then the reason to use Global ATP may become even stronger because of shared master data and integration among these modules. Table 1 compares some of the key features of Global ATP and SAP ECC ATP.

Table 1

A comparison of Global ATP and ECC ATP

Table 1 is not a comprehensive comparison of the two ATP engines. Several other features in Global ATP, such as Multi-Level ATP (MATP), Capable-To-Promise (CTP), Reassignment of Confirmation (ROC), Event Driven Quantity Assignment (EDQA), Consolidation locations, Third Party Order Processing (TPOP), and Parameter Dependent Safety Stock (PASS), are not available in ECC ATP. SAP is continually adding new functionality to the Global ATP application in response to customer requirements, whereas ECC ATP has not received the same attention.

2. How Can I Improve Order Fulfillment Processes with Global ATP?

Tables 2 through 7 show how Global ATP can help organizations improve their key order fulfillment metrics:

• Order fulfillment cycle times (Table 2)
• Inventory turns (Table 3)
• Service levels (Table 4)
• Order fulfillment costs (Table 5)
• Commit accuracy (Table 6)
• System performance (Table 7)

Table 2

Order fulfillment cycle time

Table 3

Inventory turns

Table 4

Service level

Table 5

Fulfillment costs

Table 6

Commit accuracy

Table 7

System performance

3. So You Want to Implement Global ATP?

Perhaps the previous section has piqued your interest in Global ATP? Here are six points you should know before implementing Global ATP:

1. Global ATP is usually implemented for business requirements around sales orders, but once Global ATP is activated for a material or plant, it is applicable for those documents that are configured for an availability check, including stock transport orders, deliveries, production orders, and goods issues or receipts. This can add to implementation complexity and scope. That is, for the same plant and material combination, you cannot perform an ATP check in global ATP for a sales order and perform an SAP ECC ATP check for a stock transport order.

2. Unlike other SAP SCM APO modules such as Demand Planning (DP), Supply Network Planning (SNP), or Production Planning & Detailed Scheduling (PP/DS), Global ATP is not a planning tool. It is more of an execution tool that is intricately tied to your order fulfillment process. If Global ATP is not functioning correctly, it could bring your entire order fulfillment process to a halt. This has some important implications. First, try to validate an integrated design in a prototype environment — for example, a proof of concept in a sandbox environment brings up issues early on. Second, plan for more intensive technical and functional integration testing. Make sure Global ATP is part of most, if not all, order fulfillment scenarios.

3. With regard to point 2 about the criticality of GATP, if you are anticipating high-order volumes, consider the time required for performance testing. Also, consider the need for high availability and business continuity planning. Finally, consider planning for greater production support, especially in the first few months of post-live stabilization.

4. Rules-based ATP can result in the creation of sub-items. These sub-items can affect various aspects of configuration for sales and distribution (SD), such as pricing, delivery, text, and copy control. It also can potentially influence outputs, such as order confirmations, invoices, and reporting. I discuss this issue in part 2 of this series.

5. When you are using Global ATP, delivery and transportation scheduling takes place in the SAP APO system. It is not possible and does not make business sense to perform the ATP check in Global ATP and transportation scheduling in SAP ECC. This can add additional scope to the project (in the form of additional configuration/ master data/custom development that will be necessary for transportation scheduling in Global ATP). Refer to our SAPexperts articles on transportation scheduling here, and here.

6. Not all Global ATP functionality is supported for all types of availability checks. For example, as of SAP SCM 7.0, rules-based ATP is not supported for a production order component availability check. Another example is that CTP does not support back-order processing. Some functionality is supported only if the order entry is through SAP CRM. We recommend that you go through SAP release restrictions for details on such limitations before starting an implementation.

Global ATP is implemented primarily because of its capabilities as an order-promising tool. However, Global ATP has several advanced features that can significantly improve your entire order fulfillment cycle. Increased functionality can create more complexity and challenges during an implementation of Global ATP. Many of these challenges relate to the process and technical integration of Global ATP with other functions. In the next part of this series we identify some of these challenges and recommend ways to help meet them.