Safety Stock Planning – Part 2: Dynamic Safety stock methods in S/4HANA & SAP ERP
1050 results
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Safety Stock Planning – Part 2: Dynamic Safety stock methods in S/4HANA & SAP ERP
The dynamic safety stock is recalculated in the planning run for each MRP element and is fully available for planning in contrast to the static safety stock.
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Dynamic Safety Stock Management: How to interpret MRP results of coverage profiles
by Venkata Ramana Nethi CSCP, CPIM, Business Process Lead – Operations, Schlumberger Overview: An organization’s strategic inventory policy and stocking strategies drive aggregate level inventory management (i.e., ABC/XYZ/LMN, etc. classification) which in turn drives item level inventory management. One of the most effective ways to perform item level inventory management on high volume and low...…
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Inventory Planning and Optimization with SAP Advanced Safety Stock Planning and SAP SmartOps
Read two case studies to learn how to implement SAP APO Advanced Safety Stock Planning (ASSP) and SAP SmartOps Enterprise Inventory Optimization (EIO). Key Concept SAP SmartOps Enterprise Inventory Optimization (EIO) provides a comprehensive, enterprise-wide process for optimizing, managing, and monitoring inventory stocking levels for finished product and raw material components across the supply chain. ...…
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Demystify Safety Stock Calculation Methods in PP/DS
Subtle differences in the way SAP APO SNP and the Production Planning and Detailed Scheduling (PP/DS) applications calculate safety stock are often a source of confusion. Gain an understanding of these differences and see how you use the SAP safety stock methods in PP/DS. In most cases, the safety stock calculation methods in the SAP...…
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Safety Stock: Which Method Is Right for You?
Learn about various methods of safety stock supported by standard SAP Advanced Planning & Optimization (SAP APO), including a new method that provides a more cost-effective way of managing safety stocks in a supply chain. Key Concept Supply chains are exposed to multiple uncertain influencing factors, such as demand upsurges or production disruptions. Safety stock...…
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Are Your Safety Stock Levels Optimal? Match Your Method with APO Supply Planning Methodology
SAP APO provides two methods for dealing with safety stock–the stock that you keep on hand in the event that you do not have enough material to deliver on orders. They are the Basic and Extended Safety Stock Methods. Each is designed for a specific supply planning methodology. Misalignment between the APO’s safety stock methods...…
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Moving Average Price: Learn How It Functions in Project Stock and Figure Out How to Explain the Unexplainable
A lot can go wrong if you don’t understand moving average price. Sort out the complexities that arise when material movements, invoices, reversals, and purchase order history interact with moving average price. Understand both the cause and the cure for the frustration and confusion. Key Concept Materials that are entered into an SAP system as...…
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Improve Safety Stock Accuracy with APO’s Extended Method
Do your safety stock levels always seem too high or too low? It’s possible that you have not chosen the right APO method or have set it up in a less-than-optimal manner. We explain the considerations, drivers, and settings for using APO’s extended safety stock method and show you why it might be more accurate...…
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Safety Stock Planning – Part 1: Static Safety stock methods in S/4HANA & SAP ERP
The article introduces a series on buffer and safety stock planning within SAP S/4 HANA, detailing static safety stock concepts, its manual and automatic calculations, and the factors influencing safety stock and reorder points, while emphasizing its importance in minimizing shortfalls and optimizing inventory management.
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Fine-Tune Your Safety Stock Calculations
Minor daily fluctuations in safety stock requirements, while they may be accurate reflections of forecast demand and other factors, have no practical significance and may create extra work and confusion in production planning. Learn how to use macros to smooth out the unnecessary bumps in your safety stock calculations. Key Concept Companies keep safety stock...…
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