SAP IBP 1808 New Features – Part 3: IBP for Inventory
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By: Team Krypt - August 30th, 2018

IBP for InventoryIn Part-1 and Part-2 of this three-part blog series, we had highlighted IBP for Demand and IBP for Supply features. Continuing further on the new features in IBP 1808, in Part 3 we will be focusing on IBP for Inventory. Be sure to check out Part-1 and Part-2 of this three-part series to learn more about the Supply and Demand features of the new IBP 1808 release.

IBP for Inventory

DDMRP Buffer analysis app

The user can now create new scenarios, edit decoupling point decisions for existing scenarios, run scenarios using Calculate DDMRP Buffer levels operator in batch mode.

The Manage Forecast Error Calculation for Inventory Optimization app has been enhanced to better support DDMRP with Average Historical Demand serves as an input to the key figure Average Daily Usage. Average Daily Usage in SAP3B has been updated to consume input data for past, future, and past and future time horizons

The user can create KPI profiles to calculate the output key figures Average Historical Demand and Historical Demand Coefficient of Variation based on the Blended Sales (DDMRP) or Forecasted Sales (DDMRP) or Actual Sales key figures.

Two new parameters are added to the Manage Forecast Error Calculation for Inventory Optimization app to better support inventory optimization: Outlier Period Indicator (detects outlier in a period in historical horizon based on forecast error between sales and historical forecast) and Sales Frequency (which defines whether historical demand is intermittent, seasonal etc.).

SAP3 Planning area: SALESFREQUENCY attribute added to SOURCECUSTOMER master data type.

Calculate Target Inventory Components

To impact the flow of lot size quantity in the upstream flow of nodes the target inventory the operator has been enhanced. For e.g. consider a relationship between nodes wherein non-stocking node B considers lot size quantity and stocking node C does not consider lot size quantity (Node AàNode B àNode C) then in this case if lot size quantity in node B is higher then the cycle stock at node C will be higher.

Global (Multi-Stage) Inventory Optimization

Enhancements done to support the global configuration parameter NON_STOCKING_PUSH introduced in 1802 release to effect Recommended Safety Stock based on inputs for Lead Time and Lead Time Variability between stocking nodes.

IBP for Response and Supply – Order based Planning

It is now possible to have master data in order-based planning that are specific to a version. This gives a user to see how changes in master data can affect base version.

The user can now utilize multiple planning areas.

The user can now choose a pegging strategy when creating rules and segments. The user can also decide whether demands should be fulfilled using just-in-time supply or stable supply. For example, that stock is preferably allocated to short-term high-priority demands.

If you take master data out of your integration model in the SAP ERP, supply chain integration add-on for SAP Integrated Business Planning or the SAP S/4HANA, supply chain integration add-on for SAP Integrated Business Planning, the IBP system compares the newly integrated master data to the already existing master data. Master data records that are no longer part of the integration model are marked for deletion in IBP. You can then delete this master data from IBP using the Order-Based Planning: Delete Master Data application job.

A new reference column has been added “MARKED_FOR_DELETION” in SAP7 and SAP74 planning area to compare the master data that is not part of integration against the master data part of the integration and the master data marked for deletion can be deleted with the help of Order-Based Planning: Delete Master Data application job.

Stay tuned for details on the upcoming IBP webinar!

If you have any queries, would like to have a demo or need help to implement SAP IBP, please contact us!



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