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Author's profile photo Berthold von Haaren

Production Planning Integration – Synchronize Planning for Production with SAP IBP Sales and Operations Planning: New Consulting Note on How to Connect Time-Series-Based Supply Planning with ePP/DS

What is it about?

Did you ever think about integrating the global TS Supply results into an local feasible plan, ready for manufacturing in PP/DS?

We recently published the new consulting note 3158642 which describes exactly this integration of SAP IBP Time-Series-Based Supply Planning (referred to herein as “TS Supply”) with SAP S/4HANA Manufacturing for Planning and Scheduling (referred to herein as “PP/DS”) in the context of synchronized planning for production.

Today, we would like to highlight what you gain with implementing this integration. The overall idea behind this consulting note is to operationalize the global TS Supply results into a local feasible plan, ready for manufacturing in PP/DS. For details, check out the consulting note 3158642.

Our goal is using both planning applications simultaneously for supply planning. For that, we don’t need a tight integration of both system – we just loosely couple them and orchestrate the planning of TS Supply and PP/DS. ”Loosely couple” in that context means that in both systems different constraints exists: For example, in TS Supply no specific setup times are maintained, whereas PP/DS uses precise setup times, or short-term downtimes are only known in PP/DS and not in TS Supply. With our solution, we hand over the global constraints from TS Supply into PP/DS, so that the constraints can be respected there.

 

Process flow

The planning process is cyclic as the results from PP/DS are also respected in TS Supply. This means, planners get feedback on their production planning from PP/DS and can directly analyze the effects on their supply plan within one system.Figure%201%3A%20Cyclic%20planning%20Process%20between%20TS%20Supply%20and%20PP/DS

Figure 1: Cyclic planning Process between TS Supply and PP/DS

This is how the process would look like:

A supply planner creates a supply plan in TS Supply to cover demand as part of the Sales and Operations Process. By using SAP Cloud Integration for data services (aka CI-DS) bucket quantities are extracted per location product and bucket from that supply plan and sent to PP/DS.

Figure%202%3A%20Time-series-based%20supply%20plan%20shown%20in%20Planner%20Workspace%20of%20SAP%20Integrated%20Business%20Planning

Figure 2: Time-series-based supply plan shown in Planner Workspace of SAP Integrated Business Planning

For this integration to PP/DS, CI-DS templates are delivered with the consulting note (SAP Note 3158642) for the following elements:

  • forecast
  • stock transfer requisitions (if applicable)
  • production receipts as “time-series-based bucket order” (a new ATP category in PP/DS) These “TS orders” contain the quantity of a location product and the corresponding source of supply. They are mainly used as placeholders until they are replaced by planned orders in PP/DS, but they are not used for dependent demand calculation or detailed scheduling, that is: they don’t yet contain any components or activities. Their main purpose is to make sure that in PP/DS the same source of supply is used as in TS Supply.

Figure%203%3A%20Time-series-based%20bucket%20order%20with%20details%20in%20S/4HANA

Figure 3: Time-series-based bucket order with details in S/4HANA MP&S

After the integration, the Planning of Standard Lots heuristic is used to convert the TS orders into planned orders, respecting the source of supply. Of course, a planner can also adjust the supply plan if necessary.

Figure%204%3A%20Product%20View%20after%20conversion%20of%20time-series-based%20bucket%20orders%20in%20S/4HANA

Figure 4: Product View after conversion of time-series-based bucket orders in S/4HANA MP&S

When the production plan is final, the results are sent back to TS Supply and can be validated in SAP IBP. This can be done just before running the next TS Supply planning cycle or even more often via delta capabilities as the integration is monitoring deviations from the last plan.

The orders are integrated into the corresponding confirmed key figures in TS Supply on an aggregated level and the PP/DS planning results are respected in the next planning run in SAP IBP. For analytical purposes, also the used capacity consumption of a plant resource can be integrated from PP/DS to SAP IBP in addition to quantities in confirmed key figures. Besides the integration of quantities in confirmed key figures, it is also possible to integrate the used capacity consumption of a plant resource from PP/DS to SAP IBP for analytical purposes.

Figure%205%3A%20Analytics%20view%20on%20capacity%20supply%20and%20capacity%20usage%20in%20SAP%20Integrated%20Business%20Planning

Figure 5: Analytics view on capacity supply and capacity usage in SAP Integrated Business Planning

The integration happens directly between SAP IBP and PP/DS. That is, data is not transferred via ERP backend tables. This allows transferring not only the base version to PP/DS but also different  versions. This means you can also plan versions like downside or upside in TS Supply and in PP/DS in parallel to get more insights e.g., on the impact on an upside version. (How cool is that?)

Figure%206%3A%20Analytics%20view%20with%20a%20comparison%20between%20different%20planning%20versions%20in%20SAP%20Integrated%20Business%20Planning

Figure 6: Analytics view with a comparison between different planning versions in SAP Integrated Business Planning

For more information on the business process, check out consulting note (SAP Note 3158642).

Let us know if you tried it out – we’re looking forward to your feedback

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      Author's profile photo Ravikiran Tanikella
      Ravikiran Tanikella

      Very Nice Article Thank you Berthold.