SAP - Advanced Planning And Optimizer Overview

1. Advanced Planning and Optimizer (APO) APO Overview Prepared by: Murali Venkatesh Version. 1.0 July 16 2009 SAP Advanced Planning and Optimizer

3. SCM/APO Architecture APO SCM R/3 R/3 Global ATP SAP-BW Vergangen- heitsdaten Schlüssel- kennzahlen Externe Daten SAP-BW Historical Demand External Data Reporting Demand Planning Sales Order Production Order Inventories Supply Network Planning Deployment Production and detailed scheduling Transport-Load-Builder Vehicle Scheduling LES Supply Chain Cockpit Purchase Order Murali Venkatesh - SAP Advanced Planning and Optimizer (APO) Overview

4. Demand Planning Murali Venkatesh - SAP Advanced Planning and Optimizer (APO) Overview Demands t Material Location Customer Demand Planning APO Historical demands Field Input – via Web Portal TSW R/3 MM PP SD History Forec. Demands

5. Demand Planning Past Planning Data Forecast Planned independent requirements for R/3, SNP, and PP/DS BW R/3 Excel Non-SAP system Historical data APO-BW Murali Venkatesh - SAP Advanced Planning and Optimizer (APO) Overview

7. Lifecycle Management Actual data of customer A Forecast for new customer B Life cycle Time Sales Like Murali Venkatesh - SAP Advanced Planning and Optimizer (APO) Overview

8. Outlier Correction 0 1 2 3 4 5 6 7 8 Tolerance range = ep ±  *1.25* MAD ep = Ex-post forecast Today Murali Venkatesh - SAP Advanced Planning and Optimizer (APO) Overview

9. Aggregation - Disaggregation Past Future Customer level Product level 100 pieces 50 pieces 150 pieces Forecast 180 pieces 120 pieces 60 pieces Disaggregation by proportional factors Murali Venkatesh - SAP Advanced Planning and Optimizer (APO) Overview

10. Simulation Versions Historical Demand Simulation Version: 002 Historical Demand Demand Planning Active Version: 000 Simulation Version: 001 Murali Venkatesh - SAP Advanced Planning and Optimizer (APO) Overview

11. Data Cycle APO R/3 (PP,MM,SD) BW Historical Data Customer orders History & Orders Results Demand Forecasting next month Forecast Orders History Optimizer Planning Results 2 month Network Planning BW Demand Forecast Murali Venkatesh - SAP Advanced Planning and Optimizer (APO) Overview SNP

12. SCM Customer Reference Terminals Customers Refinery Wells / Exploration Upstream Downstream Primary Distr. Secondary Distr. Murali Venkatesh - SAP Advanced Planning and Optimizer (APO) Overview

13. Questions? Murali Venkatesh - SAP Advanced Planning and Optimizer (APO) Overview Contact : http://www.linkedin.com/in/prestiva http://blog.prestiva.com