Oracle Advanced Supply Chain

Planning

Integrated Supply Planning Processes

Supply Planning consists of four primary planning and scheduling processes:
Supply
Supply Planning
Planning Processes
Processes
1. Distribution Requirements Planning
(DRP)
The quantity I need at each location by SKU by day
[typically unconstrained requirements]

3. Master Production
Scheduling
(MPS)
2. Deployment
Planning
The quantity I plan to move from location
A to location B by SKU by day
[constrained]

The quantity I plan to

produce at each facility by
SKU by week [constrained]

4. Finite Scheduling

The quantity I schedule to

produce for each
production line by SKU
sequenced by day
[constrained]
2

Module Overview: Topics

Planning business issues

Oracle Advanced Supply Chain Planning
Plan types
Implementation progression
Planning business flow
Planning data flow

Business Trends Toward Demand-Driven

Adaptive Planning
EVOLVING CHALLENGES

IMPACTS TO SUPPLY CHAIN

Move from static demand planning to demand
sensing and shaping

Older business models are challenged

by decentralized global network
model

Capture demand signals more frequently and closer to

the point of sale drive to consensus demand number
Shape your demand with profitability and capacity as
key drivers

New challenges and focus areas:

Globalization and global sourcing,
leaner supply networks, increased
demand variability and cost
volatility
Increased customer expectations,
faster product life cycles with local
market requirements
Mergers and acquisitions, and
continued consolidation of
suppliers and customers
Increasing compliance
requirements such as SarbanesOxley

Implement continuous and collaborative sales and

operations planning process

Multi-tier decision support replaces

enterprise plans
Materials and logistics are both primary constraints
Cross-enterprise synchronized view of demand signal
encompassing both supply and demand visibility

Focus on more frequent supply network flow

analysis
Analyze optimal flows for market response, changing
geo-political situations, and unplanned events
Rationalize suppliers to minimize risk
Determine postponement strategies

Demand-Driven Adaptive Planning

The demand driven company runs on real-time
information.
Sense Demand

Shape
Demand

Respond to
Demand

Disconnected Systems Cannot Enable DemandDriven Adaptive Planning

Maintain excess inventory

Reserve production capacity
Expedite everything!
CUSTOMERS

SUPPLIERS

Supply chains built

on Inventory

Tier 2
Tier 1

Fax

Marketing
Sales

Paper
Distribution
plans

Manufacturing

Demand Planning
Demand Planning

Manual
reconciliation of
different numbers
6

Paper
Production
plans

Manufacturing
plans

Long planning cycles

Supply Planning
Supply Planning

Demand-Driven Adaptive Planning Platform

Real-time end demand visibility Quickly sense and respond to demand changes
Shape demand and align business plans quickly
Manage your business with real-time sales and operations planning
SUPPLIERS
Monitor performance to drive continuous improvement
CUSTOMERS

Tier 2

Supply Chains built on

Information
Portal

Tier 1

Portal
Internet

Marketing

Automated Exceptions
Single
holistic plan

Sales
Demand hub & multidimensional analysis

Consensus demand and

production plan

Manufacturing
Real-Time S&OP
Real-Time S&OP

Holistic Supply Planning

Holistic Supply Planning

Embedded Analytics
7

Manufacturing

Oracle Advanced Planning Solution

Complete, best-in-class e-business planning process platform
Best in class
Business
Processes

Supply Chain
Risk Management

Network
Design
Integrated
Planning
Functions

Products

SNO

Demand driven
adaptive planning

Demand Sensing
And Shaping

IO

RT
S&OP

Sales and
Operations
Planning

Postponement
Optimization

DM

Operational
Excellence

Role-based Portals

Holistic
Supply
Planning

PTP

ASCP

Connectors

Platform

Common planning
data model

WFL

Multi-Enterprise
Collaboration

Promise,
Distribute, and
Replenish

PS

GOP

Preconfigured
Worksheets &
Workbenches
Execute to plan

CP

Embedded
Analytics

Oracle Advanced Planning

Complete E-Business Planning Solution
Oracle Advanced Supply Chain Planning (ASCP)
Oracle Constraint Based Optimization (CBO)

Oracle Collaborative Planning (CP)

Oracle Demantra Demand Management (DM)
Oracle Demantra Advanced Forecasting and Demand
Modeling (AFDM)
Oracle Demantra Real-Time Sales and Operations
Planning (RTS&OP)

Oracle Global Order Promising (GOP)

Oracle Inventory Optimization (IO)
Oracle Production Scheduling (PS)
Oracle Strategic Network Optimization (SNO)
9

Integrated Oracle Advanced Supply Chain Planning

E-Business Suite

Items and categories

Bills of material
Routings
Resources
Production and
inventory costs
Organizations
Customers
Calendars and shifts
Units of measure
WIP discrete jobs
OPM process batches
OPM complex routings
and recipes
OSFM lot-based jobs

Advanced Planning
Advanced Supply Chain Planning
Demand
forecast
Constrained
supply
Order
forecast
Supply
commit

Safety
stock

Inventory
Optimization

Sourcing
rules

Strategic
Network
Optimization

Collaborative Planning

10

Planned
orders

Production
Scheduling

Demand
Management
Real-Time
Sales and
Operations
Planning

Global
Order
Promising

Trade Promotion Planning

APS Business Flow: Plan

APS

Source
Order
Management

Collaborative
Planning

Sales demand

Supplier capacity

Inventory
WIP

Demand
Management

Shop Floor Mgt.

Forecasted demand
Customer demand forecast

Purchasing
Existing supply

Inventory
Optimization

Supply Chain

Safety stock demand

BIS
Performance
KPI targets

Sourcing rules

ASCP
Optimized plans

11

Bills of Material
Production capacity
Product structure

Advanced Supply Chain Planning

Supply Chain and Distribution

Planning

Product family and item level planning

Alternate components, resources, processes,
suppliers, facilities, and ship methods
End-item substitution
Critical items and resources; aggregate
resources
Bills of distribution and transfer rules
Circular sourcing, load consolidation,
allocation rules
Include customer and supplier facilities

Transportation
Suppliers

Transportation

Manufacturing

Manufacturing Planning

Sequence dependent
setups/changeovers
Simultaneous resources
Batch resources
Alternate resources
Minimum transfer quantities
Complex, network routings
By-products and co-products
Line rates and takt times

Transportation
Distributors

12

Customers

Advanced Supply Chain Planning

Evolve at your own pace to a best-in-class solution.
Start
anywhere
Interactive what-if simulation
Cost-based optimization
Advanced decision rules
Transportation constraints
Automate release processes
Automate selection of alternates
Collaborate with suppliers
Constrained finite planning
Multi-facility supply chain planning
Unconstrained MRP Planning
Material and capacity planning

Eliminate
spreadsheets

Personalized exceptions and queries

Tailor workbench for individual users

From less complex to best-in-class -->

13

Topic Overview: Oracle Advanced Supply Chain

Planning
Oracle Advanced Supply Chain Planning
Oracle Advanced Supply Chain Planning features

14

Oracle Advanced Supply Chain Planning

Balanced supply
and demand

across the supply

chain

Respects constraints

15

while meeting
organizational objectives

Oracle Advanced Supply Chain Planning Features

Optimization:
iLOG solver and optimization technology automates
decision making:

Optimizes plans to strategic objectives

Generates coordinated sourcing, production, and

distribution plans for supply chain partners

Recommends alternate suppliers, components,

routings, and resources
Incorporated with third-generation memory-based
planning

16

Oracle Advanced Supply Chain Planning Features

Optimization objectives
Maximize inventory turnover ratio
Maximize plan profit
Maximize on-time delivery

0.23
0.23
0

17

Oracle Advanced Supply Chain Planning Features

Planner Workbench:

Decision-support tool
Flexible, intuitive, and easy to use interface
Navigation paths to related information
Designed to streamline common activities of planners

18

Oracle Advanced Supply Chain Planning Features

Simulation:
Quickly simulate plans with modified parameters (item
simulation sets, plan options)
Use key performance indicators (KPIs) to evaluate
alternate plans:

Inventory turnover

On-time delivery

Plan profit

Resource utilization
Graphical KPI display

19

Oracle Advanced Supply Chain Planning Features

Integrated Performance Management:

Multiplan KPI comparisons
Multiplan exception comparisons
Integration with Oracle Workflow:

Notification and corrective action alerts

20

Oracle Advanced Supply Chain Planning Features

Supporting all manufacturing methods in mix mode:

Oracle Discrete Manufacturing

Oracle Project Manufacturing
Oracle Flow Manufacturing
Oracle Process Manufacturing
Oracle Shopfloor Management (OSFM)

21

Topic Overview: Plan Types

Unconstrained
Constrained
Enforce capacity constraints
Enforce demand due dates
Decision rules

Optimized

22

Unconstrained

Balanced supply
and demand

across the supply

chain

23

Constrained

Balanced supply
and demand

across the supply

chain

Respects constraints

24

Optimized

Balanced supply
and demand

across the supply

chain

Respects constraints

25

while meeting
organizational objectives

Plan Class Example: Unconstrained

Labor constraint

Machine constraint

Production

Demand

Production

Demand

Production

Demand

Production

Demand

Production

Demand

26

5
4
3
2
1

Plan Type Example: Constrained

Labor constraint

Machine constraint

Production

Demand

Production

Demand

Production

Demand

Production

Demand

Production

Demand

27

5
4
3
2
1

Plan Type Example: Optimized with Maximum OnTime Delivery

Overtime
Labor constraint

Machine constraint

Production

Demand

Production

28

Demand

Production

Demand

Production

Demand

Production

Demand

Plan Type Example: Optimized with Minimize

Inventory Carrying Costs
Labor constraint

Machine constraint

Production

Demand

Production

29

Demand

Production

Demand

Production

Demand

Production

Demand

Plan Type Scenario

Planning Period
Sales Orders

Day 1

Day 2

Day 3

Day 4

Priority 1, $1.00

25

25

Priority 2, $2.00

75

75

Material capacity

50

50

50

50

Resource capacity

60

60

60

60

Supply constraint

30

Plan Type Scenario - Unconstrained

Planning Period
Sales orders

Day 1

Day 2

Day 3

Day 4

Priority 1, $1.00

25

25

Priority 2, $2.00

75

75

Material capacity

50

50

50

50

Resource capacity

60

60

60

60

P1 Order, $1.00

25

25

P2 Order, $2.00

75

75

Supply constraint

Planned supply

31

Plan Type Scenario Constrained - Enforce

demand due dates
Planning Period
Sales orders

Day 1

Day 2

Day 3

Day 4

Priority 1, $1.00

25

25

Priority 2, $2.00

75

75

Material capacity

50

50

50

50

Resource capacity

60

60

60

60

P1 Order, $1.00

25

25

P2 Order, $2.00

25

25

50

50

Supply constraint

Planned supply

32

Plan Type Scenario : Constrained - Enforce

capacity constraints
Planning Period
Sales orders

Day 1

Day 2

Day 3

Day 4

Priority 1, $1.00

25

25

Priority 2, $2.00

75

75

Material capacity

50

50

50

50

Resource capacity

60

60

60

60

P1 Order, $1.00

25

25

P2 Order, $2.00

35

35

60

20

Supply constraint

Planned supply

33

Plan Type Scenario : Optimized

Planning Period
Sales orders

Day 1

Day 2

Day 3

Day 4

Priority 1, $1.00

25

25

Priority 2, $2.00

75

75

Material capacity

50

50

50

50

Resource capacity

60

60

60

60

Supply constraint

Planned supply
50

P1 Order, $1.00
P2 Order, $2.00

50
34

50

50

Topic Overview: Implementation Progression

Implementation progression
Benefits of implementing in phases

35

Implementation Progression: Unconstrained

Create database links to establish communication

Set up collection programs
Run collection programs to copy supply chain models
to the APS instance
Define supply chain plan names and plan options
Launch named supply chain plan

36

Benefits of Implementing in Phases

Fast Forward implementations of supply chain planning

and constraint-based planning quickly begin return on
investment
Analyze costs and benefits before committing to
additional implementation phases
Realized benefits pay for advanced implementation
phases

37

Topic Overview: Planning Business Flow

ASCP business flow

ASCP business flow: Prepare
ASCP business flow: Execute
ASCP business flow: Analyze
ASCP business flow: Implement

38

ASCP Business Flow

1. Prepare

2. Execute

Determine consensus forecast

Run production plan

3. Analyze

Analyze plan
Adjust plan
Simulate with revised constraints
Collaborate on revised constraints
4. Implement

Implement revised constraints

Release schedule

39

ASCP Business Flow: Prepare

1. Prepare

Determine consensus forecast

40

ASCP Business Flow: Execute

2. Execute

Run production plan

41

ASCP Business Flow: Analyze

3. Analyze

Analyze plan
Adjust plan
Simulate with revised constraints
Collaborate on revised constraints

42

ASCP Business Flow: Implement

4. Implement

Implement revised constraints

Release schedule

43

Topic Overview: Planning Data Flow

Planning data flow

44

Planning Data Flow

Transaction
Data

Planning
Data

45

Planning Data Flow

Transaction
Data

Planning
Data

Source
Instance/Server

Destination
Instance/Server

46

Planning Data Flow

Transaction
Data

Planning
Data
Instance/Server

47

Planning Data Flow

Transaction
data

Data Collection

Release Planned Orders/

Recommendations

Planning
data

Collections Workbench

Launch Supply Chain

Planning Process

Planner Workbench

48

65410

49

Summary

In this module, you should have learned how to:

Identify planning business issues
Describe outcomes of using Oracle Advanced Supply
Chain Planning
Describe plan types
Describe implementation progression
Describe planning business flow
Describe planning data flow

50

Demand and Supply

ASCP Fundamentals

51

Objectives

After completing this module, you should be able to do

the following:

Describe demand types

Describe sales orders
Describe forecast consumption
Describe supply types
Review demand and supply

52

Independent

Customer Order

Forecast

53

Dependent

Customer Order
Subassemblies, Buy
Components,
Transfer
Components
Forecast
Independent Demand

Dependent Demand

54

Safety Stock: Inventory Optimization

Fabrication
plant

Assembly
plant

Distribution
centers

55

Customers

Safety Stock: Inventory

PERIODS

Gross Requirements

100

300

500

Scheduled Receipts

Net Requirements

140

300

500

Planned Order Due

140

300

500

Projected Available

50

50

50

Manual
Safety Stock = 50
Mean absolute
deviation

56

50

Safety Stock: Planning

PERIODS

Gross Requirements

100

300

500

Scheduled Receipts

Net Requirements

157

367

450

Planned Order Due

157

367

450

Projected Available

67

134

134

84

Safety Stock Bucket Days = 3

Item attributes

Safety Stock Percent = 50%

57

Topic Overview: Sales Orders

External and internal

Plan to request/schedule/promise dates
Sales order entry process
Processing cycle
Demand priority

58

External and Internal

External

Customer

Distribution center

Internal

Distribution center

Final assembly
plant
59

Feeder plant

Plan to Request/Schedule/Promise Dates

60

Sales Order Entry Process

Enter Sales order header information:

Customer name or number
Order type

Order line information:

Item
Quantity
Unit of Measure

Book the sales order

Schedule the sales order

61

Processing Cycle
Oracle Order
Management

Enter
Schedule
Book

Oracle Shipping
Execution

Pick Release
Ship Confirm

Oracle Receivables

Invoice

62

Demand Priority

Priority 1

Priority 2

63

Topic Overview: Forecast Consumption

Forecasts: Demand Planning

Forecasts: Transaction Data Store
Forecast consumption overview
Consumption days
Days
Weeks
Periods
Multiple bucket types
Forecast consumption flow options
Forecast bucket consumption
Demand classes

64

Forecasts: Demand Planning

65

Forecasts: Transaction Data

66

Forecasts: Transaction Data

67

Forecasts: Transaction Data

68

Forecast Consumption Overview

Original forecast

Current forecast

Customer orders
69

Consumption Days

Backward
consumption limit
day

Forward
consumption limit
day

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
July
Sales Order #143
A Jul 8 120

70

Days
Backward consumption days = 5 from Day 8 (Days 5, 4, 3, 2, 1)
Forward consumption days = 5 from Day 8 (Days 9, 10, 11, 12, 15)
3

Original 20

20

20

20

Current

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21
July
5
Sales Order #143
A Jul 8 120

71

Overconsumption entry
in forecast set
on July 8
for quantity - 40

Demand Classes
DC = MO

DC = MO

DC = RT

DC = RT

DC = WS

DC = WS

Mail order
forecast

Mail order
sales orders

Retail
forecast

Retail
sales orders

Wholesale
forecast

Wholesale
sales orders

Material plan
(MPP, MPS, MRP)

72

Demand Classes

73

On Hand

74

Scheduled Receipts

ITEM A

Gross Requirements

80

80

200

200

200

Scheduled Receipts

110

110

110

110

75

Purchase Requisitions

Buyer
Manual Entry
and Production
Plan

76

Purchase Orders

Buyer

Supplier

77

Receiving

Scheduled Receipts for Make Items

Production
Plan

Shop
Floor

Planner

78

Inventory

Summary

In this module, you should have learned how to:

Describe demand types

Describe sales orders
Describe forecast consumption
Describe supply types

79

Planning Information and Planner Workbench

80

Topic Overview: Planner Workbench

Introduction
Navigation window
Planning analysis windows
Owning organization
Navigation tips
Preferences and folders

81

Introduction
Planner Workbench uses
Windows

82

D. Expand the + to get the list of Actions for this plan.

83

Summary

In this module, you should have learned how to:

Describe planner workbench

Describe how to research data for planning
Describe planning results
Describe planner strategies

84

Modeling the Supply Chain

ASCP Fundamentals

85

Objectives

After completing this module, you should be able to do

the following:

View enterprise data

View item data
View material data
View resource data
View sourcing data
View supplier data
View calendar, lead time, and time fence data
View transportation data
Model the supply chain

86

Overview

Inventory
Organizations
Items
Item attributes
Org. assignment

Order Mgt

Cost
Item costs
Resource rates
Accounts

Customers
Price lists

Purchasing

Engineering

Supply Chain

Supplier list
Supplier capacity
Delivery calendar

BOM
Departments
Resources
Routings and
standards

Shipping networks
Sourcing rules
Bills of distribution
Assignment sets

87

Topic Overview: Enterprise

Instances
Operating units
Organizations
Subinventories and locators
Setting up organizations
Organizations and subinventories

88

Instances
Single Instance
R12

D1
Singapore

Planning
D2
Miami

S1
Chicago

89

Instances
You can launch a supply chain plan to plan organizations
regardless of the instances that they are in.
R12
APS Instance
R11
Instance
AAA

AAA:D1
Database links

D1
Singapore

D2

AAA:D2

R11i
Instance
CCC

Miami
S1
Chicago

Database links

90

CCC:S1

Operating Units

You can launch a supply chain plan to plan organizations

regardless of the operating units or sets of books that
they are tied to.
Operating
Unit

Item Master

Inventory
Organization

V1,
Vision

Inventory
Organization
S1,
Chicago

91

M2,
Boston

Organizations

Distribution center

Final assembly
plant

Distribution center

92

Feeder plant

Organization Security

93

Subinventories and Locators

Subinventories
Locators

94

Setting Up Organizations

Organization window
Organization Parameters window
Subinventories window

95

Organizations and Subinventories

While setting up organizations and subinventories,

consider:
Inventory transactions occur in subinventories
ASCP does not plan subinventory transfers
Inventory Optimization does not calculate safety stock at
the subinventory level
Demand Planning forecasts by organization, not by
subinventory
Global Order Promising calculates availability at the
organization level
Order Management designates one organization for item
validation across the operating unit

96

Topic Overview: Items

Items
Item attributes
Organization item
Order modifiers
Item attribute mass maintenance

97

Items

Items

Distribution

Production

98

Item Attributes

99

Item Attributes for Planning

Main Tab
Unit of Measure

Weights and measures

Inventory Tab
Inventory Item
Stockable
Transactable

Work In Process Tab

Build in WIP checkbox
Supply Type

Bills of Material Tab

Order Management
Customer Orders Enabled
Internal Orders Enabled
Check ATP

BOM Allowed
BOM Item Type

Physical Attributes

Purchasing Tab
Purchasable
Use Approved Supplier

100

Item Attributes for Planning

General Planning Tab:

Make or Buy
Safety Stock Method
Order modifiers (lot-sizing rules)
Planner Code

101

Item Attributes for Planning

MPS/MRP Planning Tab

Planning Method
Forecast Control
Pegging
Exception Set
Time Fences

102

Plan Type and Planning Method Attribute

MPP

MPS

MRP

IP

MPP Planned
MPS/MPP Planned
MRP/MPP Planned

MPS Planning

MRP Planning

MRP Planning

103

MPS/MPP Planning

MRP/MPP Planned
All planned items

Critical Components

104

Organization Item

Operating
Unit

Item Master

Inventory
Organization

V1,
Vision

Inventory
Organization
S1,
Chicago

105

M2,
Boston

Order Modifiers

Sold in pallets
of 100

Net requirement

Planned order

Item A = 72

Item A = 100

106

Item Attribute Mass Maintenance

Planning item attribute values can be modified in the

planning server.
Use query criteria to select the items for which planning
attributes need to be updated.
Selectively update one or more of the item planning
attributes.
Create multiple versions of item attributes for simulation
purposes.

Group and save item attribute changes as a

Simulation Set.

Maintain Simulation Sets independently.

Link a Simulation Set to a plan in the Plan Options.

107

Item Attribute Mass Maintenance

The Simulation Set only holds the changes for the
collected planning item attributes.
When running a plan, these changes overwrite the
collected data values for that specific simulation plan.
Oracle ERP
source data
Simulation
Sets
Collected
data

Plans

Advanced Planning

Note: The collected data itself does not change. Update

the source data if a permanent change is required.
108

Item Attribute Mass Maintenance

Use the Query feature to retrieve items for updates:

Query and display the items included or not included in
the simulation set.
Base the Query on original values or updated values.
Save the Query as a folder for later retrieval.

Use the Select all feature to select all displayed

records for mass updates.
Modify the values of attributes:
Directly set a new value.
Increase and decrease original values.
Restore original values.

109

Item Attribute Mass Maintenance

Benefits
Improve simulation capability.
Modify item attributes to perform what-if analysis.
Multiple simulation scenarios can be created, each with
its own set of item attributes.

Reduce Planning cycle time.

Rapidly correct or change item attributes without recollecting data.

Update planning specific attributes that are not

available in ERP such as:
Minimum Remaining Shelf Life (Days)

110

Item Attributes Supported for All ASCP Plans

Critical Component
Preprocessing Lead Time
Processing Lead Time
Post processing Lead Time
Fixed Lead Time
Variable Lead Time
Fixed Order Quantity
Fixed Days Supply
Shrinkage Rate
Fixed Lot Multiple
Minimum Order Quantity
Maximum Order Quantity
Service Level
Carrying Cost
Demand Time Fence Days
111

Forecast Control
Planning Time Fence Days
Standard Cost
Net Selling Price
PIP Flag
Selling Price
Substitution Window
Safety Stock Days
Unit Weight
Unit Volume
Safety Stock Method
Safety Stock Percent
ABC Class
Planning Method
Minimum Remaining Shelf Life

Item Attributes Supported for DRP Plans Only

DRP Planned
Max Inventory Days of Supply
Max Inventory Window
Target Inventory Days of Supply
Target Inventory Window

112

Topic Overview: Material

Bills of material
Indented bills of material
Alternate bills of material

113

Bills of Material

D
114

Indented Bills of Material

Seattle Manufacturing, M1:

AS41001
CM86234
CM41102
SB41101
CM41201
MC41203

SC94043
SC94043

MC41205

CM41401
CM41402

CM41303

MC41204

Chicago Subassembly, S1
SB41202
CM41301
SB41302

SC94043

SB41202
115

Alternate Bills of Material

D
116

Topic Overview: Resource I

Workday calendar, work patterns, and shifts

Defining work hours for a work shift
Departments and resources
Routings
Modeling resource constraints
Non critical patch resources
Sequential resources
Overlapping resources
Simultaneous resources

117

Topic Overview: Resource II

Alternate resources
Scheduling time window width for alternate resource
Resource selection dependency
Multiple resource scheduling
One resource to one unit at a time
Batch resources
Minimum transfer quantity
Modeling production resource capacity
Multiresource scheduling

118

Workday Calendar, Work Patterns, and Shifts

119

Defining Work Hours for a Work Shift

Define work calendar

Attach work calendar to organization
Define shift name, attached to calendar
Define workday pattern for the shift name
Define work shift hours for the shift name

120

Departments and Resources

Define resources
Define departments
Assign resources to departments

121

Routings
Bill
Parent

AS41001
Work order

SB41101

CM41102

CM86234
AS41001

Components

Packaged
PDA
Routing
Operation 10
Dept: Assembly
Resource: Assembly Labor
Resource: Tool kit
Material:

SB41101
PDA Asm

Operation 20
Dept: Shipping
Resource: Warehouse Labor
Resource: Forklift
Material:

CM41102

CM86234
Packaging

Stylus

122

Modeling Resource Constraints

Operation Resource Schedule:

Yes
No
Prior
Next

123

Non Critical Path Resources

Machine paced operation:

Drill: Schedule = Yes
Machinist: Schedule = No

Only the machine time is scheduled

Drill

124

Sequential Resources

Operation 10: Finishing

Sander, Schedule = Yes
Paint sprayer, Schedule = Yes

Usage time is scheduled consecutively

Sander

Paint Sprayer

125

Overlapping Resources

Operation 10: Finishing

Sander: Schedule = Yes
Paint Sprayer: Schedule = Prior Offset 30%

Resources are consumed during an overlapping time

period.
Sander

30% Offset

Paint Sprayer

126

Simultaneous Resources

Resources are scheduled for the same time period

Primary resource group:

Direct labor

Hammer

Chisel

127

Alternate Resources

Replacement resource group

Direct labor

Hammer

Rock

Chisel

128

Scheduling Time Window Width for Alternate

Resource
MSO: Schedule Window Width
Time period that you are willing to wait for the primary
resource to become available

Alternate Resource
(available)

Primary Resource
(not available)

Window

129

Resource Selection Dependency

Operation 10 Setup (Primary

Resource)

Operation 10 Run (Primary

Resource)

OR
Operation 10 Setup (Alternate
Resource)

Operation 10 Run (Alternate

Resource)

130

Multiple Resource Scheduling

Task duration inversely proportional to number of

resources applied
Assigned units
Maximum available resource units

131

One Resource to One Unit at a Time

Round Order Quantities checkbox = selected:

Operation can not work on a fractional unit
Operation time can not be reduced by increasing the
number of resources applied

132

Batch Resources

Critical issues for scheduling batch operations are:

Grouping items for scheduling

Constraining resources along multiple dimensions
Honoring minimum and maximum batch sizes
Delaying or building in advance to make up a batch

133

Batch Resources

Batching window
Minimum and maximum batch capacity
Batchable unit of measure

134

Minimum Transfer Quantity

Operation 10

Minimum
transfer
quantity

135

Operation 20

Modeling Production Resource Capacity

Define work time available

Define production resources available
Use efficiency and utilization factors to modify capacity

136

Multiresource Scheduling

Processing Resources

Operation Duration

137

Topic Overview: Sourcing I

Modeling the supply chain

Virtual enterprise structure
Supply chain structure
Modeling shipments between organizations
Modeling shipments between organizations and
external sites
Supply chain links
Sourcing rules
Allocating demand to suppliers
Sourcing splits
Allocation rules
138

Topic Overview: Sourcing II

Bills of distribution
Assignment sets
Sourcing assignment hierarchy

139

Modeling the Supply Chain

Suppliers

Manufacturing

Distribution

Internet-based supply chain collaboration

140

Consumers

Virtual Enterprise Structure

Suppliers
Suppliers

Consumers

Suppliers

Operating
Unit

Item Master

Inventory
Organization

Inventory
Organization

V1,
Vision

S1,
Chicago

M2,
Boston

141

Customers

Supply Chain Structure

Singapore, D1

Seattle, M1

Distribution Centers

Miami, D2

Boston, M2

Manufacturing Plants

Chicago, S1

Allied

Suppliers

142

Subassembly
Plant

Advantage

Modeling Shipments Between Organizations

Shipping methods
Shipping networks

143

Modeling Shipments Between Organizations and

External Sites
Inter-location transit time
Inter-location transit capacity

144

Supply Chain Links

Sourcing rules
Bills of distribution
Assignment sets

145

Sourcing Rules
Simple from - to relationships
Make at
Rank 1
100%

Boston, M2

Transfer from
Rank 2
60%

Chicago, S1

Buy from
Acme

Rank 2
40%

146

Allocating Demand to Suppliers

Supply
60%

40%

147

Sourcing Splits

Buy from

Transfer from

148

Allocation Rules

The total allocation percentage for all sources within a

rank must be 100%
The planning engine sources with the highest rank have
the highest priority in allocation
Optimization sources with the lowest penalty adjusted
cost have the highest priority in allocation

149

Bills of Distribution

Model relationships that would otherwise require

multiple sourcing rules to describe

SR3

SR1

SR4

SR3

SR2

150

Assignment Sets

ASCP Plan: XYZ

Assignment Set: ASN-S1
Item: CM41401
Organization: S1
Sourcing Rule: SR-S1
Supplier: Acme

CM41401
Acme

Chicago, S1

151

Sourcing Assignment Hierarchy

Global
General

Organization
Item Category
Item
Item Category - organization
Item - organization

Specific

152

Topic Overview: Suppliers

Approved supplier list

Approved supplier list functions
Enhanced sourcing
Supplier sourcing setup
Supplier-item attributes
Supplier capacity

153

Approved Supplier List

Commodity

Approved Supplier List

Items

Ship-To
Organization or
Global Organizations

Supplier Site

154

Approved Supplier List Function

Demand
need date

Traditional MRP functionality:

Align

Item average
processing lead time
Planned
order release

due date with

date of need

Supply
due date

Approved supplier list functionality:

Supplier- and item-specific:
Lead times
Delivery calendars
Order modifiers

Valid delivery
calendar date

Supplier-Item specific
processing lead time
Planned
order release

Supply
due date

155

Demand
need date

Enhanced Sourcing

Based on capacity constraints

Use flexible tolerance fences to model supplier capacity
constraints that can change with advance notice

156

Enhanced Sourcing

Based on historical allocations

Disable ASL entries

157

Supplier Sourcing Setup

Define approved suppliers

Define receiving calendar
Assign supplier-item attributes
Delivery calendar
Order processing lead time and quantity modifiers
Supplier capacity and tolerance

Define sourcing rules and bills of distribution

Specify the assignment set

158

Supplier-Item Attributes

Delivery calendar
Processing lead time
Order modifiers
Supplier flexible capacity tolerance fences

159

Supplier Capacity

Required

Available

Available
Required

Balanced

Underloaded

160

Required
Available

Overloaded

Topic Overview: Lead Times and Time Fences

Lead times
Lead times in requirements explosion
Cumulative lead time
Time fences

161

Lead Times

Preprocessing
Processing
Post processing
Fixed
Variable
In-transit
Lead time lot size

162

Lead Time Offset

Total lead time:

Preprocessing
Processing
Post processing

Cumulative manufacturing lead time

Cumulative total lead time
User-defined lead time

163

Time Fences

Time fences should be set to the lowest values that are

practical.
Planning
Demand
Release

164

Topic Overview: Transportation

Shipping methods
Shipping network
Transit times
Zones and regions

165

Shipping Methods

166

Shipping Network
Customers
Singapore, D1

Miami, D2

Distribution Centers

Seattle, M1

Boston, M2

Manufacturing Plants

Chicago, S1

Subassembly
Plants

Suppliers

167

Transit Times

Inventory organizations
External site and inventory organization
Ship method

168

Zones and Regions

169

Summary

In this module, you should have learned how to:

View enterprise data
View item data
View material data
View resource data
View sourcing data
View supplier data
View calendar, lead time, and time fence data
View transportation data

170