Dynamic Safety Stock and Calculate based on past consumption

Hello experts,
I have set up my coverage profile in configuration for dynamic safety stock. However, the value is going off of the current net requirements in the system. How do I set it up so that the target stock level (DSS) is determined by 30 days of our past consumption and so many days of near future requirements?
I assume I need to set up the MRP 3 tab in a specific way. These materials that will be using dynamic safety stock are not forecasted, therefore, the material master had PD as MRP type (not VM or VV as discussed for setting DSS with forecasted materials), lot size of DY, and the coverage profile.
Please let me know.
Thanks.

Hi,
Hi the configuration should be like this..
First Create range of actual coverage profile SPRO and enter the following data.
Period Indicator - M
Number of Periods - 2
Type of Period length - Working days
Number of days per period - 30
Range of coverage in the first period - target - 30
Then assign this profile to the material in MRP3 screen in the field range of coverage profile field.
Regards
Prasanna

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Dynamic safety stock in PP/DS

Hello,
My question is about how PP/DS uses dynamic safety stock. I use safety stock keyfigure in SNP to calculate dynamic safety stock and make it available for PP/DS. When I run planning heuristic in PP/DS, does heuristic go and execute the macro?
Let me give an example case.
A is header, B is component of A. When I make a full planning run in PP/DS, first A is planned, then using dependent demands from A, B is planned. While planning B, safety stock also must be calculated. Is this process an inteactive process between SNP and PP/DS? I mean, PP/DS creates planned orders for A, then dependent demand generated for B. When it comes to plan B, heuristic calls SNP and macros calculate SS and SS is used in PP/DS heuristic as requirement? Is the process like that? or Do i have to run SNP either online or bacgrounf first, calculate SS there, and then run PP/DS heuristic?
Thanks,
E

Somnath, Harish;
Thanks for your help. I read all these notes and threads. But I could not find the answer to my question.
First of all, I am using SS method MB. not an extended safety stock method.
I want to implement the same SS calculation as in R/3 coverage profile. In coverage profile, average daily requirement is calculated using X weeks of demand, and Y days of SS is calculated. I want to do the same calculation in APO.
We are using PP/DS for short term planning. Here my question is in which way SS is calculated while running planing heuristic in PP/DS. I listed 2 possible ways, can you please tell which way PP/DS work?
1) PP/DS will run for the example BOM structure I gave before. So, in this example, I need to run planning for header material first in order to find dependent demand for component. Then I need to make planning for component. If I calculate SS in SNP before starting to run PP/DS for header material, SS for component is calculated in SNP using the demand calculated before PP/DS planning run. Is this how dynamic SS works?
2) or when I run planning for component, does PP heuristic call SNP macro and calculates SS with the most updated demand situation?
Thanks,
Ergul

Forecasting Based Planning with Dynamic Safety stock Calculation?

Hi Guys:
Based on the client requirement we are going with forecast based planning i.e based on Sales historical data , rather then buyer determining how much amount of safety stock need to be maintained ,
Can system calculate/propose safety stock based on lead time and service levels set for that particular material?.
how to load historical sales data into the system before go Live , so when they run MRP Run ( using forecast based Planning ) -> Planning orders>PO are triggered? or is there any alternative ?
Thanks
Sweth.

Hi.
Range of coverage profile in material master MRP2 view
The range of coverage profile contains the parameters for calculating the dynamic safety stock. This is a statistical calculation on the basis of average daily requirements.
Use
The dynamic safety stock is calculated depending on the requirements within a specified period and the range of coverage.
Dependencies
The range of coverage profiles (period length for calculating the average consumption, range of coverage, and so on) are maintained in Customizing in the MRP screen.
SPRO>MM>CBP>MRP CALCULATION>Define rage of coverage profile
or
Production>MRP>MRP Calculation>Define rage of coverage profile
Thanks
Diwakar

Dynamic Safety stock calculation based on Future Requirements

Dear All PP experts
Our company wants to calculate the Dynamic Safety stock based on requirements in future period. Based on Standard SAP, it calculates dynamic stock based on current period only. So is there any way to do that. We are using MRP type PD.

Use MRP type VM(Automatic reorder point plng) for Dynamic safety stock calculation.
Also you can use coverage profile calculating dynamic safety stock.
Use Tcode OMIA to define the coverage profile.
For example if you have defined a minimum range of coverage of 3 days, a maximum range of coverage
of 7 days and a target range of coverage of 5 days.
The system calculates the following:
Minimum stock level = 3 x 15 pieces = 45 pieces
Maximum stock level = 7 x 15 pieces = 105 pieces
Target stock level = 5 x 15 pieces = 75 pieces
The available quantity is 40 pieces and is therefore less than the minimum stock level. Therefore, the system creates a procurement proposal for 35 pieces (= target stock level 75 pieces u2013 actual quantity of 40 pieces) during the planning run.
Regards
S.Senthil

Dynamic Safety Stock Calculation

Dear All,
We have set Dynamic Safety stock for finish good.
Below is the screen snap for Coverage profile for your reference,
After MRP we have get results as shown in below screen,
Also find Monthly results for the same in below screen,
Can anybody who has worked or Dynamic Safety stock please explain the calculation in detail for this scenario.
Thanks,
Narresh

Hello Naresh
Regarding the coverage profile calculation, I'd like to ask you to go through the following notes, which explain the range of coverage usage in MRP in detail:
217144 - Range of covrage calc. w/ range of coverage profile
217080 - Documentation: range of coverage in MRP
Let me explain to you in more detail the range of coverage calculation during the MRP run.
Calculating the range of coverage serves to determine a dynamic safety stock level based on current requirements. Statistical, in this context, means it is not the actual requirements that are taken into account, but the average daily requirements within a defined period that are calculated by the system.
MRP will execute the following procedure:
The system calculates the average daily requirements using theparameters defined in the range of coverage profile
The system reads the defined ranges of coverage in the range of coverage profile and calculates the minimum, maximum and target range of coverage (see Calculating the Minimum, Maximum and Target Stock Level and Values of the Statistical Range of Coverage Calculation). Thetarget stock level represents the safety stock level.
System checks for every MRP element whether the available quantity is below the minimum stock level. If stock falls below the minimum stock level due to a requirement, the system creates a procurement proposal and thus calculates the procurement quantity, so that the available quantity is replenished up to the target stock level.
BR
Caetano

Safety stock and safety period

Can anybody help me in understanding the effect of safety period in MRP..
CAn anybody give me an explanation with numbers so that i could test and understand..
Please help me out..

Dear
There are plenty of earlier posting on Safety stock and safety periods .
Safety Stock : This is one kind of Un-restricted stock which will be used to full fill the un-expected damand for any material apart from the normal stock .Safety Stock calcuation depends on requireiment .It can be pre-defined ( manual safety stock -MRP3 view-Safety Stock ) or Automatic Safety Stock based on the MRP Type set up in OMDQ.If you want automatic safety stock , then it will calcuated based on Forecasting view parametrs , forcast model , MAD, BASIC value calcualted wheil excuting Forecasting collectively or individually .
Safety Stock Calcualtion happend based on following CONDITION :
1.MRP type should be Forecast Base MRP -VV,VB,VS,V1,V2.Here MRP type calculates the Automatic Safety stock based on the Forcasting View Maintained in MM02 with proper Consumption History .( 261,501 etc update control in MMR through OMJJ set up --Please check MMR Forcasting View -Cosnumption Histry at least 6 months are there or not ?)
2.In MRP Type -SPRO-MRP-Check MRP Type -Select any one of the MRP Type like VV , you will find that Calcualtion of Reo-Order Point and Safety Stock Check Box Ticked .Based this set up and above Forcasting view , safety Stock will be calcualted with certain formaul .Here in the Material Master MRP3 view u need to maintain Service Level Percentage of that Material whcih will be consideredr as Service level factor to calcvualte the Safety Stock automatically based on the MAD and Basic Values calcualtion in Forcating View Individually (MM02) or collectively in MP38 .
Hope this above facts will help you to understand the calcualtrion of Safety Stock .
Formula : Safety Stock = R x Sq.rt. W x MAD
Safety Stock = R x W x MAD
Refer our earlier posting on the similar issues :
Automatic reorder point calculation
safety stock and min safety stock
Hope it clarifies
Regards
JH
Edited by: Jiaul Haque on Feb 21, 2011 10:31 AM

Safety stock and min safety stock

Dear all,
CAn anybody explain me the functional difference between safety stock and min safety stock?
And what is the meanng of safety time?
Karthick

Hi,
Safety Stock:
The quantity of stock to satisfy high requirements. The purpose of the safety stock is to prevent material shortage.
Safety stock as the name suggest is the stock level till which the dead stock or stock out situation will not arise (probable figure based on past data maintained in master).
As such this figure is not stock, it is cut-off figure maintained in master which is used for Planning and once the stock level dips below this value, you can configure system to generate PR, orders automatically. It has its relevance in MRP and CBP.
Safety stock is not used in production.
Minimum Safety Stock
    The quantity that defines the lower limit for safety stock. This value cannot be exceeded.
    The safety is checked to see if it is greater or equal to this lower limit.
    The lower limit is checked if you use an availability indicator which shows, according to customizing settings, if the safety stock is to be calculated again in a forecast. If the safety stock is lower than this level in forecasting, the safety stock is automatically increased to the value of the lower level.
The safety stock must always be greater or equal to this lower level (minimum safety stock)
Hope this will help help you.
Regards,
Pavan

Independent requirements within dynamic safety stock policy

Hi Community,
I was wondering if we can setup a dynamic safety stock (coverage profile) without using consumption based forecasting? Our forecast is provided through the SCM DP. If yes, which MRP type should we use?
Many thanks for any feedback,
Noël

Hi Noel
Yes, it is possible to use a coverage profile without consumption based forecasting. You can use an MRP type with MRP procedure, such as PD.
See my answer on the following thread for more details about the coverage profile logic on MRP:
Dynamic Safety Stock
BR
Caetano

Dynamic Safety Stock wih Safety daysu2019 supply

Hi
In APO PP/DS, my compagny want to set up for several products, two safety stock :
1- Dynamic Safety Stock in order to prevent when actual usage exceeds forecasted demand
2 - Safety day's to prevent when time it takes to receive a replenishement shipment exceeds the projected lead time (usual problem in our business)
For this two cases we use
1- MB
2 -SZ
So my question, how it's possible to mix this 2 safety stock methods? Is possible to create a custom method or custom heuristic in order to do that?
Thanks for your help
Youri

Hi
We have ever try without success other solutions as :
SM and MM
MB with Good Receipt Time in APO = ( Good Receipt in R/3 + Safety Days )
The only solution seem AT/BT method but we can't make difference between safety stock and safety days during monitoring
Thanks for your help

Dynamic safety Stock "Range of Coverage profiles

Hi Friends,
Need help for Dynamic Safety Stock
I'm new in MM and I want to know how to configure the range of coverage profile in SAP.
I need your help to know the fonctionnality of this profile in SAP and his utility for the business
Please help
Foued

Hi,
Please post on appropriate forum - this is a forum from SAP PI - integration
Thank you,
Regards,
Michal Krawczyk

Stock Coverage profile with more tha 100 days (dynamic Safety Stock)

Hello,
My customer is using dynamic safety stock using coverage profiles up to 95 days.
Now a new requierment emerged which states that they need to extend the coverage to 100, 120 and 150 days of safety stock.
I looked into the config buy as far as I understand it, I can only configurate up to 99 days of coverage in each period!
Anyone had has this requierment form their Customers before and how did they resolve it?
Thanks for any clue.
Bye
Aart

Not in front of system, working from memory here...
In OMIA, there must be a field called No. of periods (or something like that) maintain a value 2 there & for no. of days in a given period maintain 50. This should address the need for 100 days, likewise you can workout for the remaining.
Do a test with the above in your sandbox & let me know if you face any specific issues.

Calculation of Safety Stock and Reorder Point under Forecast Model T

Hi Gurus!
Happy Holiday!
I would like to ask for your assistance on how the the safety stock and reorder point was calculated with the following values available. I would really appreciate it if you could give me details on the calculation.
Below are the values:
Basic data
Forecast date        01.12.2009        Unit                  CTN
Forecast model       T                 Service level         0.0
Period indicator     M                 Paramtr profile
Control data
Initialization                                Tracking limit        4.000
Model selection      A                 Procedure selection   2
Parameter optimizatio                Optimization level    F
Alpha factor         0,10               Beta factor           0,10
Gamma factor       0,00              Delta factor          0,30
Basic value           5.464-           Trend value          5.603-
MAD                      4.758            Error total              4.722
Safety stock         1                   Reorder pnt.          1
No. of values
Consumption           6                Forecast periods       1
Initial. periods      0                Fixed periods          0
Periods per season   12
Historical data
Period                Original     Corrected value
11.2009                3.000              3.000
10.2009                0.000              0.000
09.2009                0.000              0.000
08.2009                9.000              9.000
07.2009               21.000             21.000
06.2009               20.300             20.300
Forecast results
Period                Original     Corrected value
12.2009                0.000              0.000
Appreciate your assistance!
Thank you and Happy Holidays!
Ji

Sweth, you are asking for consulting, and in my opinion it is way beyond what can or should be reasonable to achieve in such a forum. You are asking complex questions, that most probable have more than one possible answer.
I suggest that you get on-site help from a knowledgeable and experienced consultant. These are crucial business issues, and should be dealt seriously.

Safety stock and Reorder point calculation in inventory planning

Hi,
How System does the calculation of own safety stock, and Reorder point, maximum safety stock level at parent and child location while running inventory planning services in SAP APO SPP. does anyone about the calculation please let me know
Regards
Puneet

Hi,
How System does the calculation of own safety stock, and Reorder point, maximum safety stock level at parent and child location while running inventory planning services in SAP APO SPP. does anyone about the calculation please let me know
Regards
Puneet

Static Vs Dynamic Safety stock

Hello Gurus
I want to know the following
1. Whats a Dynamic Safety Stock ?
2. The basic difference between Static Vs Dynamic Safety Stock
3.In which business scenario do we use a Dynamic & in which cases Static safety stock -

Dear Raja,
There are two types of availability checks
1) Availability Check for stock types in Inventory Management (Static Availability Check):
This check takes only the existing stock at the time of entry into account. This check is carried out automatically & no setting can be made for it in the system .It covers the relevant stock affected at the plant, storage location & special stocks level. The stock affected is determined via the movement type.
Ex: If you enter transfer posting with mvt 321 for 20 nos from Quality to unrestricted the system checks whether 20 nos.are actually available in Quality stock
2) Check of available stocks from the view point of MRP (Dynamic availability check):
In this case in addition to stock physically available in warehouse, here planned receipt & issues can also be taken into account. This check enables you to prevent an already reserved quantity from being withdrawn or reserved for another purpose.
For Ex; Today we have a stock of 100 nos. 25 pieces are reserved for withdrawal tomorrow & another 25 nos are reserved for day after tomorrow which means only 50 pieces are available today. If you try to create another reservation of 60 nos today system will give warning or error message.
Hope this will clear your concept
Vivek

Dynamically passing text and url-based images as an input parameter to cf8 report builder

I'm unsuccessfully trying to dynamically pass text and url-based images to a group footer or the detail section via an input parameter or even hardcoded. The field has the attribute 'XHTML Text Formating' set to True. The following are failed samples of a simplified value:
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This just results in the above text being output. The end result would have various text and images from a database as input by a user, thus the reason I cannot just use the hyperlink information attribute as I could if it were a single known image. I tried rtf and pdf report types. Ideas?

HTH,
Thanks. I'll keep that in mind, although I don't know how many images my user might need or what sizes so that might be tricky.
Since my target output is rtf so that MS Word can be used to edit the result, I added a pagebreak to a MS Word doc and used the resulting html source to replace the rich text editor source code for the page break, but that did not help either. The page break was so a user could add an image later. Something is wrong with the Report Builder related to intepreting XHTML, especially anything that has an attribute, including URL-based image links. I hope they try to provide another update before CF9. I doubt my client will be going to CF9 for some time, since they are just completing the migration to CF8.
BrianO

Dynamic Safety Stock and Calculate based on past consumption

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