Penalty Cost Groups in SNP Optimization
Hello APO experts!!
I would like to know if any of you have more information about the of penalty cost group in SNP Optimization.
I have been researching on the help.sap.com web site but I need more details.
Can anybody help me?
Best Regards
Angela
Hi Angela,
1) You can use penalty cost group for optimization-based planning in Supply Network Planning (SNP) to define that customer demand is prioritized.
2) You can use the Business Add-In (BAdI) /SAPAPO/SDP_RELDATA to assign penalty cost groups to forecasts and sales orders
3) You then release the forecasts with descriptive characteristics, such as customer, to SNP or transfer sales orders from SAP ERP to SAP SCM via the Core Interface (CIF).
4) In SNP 1 tab page for product master data, you can assign penalty costs for non-delivery and delays to the penalty cost groups. In this way, penalty costs become customer-dependent.
5) You can use the penalty cost group to define that the system first covers the demand from penalty cost groups with a higher priority, and only then covers penalty cost groups with a lower priority.
6) Penalty cost groups are controlled by penalty cost group profiles
7) You define the profiles from the SAP Easy Access menu, by choosing Advanced Planning and Optimization -> Supply Network Planning -> Environment -> Current Settings -> Profiles -> Define SNP Penalty Cost Group Profiles and then assign them to individual optimization runs in interactive planning or when executing the SNP optimizer in the background.
Regards
R. Senthil Mareeswaran.
Similar Messages
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Penalty costs in the optimizer
I have a requirement in my project where the sales orders should have a higher priority than the forecast. I have defined the delay penalty for the sales orders as 1 per unit per day and the delay penalty for the forecast as 0.01 per unit per day. I have defined the maximum delay as 45 days for
both the sales orders and forecast. This is how I have setup all the products.
Does the above setting ensure that the sales orders are satisfied all the time before the forecast is
satisfied by the deployment optimizer. Could there be a scenario where the forecast is satisfied before the sales orders with the above penalty structure.
Thanks in advance.
Regards,
VenkatHi venkat,
You must maintain distinctly higher penaly costs in the SNP 1 tab for customer demand than for demand forecast.
But I do not understand the statement "sale order should always be fulfilled before forecast". If you are talking about same location, what difference does it make?
If yoy are saying that there is a forecast for one product and sale order for another which are manufactured with same resource and that the product wih sale order should be produced in preference over the product with forecast, the above solution should work.
Regards,
Nitin Thatte -
Hi Experts,
We are working on SNP Optimization scenario with Transportation, Procurement, Strorage and penalty Cost. Our business process trading industry (we procure and sell).
We maintained Optmizaion profile with linear and Primal simplex Algorithm. We took a sample scenario where our product has four suppliers with diffrent transportation costs maintained in transportation lanes.
In SDP94, Optimizer behaving diffrently.
Case 1: When we run directly at destination location (product + Destination) level optimization running smoothly with out picking any transportation lanes, costs. Subsequently no purchase requistions are created.
Case 2: When we select all locations (Product + Source and Destination) and run optimization the following errors are coming which we are not able to identify the origin.
Error 1: Cost function 051MhWG07j6MwgLZXQcXSm not found
Error 2: Conversion from STD to EA for product WDE-MATL1A not maintained
Error 3: Error occurred when reading data
We checked CCR no errors are identified. Also there is no UOM called STD. We couldn't understand why Optimizer is proposing STD to EA conversion error.
Can you please throw some light.
Thanks in advanceHi Ugameswara Rao
When you run optimizer,you need to run as a whole including all teh Network...So,the first observation is standard
Regarding teh second issue,It is a Master data inconsistency,So,please identify the 'concerned location product' and maintain the cost accordingly(Check teh log to find the concerned location product)
Regarding error "Error occurred when reading data",please raise a seperate thread,as the raesons for this are multiple...but try this first run //om17,model consistency check and correct the data model set...but,the reason for this could also be a softwre error....hence,if the above don't help,please rasise a seperate thread with all details like: STEP in which thi serror occur,and also teh message log details
Thanks and Regards
Suresh -
Hi All,
When we run the SNP Optimizer in the background scheduler, several buckets don't get planned and are missing planned orders. When we run it in the foreground, that is in Interactive SNP Planning, it works fine and plans for every bucket.
I checked at the parameters and everything looks fine. I also checked the Optimizer Log data. When we run it in the background I get a warning message saying that the Non-delivery penalty cost is too low, but again, when we run it in Interactive SNP Planning screen it works fine.
Thanks
RobCheck if optimization profile used in interactive planning is different from the background mode.
For the background mode optimization profile try maintaining relative Penalty costs considerably high.
If you don't maintain any penalty costs optimizer will skip creating orders as there is no costs affected if that specific requirement is not met.
Check for the material & capacity availability, in case if some other order(for a different mateiral probably using the same resource) has more penalty costs it will consider that first.
Hope this helps -
SNP Optimizer - unfullfil demand
Hi
I run snp optimizer for 1 product A, it work out fine . subsequently i run the same optimizer for the a range of products .. . it overwrite the result and cause unfulfill demand for product A.
Any particular area i need to look out ? i cannot just keep running optimizer for that single product to fulfill the demand .
remark
all the product is imported finish goodsHi,
the possible check you need to carry out to get the reason of the unfulfilled demand.
1. Check the resource consumption used by that particular product. Possibly the resource might have been consumed by some other products.
2, Check the Planned orders generated for
2. Check the cost in the PPM , Tlane, and Product master. Compare with the products which are using the Location resources used by A.
3. CHeck the Penalty costs maintianed to check why the priorities are given to other products.
for the all the above you see in /SAPAPO/SNPOPLOG
Hope this helps.
Kumar -
SNP Optimizer and dummy procurement
Hi,
Is there anyway SNP optimizer don't create dummy purchase orders at the distribution center? We have high penalty cost for non delivery. If there is no supply available/ (or some reason master data is missing), Optimizer is creating Purchase requisition without any source of Supply. We want to avoid this Purchase requisition.
Thanks everyone for sharing your expertise.
ShibuHi,
Optimiser will not create Pur Req with source as blank if the supply is not avaialble at the source, instead it will incur demand loss cost.
Opt will create PR with source blank only if you have define Procurement type as F and no source has been defined, you can either define a source or change the procurement type to E.
Also their is a note in case of optimiser which prevents creation of PR with source as blank, but I am not able to access the SAP notes and so cant provide you with the note number, you can just check out.
Thanks,
Sanjog -
SNP Optimizer and product priority
Hi all,
Is SNP Optimizer respects product priority? Some part of the documentation says, it respects, and someother part says no consideration. Which is correct ?
ShibuHi Shibu,
The product priority is not considered by the Optimizer -
There are actually two ways of giving the priority -
1. It is by giving different Non Delivery and Delay Penalty Cost for these products.
2. The other option is SNP Optimizer Priority Profile which is less complicated in terms of Master Data Maintenance. If you define the priority profile then the optimizer first plans the products with more priority and then plan the other set of products.
Regards,
Tushar Bhalla. -
Product variant constraint in SNP optimizer run
Dear All,
I have a business scenario where I require a constraint on the number of FG variants produced per day. A number of FG SKUs come under a particular variant. On any day the factory is able to produce only a fixed number of variants (say 5). I am looking for a way to map this constraint in optimizer run.
Will appreciate your thoughts to solve this problem.
Regards,
biplabHi,
Does SNP Optimzer considers the Set up costs in the planning run ?
SNP Optimizer considers following factors for the optimizer Run:
Factors Considered During the Run
u2022 Valid transportation lanes
u2022 Lead times
u2022 Transportation capacity
u2022 Transportation costs
u2022 Handling capacity
u2022 Handling costs
u2022 Production capacity
u2022 Production costs
u2022 Storage capacity
u2022 Storage costs
u2022 Time stream (location master data)
u2022 Lot size (minimum, maximum, and rounding value)
u2022 Scrap
u2022 Alternative resources
u2022 Penalty costs for not fulfilling demand (supply shortage)
u2022 Safety stock violation penalty costs
u2022 Procurement costs
u2022 Shelf life
u2022 Cost multipliers
u2022 Location Products
u2022 Fixed PPM/PDS resource consumption
u2022 Fixed PPM/PDS material consumption
Regards
Datta -
Questions: SNP Optimizer - Pros/Cons/Pitfalls
Hello Everyone,
I have few general questions for the folks who have implemented SNP Optimizer. Please share your experience.
1. What are the pluses and minuses using SNP Optimizer?
2. What are some of the pitfalls using SNP Optimzer?
3. For successful SNP Optimizer implementation, what are things that the project team need to watch out for and focus on?
4. Any Tips on how to calculate relative Costs and penalties
5. What type of reporting can be done on SNP Optimizer?
Thanks,
SanjuHi
The following link may help you in comparing Optimizer with other Planning engines.
http://help.sap.com/saphelp_scm70/helpdata/EN/1c/186b398c15ef59e10000000a114084/frameset.htm
Thanks
Amulya -
How to determine runtime of SNP optimizer
Hi Experts,
I am new to SNP optimizer, i would like to know the factors that determine the runtime of SNP optimizer,
for example if i have 100 product-loc combination, what should be my runtime?
Thanks in Advance
Raja kiran RHello Raja
Following details are based on my recent experience/learning's while working Optimizer runtime(it was a nightmare)
SNP Optimizer varies regardless of number of location products or demands.
SNP Optimizer runtime is split into following 3 main steps -
Runtime 1. Reading input data
Runtime 2. Solution Calculation and
Runtime 3. Order Creation.
Runtime 2 is usually varies depends on degree of problem complexity and number of iteration optimizer has to go through before finding cost effective/optimal solution.
Analyzing the optimizer logs/trace file and collect various statistics/facts for couple of weeks can give you some idea on optimizer runtimes. Use below Tcodes - /SAPAPO/OPT11 and /SAPAPO/SNPOPLOG for collection such statistics on following criteria's -
Please keep a watch on inputs like - Number of products, locations, location products, transportation lanes and demands.
and Output like Total Fulfilled Demands, Total Un-Filled Demands and Total number of stock transfers.
and Result Indicators like how many ProdDeco iteration, Solution Quality/ Cost iterations and what is the Service Level achieved.
Besides, you can control the Optimizer runtime by setting up the Maximum Runtime(in Minutes) in Optimizer profile. Also use Parallel profile process for improving the performance of the optimizer run.
Also ask you basis team to watch system performance when it is reading data from livecache, solving the problem or creating orders in livecache, if there are any memory issue etc.
Hope this will help.
Thank you
Satish Waghmare -
SNP Optimizer dropping the demand
Hi,
While planning using SNP Optimizer against a given demand in a constraint scenario, the optimizer is dropping significant demand.
Capacity of the production factory is not constraint. But somehow a lot of demand is not propagated to the factory. In fact, out of the 3 factories where one product can be produced, one factory did not get any plan at all !!!
Can you please help me understand the other possible reasons why this can happen? The master data - Lanes and production master data at the factory is maintained correctly.
Regards,
AnkurFor a demand to be considered in the optimizer Run following are the checks to be done:
1. Lane should be defined from a location where the demand is to a valid source. (lane can be at location level for all product or lane can be product specific)
2. Cost definitions: If the production + transportation cost for the product at source is greater than the Demand loss cost at dest loc there wil be a demand loss. Please update the Demand Loss cost in /SAPAPO/MAT1:- SNP1 tab. Total demand loss cost after planning is avaialble in IT_NONDELV table in Optimizer Log
3. Capacity avaialble for planning. resources to be properly defined and capacity availability to be checked (IT_RESOURCE) will give the details wether the reource is avaialble
4. If a PPM is used with output componenet demand uinmet we need to check whether the input product is produced (capacity to be checked for input Product production to happen)
these are few basic checks for Demand Unmet -
Differece between SNP Optimizer and Deployment Optimizer
Hi,
Can anyone please list down the difference in the planning method for a deployment optimizer and SNP Optimizer?
Thanks & Regards,
Sanjog MishrikotkarHi Sanjog,
First of all if we understand the difference between SNP Heuristic Planning run which finds the 'Source' of Supply with dates and quantities and Deployment Planning run which CONFIRMs the Supply .... then it is easy to understand the difference between SNP & Deployment Optimizer.
The Optimizer as you know Optimizes based on Costs and Objectively tries to MINIMIZE it. Therefore while the SNP Optimizer finds the most cost effective way of finding the Source of Supply with dates and quantities, identifying where in SC it is better to Store or move the Product, while the Deployment Optimizer generates the Best way to CONFIRM whether the Supply can ACTUALLY be done for the next few days. Deployment precedes the TLB Run which after confirmation we put the Quantities on a Transport Load to build Orders for Execution (Shipping).
Both are Cost based & use the Same Costs Information ... however one Plans and the Other Confirms. During Deployment Optimization run, the Optimizer may decide to confirm the supply from a different source than what the SNP Optimizer planned based on the Available to Deploy Stock Quanties and the Cost of Confirming the Supply. The Deployment Optimizer will apply Fairshare & Push/Pull Rules and looks at the Push and Pull Deployment Horizons which SNP Optimizer cannot. The Difference is also in Planning Time Range. You plan SNP Supply for mid to long term time range. The Deployment looks at Confirming the supply in the next few days from TODAY.
So in short first understand the Difference between a SNP Heuristic and Deployment Heuristic and apply the same principle to a cost based optimization. This should tell you the difference between the two.
Try read this ... First para on Deployment Optimizer ...
http://help.sap.com/saphelp_scm50/helpdata/en/1c/4d7a375f0dbc7fe10000009b38f8cf/frameset.htm
Read the First Paragragraph as well as 'Distribution based on Lowest Costs' section
Hope you find this answer usefull. Reward Points if it is.
Regards,
Ambrish Mathur -
Hi ,
In SNP Optimizer What is the "Corrected Demand Fcst " corresponds to which keyfigure in SNP? My understanding is "Customer Demand" => Sales Orders (Category BM), Demand Forecast => Forecast (ie Category FA). I can't find any mapping for Corrected Demand Fcst.
ShibuHi,
You can create a custom category group and attach all the categories of forecast for the customer you want to, maintain this category group against the Forecast (correlated) key figure in the Planning Area.
Also include this key figure in the planning book.
Thanks,
Sanjog -
How to create new cost groups in inventory org using API or open interface?
Hi,
I would be very kind of you if you can provide me with a solution to my question below.
I have a requirement of copying all the cost groups from one inventory org and creating the same cost groups in another inventory org using programmatically. Is there any API or Open interface that can be used to create the cost groups in the new inventory organization? If not can you suggest any other way of fulfilling this requirement?
I would highly appreciate your help.
Thanks,
Ranajithi,
think, it's not possible.
look here:
http://help.sap.com/saphelp_47x200/helpdata/en/4f/71e05a448011d189f00000e81ddfac/frameset.htm
"The field groups and their respective fields are defined in system tables"
kind regards
Andreas -
SNP Optimizer With Runtime Errors
I am Trying to run SNP Optimizer.
The actions performed on SNP Interacive planing book is Selected the Product Locations in Selection window and When trying to load data or click optimizer it is giving a runtime error.
The Error Says: A table is refered to in a SAP open SQL statement that either does not exit or is unknown to the ABAP dictonary.
Table involved is /SAPAPO/STOCKANC.
Please , can anyone help me understand. What the error is and how to go about it?
That would be a great help.
Thanks
GAyatriHi Gayatri,
Very first check is already mentioned in the error message.
Did you check that the table "/SAPAPO/STOCKANC" exists in your system? When you would dispplay the table in SE11, you should see against the table name that it should show up as "active".
Click on "check" and then "activate" button if the table is not active. This would make it active.
Alternatively take help from your ABAP colleagues.
(Table should have a description "Key and Descriptive Data for Stock". You should also try to find out if recently some OSS note was applied which is causing this kind of issue)
Thanks - Pawan
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