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SAP Case Study

SAP Advanced Available to Promise Solution Implementation 

Implement SAP Advanced Available to Promise (ATP) solution for real-time order fulfillment, inventory management, and demand-supply synchronization.

Business Overview

  • The client is one of the global CPG (Consumer Packaged Goods) giant with very complex business processes.
  • The supply chain  of the client is a complex network of interrelated business processes, from sales to procurement and production to warehousing. As the client strive to meet customer demand while keeping costs low, there is a growing need for advanced technologies that can optimize these processes and improve overall efficiency.
  • In ECC for the client is using the APO GATP (as a separate box) to meet their expectation on the complex supply chain process, Since they have moved to S4 HANA cloud edition they are now able to get all the facilities of GATP as well as some other advance features like ABOP (Advance Interactive Back-order processing), Device independent ATP explanation and simulation app and unified and simplified data model.
  • They opted for the Advance ATP with the Business Process Scheduling (BPS) and Alternative Based Confirmation(ABC) which helps the business to o achieve their supply chain goals by improving their increased scheduling precision and optimizing resource utilization. They are also using the Backorder processing (BOP) and the Product Allocation (PAL).

Solutions Offered

Backorder Processing

In advanced Available-to-Promise (aATP), client is using Backorder Processing (BOP) to check material availability when the demand or supply situation in your order fulfilment process has changed and check if previously calculated confirmations for sales orders or stock transport orders are still realistic. 

Advanced ATP

Client is using the Business process scheduling (BPS) that is allowing businesses to schedule and manage their processes more efficiently. By using BPS, businesses can optimize their schedules to ensure that they are using their all-available resources in the most efficient way possible.

Supply Prioritization

Client is using Supply Assignment (ARun) as a check method in the context of Backorder Processing (BOP) in aATP to ensure that the most appropriate supply is assigned to order requirements in a supply shortage situation.

Allocation Optimization

Client is using the PAL to be able to deliver the required quantity of a material to the customer at the requested time demands precise planning and control mechanisms. Client is using the Product Allocations (PAL) in aATP for the following reason:

  • Simple and flexible setup
  • Time-dependent assignment to product/plant
  • Provision for importing/exporting allocation quantities
  • Support for online ATP check and backorder processing

Technologies Leveraged

  • SAP S4HANA Advanced Available to Promise
  • SAP Fiori Web Applications
  • SAP BTP

Business Benefits

30%

On time delivery performance 

45%

Operation and logistics costs savings

17%

Decrease in DSO (Days Sale Outstanding) and DPO (Days Payable Outstanding)   

More Benefits

  • Improved Order Fulfilment: helped businesses optimize order fulfilment processes. Improved allocation of available inventory and resources, reducing stock-outs and backorders.
  • Enhanced Customer Service with accurate and reliable promise dates generated which enabled business to provide better service to customers. The delivery commitments consistently enhanced customer satisfaction and loyalty, potentially leading to repeat business and positive referrals.
  • Optimized Inventory Management helped business optimize inventory levels by considering current stock, planned receipts, and demand variability.
  • Streamlined Production Planning with real time Integration with production planning modules to consider manufacturing lead times, capacity constraints, and production schedules when calculating availability.
  • Cost Savings achieved by reducing carrying costs associated with excess inventory and minimizing expedited shipping expenses due to improved planning and availability visibility.
  • Data-Driven Decision Making with real-time analytics and reporting capabilities to provide insights into demand trends, supply chain performance, and customer behaviour. This data-driven approach supports informed decision-making and strategic planning.
  • Compliance and Efficiency by ensuring compliance with service level agreements (SLAs) and contractual commitments by providing accurate promise dates and order status visibility.
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Increased Efficiency

Our solution employs advanced Object Detection techniques and computer vision algorithms to automate the inspection of steel plates, identifying defects like cracks, scratches, and dents with precision. By streamlining this process, we ensure timely intervention for maintaining high-quality standards in industrial applications.

Improved Accuracy

AI-driven inspections have revolutionized the way errors are identified and corrected in various industries. These advanced systems use machine learning algorithms to analyze vast amounts of data with unprecedented accuracy,

Cost Reduction

By identifying issues at an early stage of production, companies can address them promptly, preventing them from escalating and causing significant setbacks down the line.

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