Software-based supply planning with the ORSOFT Enterprise Workbench is an integral part of the S&OP process and allows for a simple and agile supply management – primarily acting in light of the upstream demand planning. The applied end-to-end approach crosslinks the supply planning to the detailed planning in advanced planning & scheduling. Supply planning can be carried out on both real-time and simulation data or a combination of both.
With the goal of optimal resource allocation in the planning process, the supply planning tool identifies material and capacity bottlenecks, prioritises competing demands and enables the management of global supply relationships. Supply management finally results in detailed executable supply plans and their embedding in the consensus/master plan.
The "Why?" of supply planning
The "How?" of supply planning
The planning and simulation tool allows to screen raw material costs based on long-term monitoring. This guarantees necessary demands to be minimised and available raw materials to be used in an optimal way. Due to the integrated planning approach, cross-linking to network planning and contract management is possible. Strategic material simulation enables planners to create additional materials / articles and material hierarchies by simulation.
Production or manufacturing facilities and their central capacity planning on various simulation runs are crucial factors of the value creation process. The primary task of capacity planning is the initial execution of a material planning algorithm to create – based on the demand plan – a rough capacity plan. Strategic capacity simulations, in addition, allow to take potential investment decisions on a valid data basis and from a 360-degree view.
In order to realise a feasible production plan under internal capacity restrictions – this may be done by optimising/reducing internal capacity requirements or capacity levelling –, production orders can also be transferred or converted into a purchase order (make-or-buy or hedge simulation).
With the aim of increasing the overall equipment effectiveness (OEE), this tool allows to display and plan free production slots. In the context of holistic production optimisation, all restrictions in production, all planning-relevant resources (bottleneck resources in particular), are simultaneously monitored and included in the planning run.
Available to promise (ATP) is the free and immediately available part of the inventory, planned production and incoming goods. ATP is being maintained to efficiently manage customer orders. Further to this, additional costing runs can provide reliable information to communicate a later availability date or reduced quantities to the customer.
Network Distribution Planning can be used to plan and coordinate complex plant relationships. It enables the comparison of plant stocks for each material as well as the elimination of material bottlenecks across several plants. It also provides an overview of the utilisation of relevant resources. The tool can thus be used to create a basis for decision for relocation processes.
Autonomous planning provides feasibility checks for material and capacity simultaneously and, unlike MRP (material requirements planning) runs, includes finite capacity limitations. This allows for easy assessment of delays and additional capacity needs.
The task of shelf life monitoring is to continuously screen and manage inventories on their remaining shelf life, threatened by expiry including warning and the booking of expiry in the material balance sheet.
As a planning tool to manage complex logistic relations between supplier and distributor (buyer), Vendor managed inventory enables a permanent inventory overview as well as the visualisation of logistical chains between all partners. Thus, oversized safety stocks in the warehouses can be reduced and the efficiency of the flow of goods increased. Customer data from SAP ERP is used and planning takes place in the supplier's SAP system.