Capable to promise (CTP): Efficient customer dialogue through end-to-end availability checks

Capable to Promise (CTP)

Process unplanned ad-hoc delivery requests quickly and according to customer needs with online capable to promise (CTP)

The customer is king! It is probably no different for you! But what to do when an unplanned order request comes in, asking for an ad hoc delivery. On top of that, the customer’s purchase conditions regulate a binding delivery confirmation to be made within 48 hours. No worries, ORSOFT’s capable to promise (CTP) can assist in meeting these requirements.

What is a CTP (capable to promise)-check?

The CTP (capable to promise)-check is an availability check by date and quantity, taking into account and evaluating existing stocks, semi-finished goods, already planned production, production capacities and external suppliers.

Benefits of using capable to promise (CPT) with ORSOFT Manufacturing Workbench

  • Instant and automatic calculation of accurate delivery dates for customer requests, including current and projected demand as well as capacities/constraints within the supply chain (material flow analysis, including cross-plant transitions and contract manufacturing)
  • Planners and customer service professionals can run through complex KPI-based decision processes for fulfilling orders and for checking delivery capabilities to transparently communicate with the customer
  • Consideration of the current planning situation (no change of existing orders, exclusion of reserved stocks, no additional conflicts)
  • Technologically feasible allocation of resources and means of production (planning within minutes)
  • Holistic insight into goods/materials stocks incl. circulating stocks, work in progress (WIP), replenishment and confirmation times as well as safety stocks
  • Freedom in hedging supply commitments against volatile demand and supply conditions
  • Confirmed quantities and deadlines can be reliably determined by the CTP-check and, in addition, optimised in terms of price
  • Ensuring minimum margins already during the order acceptance process
  • Multiple options on customer requests, such as earliest possible lead time and its costs or lead times considering the trade-off against minimum costs and set-up times
  • Feedback to SAP® only if the result leads to an improved planning and a better available to promise (ATP) statement

Advanced analytics and artificial Intelligence: the initial way toward reliable lead times

Planning algorithms for CTP (capable to promise)-checks combine descriptive methods (the question of “what happened?”) from the ATP (available to promise)-run (which is about material flow planning) with prescriptive methods (“how can I achieve it?”) comprising future capacities and material availabilities. The planning runs are modelled based on heuristics, mathematical optimisations and/or artificial intelligence.

Get in touch with ORSOFT

Dr. Martin Kohl
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