Capable To Promise and Capacity Reservation

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The key takeaways from the document are that it discusses capacity reservation in SAP APO to reserve capacity for priority customers.

The purpose of capacity reservation is to reserve a specific capacity to a particular customer.

Capacity reservation is configured in SAP by creating a consumption group, assigning it to resources, and linking the capacity reservation group to resource masters.

Capable to Promise

Cover Dependent Requirements Immediately - 3 (Planning Procedure)

Before we get into ECC, we have to actually do some configuration in APO for Planning Procedure 3.

In GATP, it even contains some production related settings.

Check Mode: 50 (Warehouse consumption)

It means that once we create a sales order it will create a planned order.

In ECC we create Requirement class and we CIF it and it comes to APO as check mode.

Here we are going to use the standards, but in GATP we usually used to create our own.
050 – Check Mode.

A – Business Event (SD Order)

Maintain Check Instructions


First Check: Product Check

Now we have a sale order and it first checks how much of stocks do we have in our hand now.

This is the one screen in GATP which contains lots of functionalities, for us what we should know is all
about fields under production.
Start Production: Availability check only, no production, Availability Check First, then Production,
Production Directly.

Availability Check Only, No Production: In this case the system only checks for the availability and it will
not do any production which means that if we have a sale order for 1000 and if we have stock for 200
then system will only confirm 200 quantities and it will not do any production.

Availability Check First, then Production: In this case the system checks for the availability and it will
create planned orders which means that if we have a sale order for 1000 and if we have stock for 200
then system will create planned orders for remaining 800 quantities and It will confirm for 1000.
Production directly: In this case the system will not check for the stock availability in hand and it will
directly create a planned orders once we get a sale order.

So tomorrow you have a sale order for 1000, and your ATP will check and it will say that I am getting 3
process orders tomorrow and I am getting stocks a day after tomorrow but when it actually comes to a
day after tomorrow there might not be enough capacity to produce. This is where Capable to Promise
(CTP) comes into picture where it will check for the capacity of the resource into consideration and it will
promise the customer.

CTP plans at all levels and it gives a realistic dates.

Then suddenly our priority customer comes tomorrow and says me that he need 2500 quantities next
week, but we have already planned for the next week production. So In order to avoid these cases
though I perform CTP I will always reserve 1 week capacity to my priority customer which is called the
capacity reservation.

During the Reserved capacity duration, even though if some customer places an order the system will
not plan in that period which we have reserved for priority customer.

Scenarios:

 Select 2 sold to party in ECC


 CTP will run for one sold to party
 Reservation will run for both the sold to party, so that we will know that PPDS will support
Capacity reservation and capable to promise.

Product Allocation in GATP is done at the customer level.

Capacity reservation will be done in PPDS. (Reserving capacity)

Product Allocation is done in GATP. (Reserving Products)


The Basic methods are the one which are shown below.

Required Changes in Material Master

Now you have to change the Resource Master in PPDS to Bucket Consumption, It is because we have to
do capacity reservation also Capacity reservation is always possible only with Bucket capacity.
Now I am creating a sale order in ECC.

I have created a sale order in ECC.

Then I click on the Item availability check button.


Then the system takes me to the APO Availability check from ECC.

Here the material availability is on 03.07.2018.

Capacity Reservation
Purpose: The Aim of Capacity reservation is to reserve a specific capacity to a particular customer,

Create a consumption group in the Demand Planning.

Node Path: SPRO --- Advanced Planning and Optimization --- Supply Chain Planning --- Demand
Planning --- Basic Settings --- Consumption --- Maintain Consumption Group.

We maintain Material, Location, and the Customer in the Consumption group.


Then once we create a consumption group, we need to assign the consumption group to the resource in
the customizing.
Then we have to link the Capacity reservation group to the resource master.
Now we have maintained the capacity reservation group and we have linked the characteristic KUNNR,
So until at this point of time our resource doesn’t know what we are actually trying to achieve.

Now our resource is linked to customers.

Then we have to select the values (for which are the sold to parties(customers)) we are going to reserve
a capacity on this resource.
Now what I am trying to achieve is to, reserve the capacity of the resource for WWC1_0005_001 for the
customer (Sold to party) 1000 from 09.07.2018 to 13.07.2018. So when I try to create a sale order for
the customer (Sold to party) 1007 In this period the system should not allow us to create a planned
order, since the entire capacity of the resource is reserved for a different customer.
Similarly when I try to create a sale order for the customer (Sold to party) 1000 In this period
(16.07.2018 to 20.07.2018) the system should not allow us to create a planned order, since the entire
capacity of the resource (WWC1_0005_001) is reserved for a different customer (1007).

Sale orders will always be created at finished products level.

Now when we save the Resource, if we get some error saying Number range for Object not maintained
/SAPAPO/VI, /SAPAPO/CI – Refer 1073568

Issues in Capacity Reservation Maintenance – 1368244

Testing the scenario

Now I am going to create a sale order for the customer (sold to party) 1000 then it should not plan in the
period reserved for the customer 1007.

I Have created a sale order requesting on 18.07.2018 for the customer (sold to party) 1000, which is
already reserved for a customer 1007.
In APO, It immediately creates a planned order on 13.07.2018, which is reserved for the customer 1000,
which signifies that PPDS Supports capacity reservation.

Pegging Structure in APO

Network view of Receipts


Now I am going to create a sale order for the customer (sold to party) 1007 then it should not plan in the
period reserved for the customer 1000.

In APO, It immediately creates a planned order on 06.07.2018, since the capacity is reserved for the
customer 1000 from 09.07.2018 to 13.07.2018, which signifies that PPDS Supports capacity reservation.

Pegging Structure in APO


Network view of Receipts

Thus this example clearly signifies that PPDS Supports Capacity reservation.

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