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Function documentation Late Demand Fulfillment 

Use

Capable-to-Match planning (CTM planning) always attempts to fulfill a demand on time. If CTM cannot schedule a receipt before the demand date, the demand is not considered fulfilled. With the late demand fulfillment, CTM uses a particular procedure to fulfill the demand after the demand date.

Prerequisites

So that CTM executes late demand fulfillment, you must set the Allow Late Demand Fulfillment indicator on the Demand-Dependent Constraints tab page in Customizing for Multilevel Supply and Demand Matching (SDM) under Capable-to-Match (CTM) ® Define Global Values and Default Values.

If you use CTM planning with rules, you set the indicator in the rule maintenance (see CTM Planning with Rules).

Features

For late demand fulfillment, CTM attempts to fulfill the demand before the end of the planning period. If you have entered a value for the maximum delay in CTM Customizing, the late demand fulfillment ends accordingly before the end of the planning period.

In CTM Customizing, you can choose between two basic strategies for late demand fulfillment: the domino and the airline strategy.

·  For the domino strategy, CTM uses the late demand fulfillment for each demand when exceeding the demand date.

·  For the airline strategy, CTM proceeds as follows: the system shifts the demands that CTM cannot fulfill on time to the end of demand prioritization. Only when CTM has fulfilled all the other demands does CTM then start with the late demand fulfillment for the demands that the system could not fulfill on time.

The procedure is important for the way in which CTM proceeds during late demand fulfillment. You can select this in the CTM profile:

·  Standard Procedure for scheduling

·  Minimize delay

CTM selects the source of supply with which the system can fulfill the demand as early as possible within the specified time period. CTM only considers the criteria for Source Determination if the system determines several sources of supply with the same availability date.

With this procedure, the CTM planning run lasts longer than it does with the standard procedure.

·  Shift demand date step-by-step

CTM shifts the demand date by the number of days that you specified. CTM attempts to fulfill the demand on the new demand date, using backwards scheduling. If the system cannot fulfill the demand on the new demand date, CTM shifts the demand date again by the specified number of days. CTM continues this procedure until the system has fulfilled the demand or until the end of the specified period.

A disadvantage of this procedure is that gaps may appear in the resource utilization, as CTM schedules backwards from the new demand date. This may cause CTM to fulfill the demand later than necessary.

If for this procedure you have specified a large time period for the maximum delay and a small value (offset) for the step-by-step shifting, the search for a solution is very time-consuming.

Note

You can only use the Minimize delay and Shift demand date step-by-step procedures if you schedule backwards.

Activities

You choose the procedure for the late demand fulfillment in the CTM Profile on the Strategies tab page under Special Strategies and in the Late Demand Fulfillment field.

In Customizing for Multilevel Supply and Demand Matching (SDM) under Capable-to-Match (CTM) ® Define Global Values and Default Values on the Demand-Dependent Constraints tab page, you can choose the strategy under Allow Late Demand Fulfillment and enter the value for the maximum delay. If CTM is allowed to also partially fulfill the late demand, set the Allow Shortage indicator.

If you use rules in CTM planning, you make the settings in the rule maintenance (see CTM Planning with Rules).

 

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