Shelf Life Planning in SAP S/4 HANA "MRP Live"

SAP S/4 HANA
Sh lf Lif E i ti D t (SLED) Pl iShelf Life Expiration Date (SLED) Planning
&
M t i l Ob lMaterial Obsolescence
 MRP Live (AMDP MRP)
Solution BriefSolution Brief

Index
Synopsis11
SLED Planning in MRP Live (HANA MRP)
Requirements
22
IT Sapiens’ Solution Features33
Solution Merits55
Solution Demo44
Solution Merits55
Our Value Proposition66
September 7th 2020 © 2020 IT Sapiens, Inc.
Proprietary and Confidential
Questions ?77
p
1

Synopsis11
 MRP/MPS Functionality in all SAP ERP versions (including S/4 HANA):
 MRP considers inventory stock categories at a material level, based on the
configuration of the MRP related availability checking ruleconfiguration of the MRP related availability checking rule
 For a material, per stock category (unrestricted, blocked, quality,
returns) MRP considers the cumulative inventory of batches,
irrespective of the expiration date of respective batchesirrespective of the expiration date of respective batches
 It is expected that when batches expire out into the future, the system
should recognize the batch expiration date and decrement the
availability of the stock such that a planned order/pur.reqn could be
suggested for internal/external procurement vis-a-vis a requirement/issue.
This is a GAP in:
 ECC 6.0 (All EHPs)
 S/4 HANA Classic MRP (uses ABAP Application Logic)
 S/4 HANA MRP Live (runs in Database using “Code Push Down”
S/4 HANA MRP Live (runs in Database using Code Push Down
ABAP Managed Database Procedures, a.k.a “AMDP”, logic)
2

Batch SLED Planning MRP/MPS Requirements – MRP Live22
 Industry Requirements for Batch SLED Planning in MRP/MPS:
 For Regular Stock items, Subcontractor Stock Items, Vendor Consignment
Stock Items
 If a material is batch managed and shelf life managed, MRP should
 during planning, dynamically take into consideration the
expiration date of balance batches in inventory after consumptionexpiration date of balance batches in inventory after consumption
 Calculate the inventory quantity of a batch (for all batches in
general) that will expire/be obsolete on the expiration date (or key
date)date)
 reduce the ‘net available material inventory’ per requirement
date, by the inventory of batches whose expiration date (or key
date) is less than the requirement date of the requirement.
 The batch numbers of the expired/excluded batches and their
quantities should be displayed as an MRP Element in
Stock/Requirements Lists
3

Batch SLED Planning MRP/MPS Requirements – MRP Live22
 Industry Requirements for Batch SLED Planning in MRP/MPS:
 Batch Key Date
 Ability to define a Batch Expiration date offset (e.g. Restricted Use
Date) for planning:
 At a Batch Level
 At a Plant-Material Level
 At a Plant-Material Type Level
 Stock/Requirements List
 Indicate in Stock/Requirements List if the expired/excluded batches Indicate in Stock/Requirements List, if the expired/excluded batches
and their net quantity in planning run, is a result of the latest “MRP
Live” run or a “Classic MRP” run
 The SLED Planning functionality should be available at Plant and MRP
Area, and Stock Segmentation levels
 Material Obsolescence Reports should be based on Net Expiring Qty. from
the latest MRP Run results, between MRP Live and Classic MRP
4

IT Sapiens’ SLED Planning Solution Features – MRP Live33
 Solution Excerpts:
 For Regular Stock, Subcontractor Stock, and Vendor Consignment Stock,
the Solution
 dynamically takes into consideration the expiration date (or key date)
of balance batches in inventory after consumption
 Calculates the inventory quantity of a batch that will expire/be obsoletey q y p
on the expiration date (or key date)
 Reduces the ‘net available material inventory’ per requirement
date by the inventory of batches whose expiration date(or key date) isdate, by the inventory of batches whose expiration date(or key date) is
less than the requirement date of the requirement
 Expiring/Obsolete Batch numbers and their quantities are displayed as
an MRP Element in the Stock/Requirements List Screen
 Ability in SLED Planning Activation Table to turn this feature OFF
 Functionality identical to “IT Sapiens SLED Planning Solution for Classic
MRP”
5

 Order of Batch Key Date derivation (Offset from Expiration Date):
1. Batch “Use-By” Date (MCH1-FVDT6 or MCHA-FVDT6)
2. Max Storage Period (MARC-MAXLZ) in Plant Material Master
3. Minimum Remaining Shelf Life Days at Plant-Material Type
 Stock/Requirements Listq
 MRP Element descriptions suffixed with ‘(LIVE)’ to indicate if the
Expiring/Obsolete Batch Qty was a result from a “MRP Live” run
 Dynamically factors the latest MRP Run results (“MRP Live” or Dynamically factors the latest MRP Run results ( MRP Live or
“Classic MRP”) in Expiring/Obsolete Batch MRP Elements display
 SLED Planning Functionality works with and without MRP Areas
 SLED Planning Functionality works with and without Stock Segmentation
 SLED Planning Functionality Activation by “Plant-Material Type-Division”
 Material Obsolescence Report with Net Expiring Qty. from the latest MRP
Run results, between MRP Live and Classic MRP
6

 Scope of SAP S/4 HANA Transactions that the Solution works with:
 MD01N  MRP LIVE
 MDC7  Stock/Requirements List from MRP Live Results
 Compatible with S/4 HANA 1609 and above
 “AMDP” based Solution WITH NO SOURCE CODE MODIFICATION
7

Solution Demo – Material Batch Stock44
8

Solution Demo –Status before Activating Solution44
 Solution is NOT Activated
 Stock/Requirements List

Solution Demo – MRP Live Run with Solution Inactive44
 MRP Live (Standard SAP Functionality)
10

Solution Demo – MRP Live Run with Solution “Inactive”44
 MRP Live Run (Standard SAP Functionality):
 No MRP Suggestions since MRP Live does not check Batch Data
11

Solution Demo – Solution Activation44
 SLED Planning Solution Activation

Solution Demo – MRP Live Run with Solution “Activated”44
 MRP Live run with SLED Planning Solution ACTIVE

Solution Demo – MRP Live Run with Solution “Activated”44
 MRP Live run with SLED Planning Solution ACTIVE
 New MRP Suggestions since MRP Live factored Batch SLED Data
Regular Stock “Net Qty” of
Expiring Batches shown

Solution Demo – “MRP Live Run” v/s “Classic MRP”44
 MRP Live Run results are Identical to Classic MRP Results
 Batch Exclusion segments from Classic MRP do not have “(LIVE)” tag

Solution Demo –MRP Live Run with MRP Areas with SLED
Planning Active44
 MRP Areas Active

Solution Demo –MRP Live Run with MRP Areas with SLED
Planning Active44
 MRP Live Run
E i i B h hExpiring Batches shown

Solution Demo –MRP Live Run with Stock Segmentation
and with SLED Planning Active44
 Stock Segmentation Active

 MRP Live Run

Solution Demo – Material Obsolescence Report44
21

Solution Demo – Material Obsolescence Report44
22

Solution Merits55
 “Batch Expiration Date Mgmt in Classic MRP/MPS” Merits:
 Real time net requirements planning taking into consideration SLED Data
 “MRP Live” with SLED Planning works same as “Classic MRP” with SLEDg
Planning
 With extending SLED Planning in “MRP Live”, performance benefits of
AMDP MRP can be leveraged with no loss of functionality while usingAMDP MRP can be leveraged with no loss of functionality while using
“MRP Live”
 Reliance on MRP suggestions viz. Planned Orders, Purchase Reqn,
i t d f C t “P i t i ti ” tinstead of Custom “Point-in-time” reports
 Real time visibility of ‘Discounted Batch Inventory’ in Stock/Requirements
List. Accurate Material Obsolescence Projections.
 Functionality can be activated/de-activated per Plant or any other
combinations of delimiters
 Functionality works with and without MRP Areasy
 Functionality works with and without Stock Segmentation
 NO SOURCE CODE MODIFICATION OF ANY KINDSeptember 7th 2020 © 2020 IT Sapiens, Inc.
23

Our Value Proposition66
 Reduced TCO, Highest First Pass Yield and Highest Quality from:
 Strong expertise in providing end-to-end Supply Chain Solutions
 Strong Expertise implementing SAP, enriching Business processes and
alleviating GAPs in SAP, for Life Sciences, Consumer Products, Food and
Beverage, Chemical and High-Tech Industry segments
 Experienced in Implementing cGMP compliant SAP Solutions for Regulated
Environments
 Very experienced consulting resource base with 20+ years experience and
deep cross-functional expertise, and expertise in new technologies (e.g. AMDP)
 Rich Knowledge base of custom solutions to address GAPs in most SAP
applications. We build solutions for you at our dime.
 Ability to demonstrate end-state on Day 1 using in-house SAP Systems rich with:
 Pre-configured Solutions
 demo-able SAP Functionality
 Demo-able IT Sapiens custom solutions
 Framework to develop strawman solutions
 Our “Say-To Do” Ratio is 1:1
24

Questions ?77
 For more information…kindly contact
Vijay Pisipaty
Director-ERP Solutions & Consulting
IT Sapiens, Inc.
e-mail: vijay.pisipaty@itsapiens.com
25

Shelf Life Planning in SAP S/4 HANA "MRP Live"

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