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Agenda
Lost Consumption Correction
Promotion
Fallback Scenario
Promotions
Newly listed products
Safety amount calculation for DIF schema
Improved exception handling
Earlier generation of promotion exception
New Exception Forecast exceeded consumption
Overview of recent improvements
New notes and additional information
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Lost Consumption Correction – Promotional values
consumption declines to 4 pieces due to out of stock situation in
week 8 from Wednesday to Saturday
Normally for correction the average weekly consumption of surrounding
four weeks will be taken into account.
Local mean is: (9+10+8+9) / 4 = 9
Correction value for week 8 is
consumption +
(local mean / number of consumption days per week) * number of days with zero stock
4 + (9 / 6) * 4 = 10Buy 1 Get 1
promotion
in week 7 Correction value would beconsumption +
(local mean / number of consumption days per week) *
number of days with zero stock
4 + (15 / 6) * 4 = 14
To mitigate the risk of too high corrected
consumption value there is a new customizing
setting in place
‘Ignore Periods with Boolean DIFs for Lost
Cons.Calc.’ (forecast profile)
to skip promotional weeks from local mean
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Description
blank: All periods are considered for the calculation of a local mean value, regardless of existing Boolean DIFs
‘X’: Periods associated with Boolean DIFs are not considered for the calculation of a local mean value
Lost Consumption Correction – Promotional valuesEnhancement Forecast profile
Please see Notes:
- 2287903
- 2287870
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Lost Consumption Correction - Fallback
consumption declines to 4 pieces due to out of stock situation in week 8
Normally for correction the average weekly consumption of two weeks
before will be taken into account
If these weeks cannot be considered (e.g. Ignore DIF applies)
there is a fallback strategy in place:
Incomplete weekly goods movement value * number of
consumption days in the respective week / number of
consumption days in the respective week without a zero stock
4 * 6 / 1 = 24
So corrected consumption value would be 24 and would heavily
influence forecast for week 9.
To mitigate the risk of too high corrected consumption
value there is a new parameter in place:
Prepr.ZeroStockCorrect.Fallback.MaxFactor
If parameter is set e.g. to 2
the corrected consumption value would be 4 * 2 = 8
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BAdI-controlled /FRE/FRPCONF_PAR
Prepr.ZeroStockCorrect.Fallback.MaxFactor
Value range
Decimal >= 1.0
Default = 7 (Compatibility)
Recommended = 2
Description
Corrected Consumption for fallback scenario Zero Stock = Consumption* MaxFactor
Lost Consumption Correction - FallbackParameter Prepr.ZeroStockCorrect.Fallback.MaxFactor
Please see Note:
- 1644851
- 1656951
- 1673500
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Consider promotion for newly listed product
So far a promotion (and resulting high
consumption figures) could not be considered
for newly introduced products.
Newly
introduced
product starts
with promotion
in week 1
To mitigate the risk of too high forecast values
there is a new DIF customizing setting planned.
The promotion can be considered separately for
forecasting.
This leads to lower mean forecast and far more
important to lower max forecast.
Thus mean forecast and especially
max forecast are very high.
So the forecasting model has a high variance
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Consider promotion for newly listed productPlanned enhancement DIF Identifier Customizing
A new setting is planned to define whether or not a DIF occurence of DIF Type ‚Boolean‘ is
treated separately.
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Consider DIF Schema Priority for Safety Amount Calculation
Increase Safety Amount during DIF periods by using the highest prioritized DIF Schema. This means the safety
amount will always be as high or higher than the safety amount during the non DIF period. If feature is not active it
could be that DIF schema is insignificant and therefore safety amount is not higher.
Consider Daily DIF Schema for Safety Amount CalculationThe safety amount might be too high in previous releases if a DIF schema was set only for a part of a week. This
can be avoided by turning feature on. Then safety amount for DIF schema will be considered only for the days in
which the DIF occurrence is valid.
Safety Amount Calculation – Consideration of SchemasEnhancement Forecast profile
Please see Notes:
- 2287903
- 2287870
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Improved Exception HandlingPlanned enhancement of FRP Exception profile
Description
So far following exceptions were only created on order days
– 218 Effect of (loc.prod. level) DIF in week unknown
– 222 Effect of (location level) DIF in week unknown
– 830 Effect of (loc.prod. level) DIF in week unknown; factor used
– 832 Effect of (location level) DIF in week unknown; factor used
Now, these F&R exceptions can be issued also for location products which do not have an order date at the
current FRP planning date. This allows you to react before the next order proposal is created.
Product gets promotion
„Flyer“ for the first time
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Improved Exception HandlingParameter Excpt.PredWarn.OnlyRaiseOnOrderDates
BAdI-controlled /FRE/FRPCONF_PAR
Excpt.PredWarn.OnlyRaiseOnOrderDates
Value range
0/1
Default = 1 (Compatibility)
Technical integration
As long as the customizing does not exist the functionality can be used by a BAdI implementation
Please see Notes:
- 2093784
- 1673500
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Improved Exception HandlingPlanned new Exception «Forecast exceeded consumption»
The exception indicates that a weekly
forecast value exceeds the highest
consumption peak threshold. This
threshold is calculated as the highest
consumption peak times the
multiplicative factor f plus the
absolute distance d.
Factor: e.g. 1.40 This means Forecast has to be 40% higher than highest consumption in the past
Absolute distance: e.g. 2 This is to avoid false alerts for ultra slow sellers
+ 2 = 226
For week 8 with a forecast of 289 you will get the new exception
160 * 1.40 = 224
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Improved Exception HandlingPlanned enhancement of FRP Exception profile
Description
Controls which factor is applied to the highest consumption peak before comparing it with the maximum value of
the corrected weekly forecast.
Controls which offset is added to the highest consumption peak before comparing it with the maximum value of
the corrected weekly forecast.
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Overview of recent improvements
Announcements of SAP F&R improvements and important corrections
Note 2335048 is used to announce and share information about F&R improvements and recommendations.
The note will be kept updated.
Please check this note regularly for further information!
How to change BAdI-controlled default settings?
Note 1673500 provides you with information about the different types of FRP configuration parameters.
The note provides you with example implementations of the 3 BAdIs which can be used to change
BAdI-controlled default settings.
Table /FRE/FRPCONF_PAR
BAdIs:
– FRE/FU_FRP_BADI_002->CHANGE_PARAMETERS
– FRE/FU_FRP_BADI_004->LOCATIONPRODUCT_PARAMETERS
– FRE/FU_FRP_BADI_005->PROFILE_BADI_CONFIG
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Overview of recent improvements
Forecast calculation
Multiple additive correction DIF
– Note 2229974
Traceability
Order Balancing
Additional F&R exceptions
– Notes 2094788, 2115338
Enhancement concept Table /FRE/MATLOC_FRP
Customer-specific data imported from the FRP location environment can be persisted via BAdI at table
/FRE/MATLOC_FRP
Example: Additional calculation details for location products without order proposal
– Note 1990393
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Overview of recent improvements
Contract handling
Contract check is applied on
Order proposal level at transaction /FRE/RWB (Replenishment Workbench)
Location level at the FRP run
– Note 2116445
Substitution for Cross-Docking (Retail and F&R)
Cross-Docking scenario is supported for
Quantity Control ‘SubstArt with Total Quantity’
– Note 2245683
Thank youHans-Georg Kloep
Product Owner (IMS)
Development Architect
Contact information:
Wilfried Baumgartner
Senior Analytics Specialist
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Multiple additive correction DIF
Consideration of e.g. ‘Weather Forecast’ as additive forecast correction
DIF customizing
Multiple definition of Additive Forecast
Correction is supported
Same ‘Rule for overlapping’ is required
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Traceability 1
Order Balancing – additional F&R exceptions
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Traceability 2
SAP Enhancement concept Table /FRE/MATLOC_FRP
BAdI: Evaluation of FRP Inbound Files (/FRE/FU_FRP_BADI015 )
A BAdI for the FRP inbound is provided in addition to support the customer-specific storage of data from
the FRP data environment in /FRE/MATLOC_FRP.
Example: Missing calculation details for products without order proposal the net demands for products
which were not ordered for any reason could be enhanced
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Contract Handling
OP based contract check
Logic of the check not changed
Logic applied on OP level at /FRE/RWB
Logic applied on location level at FRP
Logic applied on item level /FRE/PWB
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Substitution for Cross-Docking
Consideration of Qty Ctrl ‘SubstArt with Total Quantity’
Customizing: Article Substitution - Application-Specific Control
Maintenance w/o assortment
Substitution relationships
‒ Follow-Up Article
‒ Replacement Article
Quantity control
‒ ‘SubstArt with Total Quantity’ only
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Forecast Calculation: DIF Schema
While time periods with selected demand influences a specific safety amount has to be calculated:
Periods with occurrences of certain DIF: DIF Schema
A DIF Schema is linked to one or several DIFs (e.g. promotion, calendar event).
Periods with high season sales: High Season Schema
High Season Schema will be detected by the system automatically.
Separate target service levels can be defined in Service Level Profile for every DIF Schema and the
High Season Schema (optionally by ABC classification and by selling class).
Per time period a Schema is valid and for regular periods specific variances will be calculated.
Use of DIF Schema and High Season Schema can be switched on/off in Forecasting Profile.
Examples:
High season sales during limited period of the year (sun blocker, snow shovel,…)
High availability for promotion periods required
One time a year sales (special Christmas or Easter products)
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Forecast Calculation: DIF Schema
Without DIF Schema:
No different variance
is determined.
No different service
level can be defined.
Safety amount for
promotion periods
and for periods
without promotions
are the same.
Safety
Amount
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Forecast Calculation: DIF Schema
With DIF Schema:
Different variance is
determined.
Different service level
can be defined.
Safety amount for
promotion periods
and for periods
without promotions
are different.
Service Level
90%
Service Level
60%
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Service Level = 90%
Service Level =
60%
Forecast Calculation: DIF Schema
With High Season
Schema:
Different variance is
determined.
Different service level
can be defined.
Service Level for
seasonal peaks are
higher and will be
detected by the
system automatically.
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Forecast Calculation: DIF Schema
Known problems with safety amount calculation:
Because while a promotion out-of-stock situations have to be avoided a much higher service level is defined for
relevant DIF Schema (e.g. 95% vs 70%).
However the variance while promotional time periods in the past was not significantly different to the variance in
the non-promotional time periods. Therefore a specific safety amount calculation will be skipped and the regular
service level will be considered.
Instead of higher safety amount while promotion time period regular safety amount is used.
Same problem can appear, having specific service level for High Season Schema.
Several DIF Identifier are assigned to a DIF Schema. For every DIF Identifier exact one week has been
observed (e.g. DIF A one week with 10, DIF B one week with 20, DIF C one week with 40).
A much higher service level for DIF Schema is defined (e.g. 95% vs 70%).
The variance calculation is done separately per DIF Identifier. The determined variances per DIF Identifier
afterwards are summed up. Because every DIF Identifier only has been observed once for one week the
variance per DIF Identifier is zero: The variance for the DIF Schema is zero.
Instead of higher safety amount while promotion time period no safety amount is considered, even if we have
a safety amount for non-promotional time periods!
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Forecast Calculation: DIF Schema
Known problems with safety amount calculation:
A promotion ends at the beginning of a week. The relevant DIF Identifier is assigned to a DIF Schema for which
a much higher service level is defined. Finally we have a much higher safety amount for non-promotional time
periods compared to promotional time periods.
However the higher safety amount is considered for the complete week, even if the promotion has been ended
at the beginning of the week.
Example: Safety amount per day while promotion is 5 units, but regularly it is 1 units only.
Week start is Monday. We have 7 sales days/week. The promotion ends on Monday (inclusive).
The promotion specific safety amount will be considered not only for Monday (+4 units), but for the complete
week (7 times +4 units). Finally we will have 24 units too much!
Of course the promotional effect only is considered for the promotion period (in our example for Monday only).
But this is not valid for the specific safety amount!
Probably too high stock after the end of a promotion.
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