Improve your Supply Chain with SAP IBP DDMRP
DDMRP is a new production planning system aligned with pull strategies, which has incorporated the Lean philosophy and the Theory of Constraints (TOC) in its development.
Demand Driven Replenishement (DDMRP) of SAP Integrated Business Planning (SAP IBP) is a solution certified by the Demand Driven Institute (www.demanddriveninstitute.com) that allows a reduction of dependence with sales forecasting, improvement in manufacturing times and reducing the variability in the supply chain and the whip tail effect.
It allows the placement of system buffers so the variability is minimized and system flow is maximum. A dynamic dimensioning is carried out from the expected demand and the profiles defined according to the typology of each product.
DDMRP provides automatic proposals allowing corrections by the planners. Integrated with the SAP MRP creates the order proposed by IBP.
Main following steps are:
1. Strategic Decoupling: Placement of system buffers so that variability is minimized and system flow is maximum.
2. Calculation of buffers: Dynamic sizing from the expected demand (ADU) and the profiles defined according to the typology of each product.
3. Dynamic adjustments: Corrections to the ADU (DAF) or buffer zones by the planner to protect them against anticipated changes in demand. Limited in time.
4.Planning: Automatic proposal according to the DDMRP logic of new planning elements (forecast orders, purchases, transfers …) depending on the real demand and the buffer situation of each moment.
5. Execution: Creation of orders in ECC according to the proposal of the previous step for buffer products. Between buffer and buffer, creation of orders following the logic of the MRP in SAP.
It has a friendly and configurable interface (Excel or Web type), with dashboards and alerts. The calculation of the ADU and steps 1,2, 4 and 5 are automated in the tool, and all can be analyzed and modified, either in Fiori or directly in Excel planning views.
has experience in the implementation of this solution, with projects in production and own business content available to accelerate the implementation of this solution.
If you are interested and want to know more, tell us your needs. We listen to you!