Topic Covered -

1. Supply Chain Planning Strategies Discussed
2. Sales and Operations Planning Discussion
3. Designing Data Access and Training Objectives
4. SAP IBP Integration Strategy Discussion
5. IBP Tool Integration and Planning
6. Cloud-Based Solution Capabilities Discussed
7. SAP's IBP: Industry Adaptability and Advantages
8. Implementing SAP Model and Licensing
9. Budget vs Forecast and Supply Chain
10. Data Availability and Business Requirements

Supply Chain Planning Strategies Discussed

The discussion covers various aspects of supply chain planning in the automobile industry and other sectors. Ravi shares his experience with just-in-time (JIT) inventory management, highlighting how it improved efficiency after initial challenges. The conversation explores the complexities of managing global suppliers, lead times, and demand variability. Sandeep raises questions about make-to-order scenarios and global supply chains, leading to a discussion on different strategies for local and global suppliers. The importance of integrating planning with suppliers and the need for both business and system expertise in supply chain management is emphasized.

Sales and Operations Planning Discussion

Sam discussed the importance of a dedicated team for sales and operation planning, which involves demand, inventory, and supply planning. He emphasized the need for a safety stock and the role of demand and supply planners in the process. Sam also highlighted the variability of the planning process, which could be monthly, quarterly, or even semi-annual, depending on the organization. He introduced the concept of Integrated Business Planning (IBP) as a tool to manage the end-to-end sales and operations planning process. Sam also mentioned the use of Supply Chain Control Tower for managing exceptions and visibility of inventory across the supply chain. He concluded by discussing the importance of scenario planning and the ability to automate processes using job scheduling.

Designing Data Access and Training Objectives

Sam discussed the need to configure the system to provide the right team with access to specific data. He emphasized the importance of designing and configuring the system to ensure the right amount of visibility is provided. Sam also outlined the objectives of a specific training curriculum, which aims to enhance understanding of SAP and the planning function, as well as the configuration of the IBP platform. He stressed the importance of simplicity in the system to avoid complexity and ensure planners can digest the planning results. Ravi was mentioned as someone who could provide further insights on how the IBP interacts with other systems.

SAP IBP Integration Strategy Discussion

Ravi and SAM discussed the integration of the SAP IBP (Integrated Business Planning) system with dealers and distributors. SAM clarified that dealers may not have the capacity to invest in the system, so their account heads and sales representatives would manage the information offline. The system could also be integrated with existing planning tools, such as SFDC, to provide visibility of forecasts at a regional or global level. They also discussed the importance of midterm planning to predict demand and identify potential shortages, which would help in coordinating with suppliers. SAM emphasized that the focus of the production plant head is on short-term planning, ensuring the availability of machines, labor, and raw materials for production.

Ibp Tool Integration and Planning

Sam discussed the integration of the Ibp tool into the production planning and detail scheduling process. He explained that while the Ibp tool can cover high-level sales and operations planning, individual supply planning, safety stock calculations, and demand planning, short-term production planning requires a more detailed approach, which will be implemented in S. 4 Dhana. Sam also highlighted the importance of visibility into weekly capacities for supply planning in the midterm. Ravi understood that the Ibp tool would be used for both distribution and supply chain planning, and that it is 100% functional with no technical dependency.

Cloud-Based Solution Capabilities Discussed

In the meeting, Sam discussed the capabilities of an unnamed cloud-based solution. It lacks customization, user exit, and other features, relying on building blocks for configuration. With the help of a functional consultant, it can be flexible enough to address various types of business. Sam also mentioned that if an exceptional modification is required, the solution's provider, SAP, would have to be contacted. He also mentioned that the solution's programming language has not been disclosed. He further elaborated on the model configuration aspect of the solution, explaining its use in understanding and configuring the system.

SAP's Ibp: Industry Adaptability and Advantages

Ravi and Sam discussed the adaptability of SAP's Ibp tool in the industry. Sam explained that SAP created Ibp to be faster, easier to use, and have a simple user interface, similar to Excel. This made it more appealing to users and easier to integrate with other SAP products. The tool has been adopted by many organizations for Sndp and demand planning processes, and some have even started using it for supply planning. However, some clients have chosen to use other tools like Kinaxis or Jda for supply planning due to Ibp's immaturity in this area. Sam highlighted that Ibp's key advantages include being an SAP tool, covering best practices, being easy to integrate with SAP, and having good support from SAP.

Implementing SAP Model and Licensing

The meeting revolved around the implementation of a new business model, specifically focusing on the SAP model. SAM clarified that a separate license is required for the IBP, which is not the same as the regular SAP user ID. The licensing cost can vary depending on the organization's business model and revenue. SAM also discussed the importance of understanding the rules and authorization part of the IBP user design, which is crucial for managing data restrictions. The meeting also touched on the integration of master data from ECC or S4 into IBP, and the use of a standard middleware for data integration. The discussion concluded with an overview of the functionalities of the IBP, including supply planning, capacity leveling, and the use of alerts.

Budget vs Forecast and Supply Chain

Carlos and Sam discussed the differences between budget and forecast, with Sam explaining that budget is more financially driven, involving the approval of revenue projections at a high aggregated level, which is then broken down into a monthly bucket. This is contrasted with supply chain planning, which focuses on quantity sold and how it is balanced across different products. Sam also clarified that historical data from the current solution system is usually uploaded into the new system during implementation.

Data Availability and Business Requirements

In the meeting, Sam discussed the configuration of data availability and the end-to-end linkage of business requirements. He explained the concept of key figures in planning views and how the system associates sales data with specific time periods. Sam also highlighted the importance of understanding the business requirement and the configuration process for model implementation. He discussed the different hats one can wear, such as a planning consultant, and the need to switch from technical to business language when interacting with the planning community. Sandeep raised a question about the necessity of system access for practice, to which Sam responded that it's not necessary but having access can be an advantage. Sam also emphasized the importance of understanding the curriculum before moving on to other concepts.