Fujitsu America

Supplier Scheduling With ASCP- Abhai Tripathi

abhai.tripathi@us.fujitsu.com937-489-0272

Fujitsu America 2

Agenda

■ Why Oracle Supplier Scheduling■ Planning Flow■ Oracle Setups required■ Managing Lead Times■ Supplier Scheduling Integration With ASCP■ Planning Constraints■ Supplier Communication■ Q&A

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Why Oracle Supplier Scheduling

In a Consumer Goods industry with a large database of suppliers

and purchased items, it is extremely important to have the

correct material at the right time for the right demand. To manage

the supplier lead time effectively and have the material “just in

time” is the key to effective planning. Supplier scheduling has

been around longer than more sophisticated Oracle tools, but

with the right approach, it can be a very effective tool

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Why Oracle Supplier Scheduling

➢Create planning and shipping schedules that communicate forecast and shipping information to suppliers➢Convey long-range requirement forecasts and firm requirements that are commitments to fund investment in raw materials and processing for projected requirements➢Communicate detailed view of expected delivery - unimplementedASCP planned orders, approved requisitions, and approved supplyagreement releases for specific suppliers, supplier/site combinations, items, and ship-to organizations➢Include orders in the schedule only if their due dates fall within theschedule horizon ➢Build a schedule in a bucket pattern of days, weeks, months, and quarters that will best communicate the orders➢Maintain capacity of individual suppliers to supply specific items➢Split sourcing and ranking information which first attempts tosource the planned orders with the primary sources and alternative sources as per the priority

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Planning Flow

Sales & Operations Planning – Long range (>12 mths)Frequency – Yearly?Product & market planningBusiness ForecastingLong term decisions – capacity additions/ new facilities/ etc.

Leve

l of d

etai

l

Planning Horizon

MRP

PAC

MPS

APP

SOP

Aggregate Production Planning – Medium range (3-6 mths)Frequency – Monthly/ quarterlyPlanning at product group levelsCapacity requirements planning

Materials Requirements Planning – Short range (days- weeks)Frequency – daily/ weeklyNeed requirements by date for production & procurement.

Master Production Schedule – Medium range (3-6 mths)Frequency – Monthly/ quarterlyFixed for short term, variable over longer termAmounts & Dates for specific end products

Production Activity & ControlScheduling/ sequencing/ routing

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Planning Flow

Manufacturing Plant

Oracle Master / Txn Data

Vendor 1

ShipReceive Goods

Vendor 2

Demand Forecast

Plan Run

Supply Agreements ASLs

Approved Reqs / RelsSchedulers WB

Schedule Options

Build, Confirm and Send Schedules

Vendor Ships

Data Collection

Data Collecti

on

ASCP

Sourcing Rules

DockShip

Vendor ShipsDock

Dock

iSupplier Portal

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Oracle Setups required

M1M2

M1M2

M1M2

M1M2

ODS

PDS

ADScollections

Planning

Release

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Oracle Setups required

➢ Define items and set planning attributes (Time fences, lead times, Order Modifiers)

➢ Define Calendars & Shifts (Supplier Calendars)➢ Define Routings and Set Capacities➢ Define Bill of Materials➢ Define Sourcing rules and Assignment sets➢ Setup suppliers➢ Safety Stocks➢ Define Approved Supplier List – By items / categories➢ Define Forecast, Forecast sets, Demand classes➢ Define Demand Schedules ➢ Define profile options : MRP / MSC / MSO

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Oracle Setups required – Order Modifiers

Fixed Days Supply■ The planning process suggests planned order quantities that cover

net requirements for the period defined by this value.Fixed Order Quantity■ The planning process suggests planned order with an order quantity

that is equal to the fixed order quantity.Fixed Lot Multiplier■ The planning process suggests planned order with an order quantity

that is a multiple of the fixed lot size multiplier quantity.Minimum order Quantity■ The planning process suggests planned order with an order quantity

that is at least equal to or greater than minimum order quantity.Maximum Order Quantity■ The planning process suggests planned order with an order quantity

that is at the most equal to or less than maximum order quantity.

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Oracle Setups required – Order Modifiers

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Oracle Setups required – Time Fences

Time Fences

Planning Time Fence: A planning time fence of x days freezes planned orders in the interval [plan start date, plan start date + x]. This eliminates near-term disruptions to the manufacturing schedule. If plan start date is non-working day, it takes the next working day. The planning engine does not create planned orders earlier than Planning Time Fence date. It schedules planned orders as follows depending on supply type:

● Make supplies: Start Date of the first operation’s first resource on or after Planning Time Fence Date.

● Purchased supplies: Dock Date on or after Planning Time Fence Date ● Transfer supplies: Start Date at the receiving organization on or after Planning Time Fence Date.

Demand Time Fence: Select an option to determine a point in time inside which the planning process ignores forecast demand and considers only sales order demand when calculating gross requirements. This reduces the risk of carrying excess inventory

Release Time Fence: A release time fence of x days automatically firms and releases to the execution system planned orders in the time interval [plan start date, plan start date + x]. Subsequent planning runs then treat these planned orders as scheduled receipts, not subject to manipulation via order modifiers. This reduces planning nervousness. If plan start date is non-working day, it takes the next working day.

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Oracle Setups required – Time Fences

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Oracle Setups required – Safety Stocks

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Oracle Setups required – Safety Stocks

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Managing Lead Times

Lead Times

Preprocessing: The time required to place a purchase order or create a discrete job or schedule. This is also known as the paperwork or planning time

Processing: The time required for a supplier or your transfer from facility to deliver an item to your receiving dock or for you to manufacture an item. For make items, this is also known as manufacturing lead time. For buy and transfer items, it includes in-transit time to your facility.

Post processing: The time required to receive a buy or transfer item from the receiving dock to inventory.

Fixed: The time required to complete the tasks to make an assembly that are independent of order quantity, for example, setup, fixed run time, or teardown times.

Variable: The time required to complete the tasks to make an assembly that depend on order quantity, for example, run time. Oracle Bills of Material concurrent processes calculate this time.

Lead Time Lot Size: The typical quantity of the item that you buy, make or transfer. The default value is item attribute Standard Lot Size (set by Oracle Cost Management). Oracle Bills of Material concurrent process Calculate Manufacturing Lead Time uses this value to compute Processing.

Cumulative Manufacturing: For make items, the time required to make the item if you have all of the buy items in inventory and have to make all subassemblies and the item itself.

Cumulative Total: For make items, the time required to make the item if you have to purchase all of the buy items, make all subassemblies, and make the item itself.

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Managing Lead Times

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Managing Lead Times

(Suggested) due date■ Due date for Supply = Dock date + Post Processing lead time

(Suggested) Dock date■ Dock date = Ship date + In transit Lead time

(Suggested) Ship date■ Date on which shipment leaves the Shipping Org = Start date + Processing Lead time

(Suggested) Start date■ Start of manufacturing activities in manufacturing Org

(Suggested) Order date■ Order date = Start date – Pre Processing Lead time■ Calculated based on Receiving Org calendar

Need By date■ For purchase orders, the need by date from the purchase order line. If the purchase order is rescheduled, the

same as if the supply is a planned order. For planned orders and open make orders, the date the supply is due, the Sugg Due Date of end item demand.

Old Due date■ Only applies to rescheduled supplies. Sugg Due Date of the supply before the reschedule.

Old Dock date■ Only applies to buy items with rescheduled supplies. Sugg Dock Date of the supply before the reschedule.

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Managing Lead Times – Supplier Capacity

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Managing Lead Times – Supplier Capacity

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Managing Lead Times – Supplier Capacity

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Managing Lead Times

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Supplier Scheduling Integration With ASCP – Data Collection

Targeted■ Collect only targeted entities like Supplies, Demands etc..

Net Change ■ Collect only the incremental change

Complete Refresh■ Purges all previously Collected data and collects all data

corresponding to all entities afresh■ For the first time need to run complete collection

When and What ?■ How frequently the data is changing at source■ Which entities are changing at source■ Remember there is always lag between source data & Collected data

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Supplier Scheduling Integration With ASCP – Data Collection

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Supplier Scheduling Integration With ASCP – Launch Plan

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Supplier Scheduling Integration With ASCP – Post Processing

Push Plan Information■ To populated planning results in supplier scheduling module

Generate Supplier Schedules ■ By Inventory Organization■ By Plan■ By Supplier■ By buyer / planner■ Scheduling Horizon■ By item category

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Supplier Scheduling Integration With ASCP – Analyzing Supplier Schedules

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Supplier Scheduling Integration With ASCP – i-Supplier Portal

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Planning Constraints

Constrained■ Enforce Demand Due Dates■ Enforce Capacity Constraints■ Buckets■ Resource Constrained■ Material

Scheduling■ Minutes■ Hours■ Daily

Planned Resources■ All Resources■ Bottleneck Resource Group

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Planning Constraints

Constraints

Resource: Yes

Material : No

Resource: No

Material : Yes

Resource: Yes

Material : Yes

EDD

Demand satisfied on time or early (Exception PTF)

Lead time violations allowed

Material Scheduled on time

Capacity overloads

Resource overloads

Demand satisfied on time or early (Exception PTF)

Lead time violations allowed

Resource Scheduled on time

Resource overloads

Capacity overloads

Demand satisfied on time or early (Exception PTF)

Lead time violations allowed

Material Scheduled on time

Capacity overloads

Resource overloads

ECC

Demands may get late

Lead time cannot be violated (Exceptions Firm Supplies)

No resource overloads

Capacity overloads

Demands may get late

Lead time cannot be violated (Exceptions Firm Supplies)

No resource overloads

Capacity overloads

Demands may get late

Lead time cannot be violated (Exceptions Firm Supplies)

No resource overloads

No Capacity overloads

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Planning Constraints

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Supplier Communication - Setup

Vendor profile must be updated before creation of a supplier user on i-Supplier portal. This will ensure that vendor receives e-mails and all notifications regarding material Shipping due dates and new POs

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Supplier Communication - SetupClick on ‘Address Book’ on left hand sideClick ‘Create from Site’ (Make sure there are sites and addresses when the supplier was defined)Add the sites and addresses that show up

Click on ‘Contact Directory’Click on ‘Create from Site Contacts’ (Make sure there are site contacts with a valid e-mail address when the supplier was defined)Add all the contacts you see here

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Supplier Communication - SetupEnter Supplier Name <TTE TECHNOLOGY INC>, Email Abhai.tripathi@ttifloorcare.com, Username <Defaults to the Email entered>, First Name and Last Name - Make sure that you enter the same name as in the Contact directory. User Access <select what you need to give to supplier. At least ‘iSupplier Portal’ and ‘Sourcing’ should be given>, Click ‘Modify Sites’ and add the sites which supplier user belongs to, Click ‘Modify Contacts’ and add the contact name that corresponds to supplier user. Then proceed to register and invite the supplier.

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Questions and Answers

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