How To Fix /SAPAPO/PP_OPTIMIZER189 - Safety stock costs for product &1 at location &2 are too low

SAP Error Message - Details

• Message type: E = Error

• Message class: /SAPAPO/PP_OPTIMIZER -

• Message number: 189

• Message text: Safety stock costs for product &1 at location &2 are too low

Self-Explanatory Message

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Smart SAP Assistant

• What is the cause and solution for SAP error message /SAPAPO/PP_OPTIMIZER189 - Safety stock costs for product &1 at location &2 are too low ?

  The SAP error message /SAPAPO/PP_OPTIMIZER189 indicates that the safety stock costs for a specific product at a given location are considered too low. This can occur in the context of supply chain planning and optimization within SAP Advanced Planning and Optimization (APO).
  Cause:
  
  Low Safety Stock Cost Configuration: The safety stock cost for the product at the specified location is set too low, which may not reflect the actual costs associated with holding that safety stock.
  Incorrect Master Data: The product master data or location master data may have incorrect or incomplete information regarding costs.
  Planning Parameters: The planning parameters for safety stock might not be set correctly, leading to unrealistic cost calculations.
  Business Logic: The business logic or rules defined in the system may require a minimum safety stock cost that is not being met.
  
  Solution:
  
  
  Review Safety Stock Cost Settings:
  
  Navigate to the product master data in SAP APO and check the safety stock cost settings for the product at the specified location.
  Adjust the safety stock cost to a more realistic value that reflects the actual holding costs.
  
  
  
  Check Master Data:
  
  Ensure that the product and location master data are complete and accurate. This includes checking for any missing cost components or incorrect values.
  Update any incorrect data as necessary.
  
  
  
  Adjust Planning Parameters:
  
  Review the planning parameters related to safety stock in the APO system. Ensure that they are set according to the business requirements and reflect the actual cost structure.
  
  
  
  Consult with Business Stakeholders:
  
  Engage with relevant business stakeholders (e.g., supply chain managers, finance) to understand the rationale behind the safety stock cost settings and make adjustments as needed.
  
  
  
  Run Planning Runs:
  
  After making the necessary adjustments, run the planning runs again to see if the error persists.
  
  
  
  Check for Custom Logic:
  
  If there are any custom enhancements or logic implemented in the system, review them to ensure they are not causing the issue.
  
  
  
  Related Information:
  
  SAP Notes: Check for any relevant SAP Notes that may address this specific error or provide additional guidance on safety stock cost configurations.
  Documentation: Review SAP documentation related to safety stock management and cost calculations in APO for best practices and configuration guidelines.
  Training: Consider training for users involved in supply chain planning to ensure they understand how to set up and manage safety stock effectively.
  
  By following these steps, you should be able to resolve the error message and ensure that safety stock costs are appropriately configured in your SAP APO system.