What is improvement target in SAP LOD-SBO - Supply Base Optimization?

SAP Term: improvement target

• Component: LOD-SBO

• Component Name: Supply Base Optimization

• Description: An attribute of a negotiation project that indicates the overall improvement to be targeted in a negotiation cycle. The improvement target is a percentage value that indicates the cost savings or lead time reduction to be targeted in a project.

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• Key Concepts: 
  Improvement target is a feature of the SAP LOD-SBO Supply Base Optimization component. It is used to identify and prioritize areas of improvement in the supply chain. Improvement targets are based on a variety of factors, such as cost, quality, delivery time, and customer satisfaction. 
  
  How to use it: 
  The improvement target feature can be used to identify areas of improvement in the supply chain. It can be used to set goals for improvement and track progress towards those goals. The feature can also be used to compare different suppliers and prioritize which ones should be improved first. 
  
  Tips & Tricks: 
  When setting improvement targets, it is important to consider all relevant factors, such as cost, quality, delivery time, and customer satisfaction. It is also important to set realistic goals that are achievable within a reasonable timeframe. 
  
  Related Information: 
  The SAP LOD-SBO Supply Base Optimization component also includes features such as supplier segmentation and supplier performance management. These features can be used in conjunction with the improvement target feature to further improve the supply chain.