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  3. average lost demand


What is average lost demand in SAP MA-SMOPS - SmartOps?


SAP Term: average lost demand

  • Component: MA-SMOPS

  • Component Name: SmartOps

  • Description: Defines an average lost sales value for each customer facing stocking point, averaged over good periods.


Smart SAP Assistant

  • Key Concepts: 
    Average Lost Demand (ALD) is a metric used in SAP's SmartOps MA-SMOPS module to measure the amount of demand that is lost due to supply chain disruptions. It is calculated by taking the difference between the expected demand and the actual demand over a given period of time. 
    
    How to use it: 
    To calculate ALD, you need to first determine the expected demand for a given period of time. This can be done by looking at historical data or using predictive analytics. Once you have the expected demand, you can then compare it to the actual demand and calculate the difference. This difference is your ALD. 
    
    Tips & Tricks: 
    When calculating ALD, it is important to take into account any external factors that may have impacted the actual demand. This could include weather, economic conditions, or other external factors that may have caused a disruption in supply chain operations. 
    
    Related Information: 
    SAP's SmartOps MA-SMOPS module provides a comprehensive suite of tools for managing supply chain operations and measuring performance metrics such as ALD. It also provides predictive analytics capabilities to help anticipate future disruptions and plan accordingly.
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