What is ADU averaging interval in SAP PP-DD - Demand-Driven Replenishment?

SAP Term: ADU averaging interval

• Component: PP-DD

• Component Name: Demand-Driven Replenishment

• Description: A rolling interval defined in the form [-x days, +y days], referring to the current date or a future date, in order to calculate the Average Daily Usage ADU for that date based on the daily usage.

Smart SAP Assistant

• Key Concepts: 
  ADU averaging interval is a setting in the Demand-Driven Replenishment (PP-DD) component of SAP. It is used to determine the length of time for which the system will calculate the average daily usage (ADU) of a material. The ADU is used to calculate the safety stock and replenishment quantity for a material. 
  
  How to use it: 
  The ADU averaging interval can be set in the PP-DD configuration. The length of the interval should be determined based on the expected usage pattern of the material. For example, if the material is used more frequently during certain times of the year, then a longer averaging interval should be used to capture this usage pattern. 
  
  Tips & Tricks: 
  It is important to ensure that the ADU averaging interval is set correctly, as it can have a significant impact on the safety stock and replenishment quantity calculations. If the interval is too short, then it may not capture seasonal variations in usage, resulting in inaccurate calculations. 
  
  Related Information: 
  For more information on setting up Demand-Driven Replenishment in SAP, please refer to the official SAP documentation.