What is planning level in SAP SCM-APO-FCS - Demand Planning?

SAP Term: planning level

• Component: SCM-APO-FCS

• Component Name: Demand Planning

• Description: A level of granularity in , used in ABC/XYZ classification, seasonality group assignment, and outlier detection. Planning levels define the characteristics used to identify planning objects.

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• Key Concepts: 
  Planning level is a term used in SAP's Supply Chain Management-Advanced Planner and Optimizer-Forecasting and Demand Planning (SCM-APO-FCS Demand Planning) component. It is used to define the level of detail at which planning is done. For example, a company may choose to plan at the product level, or they may choose to plan at the customer level. 
  
  How to use it: 
  The planning level is set up in the system by defining the characteristics that will be used for planning. These characteristics can include product, customer, location, and other relevant attributes. Once these characteristics are defined, the system can be used to create plans at the desired level of detail. 
  
  Tips & Tricks: 
  When setting up the planning level, it is important to consider the needs of the business. For example, if a company needs to plan at a very detailed level, they should include more characteristics in their planning level setup. On the other hand, if a company only needs to plan at a high-level, they should include fewer characteristics in their setup. 
  
  Related Information: 
  The planning level is closely related to other concepts such as aggregation levels and planning areas. Aggregation levels are used to define how data is aggregated for reporting purposes, while planning areas are used to define how data is organized for planning purposes. Understanding these concepts can help companies better utilize SAP's SCM-APO-FCS Demand Planning component.