What is utilization in SAP SCM-APO-MSP - Maintenance and Service Planning?

SAP Term: utilization

• Component: SCM-APO-MSP

• Component Name: Maintenance and Service Planning

• Description: Proportion of the never-exceed period NEP that is used. For example, if a maintenance object check has an NEP of 5,000 flying hours, and is called at 4,750 flying hours, the maintenance order utilization would be 95%. The higher the utilization, the fewer maintenance orders are required over the whole life cycle of a maintenance object.

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• Key Concepts: 
  Utilization is a term used in the Maintenance and Service Planning (MSP) component of SAP's Supply Chain Management (SCM) module. It is a measure of how efficiently resources are being used in the production process. Utilization is calculated by dividing the total amount of time a resource is used for production by the total amount of time it is available for production. 
  
  How to use it: 
  Utilization can be used to identify areas where resources are being underutilized or overutilized. This information can then be used to adjust production schedules and resource allocations to ensure that resources are being used as efficiently as possible. Utilization can also be used to identify potential bottlenecks in the production process and to identify areas where additional resources may be needed. 
  
  Tips & Tricks: 
  When calculating utilization, it is important to take into account any downtime that may occur due to maintenance or other factors. This will ensure that utilization is accurately calculated and that resources are being used as efficiently as possible. Additionally, utilization should be monitored on an ongoing basis to ensure that resources are being used effectively. 
  
  Related Information: 
  Utilization is closely related to other measures of efficiency such as throughput, cycle time, and lead time. Additionally, utilization can be used in conjunction with other metrics such as cost per unit and quality metrics to gain a more comprehensive understanding of the production process.