What is capacity reservation in SAP SCM-APO-PPS - Production Planning and Detailed Scheduling?

SAP Term: capacity reservation

• Component: SCM-APO-PPS

• Component Name: Production Planning and Detailed Scheduling

• Description: The act of allocating capacity on a PP/DS resource for one or more customers. By reserving capacity, you can fulfill orders from a customer with a higher level of service agreement.

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• Key Concepts: 
  Capacity reservation is a feature of the Production Planning and Detailed Scheduling (PPS) component of SAP's Supply Chain Management (SCM) module. It allows users to reserve capacity for production orders, ensuring that the necessary resources are available when needed. This helps to prevent overbooking and bottlenecks in production. 
  
  How to use it: 
  To use capacity reservation, users must first define the resources that will be used in production. This includes machines, personnel, and other resources. Once these resources have been defined, users can then create a capacity reservation for each production order. This will ensure that the necessary resources are available when the order is ready to be processed. 
  
  Tips & Tricks: 
  When creating a capacity reservation, it is important to consider the lead time for each resource. This will help to ensure that the necessary resources are available when needed. Additionally, it is important to monitor capacity reservations regularly to ensure that they are up-to-date and accurate. 
  
  Related Information: 
  For more information on capacity reservation in SAP SCM-APO-PPS, please refer to the official SAP documentation. Additionally, there are many online tutorials and videos available that provide step-by-step instructions on how to use this feature.