What is 'delay penalty' in SAP SCM-APO-SNP - Supply Network Planning (SNP)?

delay penalty - Overview

• Component: SCM-APO-SNP

• Component Name: Supply Network Planning (SNP)

• Description: The total penalty costs incurred as a result of a delivery that is late.

delay penalty - Details

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  Key Concepts: 
  Delay penalty is a feature of SAP Supply Network Planning (SNP) that allows users to set up a penalty for late deliveries. This penalty is applied to the supplier when the delivery is late, and can be used to incentivize suppliers to meet delivery deadlines. The penalty can be set up as a fixed amount or as a percentage of the total order value. 
  
  How to use it: 
  In order to use delay penalty, users must first set up the penalty in the SNP configuration. This includes setting the type of penalty (fixed or percentage), the amount of the penalty, and any other relevant parameters. Once this is done, users can then assign the delay penalty to specific suppliers in their supply chain. 
  
  Tips & Tricks: 
  When setting up delay penalties, it is important to consider the impact that they may have on supplier relationships. It is also important to ensure that the penalty is reasonable and fair, so that suppliers are not overly penalized for minor delays. 
  
  Related Information: 
  Delay penalties are just one of many features available in SAP Supply Network Planning (SNP). Other features include capacity planning, demand planning, and supply chain optimization. For more information on these features, please refer to SAP's official documentation.