What is optimization-based capacity leveling in SAP SCM-APO-SNP - Supply Network Planning (SNP)?

SAP Term: optimization-based capacity leveling

• Component: SCM-APO-SNP

• Component Name: Supply Network Planning (SNP)

• Description: Capacity leveling procedure in Supply Network Planning. The system uses the SNP optimizer to remove resource overloads. The optimizer considers the quantities per period, not individual orders. It first deletes all existing orders and runs a new plan. The total quantity of orders in the planning horizon is not changed. The optimizer achieves optimal results and does not overload resources.

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• Key Concepts: 
  Optimization-based capacity leveling is a feature of SAP Supply Network Planning (SNP) that helps to optimize the production plan by taking into account the available capacity and resources. It uses mathematical algorithms to determine the best production plan for a given set of constraints, such as available capacity, resources, and customer demand. The goal is to minimize costs while meeting customer demand. 
  
  How to use it: 
  To use optimization-based capacity leveling, you must first define the production plan parameters, such as the available capacity and resources. You can then enter customer demand data into the system. The system will then use mathematical algorithms to determine the best production plan for the given set of constraints. 
  
  Tips & Tricks: 
  When using optimization-based capacity leveling, it is important to ensure that all relevant data is entered into the system accurately. This will help ensure that the system produces an optimal production plan. Additionally, it is important to regularly review and update the production plan parameters to ensure that they are up-to-date and accurate. 
  
  Related Information: 
  For more information on optimization-based capacity leveling, please refer to SAP's official documentation on Supply Network Planning (SNP). Additionally, there are many online resources available that provide detailed tutorials and examples of how to use this feature.