What is penalty cost group in SAP SCM-APO-SNP - Supply Network Planning (SNP)?

SAP Term: penalty cost group

• Component: SCM-APO-SNP

• Component Name: Supply Network Planning (SNP)

• Description: A grouping criteria for demands to assign different penalties.

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• Key Concepts: 
  A penalty cost group is a feature of SAP Supply Network Planning (SNP) that allows users to assign a cost to a certain action or event. This cost is then used to calculate the total cost of a supply chain plan. The penalty cost group can be used to account for costs associated with late deliveries, inventory shortages, and other disruptions in the supply chain. 
  
  How to use it: 
  To use the penalty cost group, users must first define the cost associated with each action or event. This can be done by creating a penalty cost group in the SNP planning book. Once the penalty cost group is created, users can assign it to any supply chain plan they create. The penalty costs will then be taken into account when calculating the total cost of the plan. 
  
  Tips & Tricks: 
  When creating a penalty cost group, it is important to consider all potential costs associated with disruptions in the supply chain. This will ensure that the penalty costs are accurately reflected in the total cost of the plan. Additionally, users should review their penalty cost groups regularly to ensure that they are up-to-date and reflect any changes in the supply chain. 
  
  Related Information: 
  For more information on using penalty cost groups in SAP Supply Network Planning (SNP), please refer to SAP Help documentation at https://help.sap.com/viewer/product/SAP_APO_SNP/7.5/en-US?q=penalty%20cost%20group&scope=&tid=&language=en-US