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Component: SCM-APO-SNP
Component Name: Supply Network Planning (SNP)
Description: Profile that is used to limit the optimization run in Supply Network Planning. If, after an SNP optimizer planning run, you need to perform a new planning run, you can use the optimization bound profile to improve planning stability by limiting possible decision variable deviations from the previous optimization plan. The optimization bounds that you define limit the values of the following decision variables: Production Transportation Procurement Delivery Storage
Term: SNP optimization bound profile
Component: SCM-APO-SNP Supply Network Planning (SNP)
Definition: An SNP optimization bound profile in SAP APO is a configuration object that defines the rules and parameters for setting bounds (limits) on decision variables during the optimization run in Supply Network Planning. These bounds restrict how much the optimizer can adjust quantities such as production, procurement, or transportation to ensure realistic and feasible planning results.
How It’s Used: During SNP optimization, the system solves a mathematical model to find the best supply plan that meets demand at minimum cost or maximum service level. The optimization bound profile controls the flexibility of the optimizer by setting upper and lower limits on variables like production quantities, stock levels, or transportation amounts. For example, it can prevent the optimizer from suggesting unrealistic production increases beyond capacity or excessive inventory build-up. This ensures that the optimized plan respects business constraints and operational realities.
Important Configuration: