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Component: SCM-APO-SNP
Component Name: Supply Network Planning (SNP)
Description: The total quantity of a particular product that is needed. In SNP, projected total demand is equal to the sum of the forecast, sales orders, dependent demand, and distributed demand planned and firmed.
Key Concepts: Total demand is a term used in SAP Supply Network Planning (SNP) to refer to the total amount of a product that is required by customers. It is calculated by adding up the demand from all customers, including both current and future orders. Total demand is used to determine the optimal production and distribution plans for a product. How to use it: Total demand can be used to create a forecast of future demand for a product. This forecast can then be used to plan production and distribution accordingly. The total demand can also be used to identify any potential supply chain issues, such as overstocking or understocking of a product. Tips & Tricks: It is important to keep track of total demand in order to ensure that the supply chain is running smoothly. It is also important to keep track of changes in total demand over time, as this can help identify any potential issues before they become serious problems. Related Information: Total demand is closely related to other terms such as safety stock, lead time, and inventory levels. Understanding how these terms interact with each other can help ensure that the supply chain is running efficiently and effectively.