What is 'average daily usage' in SAP SCM-IBP-DDP - IBP Demand Driven Planning?

average daily usage - Overview

• Component: SCM-IBP-DDP

• Component Name: IBP Demand Driven Planning

• Description: The average rate of demand use, that is the throughput or flow, of a product or material.

average daily usage - Details

• 
  Key Concepts: 
  Average daily usage (ADU) is a metric used in SAP's IBP Demand Driven Planning (DDP) component to measure the average daily demand for a product over a given period of time. It is calculated by dividing the total demand for the product over the period by the number of days in the period. 
  
  How to use it: 
  ADU can be used to measure the average daily demand for a product over a given period of time. This can be useful for forecasting future demand and setting production targets. It can also be used to compare different products and identify trends in demand. 
  
  Tips & Tricks: 
  When calculating ADU, it is important to consider seasonal variations in demand. For example, if you are calculating ADU for a product over a month, you should take into account any seasonal variations that may affect the demand for that product during that month. 
  
  Related Information: 
  IBP Demand Driven Planning (DDP) is an SAP component that helps companies plan and manage their supply chain more effectively. It provides tools for forecasting, inventory optimization, and production planning. It also provides insights into customer demand and helps companies make better decisions about their supply chain operations.