Oracle Supply Chain Planning employs an advanced planning logic to enable you to systematically and simultaneously generate distribution and material requirements plans across the supply chain in a single planning run. Oracle Supply Chain Planning can also support regional, decentralized planning activity. Owning organizations may be responsible for certain links in the supply chain.
For each organization controlled by the plan, the planning engine loads firm planned orders, supply and demand schedules, and sourcing information. Planned order demand from one organization automatically and immediately appears in the schedules of the supplying organization. The controlling plan can combine the demand from multiple organizations, make rescheduling recommendations, and generate exception messages on their behalf.
The netting process nets supply and demand for all items in your schedules, for all organizations in your plan. In addition to creating and rescheduling planned orders, the netting process assigns sources to the planned orders and generates dependent demand. You can assign multiple sources to an item or category of items, with split percentages, and these assignments can be phased in and out over time.
DRP plans include intransit lead times when creating time - phased demand and create the corresponding demand in the shipping organization.
Demand Schedules
Demand schedules in Supply Chain Planning includes the master demand schedules, and by extension all valid sources of demand. See: Master Schedule Typesfor a list of valid sources.
Supply Schedules
Supply schedules can include MPS/MRP/DRP plans. If you include one of these supply schedules in your supply chain plan, firm planned orders (along with orders for their components) from the supply schedule will be treated as supply in the plan. Material plans generated by the controlling organization can produce net requirements for all organizations controlled by the plan. Distribution plans include distribution requirements for all included items across multiple organizations. Included items can be DRP planned, DRP/MPS planned, or DRP/MRP planned.
See Also
Overview of Supply Chain Planning
Master Scheduling in Supply Chain Planning
Material and Distribution Requirements Planning
Supply Chain Planner Workbench
Setting Up and Implementing Sourcing Strategies
In the multiple organization environment, the Planner Workbench combines supply and demand information on all items in all organizations across the planning horizon. With Graphical Pegging, you can quickly trace component demand back to its source item or order, or you can follow supply from the end item down to the lowest level. With the Planner Workbench, you can simulate changes in the current plan, checking the possible effects (across the entire enterprise) of firming planned orders, canceling orders, changing dates, and adding new demand.
Note: The supply chain planning process does not recognize firmed planned orders in a net change simulation under the following conditions.
The planned order was not firmed in the organization that generated the supply chain plan.
The planned order was firmed after last planning run See: Overview of Net Change Replan for more information.
See Also
Overview of Supply Chain Planning
Master Scheduling in Supply Chain Planning
Material and Distribution Requirements Planning
Supply Chain Planner Workbench
Setting Up and Implementing Sourcing Strategies
Sourcing and Replenishment Network
With supplier planned inventories you can integrate external supplier and customer inventory information with that of manufacturing and distribution organizations. Such information gives you an overall picture of the supply chain, including advanced warning of stock outs, abnormal swings in demand, and capacity problems.
Once you model customers and suppliers as organizations, all relevant supply/demand information for an item can be exchanged between your enterprise and supplier or customer organizations. You can also net supply and demand of external organizations, covert material needs of consuming organizations into demand at the replenishing organization, and maintain capacity information (for the supplier organization).
Prerequisites
To model customers as organizations
Define a customer name. See: Entering Customers, Oracle Receivables User's Guide.
Use your customer name to define an organization. See: Creating an Organization, Oracle Human Resource Management Systems User's Guide.
Associate an inventory organization with a customer. See: Creating an Organization, Oracle Human Resource Management Systems User's Guide.
To model suppliers as organizations
Define a supplier name. See: Entering Suppliers, Oracle Payables User's Guide.
Use your supplier name to define an organization. See: Creating an Organization, Oracle Human Resource Management Systems User's Guide.
Associate an inventory organization with a supplier. See: Creating an Organization, Oracle Human Resource Management Systems User's Guide.
Note: You cannot implement planned orders in customer or supplier organizations
See Also
Supply Chain Planner Workbench
Defining Sourcing Rules
Assigning Sourcing Rules and Bills of Distribution
Sourcing and Replenishment Network
You can define the rules that govern the movement of goods throughout your supply chain. This network is the backbone of your material flow, but you can further control its behavior by defining a time-phased replenishment strategy. Oracle Supply Chain Planning does this with sourcing rules and bills of distribution. Sourcing rules and bills of distribution both describe sourcing supply; i.e., for any organization, they answer the question "where do I get part A from?". (They never say "where do I send part A to".) Sourcing rules apply the answer to one organization or all the organizations in your enterprise. Bills of distribution define this behavior across multiple organizations (not just one or all).
See Also
Master Scheduling in Supply Chain Planning
Material and Distribution Requirements Planning
Supply Chain Planner Workbench
Setting Up and Implementing Sourcing Strategies
Managing Supply and Demand
Setting Up and Implementing Sourcing Strategies
A sourcing strategy allows a supply chain planner to gather all possible replenishment scenarios and apply them globally, or to any item, category of items, or organization. This allows the enterprise, or an individual organization, to adopt the most efficient method of fulfilling net requirements.
Oracle Supply Chain Planning minimizes the effort required to set up, implement, and maintain this strategy with sourcing rules and bills of distribution.