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Capable to Promise (CTP)

capable to promiseCapable-to-Promise (CTP)

SAP APO GATP

Usage :

CTP used when we have to provide customer with a reliable delivery date/time while creating a sales order.

Purpose

  • CTP is a function in Global ATP. CTP means calling Production Planning and Detailed Scheduling (PP/DS) during an ATP check.
  • Using CTP procedure, ATP check happens in APO when creating the sales order for the required product and production planning and detailed scheduling PP/DS is triggered if the sufficient quantity of the product is not available. Here, the system creates PP/DS planned orders or purchase requisitions for the missing quantity.
  • When creating the planned order, the system checks the available capacity of the most important resources and the availability of the components according to PP/DS logic. The system then uses the availability dates of the procurement proposals to calculate the confirmation date for the sales order.
  • CTP is particularly suitable if characteristics-dependent Planning (CDP) is being used

 

Benefits

  • You can use CTP for pure make-to-order production and also for make-to-stock production with the strategy planning with final assembly
  • The following aspects support the usage of CTP:
  • CTP can be combined with characteristics  dependent Planning (CDP)
  • CTP supports the use of lot sizes
  • CTP supports Finite scheduling on resources
  • CTP can take into account Block Planning

Restriction

  • No order split, no partial delivery
  • No dynamic order split is possible in PP/DS as a result of which no partial delivery is available.
  • CTP is not supported by SD scheduling agreements.
  • Period lot-sizing procedures cannot be used in CTP.
  • A forecast scenario in combination with CTP is not supported.
  • CTP cannot be used in Backorder processing
  • Finite resource scheduling is very poor
  • Orders can’t be rescheduled

Business Case: Use of CTP in Steel supply chain in MTF scenario

  • In MTF scenario, semi-finished materials are stocked at the de-coupling point level. The de-coupling point is a slab material.
  • On receiving sales order for a finished product (Coated CR), slab stocks are consumed to produce Coated CR. As the starting point is set at slab level, the overall delivery lead time to the customer is reduced.
  • For this to happen, the following pre-requisites should be met:
  • It should be possible to differentiate between
    • Regular make-to-order sales orders starting production from steel making and with long lead time up to 12 weeks
    • Sales orders to premium customers starting production from de-coupling point resulting in reduced lead time
    • This differentiation happens through sales order type.
  • Stocks at de-coupling point are produced against forecast. This forecast is determined based on SNP Optimizer results showing slab requirement for fulfilled demand.
  • Stocks should have a customer characteristic in them so that they are only consumed by requirements of MTF sales orders (premium customers)

 

2 thoughts on “Capable to Promise (CTP)

  1. Would like to know no off days course be completed in and how much you are charging for complete training? I know basic methods in GATP but not well versed with SNP and PP/DS. I hear your institute had excellent APO Trainers in Hyderabad.

  2. My requirement is : In CTP process , once the planned order created in APO . I need to trigger this planned order and sales order information to third party system. Can you please let me know how to approach on this.

    Is there any BADI/User exit available for sending planned order information ?

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