Q: How big should be my lot size if I am producing drugs with max shelf life of 24 months? (means by 15th month onwards, people will stop buying because it is ‘about to expire’) A: Target a production lot size no more than 3 months of demand! SAP best practices for pharma. Q: What...
Q: How much will I save if I migrate my on premise SAP ERP to S/4HANA on my own cloud? A: Perhaps about 20% of what you will otherwise pay SAP! But the whole point of getting on to SAP’s cloud, is the timely upgrades which is SAPs headache. Not yours. With your own Cloud,...
Q: How do I identify ‘resources’ that are constrained? A: Any machine / work center / human with utilization consistently more than 80% in the preceding 3 months is constrained. Here is when you start talking ‘Optimization’. If your resource utilization is consistently less than 66.7%, you can live with basic planning like in MRP....
Q: We are hiring an external SAP IBP Demand Planning Consultant. How do I know if he knows the subject. A: Ask which forecast models to use when and check for his clarity of responses. If he is not, then he is probably an SAP configurator. Not a consultant. Constant Models – MVA, SES, –...
