Component: PP-DD
Component Name: Demand-Driven Replenishment
Description: A multiplicative factor that when multiplied with the decoupled lead time DLT and summed with a spike horizon constant SHC helps calculate the order spike horizon, which helps identify order spikes.
Key Concepts: The spike horizon DLT multiplier is a component of SAP's PP-DD Demand-Driven Replenishment feature. It is used to calculate the safety stock for a given item based on the demand forecast and the lead time. The spike horizon DLT multiplier takes into account the variability of the demand forecast and lead time to ensure that the safety stock is sufficient to cover any unexpected spikes in demand. How to use it: The spike horizon DLT multiplier can be used to calculate the safety stock for a given item. To do this, you need to enter the demand forecast and lead time for the item into the system. The system will then calculate the safety stock based on these values and the spike horizon DLT multiplier. Tips & Tricks: When using the spike horizon DLT multiplier, it is important to ensure that you have entered accurate values for both the demand forecast and lead time. This will ensure that the safety stock calculated by the system is sufficient to cover any unexpected spikes in demand. Related Information: For more information about SAP's PP-DD Demand-Driven Replenishment feature, please refer to SAP's official documentation. Additionally, there are many online resources available that provide detailed tutorials on how to use this feature.
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