on 02-08-2010 3:12 AM
what is the difference between long/mid term planning and short term planning in regularly?
and the difference in APO?
thank you very much!
Hi Dale,
Please confirm whether your query is resolved
Regards
R. Senthil Mareeswaran.
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Hi Dale,
Short term is basically planning in days, weeks and few months
Medium term refers to planning in months between 6 to 12
Long term refers to planning in years more than 3
In terms of APO, these relates to the length of time that is being
carried or considered during planning
Regards
R. Senthil Mareeswaran.
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In context of Supply Chain Planning depending on the kind of industry - Long/Mid Term Planning would be planning say beyond 3/6 months all the way to 2 or 5 years. On the other hand short term planning would be from current period or from Planning Time Fence (frozen period - no changes possible without impacting execution) to 3 or 6 months.
The focus on long/mid-term planning is demand management and replenishment planning with focus on production planning. On the other hand in case of short-term planning the focus is on exception handling or planning for short-term demand changes (primarily Sales Orders) and on Production side - Material and Resource Capacity Availability checks i.e. Scheduling.
This is from business process stand-point. APO enables these requirements through its various modules.
As a thumbrule - Demand Planning and Supply Network Planning supports long/mid-term planning while Deployment and TLB within Supply Network Planning and Production Planning Detailed Scheduling module functionalities are used for short-term planning.
Hope this helps.
Somnath
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