ATP

You can calculate ATP quantities to promise orders against future supply in PeopleSoft Inventory. The system uses the APICS-standard ATP calculation. In PeopleSoft Order Management, you can perform ATP checks online to see more detailed information about sources of supply and demand.

See PeopleSoft Inventory: Understanding Inventory Reservations.

ATP Calculation Method During Online Sales Order Entry

ATP will be calculated after you enter the product and quantity on the line or schedule:

  1. If the Skip Promising option on the Ship Options tab of the line or schedule is not selected when you save the order.

  2. When you select ATP Decision from the Header or Line menu on the Order Entry Form page or from the Schedule Menu from the Shipment Schedules page.

If the entire quantity requested is available on the date requested, the system promises the item to the sales order schedule without displaying any additional information.

If you select the header or line level, the system will perform the ATP calculation for all of the associated schedules. If the system cannot promise all of the schedules, you will be directed to the Sales Order Message page to address the situation. If there is only one schedule and there is not enough quantity available on the date requested, the system will display the ATP Decision page where you can select from one of three options:

  • The quantity that can be promised for the given scheduled shipment date. The quantity on the order line and schedule is changed to the amount available to promise on the scheduled ship date.

  • A date when the total requested quantity can be promised. The system updates the scheduled shipment date on the order line or schedule.

  • To split the order line into multiple schedules, with each schedule having the maximum quantity that can be promised for the different scheduled shipment dates.

To view availability information detail, select Item/Product Availability from the Line Menu field on the Order Entry Form page, the Schedule Menu field from the Shipment Schedules page, or the Review Product Information menu.

The examples illustrate how the system handles ATP processing for situations where the entire quantity is not available on the date requested.

Example of Quantity Meeting the Customer's Requested Quantity But Not the Requested Shipment Date

Step Action Result

Create a new order.

The system pulls in the PeopleSoft Order Management business unit options. The requested shipment date for the line uses today's date (for example, 02/01/2006) as the default.

  

Enter Product A (10001) and the quantity of 50 on Line 1.

The system checks the order promise option for the item. Then the system enters the highest priority PeopleSoft Inventory business unit as the default in the order line and calculates the scheduled shipment date.

The appropriate PeopleSoft Inventory business unit and scheduled shipment date (02/01/2006) appear automatically on the line.

Select the ATP option.

The system calls the ATP function for the PeopleSoft Inventory business unit. The requested quantity, scheduled shipment date, item ID, and Inventory business unit are passed to this function.

The system retrieves the appropriate ATP function. PeopleSoft Order Management displays the quantity available to promise on the scheduled shipment date (02/01/2005), as well as the promise date when all 50 will be available.

The three available options (based on the ATP information) are:

  1. Accept the amount available today (10).

  2. Accept a later date (2/7/2006) to get all 50 in one shipment.

  3. Create multiple schedules.

Based on the option selected, the system:

  1. Changes the quantity scheduled to 10 for 02/01/2006.

  2. Changes the scheduled shipment date to 2/7/2006.

  3. Creates four schedules:

    • 2/120/06 (quantity of 10)

    • 2/2/2006 (quantity of 10)

    • 2/3/2006 (quantity of 20)

    • 2/7/2006 (quantity of 10)

The system creates the schedules based on the selected options.

Example of Quantity Not Meeting the Customer's Requested Quantity and Shipment Date

Suppose that a customer orders 100 of product A, but only 70 units are available according to the ATP calculation. In this example, the product is a buy item, and PeopleSoft Purchasing is installed. The standard lead time to purchase item 10001 is 10 days. In this case, you have these options:

  • Accept the amount available today (70).

  • Accept a later date when all 100 can be shipped together.

    The scheduled shipment date is the order date plus the standard lead time (2/1/2006 plus 10 days equals 2/11/2006).

  • Create multiple schedules:

    • 2/1/2006 quantity of 10

    • 2/2/2006 quantity of 10

    • 2/3/2006 quantity of 20

    • 2/7/2006 quantity of 10

    • 2/9/2006 quantity of 20

    • 2/11/2006 quantity of 30 (based on standard lead time)

Example of Quantity Not Meeting the Customer's Requested Quantity and No Future Supply Is Available

Suppose that a customer orders 60 of product A, but none are available according to the ATP calculation. The product is a make item; the fixed lead time to make item A is 7 days, and the variable lead time is 3 hours. In this case, ATP returns no promise quantities or dates on the sales order.

The system calculates the scheduled shipment date as follows:

Today plus fixed lead time plus (order quantity variable lead time) equals 2/1/2006 plus 7 days plus (60 multiplied by 3 hours) equals 2/8/2006 plus 180 hours equals 2/8/2006 plus 7.5 days equals 2/16/2006 (rounded up to the nearest day).

No other option is available.