Disaggregation rules

The way in which Enterprise Planning disaggregates the selected master-plan data to master plans of lower level plan items depends, among other things, on the disaggregation rule you specify in the Disaggregate Channel, Plans & Orders (cprmp2260m000) session.

Enterprise Planning supports the following types of disaggregation rules:

  • Disaggregate Percentage
  • Inventory Level
  • Capable to Promise
  • Pro Rate
Disaggregation rule: Disaggregate Percentage

The volume by period of the parent item is distributed over the child items based on the planning percentages defined in the aggregation relationships. This can result in more than 100% in total.

Example

Demand forecast of item A = 100 This demand forecast is disaggregated from A to A1, A2, and A3.

-A1A2A3
Planning percentage754530
Disaggregated volume754530

 

Disaggregation rule: Inventory Level

The volume by period of the parent item is distributed over the child items in a proportionate fashion, based on the difference between the inventory plan and the projected inventory.

This rule is typically used for disaggregating planned supply. The largest part of the planned supply is moved to the place where the inventory is relatively low. This optimizes the inventory levels.

Example

Production plan of item A = 100 This production plan is disaggregated from A to A1, A2, and A3.

-A1A2A3
Inventory plan100100100
Projected inventory255570
Difference754530
Disaggregated volume503020

 

Note

If the value of the difference for A1 is negative or equal to zero, LN does not disaggregate planned supply to A1

Disaggregation rule: Capable-To-Promise

The volume by period of the parent item is distributed over the child items on the basis of the capable-to-promise (CTP) of the child items. Note that all types of CTP are supported and taken into account here. Also see the Related topics for more information about the capable-to-promise functionality.

Example

Production plan of item A = 100 This production plan is disaggregated from A to A1, A2, and A3.

ItemA1A2A3
Capable-to-promise754530
Disaggregated volume503020

 

Note: If the value of Capable-to-promise for A1 is negative or equal to zero, LN does not disaggregate CTP to A1.

Disaggregation rule: Pro Rate The volume by period of the parent item is distributed over the child items on the basis of the existing values for the child items.

Example Inventory plan of item A = 100 This inventory plan is disaggregated from A to A1, A2, and A3.

ItemA1A2A3
Existing inv. plan754530
Disaggregated volume503020

 

Disaggregation Rule: Pro rate

LN disaggregates the planning quantities in a proportional way, based on the current values in the item master plan. If sub-item 1 has the most in the current situation he will have the most after disaggregation.

The Pro rate disaggregation rule allows you to split planning data of a family plan item based on the original quantities of the underlying (individual) plan items. In this way the forecast data at item level can follow different trends for different items, such as steady for item A, increasing for item B, decreasing for item C in the example below. If the forecast quantity of the family item is modified, you can disaggregate the modified aggregated forecast data at family level back to item level based on the original forecast quantities at item level, as demonstrated in the chart in the following table.

Example

The following table shows the forecast quantities of a family item and the sub-plan items A. B, and C in plan periods 1 to 5.

Plan period12345
Item A1010101010
Item B5791113
Item C1413121110
Family item (aggregated)2930313233

 

The following table shows how LN disaggregates the forecast quantities according to the pro rate disaggregation rule if the forecast values of the family item change in plan period 3 and 4.

Plan period12345
Family item (modified)2930363833
Item A (pro rate)11.6111.87
Item A (rounded)1212
Item B (pro rate)10.4513.06
Item B (rounded)1013
Item C (pro rate)13.9413.06
Item C (rounded)1413

 

Note

When LN disaggregates planning quantities from a normal item to the corresponding channeled items, all plans (production, and purchase), orders (production, purchase and distribution) and receipts (production, purchase and distribution) are disaggregated to the Allowed Demand field in the Channel Master Plan (cpdsp5130m000) session.