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Jul 13, 2008

Challenges in the Apparel Industry and SAP’s Solutions for them – Article 3:

By S.Suren

Continuing from my previous posts, I shall in this article give you more insight into the challenges faced by companies in the Apparel & Footwear Industry and how SAP AFS Industry Solution caters to them.

• Poor on time delivery


This is a common problem in the AFS Manufacturing Environment, especially for those companies that have overseas operations and have a lengthy supply chain. Delivery dates of the final product is a crucial deadline given the ever so quickly changing fashion trends, and not to the mention the cost of alternative means of transport selected at the last minute to stick to delivering the product on time.

Given this condition SAP AFS has some useful functionality that caters to these needs:

Allocation Run – also known famously as ARUN, this allocation procedure helps determines the best usage of the existing stocks to meet the requirements of those sales orders that would deliver the best return in terms of customer satisfaction. This function is quite unique to the AFS Environment, as it provides many different built in rules and definable rules that are very much in line with the process built in and around the Sales & Distribution functions of the AFS Industry.

Order scheduling Strategy is an additional process in AFS SD processing that helps to optimize the delivery dates for each item. You can define rules to take account of special customer requests or general business requirements. This process also serves in allocating inventory to key customers in liaison with the Allocation Run procedure described above.


For more information visit: LINK


I shall keep posting more on this area in the future. Hope you found this post informative.

ssurenlk@msn.com

Have a nice day!!

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