Why does ECC Constrained Plan (Supplier Capacity Constrained) Always Choose Rank 1 Supplier When There Is No Capacity With Any Rank's Supplier? (Doc ID 2918150.1)

Last updated on DECEMBER 28, 2022

Applies to:

Goal

Item has a processing LT of 60 days in both Orgs ABC and DEF.
Item has the following sourcing setup:

In Org ABC,

Rank 1 - Transfer From DEF - 100%
Rank 2 - Buy From Supplier XYZ - 100%

Transfer LT - 15 days.

In Org DEF,

Rank 1 - Buy From Supplier XYZ - 100%

In Org ABC, item has a demand on Day 150 and there is no On hand in both ABC and DEF orgs.
Customer runs a Enforce Capacity Constrained (ECC) Plan with Supplier Capacity Constraints.

ASCP is creating a planned order to source the material from Org DEF (rank 1).
This will add additional transfer LT as the material has to be procured from Supplier XYZ even in org DEF.

Why is ASCP choosing Rank 1 Supplier, though rank 2 supplier takes lesser time to fulfill the demand.

Solution

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