Availability Check (ATP) and Transfer of Requirement

(TOR)

ATP
Types of Availability Check in Sales and Distribution
ProcessingThere are three types of availability check:
_ Check on the basis of the ATP quantities
_ Check against product allocation
_ Check against planning

The following SD-specific control features need to be maintained in Customizing:

_ Checking group
The checking group controls whether the system is to create individual or collective
requirements in sales and shipping processing. In addition, a material block for the
availability check with transfer of requirements can be set here. The checking group can
also be used to deactivate the availability check. This option was created especially for
the assembly order so that when the bill of material is exploded in the assembly order,
the individual components, if necessary, can be classified as non-critical parts as far as
procurement is concerned.
The checking group specifies in combination with the checking rule the scope of the
availability check. It is proposed in the material master record on the basis of the
material
type and the plant, and copied into the sales and distribution documents. It is specified
in MMR in MRP3 screen, availability check tab.
_ Checking Rule
You use the checking rule to control the scope of the availability check for each
transaction in sales and distribution. You also specify whether the check should be
carried out including or excluding replenishment lead time. The individual checking rules
define by transaction, which kinds of stocks and inward - outward movement(receipts
and issues) of goods should
be taken into account for the availability check.
_ Schedule line category
You can control with the schedule line category whether an availability check and
transfer of requirements should be carried out in the sales documents. The possible
settings for this at schedule line level are dependent on the settings in the requirements
class which is determined from the requirements type of the material.
_ Delivery item category
The delivery item category can be used to control whether an availability check takes
place in deliveries.
Requirements type
The various requirements are identified by their requirements type. The requirements
type refers to the requirements class and its control features. it is assigned to
requirement class.
_ Requirements Class
The requirements class contains all control features for planning such as relevance for
planning, requirements planning strategy and requirements consumption strategy. In
addition, it is specified at a global level whether an availability check is to take place for
the material in the sales and distribution documents on the basis of the ATP quantity
(ATP = available to promise) and whether requirements are to be passed on. A finer
degree of control can be obtained for sales documents using the schedule line category.
Replenishment lead time is only included in the check performed on the basis of the
ATP quantity.
Prerequisites
An availability check can only be carried out if the following prerequisites have been
fulfilled:
_ The control elements described above for the availability check must be maintained in
Customizing for Sales and the relevant assignments made to the sales transactions
_ The availability check must be switched on at requirements class level and - for
theavailability check in the sales documents - at schedule line category level
A requirements type must exist by which the requirements class can be found
_ A plant must be defined. It can either be proposed from the customer or material
master
record or can be entered manually in the document._ A checking group must be defined
in the material master record on the Sales/plant data
screen in the Availability check field
Configuring entries of the Availability CheckIMGàSDàBasic fncsàAvailability check
and TORàAvailability checkàAvailability check with ATP logic or against planningàDefine
checking groups
You can use SAP std checking groups of 01 for summarized reqts or 02 for daily reqts or
u can create ur own.
The columns total sales and total deliveries are selection options whereby u can
configure a checking rule to sum up reqts to post to MRP either individually or by day or
week.
Column 5, Block qty; set this block if u want several users to be able to process the
material simultaneously in different transactions without blocking each other. The No
Check indicator is used when u want a material to not be relevant for an ATP check.
Defining a material block for other users. The Block checkbox is an indicator that
enables u to block the particular material from being checked for availability if it is
already being checked at the same time by another user.Defining the default value
for checking groups. However should no entry exist for the checking group in the
material master record, one can set a default value per material type and plant.
Controlling the availability check. In this section, u tell the system what stock on
hand and what inward and outward movements of stock it must take into account when
performing the availability check. These settings are based on the checking group that is
assigned to the material master record and the checking rule that is predefined and
assigned to the sd transaction. The carry out control for the availability check must be
maintained for both the sales order and delivery.

A line item in the sales order creates a schedule line. The schedule lines in the sales
order transfer the requirements through to MRP. You can select the docs on which you
want the TOR to happen. For ex, not for quotations.
The TOR aims to ensure the ordered materials are available for the requested delivery
date. The TOR can be set for individual or for collective requirements (materials
masteràsales/plant view).
The TOR is dependent on the following data:
The reqts type, reqts class, checking group and schedule line category.
The reqts type and class are determined in the strategy group (material masteràMRP3)
For TOR to be carried out, a few criteria need to be met:
Plant assigned to line item level, schedule line category should be switched on at TOR,
TOR must be switched on at the reqts class level, checking group must be defined and
allocated to the material master record (sales/plant view in the availability check field)
The reqts class is the controlling factor for the availability check and the TOR for all sd
types.
Configuring the TOR:
1) Use std 041 reqts class or copy and rename it. Use the indicators to select
if this reqts class must carry out an availability check and/or a TOR.
2) Define the reqts types. A reqts type is allocated to a single reqts class and
not vice versa. It is based on the item category and the MRP type of the
material.
3) Assign the rqts type to the relevant item category in the sales order and
the MRP type found on the material master record.
You can select an alternative search strategy where u assign the reqts type to
item category and MRP type. Can select source as 0, 1 or 2. (1 = Item type and
MRP type strategy).
4) The TOR and Availability check can be selected/de-selected at the
schedule line category level.
5) Block qty confirmation in delivery blocks. This is used to block the
reservation of the TOR from MRP.
6) Maintain requirements for TOR. Requirements can be used to determine
that the TOR to MRP is not carried out unless a number of conditions are met.
Availability Overview = CO09 à order qty, sd doc no, item no, requirements
class.
Stock requirements list = MD04 à sd no or dly no, line item, schedule line
placing the demand
Stock overview = MMBE à total stock per company, then plant followed by
storage location, and finally a breakdown per batch

ATP is simply Available to promise...quantity which we can promise to the current object.
Object may be a sales order/delivery or production order. Here I would like to give
simple steps to understand the availability checking in SAP. I would like to give a general
guide lines to availability checkAvailability check is carried out in different transactions
like Sales order creation, delivery creation, Purchase order creation, goods issue and also
in production order.The point to be noted here is every where the availability check is
carried out using two basic elements.
1. Checking rule
2. Checking group
Now let us understand these two important elements.

Checking Rule
Checking rule is transaction based, i.e. In STD SAP system, if you are creating the sales
order, then it is A, if delivery then it is B, if you are creating/releasing production order,
then it is PP. This is almost fixed. What is the use of this...as a single element it does not
have any meaning, but with checking group.

Checking group
Checking group is the one what you assign in material master at plant level, i.e.
for different plant and for the same material or for same plant different material there
can be a different checking group. This is assigned in material master in MRP3 view, as a
signal element it may not have much meaning except that it may be used for checking
at which level - group level or individual level and quantities confirmed in the availability
check are to be locked or not.

Combination of Checking rule and checking group will define the scope of check

Scope of check -

what is scope of check? here we define what type of stock, which receipt element and
issue element has to be taken to decide the quantity to be declared as available for use.
Type of check - There are many types of stocks available in SAP and to be
considered/not to be considered in availability check.Safety stock, stock in transfer,
Quality inspection stock, blocked stock, restricted stock, w/o subcontract stock. -
activate check box if you want to consider the any of the stock
Replenishment lead time - Check without RTL = Replenishment lead time is the
time taken to receive the stock once order is placed with vendor. Here you are informing
the system whether you want to consider the date in future(after RTL) if the any of the
above stock is not available...Don't activate the check box if you want the system to
check RTL time so that qty is confirmed after RTL date.
Storage location check - No storage location inspection - Here if you activate the
check box, then system will check the stock at plant level instead of storage location
level. Hence if you want the system is to check stock at storage location level, then don't
activate this check box. The determination of stock is a another loop which depends on
storage condition loading group or simply at the storage location maintained in the
transaction concerned.
Missing parts processing - Checking period GR - Here we maintain a period so that
missing parts MRP controller will be notified if GR is done till the period you mentioned
here and the material is considered as a missing parts.
Receipt/issues - Here we informing the system which receipt and which issue elements
to be considered for calculating ATP. Let us check one by one in more detail. Depending
on the situation the elements can be receipt and/or issue.
Include purchase order - This is a receipt element if the you consider a raw material, i.e.
it is confirmed receipt element. It can be a STO PO. Hence system will consider this
receipt to calculate the ATP qty.
Include PR - Same as the above, difference is, this may not be a confirmed
receipt/issue.
Include dependent requirement - Dependent requirement is the requirement from a
confirmed planned order/sub contract PR, created automatically in MRP, hence it is
a planned issue. If you activate this check box, system will consider all the dependent
requirement which are already planned before giving you the ATP qty.
Include reservations - These are can be the materials reservations(not dependent on any
other elements like production order) which are created manually in the system using a
movements, hence this can be a issue or receipt depending on which movement type is
used to create a reservation.
Include sales requirement /Include deliveries- If you activate this check box, system will
consider the sales orders/deliveries which already committed, hence it is a confirmed
issue.
Include shipping notification - Shipping notification is the information of arrival of
material, hence like PO in a receiving plant and is a confirmed receipt
Include dependent reservation - Dependent reservation is the requirement from
a production order/process order/sub contract PO, created automatically during order
creation, hence it is a confirmed issue. If you activate this check box, system will
consider all the dependent reservations which are already confirmed before giving you
the ATP qty. Some more functionality given here is which reservation is to be
checked Do not check i.e. system will not consider this as requirement while
confirming the ATP qty
Do not check - donot take this requirement.
X Include all reservations - include all the reservation from production
order(created/released)
A Only include withdraw able reservations - Include only reservation from a production
order that is released.
Include released order requirement - Specifies whether the system takes requirements
resulting from stock transport orders and stock transport requisitions into account during
the availability check. It is a confirmed (from STO-PO) or planned requirement (from
PR) Do not check - requirements from STO not to be considered as a requirement in
supplying plant
Do not check - donot check it as a requirement
X Check releases for stock transport orders and requisitions-Check all the requirement
from STO-PR, STO-PO in supplying plant
A Check releases for stock transport orders only - Check all the requirement from only
STO-PR in supplying plant.
Include Planned order -Indicates whether the system takes planned into account during
the availability check as a receipt. It can be confirmed or planned issue depending on
planned order is firmed or not firmed.
 Do not check - don't check any planned order as a receipt
X Check all planned orders - take all the planned orders in to account
A Check firmed planned orders only- take only firmed planned orders in to account
B Only check planned orders that are completely confirmed- I have not seen any
difference between A and B.
Include Production order - Include production orders as a receipt element for calculation
of ATP, which are the status to be considered is given below
Do not take into account - Don't take Production order as a receipt element
X Take all production orders into account - take all the production orders
F Only take released production orders into account - take only the released production
orders as receipt.
Include receipt from past and future - When confirming sales order which are the receipt
to be considered is discussed above but whether to take future and / or
past receipt...option is given below
Include receipts from past and future
A Include receipts from past and future, with messages
B Include future receipts only
C Include future receipts only, with a message

Available to Promise (ATP)

What do we need to know?

Dates:-

Order Date

Date on which the sales order is entered. System proposes the current date by default.

Material Availability Date

The date on which the material must be available. On the material availability date, the
vendor must start the activities relevant for delivery, such as picking and packing the
goods. The material availability date must be sufficiently early enough so that the goods
are prepared by the loading date.

Transportation Planning Date

We must arrange transportation by this date, so that the delivery can be sent to the
customer. The date from which the organization of goods transport must begin. The
transportation planning date must be selected early enough so that the transport is
available on the loading date to load the goods.

Loading Date

Picking and packing must be completed by this date so that the goods are ready for
loading.

Goods Issue Date

Goods must physically leave the shipping point by this date. The date on which the
goods must leave the company to arrive at the customer location in time.
Delivery Date

Customer should receive delivery of the goods by this date. The date on which goods are
to arrive at the customer's premises. Example: The delivery date can be the delivery
date requested by the customer (desired delivery date) or the date confirmed in the
vendor's order acknowledgment or shipping confirmation (confirmed or acknowledged
delivery date).

Times:-

Pick/Pack Time

Difference between the material availability date and loading date.

Transportation Lead Time

Number of days required for organizing a shipment for an item to be delivered.

Loading Time

Difference between loading date and goods issue date.

Transit Time

Number of days required for delivering an item from your company to the customer via
a certain route.

How do we View Availability Situation?

Run Transaction: CO09

Enter Plant & Checking Rule, against which the Availability is to be checked. For Sales
Order Checking Rule = A, Delivery = B, Back Order = BO
 In this screen, we can see:

 Availability Checking Group (Avail Check): 02

 Check Rule : A
 End Lead Time Refers to the end of Replenishment Lead Time. If that is not included in
the Configuration, then this field is not visible.
 Totals Display:** Receipts = Sum of all +ve Quantities in Rec./Reqd qty Column
(Leave out the last row, MRP Element 001, since it is a total)
These are all the Planned Incoming Movements
 Issues = Sum of all -ve Quantities in Rec./Reqd qty Column
These are all the Planned Outgoing Movements
 Confirmed issues = Sum of all (+ve) Quantities in Confirmed Column
These are the confirmations against ATP.

When is Availability Check Triggered?

While creating a Sales Order, Production Order, Delivery, etc. Below is a screen from
Sales Order. At the bottom is a button for Check Material Availability. Also while creating
the order, if the Availability situation cannot meet the requested delivery date, the
system goes to Availability screen automatically. (Discussed later)
Run Transaction: VA01

How we arrive at a Confirmed Delivery Date?

Below is the logic the system uses to check availability:

 Using the Scheduling data from Delivery & Transportation Scheduling, the system does
the backward calculation from the Requested Delivery Date. This is used to arrive at
Material Availability Date.
 On the Material Availability Date, system checks the Available Qty, as seen in CO09 in
column Cum. ATP Qty. If the Available Qty is > than Required Qty, Requested Delivery
Date is confirmed. Otherwise,
 System moves into the future till it finds the required Available Qty. The new date is
then the new Material Availability Date.
 On getting the confirmed Material Availability Date, system does the Forward Scheduling
to arrive at a Confirmed Delivery date.
Backwards Scheduling

Control of Availability Check

Forward Scheduling
Result of Availability Check: Some Sample Scenarios
Above is the Availability Screen as seen in Sales Order. It has following Buttons:
One-time delivery
In the results of Availability, we have 3 options to choose from. This is Case 1, when we
can confirm the Customer's Requested delivery Date. The details of this are visible in the
first sub screen below.
Complete dlv.
This is Case 2, when we can confirm the Customer's Requested complete delivery at a
future Date. The details of this are visible in the second sub screen below.
Delivery proposal
This is Case 3, when we can confirm the Customer's Requested delivery in partial
quantities at future dates. The details of this are visible in the third sub screen below.
Continue
If we select one of the above options, the same gets saved in the ATP results. Otherwise,
we can select this button. In that case, system leaves the ATP screen without saving the
ATP results.

Case: Confirmation on Requested Delivery Date

Case: Confirmation after Requested Delivery Date (Complete
Delivery)
Case: Confirmation after Requested Delivery Date (Partial Delivery)
See the screens below corresponding to this situation.

The first screen shows the Availability (CO09) Overview. We have an incoming PO on 19
Jan.
!image034.jpg!In the second screen
We have created a SO (VA01) on 09 Feb, with requested Delivery date for 09 Feb.

Now we change the Availability situation, by changing the PO Date to 12 Feb.

See the screens below corresponding to this situation.

The first screen shows the Availability (CO09) Overview. We have an incoming PO on 12
Feb. See the new Cum ATP qty. date wise accordingly.

!image038.jpg!In the second screen

We have created a SO on 09 Feb, with requested Delivery date for 09 Feb.
See that the Delivery got staggered according to the new Availability situation.
Case: Confirmation after Requested Delivery Date (Replenishment Lead Time)

In the screens below, we have simulated the RLT.

In the first scenario RLT is not activated, see below: 'Check without RLT'. The system
considers only the confirmed inward movements. So out of 500 only 21 is confirmed.
See IMG Guide > SD > BF > AC & TOR > AC > AC with ATP > Control of Availability
Check
See VA01

In the second scenario RLT is activated, but corresponding data in material master is
not maintained. Material is procured In-House (E), but In-house Production time
(1st screenshot) & RLT (2nd screenshot) are not maintained. The system assumes both
these times as Zero. So, complete 500 are confirmed immediately. See MM01
 In the third scenario RLT is activated, corresponding data in material master is
maintained. Material is procured In-House (E), In-house Production time (10 days) &
RLT (not maintained). The system confirms 21 on basis of incoming material. Rest 479 is
confirmed after 14 days. This is because 10 working days for in-house production + 4
holidays (Sat-Sun).
In the fourth scenario RLT is activated, corresponding data in material master is
maintained. Material is procured In-House (E), In-house Production time (10 days) &
RLT (20 days). The system confirms 21 on basis of incoming material. Rest 479 is
confirmed after 14 days. This is because 20 working days for in-house production + 8
holidays (Sat-Sun).
What Configuration & Data do we need?

Controlling Elements:-

Requirements Type
Requirements Class
Schedule Line Category
Delivery Item Category
Checking Group
Checking Rule
Scope of Check
Strategy Group
Partial Delivery Agreement
Replenishment Lead Time

Material Master Data:-

MRP 1 > MRP Group

MRP 2 > Planned Delivery Time
MRP 2 > GR Processing Time
MRP 3 > Checking Group for Availability Check
MRP 3 > Strategy Group
MRP 3 > Total Replenishment Lead Time

Scheduling Data:-

Transit Time
Loading Time
Pick/Pack Time
Transportation Planning Lead Time