Dynamic Coverage Profile is a topic which appears like confusing in SAP but it’s not. Seriously. Please don’t roll your eyes to me:) Math is simple. Let me explain.
Planned Independent Requirements
First things first. In MD61 create Independent Requirements for a material with 40 planning strategy. Lets say that we’ll have requirements every week. Today is 06.10.17.
To observe them, let’s use MD04’s sum-taking screen.
From customizing let’s get to “Define Range of Coverage Profile”.
Most important part is here. We have 4 main parameters.
In DAG (determine average requirements) we have “Number of periods” (I’ll represent it as A). Which means for how many periods the requirements will be taken into consideration. In this case, our period indicator is Month, this will mean it is 2 months.
A = 2
In also DAG, we have “No. of Days per Period” (I’ll represent it as B). This will help us to determine daily requirement.
B = 10
In ROC (range of coverage in the first period), there’s “Tgt” (I’ll represent it as C). The quantity of days that I’d like to keep at stock.
C = 20
Also in ROC there’s “Number of periods” (I’ll say it’s D). It represents the stock level I determined will be viable for how long.
D = 3
Then I run define this coverage profile to material in MRP2 view of MM02.
In let’s calculate now. After we run MRP, it will take sum of upcoming two months. In this case October and November.
100 + 120 + 130 + 140 + 150 + 160 = 800 so we must provide 800 pcs of procurement/production.
A helped us to determine this 800 pcs.
To find out daily requirement;
800 / (AxB) = 800 / 20 = 40
Now, during the period of D (3 months), in each period it will try to catch C days of coverage.
40 x C = 40 x 20 = 800 it will try to keep 800 pcs at hand until the end of 1st month.
But for the next month, daily requirement will be different.
150 + 160 = 310
310 / (AxB) = 310 / 20 = 15,5 pcs of daily requirement.
15,5 x C = 15,5 x 20 = 310.
Until the end of 3 months (D), for each month this logic will appear.
If the defining 3 different period spans is not enough for you, you can defined unlimited spans of coverage from the customizing by providing dates.