New capabilities have been added to SAP S/4HANA to support Demand-Driven Material Requirements Planning (DDMRP), a supply chain planning and execution methodology.
The release is part of the company’s strategy to support DDMRP across S/4HANA and the SAP Integrated Business Planning solution.
“We are seeing steadily increasing customer interest for the Demand-Driven MRP approach, which is perfectly aligned with SAP’s digital supply chain strategy to support real-time, end-to-end supply chain visibility and responsiveness, said Hans Thalbauer, senior vice president, digital supply chain and IoT, SAP. “These new capabilities will help customers benefit from dramatically improved customer service and significant working capital reductions.”
The new capabilities have been made available with the August 2017 release of S/4HANA, as well as via S/4HANA Cloud for advanced supply chain.
“DDMRP offers companies facing the variability and constraints of a modern supply chain a new way to be more responsive to demand while driving improvements in service levels, velocity and working capital that directly connect to better return on investment performance,” said Chad Smith, a partner with the Demand Driven Institute, which has certified the new capabilities.