Excerpt from the book SAP Integrated Business Planning: Functionality and Implementation by Sandy Markin and Amit Sinha. Used with permission of SAP PRESS. All rights reserved.

 

In this blog, get an overview of the steps involved in defining planning areas in SAP IBP.

 

To configure the planning area from scratch, access the Configuration tile from the Model Configuration section, and click Planning Area and Details, as shown below. Click the Create button, and provide the name of the planning area in the pop-up screen. For the system implementation stage, we recommend you maintain multiple planning areas for configuration management, user testing, integration development, and training. You can use your naming convention to distinguish one area from another. We also recommend using the organization-specific three-letter prefix discussed in previous sections.

 

ABCACTIVE is the name of the planning area in the figure below. Multiple planning areas are synced from the copy functionality. The same functionality is also used to copy the standard planning area provided by SAP for the client’s usage. Changes in the copied planning area can be performed to meet the requirements of the organization’s supply chain planning and execution.

 

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Above demonstrates the configuration options for the planning area. With the name, it’s essential to select the time profile relevant for the planning area.

 

Storage time profile level should be chosen as the lowest time bucket of the time profile to allow the aggregation and disaggregation across the time period levels of the time profile. Supply Planning Enabled is selected if the supply planning must be executed through this planning area. The External Time Series Enabled indicator allows the near real-time integration of the key figures with the execution system as SAP ERP or SAP S/4HANA. The Change History Planning Area Enabled indicator may be selected to use the change history and snapshot functionality in the planning area.

 

Be aware that a high level of change history and snapshot usage can impact system performance. Planning horizon parameters must be maintained. The past and future buckets determine the planning horizon through the planning area. Note that this horizon works on a rolling time basis. The planning operator window is used to choose the planning operators relevant for planning in this planning area. The operators can be a SAP-provided standard operator or user-configured operator. An operator will be available for a planning area only if it’s selected for the planning area through this configuration screen. Click the Save button to save the planning area after completing the configuration.

 

You must select the master data type and relevant attributes to make them part of the planning area. Only the selected attributes will be available for the creation of the planning level and for planning in the SAP IBP Excel planning view. Attribute categories Optional, Mandatory, or Calculated are selected in this configuration screen. Attributes that need to be used as the key figure in the planning area must be selected for their relevant box in the Key Figure column. Note that this box appears only for the attributes that are created as decimal data types. Attributes such as price or sourcing ratio after selection in the planning area will also need the Key Figure box selected, in order to be transformed into key figures. Below shows an example of attribute selection for the standard planning area SAP2.

 

Two options are available for the planning areacopy function: simple copy or advance copy. A simple copy creates every element except the master data type, time profile, and attributes associated with the source planning area. These items are built for the target planning area. The advance copy copies the entire set, including the master data type, time profile, and attributes associated with the source planning area.

 

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A simple copy requires the name of the source planning area and target planning area. The source planning area already exists in the system, and the target area is the name assigned to create the new planning area. A copy can be performed as a merge or replace option. For an advance copy, because the master data type can also be copied, there is the option to change the prefix of the master data type while copying. For example, while copying the SAP2 planning area to create a new planning area through an advance copy, the source prefix “IBP” can be replaced with a new prefix for the newly created planning area. An advance copy also requires a new target time profile ID to be provided while copying.

 

This should help you better understand the steps to defining planning areas in SAP IBP.

 

Excerpt from the book SAP Integrated Business Planning: Functionality and Implementation by Sandy Markin and Amit Sinha. Used with permission of SAP PRESS. All rights reserved.