What is characteristic-based Planning (Segmentation)?

Within SAP ECC, materials with different characteristics could only be planned separately by creating multiple material numbers. Within S/4HANA, using characteristic-based segmentation, pharma companies can execute supply chain processes on a lower level of granularity than the material number to define the optimal matching logic between demand and supply.

The Benefits:

  • Significantly reduce issues such as overstocking, out of stock, customer returns etc.
  • Segment customer demand based on attributes such as regulatory requirements or priority
  • Streamline materials and master data maintenance
  • Minimize production planning complexity
  • Automate compliance check with market requirements including the regulatory ones throughout the supply chain execution.

How HCL makes it possible:

Extending the standard S/4HANA Segmentation capabilities, HCL has created an integrated supply chain process where demand and supply attributes are flawlessly and automatically matching at all levels of the supply chain: execution (batch determination at issue, quality inspection, order entry,…), planning (Forecast, MRP,…) etc. Material segmentation may be defined based on defined characteristics or criteria—physical (strength, active ingredient, etc.) or logical (location, production line, vendor, etc.).