| Supply planning |  |
| Enterprise Planning can plan supply for a plan item within this item's planning horizon. Enterprise Planning plans supply on the basis of the forecast and actual demand. For supply planning, there is a division of labor between order planning and master planning. Planning supply with order planning Within the order horizon, supply is planned by means of order planning, in the form of planned orders. Planned orders are generated during an order simulation. You can start an order simulation by running one of the following sessions: Generate Order Planning (cprrp1210m000) Generate Order Planning (Item) (cprrp1220m000) Planning supply with master planning Within the master-planning horizon, supply is planned by means of master planning, in the form of a supply plan. Supply plans are generated during a master-plan simulation. You can start a master-plan simulation by running one of the following sessions: Generate Master Planning (cprmp1202m000) Generate Master Planning (Item) (cprmp1203m000) Order planning and master planning When you run an order simulation, you can indicate that a master-plan simulation must be performed as well. In both master planning and order planning, the various plan items involved are planned in a particular order, to take logistic dependencies between plan items into account. Three sources of supply Enterprise Planning works with three sources of supply: Production – manufacture goods at a production facility Purchase – acquire goods from a business partner Distribution – acquire goods from elsewhere in your company or from an affiliated company For more information, refer to Sources of supply: production, purchase, or distribution. Supplier selection If ERP LN selects the source Distribution, ERP LN must then select the internal suppliers ( clusters ). If ERP LN selects the source Purchase, ERP LN must then select the external suppliers ( buy-from business partners ). For more information, refer to: To select external suppliers To select internal suppliers Related topics Production planning in Enterprise Planning Purchase planning in Enterprise Planning Distribution planning Sources of supply: production, purchase, or distribution Net-change simulations Sourcing strategies |