Key points, definitions, flows, and scenario-based explanations
✅ 1. Core IBP Modules (Know These Cold)
- IBP for S&OP – Demand + Supply balancing, scenario planning, executive review.
- IBP for Demand – Statistical forecasting, DP models, forecast automation.
- IBP for Inventory – Multi-echelon optimization, safety stock calculation.
- IBP for Supply – Constrained/unconstrained planning, heuristics, optimization.
- IBP Response – Order-based planning, deployment, resupply.
- Control Tower – Real-time end-to-end visibility.
✅ 2. IBP Architecture / Integration
- Runs on HANA Cloud platform.
- Planning data stored in Stored & Virtual tables.
- Integration tools:
- CPI-DS (main legacy option)
- CI-DS
- SAP Cloud Integration (SCI)
- Flat file imports
- SDI for real-time (rare)
- Integrates mainly with ECC/S4 for:
- Master data (MATNR, LOC, CVCs etc.)
- Key figures
- Time-series and order-based data
✅ 3. Planning Areas (Heart of IBP)
Interviewers frequently ask:
What is a Planning Area?
A logical container defining the planning model:
✔ CVCs
✔ Attributes
✔ Key figures
✔ Time settings
✔ Versions
PA configuration flow:
Master Data Types → Planning Levels → Attributes → Key Figures → PA Activation.
✅ 4. Master Data Essentials
- MDO = Master Data Type
- Key types:
- Product
- Location
- Customer
- Resource
- Supplier
- Master Data Attributes are used in planning levels and calculations.
✅ 5. CVC – Combination of Master Data
- Combination of key attributes (Product–Location most common).
- Used to build Time Series.
- Generated manually or through MDI / CPI-DS.
✅ 6. Time Profiles
- Defines planning buckets: Daily, Weekly, Monthly, Fiscal Periods.
- Need Time Profile + Calendar for PA activation.
- Granularity differs per module (Demand = weekly, Supply = daily/weekly).
✅ 7. Key Figures
Core of IBP planning.
Types:
- Stored Key Figures – Data saved in DB.
- Calculated Key Figures – Runtime formulas.
- Helper Key Figures – Support logic.
- Snapshot Key Figures – Historical versioning.
Attributes:
- Editable?
- Aggregation?
- Disaggregation?
- Planning level?
- Calculation mode?
✅ 8. Forecasting in IBP for Demand
Forecast tools:
- Triple Exponential Smoothing (TES)
- Croston / Syntetos–Boylan (intermittent demand)
- ARIMA
- Best-fit forecasting
- AI-based forecasting (via SAP Predictive services)
Key topics:
- Outlier correction
- Historical cleansing
- Causal forecasting (external data)
- Promo planning
- Forecast error KPIs (MAPE, RMSE, Bias)
✅ 9. IBP for Inventory (MEIO)
Most asked area.
- Multi-echelon inventory optimization
- Uses lead time, service levels, variability, cycle stock, pipeline stock
- Outputs:
- Safety Stock
- Reorder Point
- Target Stock
- Optimization engine uses stochastic models.
✅ 10. IBP for Supply (Heuristics & Optimizer)
Supply types:
- Unconstrained heuristic
- Constrained heuristic
- Optimizer – best for capacity constraints, cost-based planning
- Finite resource planning
Key terms:
- Sourcing rules
- Production constraints
- Resource capacities
- Fair-share allocation
✅ 11. Order Based Planning (IBP Response)
New trending area.
- Uses Order Data (planned orders, PR, PO, deliveries).
- Runs on a detailed order model.
- Has capabilities like:
- Rescheduling
- Allocation
- Deployment optimization
- Prioritization
✅ 12. Alerts & Control Tower
- Configurable alerts:
- Forecast error
- Stockout risks
- Capacity issues
- Alert types:
- Operator Alerts
- Exception-based alerts
- Dashboards build using Analytics & Real-Time Simulations.
✅ 13. Scenarios / Versions
- Versions support what-if analysis.
- Scenario planning supports simulation before committing changes.
- Ask about version locking, copy functions, and merging.
✅ 14. Supply–Demand Reconciliation (S&OP Cycle)
Most common business scenario.
Cycle:
- Demand review
- Supply review
- Pre-S&OP
- Executive S&OP
- Consensus plan + Approval
Tools:
- Pivot-style Excel UI
- Dashboards
- Collaborative notes
✅ 15. Excel Add-In (Most used by planners)
- Ribbon interface
- Planning views
- Filters
- IBP formatting
- Custom sorts
- Real-time refresh
- Editable key figures
- Copy/paste across versions
✅ 16. IBP Security
- Analytics permissions
- Planning view permissions
- Data access control (DAC)
- Job permissions
- Master data write permissions
Role types:
- ADMIN
- MODELING
- PLANNING
- ANALYTICS
✅ 17. Jobs & Processes
Frequently asked:
- Data integration jobs
- Statistical forecast jobs
- Optimizer/Heuristic runs
- Recalculate workbook
- Realignment profiles
✅ 18. Realignment Rules
Used when attributes change — e.g., product hierarchy change.
Supports:
- Copy
- Split
- Merge
- Conditional realignment
✅ 19. IBP Analytics
- Charts
- Trees
- Tables
- Filters
- Page layouts
- Drill-downs
- Real-time KPI calculations
✅ 20. Common Scenario-Based Questions
Here are the MUST-PRACTICE ones:
- How will you fix a forecast bias issue in IBP?
- How to model a new product release (NPI/NPP)?
- How to handle multiple sourcing and production?
- How to set up a multi-echelon inventory strategy?
- How to address capacity overload in IBP Supply?
- How do you handle large data loads failing in CPI-DS?
- What if the planning area activation fails?
- How to design a planning level for demand vs supply?
- When to use order-based vs time-series planning?
- How to configure a safety stock model in IBP Inventory?
I share content relevant to Tech/Interview/Corporate/ & Anything Stuff !!
Do follow for more useful content : https://www.linkedin.com/in/vartika-gupta24/