Advanced Planner and Optimizer
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Advanced Planner and Optimizer


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DEFINITION - Advanced Planner and Optimizer (APO) is a set of software applications from the German-based software company SAP for supply chain management. According to SAP literature, Advanced Planner and Optimizer is designed to help a company improve production planning, pricing, scheduling, and product shipping. APO works by getting real-time updates from retailers about customer demand. The updates are used to create APO "demand triggers" that take into account many complex variables, such as the delivery schedule of raw materials and productions cycles, to forecast the right amount of product mix the company will need to meet future customer demands. APO can be integrated with the SAP R/3 and legacy enterprise resource planning (ERP) systems.

APO consists of eight application levels: network design, demand planning, supply network planning, production planning and detailed scheduling, global availability, transportation planning and vehicle scheduling, and supply chain collaboration.

Learn more about SAP SCM software
AMR ranks the best demand-driven supply chains: AMR's Supply Chain Top 25 ranks the best manufacturers in supply chain management (SCM) and demand-driven supply chains.
BI vendors strain to address intricacies of global supply chains: Manufacturers are turning to BI software for greater visibility into their supply chains. Growing complexity of these supply chains is upping the ante for BI software vendors.
BPM tools help firms bridge communications gaps in supply chains: Globalization is raising the need for supply chain visibility. Read how manufacturers are using business process management (BPM) tools to make their supply chains more efficient.
Challenges around REACH compliance will transform supply chains: Manufacturers will have to adapt their supply chains to comply with REACH and perhaps buy costly new software to help with the challenges.
Effective supply chain management is all about visibility: Supply chain visibility isn't just about visibility of all critical elements of the supply chain. It's also about visibility of aligning IT and information resources with business goals.
A plant manager's guide to supply chain best practices: Learn the importance of supply chain strategy, coordination and planning in plant management and why each step of the supply chain is key to optimizing plant productivity.
For many companies, managing supply chain risk still an afterthought: Supplier risk management has historically taken a back seat to higher concerns of cost and efficiency, but now supplier risk has become a central issue in supply chain management.
SCM and SRM: Looking for information on Supply Chain Management and Supplier Relationship Management solutions? This week we examine what SAP and others have to offer.
Current RFID trends for SAP: There was a lot of talk about RFID in 2005, but then it went quiet. Here's an exclusive report on current trends in RFID for SAP users and a checklist for building a business case.
Focus on SRM/SCM: This week we're taking a closer look at Supplier Relationship Management and Supply Chain Management.
SAP APO explained: SAP Advanced Planner and Optimizer (APO) is one area of SCM that doesn't always get the attention it deserves. This crash course will help you get up to speed on this dynamic tool.
SAP Advanced Planner and Optimizer (APO): SAP Advanced Planner and Optimizer (APO) is designed to enable dynamic supply chain management. APO software provides applications for planning, optimization and scheduling. We've gathered the latest ...

LAST UPDATED: 08 Jun 2005

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