LO6 Demo Script for SAP S/4HANA 2025 SP00 Fully-Activated Appliance: Demand-driven Material Requirements Planning
LO6 Demand-driven Material Requirements Planning: Demand Driven Material Requirements Planning (DDMRP) is an innovative multi-echelon pull methodology to plan inventories and materials. Download the Document
LO6 Demand-driven Material Requirements Planning: Demand Driven Material Requirements Planning (DDMRP) is an innovative multi-echelon pull methodology to plan inventories and materials. © 2025 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
PUBLIC
SAP S/4HANA 2025 SP00 Fully-Activated Appliance
November 2025
Demo Guide:
Demand Driven Material Requirements Planning
PUBLIC
SAP S/4HANA 2025 SP00 Fully-Activated Appliance
November 2025
Demo Guide:
Demand Driven Material Requirements Planning
Document History
Revision Date Change
1.0 July 2021 Release for customer
1.1 November 2021 Release for customer
1.2 April 2022 Release for customer
1.3 November 2022 Release for customer
1.4 March 2023 Release for customer S/4H 2023 FPS01
1.5 June 2023 Release for customer S/4H 2023 FPS02
1.6 November 2023 Release for customer S/4H 2023 SP00
1.7 March 2024 Release for customer S/4H 2023 FPS01
1.8 November
2024
Release for customer S/4H 2023 FPS02
1.9 April 2025 Release for customer S/4H 2023 FPS03
2.0 November 2025 Release for customer S/4H 2025 SP00
Revision Date Change
1.0 July 2021 Release for customer
1.1 November 2021 Release for customer
1.2 April 2022 Release for customer
1.3 November 2022 Release for customer
1.4 March 2023 Release for customer S/4H 2023 FPS01
1.5 June 2023 Release for customer S/4H 2023 FPS02
1.6 November 2023 Release for customer S/4H 2023 SP00
1.7 March 2024 Release for customer S/4H 2023 FPS01
1.8 November
2024
Release for customer S/4H 2023 FPS02
1.9 April 2025 Release for customer S/4H 2023 FPS03
2.0 November 2025 Release for customer S/4H 2025 SP00
© 2025 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
3
Table of Contents
1 How Can This Script Be Used? 4
1.0 Passwords for the pre-configured demo users 4
2 Purpose 5
3 Prerequisites 6
3.0 System Access 6
3.1 User and Roles 6
3.2 Master Data, Organizational Data, and Other Data 6
4 Preliminary Steps 8
4.0 Check Buffer Level Status 8
4.1 Create Initial Data (Optional) 9
4.1.1 Create Initial Stock for Buffered Products 10
4.1.2 Post Goods Issue for Buffered Products 11
4.1.3 Maintain PIRs for Components 14
4.1.3.1 Maintain PIRs for Finished Goods 14
4.1.3.2 Schedule pMRP Simulation Creation 16
4.1.3.3 Process pMRP Simulations 18
4.1.3.4 Check PIRs for Components 20
5 Demand-Driven Buffer Level Management 21
5.0 Buffer Positioning 21
5.0.1 Schedule Product Classification 21
5.0.2 Mass Maintenance of Products 23
5.0.3 Check Buffer Positioning 24
5.1 Buffer Sizing 26
5.1.1 Schedule Lead Time Classification of Products 26
5.1.2 Schedule Buffer Proposal Calculation 28
5.1.3 Manage Buffer Levels 32
3
Table of Contents
1 How Can This Script Be Used? 4
1.0 Passwords for the pre-configured demo users 4
2 Purpose 5
3 Prerequisites 6
3.0 System Access 6
3.1 User and Roles 6
3.2 Master Data, Organizational Data, and Other Data 6
4 Preliminary Steps 8
4.0 Check Buffer Level Status 8
4.1 Create Initial Data (Optional) 9
4.1.1 Create Initial Stock for Buffered Products 10
4.1.2 Post Goods Issue for Buffered Products 11
4.1.3 Maintain PIRs for Components 14
4.1.3.1 Maintain PIRs for Finished Goods 14
4.1.3.2 Schedule pMRP Simulation Creation 16
4.1.3.3 Process pMRP Simulations 18
4.1.3.4 Check PIRs for Components 20
5 Demand-Driven Buffer Level Management 21
5.0 Buffer Positioning 21
5.0.1 Schedule Product Classification 21
5.0.2 Mass Maintenance of Products 23
5.0.3 Check Buffer Positioning 24
5.1 Buffer Sizing 26
5.1.1 Schedule Lead Time Classification of Products 26
5.1.2 Schedule Buffer Proposal Calculation 28
5.1.3 Manage Buffer Levels 32
© 2025 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
4
1 How Can This Script Be Used?
This demo script has been written for usage with the SAP S/4HANA Fully-Activated Appliance (in short “appliance” in this script),
hence you will need such an appliance to make use of this guide.
The appliance can be brought up in two ways, and the demo scenario in this script is largely the same for both:
1. Via SAP Cloud Appliance Library (hosted on cloud providers)
You need a cloud provider account at AWS, MS Azure, or GCP. With this, you can deploy the appliance within 1-2 hours from
https://cal.sap.com > Solutions > SAP S/4HANA <Your Release> Fully-Activated Appliance.
2. Via installing it on your own on-premise hardware.
You need to provide your own hardware, and order & install the appliance as explained in SAP Note 2041140.
If you are new to the SAP S/4HANA Fully-Activated Appliance, introductory information can be found here:
https://blogs.sap.com/2018/12/12/sap-s4hana-fully-activated-appliance-create-your-sap-s4hana-1809-system-in-a-fraction-of-
the-usual-setup-time/
Important:
Before you start your demo, please read SAP S/4HANA Fully-Activated Appliance: Demo Scripts for information about necessary
preparations, especially any post-deployment steps to ensure the full functionality of your appliance.
These steps are covered in sections;
B) General Remarks
C) Post-deployment Steps
D) Log-on to the system
Besides this, you will also find links to all demo scripts on this page.
1.0 Passwords for the pre-configured demo users
Please contact your company’s system administrator for your company-specific demo user passwords. Demo users provided in
the appliance which are used for the Demo Scripts were delivered with the password “Welcome1”, however SAP recommends
changing these.
If you experience user/logon issues, please contact your team’s SAP S/4HANA Appliance system administrator.
4
1 How Can This Script Be Used?
This demo script has been written for usage with the SAP S/4HANA Fully-Activated Appliance (in short “appliance” in this script),
hence you will need such an appliance to make use of this guide.
The appliance can be brought up in two ways, and the demo scenario in this script is largely the same for both:
1. Via SAP Cloud Appliance Library (hosted on cloud providers)
You need a cloud provider account at AWS, MS Azure, or GCP. With this, you can deploy the appliance within 1-2 hours from
https://cal.sap.com > Solutions > SAP S/4HANA <Your Release> Fully-Activated Appliance.
2. Via installing it on your own on-premise hardware.
You need to provide your own hardware, and order & install the appliance as explained in SAP Note 2041140.
If you are new to the SAP S/4HANA Fully-Activated Appliance, introductory information can be found here:
https://blogs.sap.com/2018/12/12/sap-s4hana-fully-activated-appliance-create-your-sap-s4hana-1809-system-in-a-fraction-of-
the-usual-setup-time/
Important:
Before you start your demo, please read SAP S/4HANA Fully-Activated Appliance: Demo Scripts for information about necessary
preparations, especially any post-deployment steps to ensure the full functionality of your appliance.
These steps are covered in sections;
B) General Remarks
C) Post-deployment Steps
D) Log-on to the system
Besides this, you will also find links to all demo scripts on this page.
1.0 Passwords for the pre-configured demo users
Please contact your company’s system administrator for your company-specific demo user passwords. Demo users provided in
the appliance which are used for the Demo Scripts were delivered with the password “Welcome1”, however SAP recommends
changing these.
If you experience user/logon issues, please contact your team’s SAP S/4HANA Appliance system administrator.
© 2025 SAP SE or an SAP affiliate company. All rights reserved. See Legal Notice on www.sap.com/legal-notice for use terms, disclaimers, disclosures, or restrictions related to this material.
5
2 Purpose
Demand Driven Material Requirements Planning (DDMRP) is an innovative multi-echelon pull methodology to plan
inventories and materials. It enables a company to build more closely to actual market requirements and
promotes better and quicker decisions and actions at the planning and execution level.
Demand-driven replenishment (DD) helps you plan and manage supply chains efficiently based on customer
demand, rather than through traditional MRP procedures. It helps create the basis for a reliable material flow by
defining buffers at strategically important points and adjusting these buffers regularly.
Products along all BOM levels are classified based on average demand, lead time, BOM usage, and variability to
identify whether they are relevant for demand-driven replenishment.
A well-balanced buffer level is proposed for DD-relevant products to ensure that they are sufficiently stocked to
meet average demand, but in low enough quantities to prevent excessive storage costs or losses due to expiry.
A dedicated app helps planners manage safety stock, reorder point, and maximize stock through the buffer level
proposals. On an operational base, the replenishment of DD-relevant products is ensured by using a new, demand-
driven MRP procedure based on buffer levels resulting in optimal replenishment orders.
DDMRP uses strategic decoupling points to drive supply order generation and management throughout a supply
chain.
1. Strategic decoupling: De-coupling the supply chain creates independence between processes or entities
and is the only way to stop the bullwhip effect, mitigate variability and compress lead times.
2. Buffer sizing: Buffer sizing is the shock absorber to ease both supply and demand variability and reduce or
eliminate the bullwhip effect.
3. Dynamic adjustments: A dynamic adjustment of the buffer profiles further calms the supply chain and
smooths operating for all variabilities within a set period.
4. Demand-driven planning: Demand-driving planning comprises generating supply orders by evaluating
actual inventory, stock that has been ordered but not received, and qualified sales order demand.
5. Visible and collaborative execution: When users have visibility into inventory through alerts that track
usage, ordering lead times and material delivery can be synchronized.
This demo story focuses on Demand-Driven Buffer Level Management as well as using predictive material and
resource planning (pMRP) to generate PIRs for buffered sub-components for Average daily usage (ADU)
calculation.
5
2 Purpose
Demand Driven Material Requirements Planning (DDMRP) is an innovative multi-echelon pull methodology to plan
inventories and materials. It enables a company to build more closely to actual market requirements and
promotes better and quicker decisions and actions at the planning and execution level.
Demand-driven replenishment (DD) helps you plan and manage supply chains efficiently based on customer
demand, rather than through traditional MRP procedures. It helps create the basis for a reliable material flow by
defining buffers at strategically important points and adjusting these buffers regularly.
Products along all BOM levels are classified based on average demand, lead time, BOM usage, and variability to
identify whether they are relevant for demand-driven replenishment.
A well-balanced buffer level is proposed for DD-relevant products to ensure that they are sufficiently stocked to
meet average demand, but in low enough quantities to prevent excessive storage costs or losses due to expiry.
A dedicated app helps planners manage safety stock, reorder point, and maximize stock through the buffer level
proposals. On an operational base, the replenishment of DD-relevant products is ensured by using a new, demand-
driven MRP procedure based on buffer levels resulting in optimal replenishment orders.
DDMRP uses strategic decoupling points to drive supply order generation and management throughout a supply
chain.
1. Strategic decoupling: De-coupling the supply chain creates independence between processes or entities
and is the only way to stop the bullwhip effect, mitigate variability and compress lead times.
2. Buffer sizing: Buffer sizing is the shock absorber to ease both supply and demand variability and reduce or
eliminate the bullwhip effect.
3. Dynamic adjustments: A dynamic adjustment of the buffer profiles further calms the supply chain and
smooths operating for all variabilities within a set period.
4. Demand-driven planning: Demand-driving planning comprises generating supply orders by evaluating
actual inventory, stock that has been ordered but not received, and qualified sales order demand.
5. Visible and collaborative execution: When users have visibility into inventory through alerts that track
usage, ordering lead times and material delivery can be synchronized.
This demo story focuses on Demand-Driven Buffer Level Management as well as using predictive material and
resource planning (pMRP) to generate PIRs for buffered sub-components for Average daily usage (ADU)
calculation.