Which alternative item strategies are available in bills of material (BOMs) in SAP S/4HANA. Note: there are 2 correct answers to this question.

Which alternative item strategies are available in bills of material (BOMs) in SAP S/4HANA. Note: there are 2 correct answers to this question.

A. Manual maintenance

B. 100% check

C. First in First out (FIFO).

D. Simultaneous

View Answer

Answer: A, B

Explanation:

Alternative item strategies are used to define how the system selects the alternative items in a BOM during the planning run or the order creation. The following alternative item strategies are available in SAP S/4HANA:

Manual maintenance: The system does not select any alternative item automatically. You have to manually select the alternative item in the BOM or the order. This strategy is useful when you want to have full control over the alternative item selection and when the selection depends on factors that are not known to the system1

100% check: The system checks the availability of all alternative items and selects the one with the highest priority and sufficient stock. If none of the alternative items has enough stock, the system selects the one with the highest priority and the smallest shortage quantity. This strategy is useful when you want to optimize the material availability and reduce the procurement costs2

First in First out (FIFO): The system selects the alternative item with the highest priority and the earliest availability date. If several alternative items have the same availability date, the system selects the one with the highest priority. This strategy is useful when you want to use the oldest stock first and avoid obsolescence3

Simultaneous: The system selects all alternative items simultaneously and distributes the requirement quantity among them according to the usage probability. The usage probability is a percentage value that indicates how often an alternative item is used. This strategy is useful when you want to balance the demand and supply of multiple alternative items and when the usage probability is known.

Reference:

Alternative Item Group – SAP Help Portal

Alternative Item Group – SAP Help Portal

Alternative Item Group – SAP Help Portal

[Alternative Item Group – SAP Help Portal]