23 March

Available-to-Promise (ATP)


E-invoicing in Germany: How to implement the obligation with SAP Business One

Availability-to-Promise (ATP) refers to the quantity of an item that can be promised to a customer for their desired Delivery date can actually be confirmed – based on current stock levels, planned incoming goods, and already confirmed customer orders.

Context in the SAP / SME environment

In SAP Business One, ATP (Available-to-Promise) forms the basis for realistic delivery commitments in the sales process. As soon as a sales order is entered, the system checks if the desired quantity is available on the requested date. It takes three components into account: current stock levels, incoming orders or production orders, and quantities that are already allocated to other open orders. Customer orders are already bound. The result is the amount of ATP – i.e., the portion that is still freely available.

Therefore, ATP helps to avoid over- or double-commitments and to improve customer delivery reliability. Consequently, particularly in companies with tight stock levels or long replenishment times, the ATP check is a key control instrument in order processing.

Demarcation

ATP is from Capable-to-Promise (CTP) to distinguish: While ATP is based exclusively on existing or already planned inventory, CTP additionally includes available production capacities in the commitment. ATP is therefore the more conservative, inventory-based approach – CTP the more comprehensive, capacity-oriented one.


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