Q). What is ATP?

Answer:

In SAP terminology, the acronym ATP stands for Available-to-Promise. ATP is the process of verifying the available quantities of material. The ATP quantity is equal to warehouse stock plus planned receipts (incoming stock) minus planned issues (outgoing stock). Thus the available to promise (ATP) takes into account all movements into and out of the warehouse. The stock examined for ATP could be safety stock, stock in transfer, stock in quality inspection, or blocked stock, while the planned receipts and planned issues of the stock associated with ATP could be purchase orders, purchase requisitions, planned orders, production orders, reservations, dependent reservations, dependent requirements, sales requirements, or delivery requirements. On the other hand if the business is into manufacturing specialized stock, the Available to Promise check is done against such specilaized made to order stock.