SAP IBP Interview Questions And Answers 2020

SAP IBP Interview Questions And Answers for experienced professionals from Codingcompiler. These SAP IBP interview questions were asked in various interviews conducted by top multinational companies across the globe. We hope that these interview questions on SAP IBP Interview Questions will help you in cracking your job interview. All the best and happy learning.

In this blog, you’ll learn

SAP IBP Interview Questions
SAP IBP Interview Questions and Answers
Frequently asked SAP IBP Interview Questions
Multiple Choice SAP IBP Interview Questions and Answers

SAP IBP Interview Questions


1. What is SAP IBP?
2. What is Best Practices for IBP?
3. What is included in the Best Practices for IBP content?

4. Why should I implement IBP now and not just wait?
5. What are the Key Features of SAP IBP?
6. Who can use Best Practices for IBP?  What does it cost?
7. What are the applications to use SAP Integrated Business Planning?
8. Does IBP integrate with BPC?
9. Where can I find more information on Best Practices for IBP?
10. Do we need to buy a separate HANA product (i.e. S/4, BW, etc.) in order to use IBP?
11. How is SAP pricing IBP?
12. How can I install Best Practices for IBP?
13. Is IBP ready for prime time?

14. Once I log in, where can I find the Best Practices for IBP content?
15.  Do we need to implement IBP big bang or can we phase the implementation?

For More SAP IBP Interview Questions, Take a Deep Dive…

SAP IBP Interview Questions and Answers

1. What is SAP IBP?


Answer: SAP Integrated Business Planning (IBP) is a real-time integrated planning solution based on SAP HANA. It provides integrated, unified planning across sales and operation, demand and inventory with analytical dashboard for monitoring.

2. What is Best Practices for IBP?

Answer: SAP Best Practices for SAP Integrated Business Planning (Best Practices for IBP) gives you everything you need to run planning processes in the IBP applications: IBP for demand, IBP for inventory, IBP for response & supply (time-series based optimizer and order-based planning), IBP for sales & operations, IBP for demand-driven replenishment and Supply Chain Control Tower.  All scope items are based on one comprehensive data model which enables you to execute an integrated, end-to-end business process.

The extensive documentation of solution configuration and process execution is a good resource for self-study, evaluation, as well as for project team and end-user training.

Best Practices for IBP was formerly known as Rapid Deployment Solutions for SAP Integrated Business Planning (RDS for IBP).

3. What is included in the Best Practices for IBP content?

Answer: Best Practices for IBP content includes: an activated planning area for a quick start, planning view templates for interactive simulations and what-if analysis, predefined dashboards for embedded analytics, SAP JAM integration for context-aware social collaboration, alert definitions for exception-based planning and sample data to showcase the end-to-end process.

Accelerators and documentation include: a customer scope presentation, sales supplement with business value, demo script, detailed scope presentation, master data overview, planning view templates, et al.

4. Why should I implement IBP now and not just wait?

Answer:  One of the interesting revelations from Sapphire is that IBP is just a good platform for unmet business needs – not necessarily supply chain functionality that SAP is developing.  One company is using it strictly as a financial budgeting tool, while another suggested using it for deployment calculations. With the Excel frontend, a speedy HANA database, and standard data extraction toolset, there is really no limit to what we’ll see companies using this tool for in a few years.  So the sooner you get into the tool and start using it, the more ideas you are going to get to use it. Also the S&OP functionality is ready to go and leverages the same data that will be needed for demand and supply.

5. What are the Key Features of SAP IBP?

Answer: Following are the key Features of SAP IBF −

  • End-to-end supply chain visibility
  • Unified, integrated, and cross-departmental planning approach
  • Simple and easy-to-use user interface
  • Advanced demand sensing, analysis, and predictive forecasting
  • Embedded social collaboration and MS Excel-based planning

6. Who can use Best Practices for IBP?  What does it cost?

Answer: Anyone with a subscription to SAP Integrated Business Planning can take advantage of Best Practices for IBP.  There is no cost to use the Best Practices for IBP content.

7. What are the applications to use SAP Integrated Business Planning?

Answer: To use SAP Integrated Business Planning, you use the following applications −

  • SAP Integrated Business Planning for sales and operations
  • SAP Integrated Business Planning for demand
  • SAP Integrated Business Planning for response and supply
  • SAP Integrated Business Planning for inventory
  • SAP Supply Chain Control Tower

SAP IBP Interview Questions and Answers

8. Does IBP integrate with BPC?

Answer: We have no doubt at all that IBP can extract whatever data is necessary from a BPC system.  What is unclear at this time is what data can be integrated back into the BPC system; at the IBP roadmap session, nothing was specifically highlighted.  For a more in depth answer to this question, refer to the SCN blog entry by Arnaud Sergent here (note that SCN requires SAP login).

9. Where can I find more information on Best Practices for IBP?


Answer: The main information site for Best Practices for IBP can be found in the SAP Best Practices Explorer: https://rapid.sap.com/bp/RDS_IBP

Here you will always find two versions: one for the current IBP release and one for the previous IBP release.  Please select the appropriate version in the drop-down box at the top of the page that matches the release of your IBP system.

You can also download all provided content and documentation as a .zip file and store it offline by choosing the Download button at the top of the page.

10. Do we need to buy a separate HANA product (i.e. S/4, BW, etc.) in order to use IBP?

Answer: No, the IBP system (cloud version) comes with its own HANA database and does not require additional HANA purchases to be able to utilize IBP functionality.

11. How is SAP pricing IBP?

ANswer: Some general points of discussion concerning SAP’s IBP pricing strategy:

Generally speaking, IBP is a cloud application that utilizes a revenue based yearly subscription model (standard disclaimers apply here…I don’t work for SAP, cannot speak for SAP, etc.).

There is a separate yearly subscription required for each module (S&OP, Control Tower, Demand Management, Inventory, Response and Supply Management).

There looks to be a revenue “floor” under which the pricing model no longer calculates. That said, I have heard rumors that SAP is looking for a way to address this in the near future but no details have yet been communicated.

12. How can I install Best Practices for IBP?

Answer: If the Best Practices for IBP have not been pre-installed when the tenant was provisioned, or if the Best Practices for IBP content is from a previous release and needs to be updated, it is possible to manually install the latest Best Practices for IBP content.

Download the SAP Best Practices package, with all documentation of how to install the content, from http://rapid.sap.com/bp/rds_ibp (click on “Download” in the upper-right corner).

The package includes all installation instructions, including how to create the planning area (by copying sample planning area SAPIBP1), how to upload sample data and how to install all the additional application content.  This should take approximately 2-3 days’ effort for all IBP components (less if you pick and choose only certain components).

13. Is IBP ready for prime time?

Answer: Typical consulting answer: It depends.  From an IT perspective, it is a solid application since it uses components from established SAP applications.  For example, the HANA database, the MS Excel front end, and the HCI data integration platform, etc. are all proven SAP technologies.  The S&OP application in IBP is mature enough to be implemented right now and should provide value quickly. It was evident from the IBP roadmap session here at Sapphire that there was a lot of functionality in release 6.0 (due later this year) that a client may just want to wait for (e.g. statistical models, full optimization, etc.).  So the full answer here is that it will depend on your individual requirements as to which parts of IBP would make sense to implement in your organization today.

Frequently asked SAP IBP Interview Questions

14. Once I log in, where can I find the Best Practices for IBP content?

Answer: The pre-installed content can be found in the dedicated Fiori apps:

  • Charts in Advanced Analytics (starting with IBP release 1705);
  • Dashboards in Advanced Dashboards;
  • Forecast models in Manage Forecast Models;
  • Segmentation rules in Manage ABC/XYZ Segmentation Rules;
  • Customer alerts in Define and Subscribe to Custom Alerts;
  • Planning view templates in Excel IBP ribbon under Template Admin → Templates; etc.

15.  Do we need to implement IBP big bang or can we phase the implementation?

Answer: There should be no “need” to implement the entire company on IBP at once.  In fact, IBP tends to lend itself to implementation in smaller sections (e.g. division by division, plant by plant, functionality by functionality, etc.), utilizing lessons learned from previous implementations to fine tune the models as it is rolled out.

16. What is the pre-installed planning area called?

Answer: Starting with IBP release 1808, the pre-installed planning area with the Best Practices for IBP content will be named “UNIPA”. The description of the planning area includes the release, e.g. Unified Planning Area for 1808).

For the IBP releases 1708 – 1805, the pre-installed planning area with the Best Practices for IBP content was named “UNIPA” + the IBP release number (e.g., “UNIPA1708”, “UNIPA1711”).

Planning areas for previous IBP releases were named as follows:

  • IBP release 1705: UNIPA07
  • IBP release 1702: UNIPA06
  • IBP release 1611: UNIPA05

17. Do I have to choose between APO and IBP or can both applications live in blissful harmony (much like ECC and APO do today)?

Answer: No, both of these applications can live in relative harmony, although we think that APO is looking at IBP with the green eyed jealousy of a 4 year old with a newborn sibling.  APO is still king of the long term statistical forecast in the SAP landscape (for now) as it has many more statistical models and forecasting bells and whistles to support the forecast generation process.

 Where IBP really shines is its ability to allow for forecast overrides without the inevitable disaggregation issues or having to use drill down macros that can dim the lights.  Using both of these applications in unison could provide a blended toolset that provides your users the best of both worlds if you are already using APO Demand Planning. If you have no APO footprint currently, you will again need to look to your individual requirements to understand how IBP can currently meet those requirements as a standalone application.

18. How can I verify whether the Best Practices content is installed, and whether it is up-to-date?

Answer: The best way is to use the Configuration app under Planning Area and Details and search for an active planning area starting with “UNIPA”. 

If there is no “UNIPA” planning area, then the Best Practices for IBP have most likely not been pre-installed when the tenant was provisioned.

If you do find a “UNIPA” planning area, the Best Practices for IBP have most likely been pre-installed when the tenant was prov
isioned.  The description of the planning area will tell you the version (see above).  For example, planning area “UNIPA07” means that Best Practices for IBP were pre-installed with IBP release 1705 and the associated Best Practices content.

Multiple Choice SAP IBP Interview Questions and Answers

19.  You want to enable versions for your planning area. Which activities must you perform?

There are 2 correct answers to this question.

a) Create a version using the Microsoft Excel Add-In.
b) Create a version using the Web UI.
c) Assign key figures to the version.
d) Assign master data to the version.

Answer: b, c

20. Which of the following chart types can be used to represent distribution in the Advanced Analytics application?

There are 2 correct answers to this question.

a) Heat map
b) Dual Y-Axis Line
c) Scatter
d) Dual Stacked Column

Answer: c, d

21. You are creating a Handling resource. What Resource Type do you need to specify?

Please choose the correct answer.

a) 1
b) 4
c) 0
d) 2

Answer: d.

22.  Which algorithm type can you use to plan the supply?

Please choose the correct answer.

a) Compute quotas
b) Time-series based optimizer
c) Statistical forecasting
d) Local updates

Answer: b

23. How can you define new key figures?

a) By converting an attribute into a key figure in the configuration application.
b) You create a key figure in the IBP Excel Add In UI.
c) You create a new key figure with one key figure attribute.
d) You create a new key figure in in the configuration application.

Answer:
There are 2 correct answers to this question.

a, d

24. Which of the following fields can be overwritten in the New Planning view by fixed default value settings?

a) Unit of Measure to ID
b) Currency to ID
c) Language
d) Default Display Time
e) Planning Unit

Answer: There are 2 correct answers to this question.

a, b, e

25. Process chevrons can be added to existing dashboards in the Advanced Dashboards application. What do the S&OP Process chevrons represent?

Please choose the correct answer.

a) Milestone steps that can be configured in an S&OP application
b) Milestone steps in an organization’s S&OP process
c) Milestone steps represented in a dashboard in S&OP
d) Milestone steps in an organization’s S&OP project

Answer: b.

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