Laddawn.com : Notes for Jim on allocation logic

Overview

Our goal is to avoid breaking into production lines to fulfill orders, while at the same time minimizing shipping time and distance, and the number of separate shipment bundles.

The following four single and multi-line stock order scenarios illustrate our default shipment bundles and alternatives.

Key:

PW = primary warehouse; AW = alternate warehouse. Alternate warehouse could be more than one warehouse; we check until we find sufficient full or partial inventory. TO BE DETERMINED: To cap shipping costs, we want to constrain the AW's checked based on geography. Exactly how is TBD; it could be based on a max distance between shipping warehouse and shipping destination, but there are product class considerations as well.
Numbers refer to turnaround times; PW24 means if today is 8/7/13, item is in stock at primary warehouse and date of availability will display as 8/8/13.

Scenario 1 - single line, partial availability at PW, full availability at AW

Order details	Default bundling	Alternatives
Item 500, Qty: 5 cases 2 @PW, 5+ @AW	Ship complete AW24	1. Ship complete from primary warehouse: 5 cases from PW72.
	Split ship from two warehouses: 2 cases PW24 + 3 cases AW24	2. Split ship from two warehouses: 2 cases PW24 + 3 cases AW24
		3. Split ship from primary warehouse: 2 cases PW 24, 3 cases PW72, aka "ship and backorder"
		4. Ship all on a later date from PW (later than 72 hours).

Scenario 2 - single line, partial availability at PW, and partial availability at AW

Order details	Default bundling	Alternatives
Item 500, Qty: 5 cases 2 @PW, 3 @AW	Ship complete from primary warehouse: 5 cases from PW72.	1. Split ship from primary warehouse: 2 cases PW 24, 3 cases PW72, aka "ship and backorder"
		2. Split ship from two warehouses: 2 cases PW24 + 3 cases AW24
		3. Ship all on a later date from PW (later than 72 hours).

Scenario 3 - two lines in order, quantity for one line exceeds inventory at PW

Order details

Default bundling

Alternatives

Item 500, Qty: 25,
in stock @ PW

Item 505, Qty: 5,
<5 @PW, 5+ @AW

Two bundles:

Item 500, 25 cases, PW24

Item 505, 5 cases, AW24

Split ship from two warehouses: 2 cases PW24 + 3 cases AW24

Alternatives 1, 2 and 3 from scenario 2 serve as options for Item 505.

Ship all on a later date from PW (later than 72 hours) is an option for Item 500.

Scenario 4 - two lines in order, quantity for one line exceeds inventory at PW and AW

Order details

Default bundling

Alternatives

Item 500, Qty: 25,
in stock @ PW

Item 505, Qty: 5,
<5 @PW, <5 @AW

One bundle:

Ship both lines complete PW72
Split ship from two warehouses: 2 cases PW24 + 3 cases AW24

Alternatives 1, 2 and 3 from scenario 1 serve as options for Item 505.

Ship all on a later date from PW (later than 72 hours) is an option for the default bundle (or both lines, if unbundled).

Note that when a user elects to override a default with one of the alternatives the alternatives remain available to the user; the default option swaps place with the alternative option selected (and the other alternatives, if there were any, persist). For example, if a user changes an item in an AW-24 bundle to PW-72, and later clicks "View Alternatives" for the PW-72 bundle, they will see the orignal default, AW-24, as an override option, along with the other options presented.

Additional bundling defaults

Create a separate bundle for any purchased stock item that has a lead time greater than 72 hours.
Create a separate bundle for each MOD item using warehouse and availability date derived from configurator.

Additional bundling alternatives

Starting bundle	Alternatives (in addition to those listed in scenarios 1-4 above if applicable)
Stock items shipping PW-24	Ship from PW on a later date. If MOD item made at PW part of same order - ship with earliest available MOD item
Stock items shipping MW-72	If partial quantity available at PW– ship partial PW-24 and BO rest MW-72
Purchased stock items, AW-72	If partial quantity available at PW– ship partial PW-24 and BO rest PW-LEAD TIME Ship complete from PW with date derived from system based on supply order or purchase lead time

Copied from Availability and warehouse defaults - HOLD