Supply Distribution

Use

You can use this function to transfer surplus receipts and stocks to other locations in your supply chain model, either separately or directly after a Capable-to-Match planning run ( CTM planning run ) so that they are available in these locations.

Prerequisites

You have determined outbound quota arrangements for the source location of the product. The receipt or stock that the supply distribution transfers lies in the validity area of the quota arrangement.

Features

The supply distribution selects all receipts and stocks that are not linked to a demand by a pegging relationship. If the partial quantity of a receipt or stock is already linked to a demand by a pegging relationship, the remaining quantity that is not linked is unrestricted-use.

The supply distribution creates stock transfers for the unrestricted-use quantity. Supply distribution groups together the receipts or stocks of the same location product with the same availability date and handles them as a single receipt or stock. However, supply distribution does not change the original orders. When creating stock transfers, the system does not execute aggregation again.

Supply distribution only uses transportation lanes. For transfer to the corresponding locations, supply distribution evaluates the outbound quota arrangements. If there are several transportation lanes for the source location product, supply distribution creates the corresponding stock transfers according to the specified quota arrangements for each summarized receipt.

Note Note

For transportation lanes of type Subcontracting, the system cannot execute supply distribution.

End of the note.

Supply distribution works on a single level. If, for example, you first want to transfer unrestricted-use receipts or supplies to one location, and then to another location, you must call the supply distribution several times.

The supply distribution uses the shipping calendar, transportation calendar, and receiving calendar, as well as transportation and handling resources. Starting on the availability date of the receipts or stocks, supply distribution executes forward scheduling. The system creates the stock transfers on the earliest possible date in the availability period of the corresponding receipt or stock.

Activities

You make settings for supply distribution in the CTM profile on the Supply Distribution tab page. If you want the system to perform supply distribution directly after a planning run, select the corresponding checkbox. If you want to perform supply distribution separately, choose the Start Supply Distribution pushbutton.

Example

For product P at location L, you have determined a transportation lane for distribution center location L1 and a transportation lane for distribution center location L2. You have determined the outbound quota arrangements for product P as follows:

  • Location L -> Location L1: 25%

  • Location L -> Location L2: 75%

After the CTM planning run, this is the supply situation for product P at location L :

  • Order 1 of 100 pieces. 80 pieces are already linked to a demand by a pegging relationship.

  • Order 2 and order 3 with the same availability date of 20 pieces each.

The supply distribution that you then start creates the following stock transfers:

  • From order 1, supply distribution only creates stock transfers for the unrestricted-use 20 pieces. Due to the quota arrangement, the system creates two stock transfers with five pieces for location L1 and 15 pieces for location L2.

  • Supply distribution first groups orders 2 and 3 together internally, as they have the same availability date. For the total quantity of40 pieces, the system creates two stock transfers with ten pieces for location L1 and 30 pieces for location L2.