Example for Splitting Quota Arrangement 

Example Data

Minimum quantity

400

Requirement

1000

Lot size

Lot-for-lot order quantity

 

Quota

Vendor A

40

Vendor B

30

Vendor C

20

Vendor D

10

Order Quantity Calculation

Vendor A receives the first order due to having the highest quota. The quantity results from the above-mentioned formula with 40* 1000 / 100 as 400 pieces.

There is a remaining quantity of 600 pieces. Vendor B receives the next order with the quantity 30 * 600 / 60 as 300 pieces. As A has already been used, that quota is not taken into account.

There is a remaining quantity of 300 pieces. As the value is smaller than the minimum quantity, the system does not split it further. The system assigns the complete remaining quantity to vendor D, as this vendor has the lowest quota rating.