Store Stock Redistribution supports different calculation types to identify the items that need to be redistributed to other stores. The Reorder Point/Max. Inventory calculation type calculates the current stock for the items in the stores and warehouses. Depending on the fields Reorder Point and Maximum Inventory, as well as the current stock, the system will classify locations into locations with supply or demand.
Calculation example
Item 10000 has Inventory in four locations. The Redist. Calculation Type Reorder Point/Max. Inventory is redistributing the items between the locations based on the Replenishment parameters Reorder Point and Maximum Inventory that can be defined on the Replenishment Control Data page. Warehouse locations are considered in this calculation type.
This calculation type compares the actual Inventory with the Replenishment parameters. A location with Inventory higher than the Maximum Inventory is considered as a location with supply. The Redist. Stock is the difference between Inventory and Maximum Inventory. If no Maximum Inventory is defined, the Reorder Point will be used instead. Analogously, locations with Inventory less than the Reorder Point are considered as locations with demand. After reviewing, if needed, you can overwrite the calculated Redist. Stock and Redist. Demand by manually assigning the transfer quantity per item, variant, and location in the Retail Item Variant Availability by Location page.
Note: Redist. Demand will be rounded up to the next nearest whole number, and Redist. Stock will be rounded down to the last nearest whole number, if these fields have a decimal value.
Setup fields on Redist. Template
| Field | Description |
|---|---|
| Replenishment Type | Here you can select whether the Replenishment Template is to be used for creating Purchase Orders or Transfer Orders. The selection Redistribution is used for Store Stock Redistribution. |
| Redistribution Calculation Type | This field defines the type, how the system calculates the Redist. Stock and Redist. Demand. The available values are:
|
| Redistribution Strategy | This field defines the strategy, how the system calculates the trips between stores with Redist. Stock and Redist. Demand. The available values are:
For more information see Redist. Strategies. |
| Redistribution Warehouse Stock | This field is used for Store Stock Redistribution and defines how available stock in the Warehouse is treated. The available values are:
For more information see Warehouse in Redistribution. |
| Create Journal Lines | Defines if the Redist. Journal is calculated in one or two steps. The available values are:
The first option will only calculate the Redist. Preview and the user can review the results, adjust, and calculate the Journal Lines in a manual second step. |
| Start Date | Defines the starting date to be based on when calculating Sell Through % and Average Daily Sales. |
Filters on Redist. Template
In the Redist. Template you can set the filters that you want to apply to the items considered in the calculation.
| Filter | Description |
|---|---|
| Vendor No. Filter | Here you can enter a filter for the Vendor No. field of the items. An example is 1000 if you only want to select items from vendor number 1000. If you enter 1000..2000 the system will select all items from vendor number 1000 to 2000. |
| Item Division Code | A filter for the Division Code field of the item. |
| Item Category Filter | A filter for the Item Category Code field of the item. |
| Item Product Group Filter | A filter for the Product Group Code field of the item. |
| Item No. Filter | A filter for the item number. |
| Season Filter | A filter for the Season Code field of the item. |
| Special Group Code Filter | A filter for Special Groups. Only items in these Special Groups will be considered in the calculation. |
| Item Attribute Filter | A filter for Attributes. |
| Variant Dimension Filter
|
A filter for Variant Dimension Values. |
| From Location Filter
To Location Filter |
Filter for From Location and To Location. When Store Stock Redistribution calculates the inventory in the Locations it classifies Locations into Supply Locations (=From Location Filter) and Demand Locations (=To Location Filter). When the Calculation Type Reorder Point/Max. Inventory is used, Locations that are filtered out will not appear in the Preview and Journal Lines. |
Calculation result
The calculation of Redist. Preview is initiated with the Add Items to Journal/Preview action on the Redistribution Replenishment Journal page.
When the Preview is calculated, the Show Redist. Preview action opens the Redistribution Journal Preview page where you can view the calculated Redist. Demand and Redist. Stock information of the items, as well as the calculated sales factors (such as Sell Through %). Click here for more information on how Redist. Preview is calculated.
From the Redist. Journal Preview, the Show Items Availability action, or a lookup on the Stockout% or Variant Availability % opens up the Retail Item Variant Availability by Location page. There, you view the variant availability and, together with the calculated sales factor (such as Sell Through %), you can determine how the variants can be redistributed among the stores and manually overwrite the calculated Redist. Stock and Redist. Demand, if needed. For more information on how to manually assign Redist. Stock and Redist. Demand, please refer to Retail Item Variant Availability by Location.
Fields on Redistribution Journal Preview
| Field | Description |
|---|---|
| Item No. | Defines the Item Number. |
| Exclude | Items with this check box selected will be excluded from redistribution trips calculation. |
| Stockout % | Defines the ratio of out-of-stock item variants to the total number of item variants from all stores. |
| Variant Availability % | Defines the ratio of in-stock item variants to the total number of item variants from all stores. |
| Eff. Inventory | Defines the total inventory of the item, considering also the Purchase Orders, Sales Orders, and Transfer Orders that have not been posted. |
| Average Eff. Inventory | Defines the average effective inventory of the item across all stores. |
| Avg. Reorder Point | Reorder Point defines a stock quantity that sets the inventory below the level that you must replenish the item. The Avg. Reorder Point is the average Reorder Point defined for the item across all stores. A store with inventory less than the Reorder Point is considered as store with demand, and the Redist. Demand is the difference between inventory and Reorder Point. Example: If you enter 10 in the Reorder Point field and the current inventory level of the item is 3, the system will suggest a demand quantity of 7 (Reorder Point - current inventory). |
| Avg. Max. Inventory | Maximum Inventory is used for inventory control in stores. It defines the level of inventory that should not be exceeded. The Avg. Max. Inventory is the average Maximum Inventory defined for the item across all stores. A store with inventory higher than the Maximum Inventory is considered as a store with supply. The Redist. Stock is the difference between inventory and Maximum Inventory. If no Maximum Inventory is defined, the Reorder Point will be used instead. Example: If you enter 10 in the Reorder Point field and 20 in the Maximum Inventory field, and the current inventory level of the item is 28, the system will suggest a supply quantity of 8 (current inventory - Maximum Inventory). If the value in the Maximum Inventory field is zero, the system will suggest a supply quantity of 18. |
| Sell Through % | Defines the ratio of total sold inventory of the item as of today to its total inventory as of start date. |
| Average Daily Sales | Defines the calculated average daily sales of the item from the start date until the current date. |
| Redist. Stock | Defines the total redistributable quantity of the item across all stores. |
| Redist. Demand | This field defines the total demand quantity of the item across all stores. |
See Also
Redistribution Calculation Types