Store Stock Redistribution is part of the LS Replenishment suite which is fully integrated in LS Central. LS Replenishment is a key component in LS Central as it ensures that the right items are at the right place at the right time. LS Replenishment achieves this by calculating and proposing Purchase Orders and Transfer Orders for warehouse(s) and stores.
Purchase Replenishment Journals and Transfer Replenishment Journals support processes for reoccurring items, which are purchased and delivered either to a warehouse or directly to the stores. Demand in the stores is either fulfilled with Transfer Orders from the warehouse(s) or via Purchase Orders for direct deliveries from the vendor to the store.
Store Stock Redistribution introduces Redistribution Replenishment Journals, which support the replenishment of stores from other stores and/or warehouses. This is useful for example for items which are purchased only once, like many fashion items. Another example is the items at the end of their lifecycle - no more stock will be purchased, but the items exist in the stores and should be sold with minimal discounts. In all these examples, items are spread across the stores, where some stores have more stock than others and some stores have higher demand than others. The new journal calculates proposals to transfer items to stores with a demand and less stock to reduce out-of-stock situations and to increase sales.
Store Stock Redistribution calculates the quantity needed in the stores and suggests what needs to be transferred from other stores and/or the warehouse to fulfill the demand.
This core process is executed in three steps:
- The system calculates the demand and excessive stock in the stores and the warehouse.
- The user can review the calculation result and narrow down the items or stores to be considered.
- The system calculates optimal Trips (transfers between stores) to fulfill the demand in the stores.
For more information about the calculation process see Store Stock Redistribution Process .
Store Stock Redistribution provides the following Calculation Types to calculate the supply and demand in the stores:
- Sales Demand
This calculation type calculates the sales demand until the end of season, lifecycle, or calculation horizon for the items across stores and warehouses. Based on current stock, expected sales demand, and a buffer value, the system will classify locations into locations with demand or supply. - Stock Balancing
This calculation type calculates the average stock for the items across all stores. Based on current stock and the average stock value, the system will balance the stock between the stores and therefore classify locations into locations with demand or supply. - Reorder Point/Max. Inventory
This calculation type calculates the current stock for the items in the stores and warehouses. Depending on the fields Reorder Point and Max. and the current stock, the system will classify locations into locations with supply or demand. - Manual Redistribution
This calculation type is similar to the Sales Demand calculation type; the system calculates the sales demand until the end of season, lifecycle, or calculation horizon for the items across stores and warehouses. Furthermore, the system calculates the current variant availability to identify broken variants. This calculation type does not classify locations into locations with demand or supply. The new Retail Item Variant Availability by Location page lets you determine manually how the variants shall be redistributed among the stores.
For more information see Redistribution Calculation Types.
The Redistribution Matrix is used to define possible store and warehouse location combinations to calculate Transfer Orders (Trips) in Store Stock Redistribution. This enables a retailer, who stores in multiple countries for example, to define that only stores within the same country should be considered when the Trips are calculated. The Redistribution Matrix is based on Hierarchies and Hierarchy Relations and allows a top-down definition with inheritance. It is possible to define multiple Redist. Matrices and to assign those to items on detail and group level.
Furthermore, the Redist. Matrix holds information about the transportation cost, distance, and transport duration between the locations. This information is used in different Redistribution Strategies to calculate the optimal Trips combination. Distance and duration can be calculated via Bing Maps API using maps and routes.
For more information see Redist. Matrix.
The following Redistribution Strategies can be used to calculate the trips between the locations:
- Least No. of Trips
- Least Cost
- Shortest Distance (Direct)
- Shortest Distance (Route)
- Shortest Duration (Route)
For more information see Redist. Strategies.
The Replenishment processes for Automatic Replenishment are executed at the Head Office. The system can suggest the quantity to replenish according to different calculation types or strategies. Store Stock Distribution is based on the Replen. Item Quantity table, which must be populated before the Redistribution Journal is calculated.
To set up Store Stock Redistribution
The tasks listed below describe the setup steps for Store Stock Redistribution.
| To | See |
|---|---|
| Set up the Replen. Setup for Store Stock Redistribution. | How to: Set Up Replen. Setup |
| Set up Redistribution Templates and Batches. | How to: Set Up Redist. Templates |
| Set up the Redist. Matrix to define possible trips between locations and to maintain transfer cost, distance, and duration. | Redist. Matrix |
| Set up Lifecycle Curves and assign to items. | Lifecylce Curve |
| Set up Threshold Rules. | Transfer and Purchase Thresholds |
To calculate Store Stock Redistribution
The tasks listed below describe the process steps for Store Stock Redistribution. For a detailed description of the process see Store Stock Redistribution Process
| To | See |
|---|---|
| Calculate the Replenishment Item Quantity. | How to: Calculate the Replenishment Item Quantity |
| Calculate the Redist. Preview from the Redistribution Replenishment Journal. | How to: Calculate Redist. Preview |
| Calculate Trips and Replen. Journal Lines from the Redist. Preview. | How to: Calculate Trips |
| Work with Thresholds for Store Stock Redistribution. | How to: Work with Thresholds |
| Create Transfer Orders from the Replenisment Journal. | How to: Create Transfer Orders |
| Execute Transfer Orders from the Role Center. | How to: Execute Transfer Orders |
See Also