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Former Member

Redeply stock within DCs if stock quantity is more than 90 days

Hi,

I need expert help in finding solution to below scenario: 

There are 2 Distribution centers (DC) and 1 manufacturing plant.

Demand comes on a DC,

That DC should first use any stock (only if the stock is more than 90 days) on other DCs.

After consuming the extra stock from other DC, the remaining demand should be fulfilled from manufacturing plant. (i.e. PO shd be created at Mfg plant)

We are using both CTM and Heuristics engines. I understand that if we execute such scenario in CTM, CTM should always consider the stock sitting on another DC before moving to the plant. However, not sure how it will consider the condition that the stock should be more than 90 days.

I tried a couple of solutions for this, but not going through.

Any suggestions would be highly appreciated.

Thanks and regards,

Shweta

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2 Answers

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    Former Member
    Jul 10, 2013 at 05:00 AM

    Hi Shweta,

    There is one parameter "Demand Selection Horizon" in APO material master relevant for CTM . It is in SNP2 tab under CTM setting .

    This parameter will control how much of the demand at individual DCs will be satisfied from the supply at the DCs before it can be used to transfer to other DCs.

    For example, if you set 90 days here for DC1, then system can deploy the supply from this DC to other DC if the all the demand within 90 days has already been meet.

    In your tlanes, give higher priority to the lanes between the DCs and then given the priority to the lane from the plant to the DC. So if a DC has excess after meeting all its demand for the 90 days, it will be available to be deployed to other DCs otherwise CTM will use the plant to fulfill the demand.

    Regards,

    Mitesh

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    • Former Member Former Member

      Hi Shweta,

      The Demand Selection horizon should work. I hope you have removed the "check mark" off in the CTM profile for the product specific demand selection horizon. You can quickly check if it is working or not by clicking on "Simulation" in the demand tab and check if the demands outside the horizon is still considered.

      I am not clear about your 2nd question.. With the first run, CTM is ensuring that the demand till the "demand selection horizon" is getting fulfilled by the DCs own supply.

      In the second run, CTM is fulfilling demand for the other DCs based on the excess available. At that time, it is not checking anything else.It is just fulfilling the demand based on the excess available at other DCs.

      Regards,

      Mitesh

  • Jul 10, 2013 at 02:38 AM

    Hello, if you use heuristic, you can consider:

    1) Customize the stock on hand macro to adapt your own logic, since heuristic wokrs basically on the supply shortage calculated by the macros.

    2) Use shelf life functionality, by setting maturation time.

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    • Former Member

      Hi Ada,

      Thank you so much for your answer.

      I have a doubt, if i use maturation time, or customize the stock on hand macro, in both cases the available supply will not be available to the demand propagating from another DC for 'n' number of days. But how do we ensure that this supply should be available ( even before the 'n' days) for the demand that comes on the same DC itself.

      Please let me know if i am not clear.

      Thanks and kind regards,

      Shweta