How to Setup Bill of Distribution / Network Setup

How do you setup this example for Demand Planning purposes?
For Example: One Item Code,  Location A and Location B gets their supply via transfer from Location C.  Currently do not have Adv Location enabled, and it seems only one Distribution Network per Item can be selected so i can say point the item to Bill of Distribution Location A to C  but not Location B to C
Would like Demand Planning to recommend transfers from Location A to C as well as Location B to C so that Location C knows how much to make.
Is it possible to set this up? Do you need to activate Advanced Locations in order to point distribution network by location?
Rookie Asked on September 23, 2019 in Inventory.
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3 Answer(s)

No, you do not need Advanced Inventory Management. Advanced Inventory Management and Demand Planning are essentially mutually exclusive on a per-item basis. Advanced Inventory Management is for automatically replenishing stock based on reorder points, safety stock, etc. as opposed to the time-phased method of Demand Planning.

I’m a little bit confused about your example.  You’re saying you have a location C that makes widgets (let’s call it a “factory”) and then Locations A and B receive their supply from this factory (let’s call these “retail stores”).  If the retail stores A and B are the ultimate location of all the finished goods, why would you ship items back to factory C?  Wouldn’t you just ship the excess from A or B between them?  My understanding of DRP (although I don’t currently have an account with this enabled) is that it has to be in a hierarchical setup, i.e. you can’t generate transfers  both from C to A and from A to C, which makes sense because it would create a logical loop.

Intermediate Answered on October 3, 2019.
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Sorry posted that incorrect.

One Item Code: XXXX

  • Location A gets it’s supply via transfer from Location C
  • Location B gets it’s supply via transfer from Location D
  • Location E gets it’s supply via transfer from Location B (who initially got it via transfer from Location D)

Since Bill of Distribution (BOD) only allows one location to another source location and only one BOD per Item,  I don’t think above can be setup?

Rookie Answered on October 3, 2019.
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Yes, only one Distribution Network per Item can be selected, but for one Distribution Network, you can set more than one Bill of Distribution.

For you example

One Item Code: XXXX – Set one Distribution Network DN1

  • Location A gets it’s supply via transfer from Location C – Set Bill of Distribution  BOD1 from C to destination location A
  • Location B gets it’s supply via transfer from Location D – Set BOD2
  • Location E gets it’s supply via transfer from Location B (who initially got it via transfer from Location D) – Set BOD3

Then you can assign BOD1 BOD2 BOD3 to DN1.

Best luck.

Rookie Answered on June 11, 2020.
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