The Set Inventory Policies by Segment page facilitates the customization of inventory policies based on the intersection of ABC and XYZ classifications. For example, high-value items with variable demand may require a different replenishment strategy compared to low-value items with stable demand.
Before you start
Use the right-hand context selector dropdown to select a scenario.
Select your Time View Settings from the dropdown menu.
The Default Inventory Policy per Segment table allows you to manage the default inventory policies set at the ABC – XYZ intersection. For example, the inventory policy for all the product locations categorized as A-X will be set to 14 / 30 days. You can change the policy to any inventory policy.
The graphs listed below display data based on the inventory policies set in the Default Inventory Policy per Segment table:
- Inventory Value Simulation by Category graph displays the dollar value by ABC categories. A context selector at the bottom of the graph can be used to select an inventory.
- Inventory Value Simulation by DC graph displays the dollar value by locations (distribution centers). A context selector at the bottom of the graph can be used to select a location.
Parameters
Value | Description |
ABC TO USE | Select the parameter ABC can use to set the inventory policy. |
XYZ TO USE | Select the parameter XYZ can use to set the inventory policy. |
Additional information
To simulate the effect of changing inventory policies at a macro level, create a scenario with no product-level overrides. Use that scenario to compare policies.
Select Manage Scenarios under Related Pages to view and manage the inventory situations in 902 - Manage Scenarios.