On this page, you can select a preferred sourcing strategy for a location, product, transport, and supplier combination based on the cost.
Before you start
Use the right-hand context selector dropdown to select a location and product.
Source Selection
In this section, you can verify and make comparisons based on the system-generated cost estimations. The calculations are performed based on the Sourcing Option selection and location, product, supplier, and transit mode set in 302 - Supplier Transit Cost and Lead Time.
Parameter | Description |
Supplier Rank (Master Data) | Based on the Sourcing Option selected. |
Sustainability Score | Calculated based on the Sourcing Option selected. |
Product Cost | Cost of the product based on the transit mode set in 302 - Supplier Transit Cost and Lead Time. |
Default Transit Cost | 302 - Supplier Transit Cost and Lead Time or the Sourcing Option. |
Default Landed Cost | The sum of the Product Cost and Default Transit Cost values. |
Lowest Landed Cost | The sum of the Product Cost and Lowest Transit Cost values. |
Effective Default Transport Mode | Default transit mode set in 302 - Supplier Transit Cost and Lead Time. |
Selected Transport Mode | Default mode of transport set in 302 - Supplier Transit Cost and Lead Time. |
Supplier Selection | Shows if the supplier is selected or not. |
Split (%) | Percentage of stock that's procured from a specific supplier. |
Alert | Notifies if transportation modes are missing. |
Transport Mode Selection
In this section, you can compare product, transit, and landed costs. The Supplier-Mode Selection column displays the supplier and transit mode selected in 302 - Supplier Transit Cost and Lead Time in a light-green color.
Parameter | Description |
Product Cost | The cost of the product set in 302 - Supplier Transit Cost and Lead Time. |
Transit Cost | The transportation cost based on selection in 302 - Supplier Transit Cost and Lead Time. |
Landed Cost | The sum of the Product Cost and Transit Cost values. |
Rank by the Lowest Landed Cost | The product, supplier, and transportation ranked based on the Landed Cost. |
Effective Default Transport Mode | The default transit mode set in 302 - Supplier Transit Cost and Lead Time. |
Supplier-Mode Selection | The combination of selected supplier, product, and transit mode. |
Split (%) | The percentage of stock procured from the product, supplier, and transportation mode combination. |
Alert | Notifies if transportation modes are missing. |
Manual Override %
In this section, you can apply a procurement override to the default selected product and transit mode combination.
For example, Florida DC procures 33% of 128 GB Smartphones from Inventory Source via Rail mode. You can manually override the procurement percentages for Florida DC to 17% via Road mode, and 16% via Rail mode.
Parameters
Edit Parameters
Parameter | Description |
Sourcing Option | Specify how procurement is sourced:
|
Perpetuate Sourcing Overrides | The supplier's overrides are applied across the time horizon. |