2025 Feb 17 10:05 AM - edited 2025 Feb 17 10:05 AM
In Supply Optimizer, IBP doesn't fulfill the Adjusted Transport Supply requirement even if there is enough initial inventory. IBP is retaining some inventory to be supplied to future weeks.
The cost model assigned was no safety stock violation and there is a high inventory holding cost.
The requirement of business is to push all available stock to fulfill the transport supply.
Thanks. J
Request clarification before answering.
Hi,
if the optimizer retains some inventory to fulfill later pseudo-hard constraints, there must be some cost benefit to do this. E.g. inventory targets or SDOS. You can try using numerical pre-optimization. In the pre-solve step such secondary costs aren't considered.
Best regards, Carsten
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Hi Carsten,
Thank you for the help. I did try enabling the Pre-Optimization but the result is not what I am expecting. Prior to my run, there are only 3 out of 358 SKUs that is not fulfilling the adjusted transport supply. However, when I executed the S&OP with pre-optimization, there are now 140 out of 358 SKUs that did not fulfill adjusted transport supply.
Thanks, J
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