MODELING INVENTORY PERFORMANCE FOR OMNI-CHANNEL FULFILLMENT IN RETAIL SUPPLY NETWORKS

• Main Authors: Quanz Brian L, King Alan, Koc Ali, Li Yingjie, Zheng Xiaobo, Milite Christopher, Tan Chek Keong, Xing Dahai, Deshpande Ajay, Liu Xuan, Gupta Saurabh, Hampapur Arun
• Format: Patent
• Language: English
• Published: 16.11.2017
• Subjects: CALCULATING; COMPUTING; COUNTING; DATA PROCESSING SYSTEMS OR METHODS, SPECIALLY ADAPTED FORADMINISTRATIVE, COMMERCIAL, FINANCIAL, MANAGERIAL, SUPERVISORYOR FORECASTING PURPOSES; PHYSICS; SYSTEMS OR METHODS SPECIALLY ADAPTED FOR ADMINISTRATIVE,COMMERCIAL, FINANCIAL, MANAGERIAL, SUPERVISORY OR FORECASTINGPURPOSES, NOT OTHERWISE PROVIDED FOR

A method and computer readable medium for selecting order fulfillment nodes within an order fulfillment system. The method determines one or more product-node pairs of an omni-channel order fulfillment system responsive to a received customer order. There is received for each determined product-node pair, a first input including an associated price and a price markdown rate (r) for the product. There is further received for each product-node pair, input representing a current amount of supply availability of the product (w) for a period of time in an inventory; and a first threshold value and a second threshold values defining a supply availability window of the product. The method computes an inventory performance value based on the current w, the defined supply availability window, and one or more the p and r values; and selects a node for customer order fulfillment based on the computed cost of inventory performance value.