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Transshipments between DCs in CTM

Former Member
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Hi,

We have a scenario where we want to move inventory between the DCs first before procuring it externally from the supplier.

There are 4 DCs and inventory can move between any of the DCs but there will be priority in which it will move. For example for DC1, the first priority should be DC2, then DC3 and then DC4. Similarly for DC2, it should be DC3 first, then DC1 and DC4.

The inventory should be transferred from one DC to another only when the demand within the lead time of that product has been satisfied.

Any ideas how we can model this scenario in CTM ?

Accepted Solutions (1)

Accepted Solutions (1)

Former Member
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Hi Harsha,

You will have to do the following.

  1. Maintain the transportation lanes between the DCs with appropriate priorities
  2. Set the "Max.No.of Stock Transfers" in CTM profile under "Master Data Settings" to 1 otherwise CTM will move material between multiple DCs before it reaches the demand location. For example, there is a demand at DC1, then DC2 is the first priority, DC3 is second and DC4 is third. If there is no stock at DC1, DC2, DC3 and it is available only at DC4, then CTM can create multiple STRs like DC4 to DC3, DC3 to DC2 and DC2 to DC1 if there is sufficient time remaining to fulfill the demand. If you set the "MAX no. of stock transfers" to 1, then CTM will directly create the STR between DC4 to DC1.

Regards,

Mitesh

Former Member
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Hi Mitesh,

My one problem got solved. With the max no. of stock transfers to 1, now I am getting the correct transshipments but how do I ensure that the existing supply at the DC is first used for itself and then if excess goes to other DCs. The excess should be based on the difference in the supply and demand at a  certain horizon (which is the procurement lead time from the vendor).

Former Member
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Hi Harsha,

Please refer to my response for the same requirement to Shweta as below.

http://scn.sap.com/thread/3388210

Regards,

Mitesh

Answers (2)

Answers (2)

Former Member
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Hi Harsha,

We also need to configure same scenario.

When we use CTM, the demand will automatically try to fulfill with any available stock on any connected DC, before moving to external vendor or mfg plant.

So, u can easily verify in CTM that if u have a DC with stock, then without even assigning any priority, planning run will pick stock first and then for the remaining demand, it'll look for other possible options (procure externally/mfg.).

But If multiple DC's are involved, then definitely, priority needs to be assigned to respective T-lanes.

Regarding 'demand within lead time', we too are working on it. Will get back if we are able to find something.

Thanks and regards,

Shweta

m_manimaran
Active Contributor
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Hi Harsha,

If you mean to say all the DCs are connected, then there will be T-lanes b/w each of these DCs. You can set the priority for each T-lane.

For example,

DC2 --> DC1 => Priority 1

DC3 --> DC1 => Priority 2

DC4 --> DC1 => Priority 3

DC3 --> DC2 => Priority 1

DC4 --> DC2 => Priority 2

DC1 --> DC2 => Priority 3

and so on.

This will be considered by CTM. Please try and revert.

Regards,

Manimaran M.