Difference between revisions of "Fulfillment"

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[[Category:Business Epics]]
In the context of [[Collaborative supply chain management|supply chain management]], "fulfillment" refers to the process of delivering products or services to customers <u>after</u> [[demand]] has been defined. Fulfillment encompasses all the activities and functions involved in ensuring that a customer's order is successfully completed and delivered to their satisfaction. Fulfillment is a crucial aspect of the supply chain because it directly impacts customer satisfaction and can significantly influence a company's reputation and success.  
Fulfillment means all process to fulfill demand of an internal party or a customer party! Demand is created by [[Internal order|internal orders]] or [[Customer Order|customer orders.]] 


Filling demand can be broken down into two tasks/questions: 
With supply chains becoming more and more complex, fulfillment tasks also gained complexity through being distributed over multiple steps before the final customer is reached. To address this ZUGSEIL has introduced fulfillment collaboration capabilities which work well in simple as well as the most complex supply chain scenarios spanning over multiple identities. In essence, each participant communicatea with other stakeholders of the fullfillment job.


* '''Disposition task -''' Where to get the goods from? 
Examples for basic fulfllment scenarios are
* '''Deliery task -''' How to get the goods to the place of demand?  
*demand, which is directly filled from local stock
*regular demand resulting in purchasing with a supplier
*demand, which is forwarded to a supplier with direct delivery to the internal customer
*demand, which is forwarded to a supplier with indirect delivery over a local warehouse to the internal customer
Additional challenges driving '''fulfillment supply chain complexity''' are
*multi level supply chains
*customization of goods along the supply chain
*distributed assembly tasks along the fulfillment supply chain
*dependency on production


== Where to get the goods from? ==
== Related articles ==
Whenever demand exists, disposition has three choices to get the goods demanded: 
* [[Demand]]
* [[Supply chain participants]]
*[[Collaborative supply chain management]]
* [[Warehouse Management System (WMS)|Warehouse Management System]]


* '''Have''' - Fill the demand from intra-organization stock. Eventually wait for outstanding production or purchase orders bound to intra-organization stock as [[Expected shipments|expected shipments.]] 
== Related development articles ==
* '''Buy -''' Purchase the goods with a supplier/vendor through creation of a [[purchase order]] 
* [[Dev:Fulfillment]]
* '''Make''' - Produce the required goos 
[[Category:Glossary]]
 
[[Category:Business Epics]]
== How to get the goods to the place of demand? ==
__NOTOC__
Once it is clear where and when the goods are available the next issue is to deliver them to the place of demand of the internal or external customer. Generally there are these options: 
 
* '''IntraOrg pickup''' - Pickup by customer at intra-organization pickup station 
* '''3rd party pickup -''' Pickup by customer at 3rd party pickup station 
* '''Postal delivery -''' Direct delivery to a postal address 
* '''IntraOrg delivery''' - Direct delivery to a company mail address - this option is only available for intra-organization demand 
 
{{Note|In many cases the customer makes a pre-decision on the preferred delivery option, which is documented in the internal or customer order and must be considered, when definiting the final delivery option.}} 
 
Internal Fulfillment       
 
From a '''retailer`s perspective''' this means the activities performed once an order is received to fulfill the order: ''packaging'', ''distribution'' and ''shipping of goods''. From a '''logistic provider`s perspective''' it is the packaging and dispatching of a customer`s order. The digital which needs to fulfill typically promises certain goods by accepting an order - typically an [[internal order]], [[Customer Order|customer order]], [[return order]] or [[Relocation Order|relocation order]].     
 
ZUGSEIL supports fulfillment of two fulfillment handling types: '''implicit fulfillment handling''' and '''explicit fulfillment handling'''. For most scenarios ''implicit fulfillment'' handling is fully sufficient - but especially when collaboration with 3rd parties is required ''implicit fulfillment'' has its limitations.     
 
== Implicit Fulfillment Handling ==
Implicit fulfillment happens demand-driven and without scheduling. Its primary driver are [[Shipment order|shipment orders]], which trigger local fulfillment actions:
 
* '''Picking Process''' - When a demand is risen against a warehouse by a [[shipment order]] and free quantity is on stock. The picking process takes quantity from the local stock
* '''In-Process-Services (optional)''' - These are services, which are performed to the items to be fulfilled directly as part of the picking process before dispatching starts.
* '''Dispatching of picked goods''' -  This item takes picked (and eventually serviced) goods and sends them out by using a logistic provider to the final destination.
If shipping orders can not be fulfilled, [[Purchasing & Procurement|procurement processes]] are triggered in the local digital for acquiring the missing goods.
 
== Explicit Supply Chain Handling ==
 
With supply chains becoming more and more complex, fulfillment tasks also gained complexity through being distributed over multiple steps before the final customer is reached. To address this ZUGSEIL has introduced [[Dev:Fulfillment branches & Fulfillment tree|fulfillment collaboration capabilities]] which work well in simple as well as the most complex supply chain scenarios spanning over multiple identities. In essence, a fulfillment plan is built and communicated to other stakeholder of the [[Dev:Fulfillment Supply Chain|fullfillment]] which is describes each planned step along the fulfillment of the goods. To address this ZUGSEIL has introduced innovative [[Dev:Fulfillment Supply Chain|fulfillment supply chain capabilities]] which works well in simple as well as the most complex supply chain scenarios spanning over multiple identities collaborating to fulfill the promise given to the customer.
 
Examples for scenarios driving [[Dev:Fulfillment Supply Chain|fulfillment supply chain complexity]] are :
 
* customization of goods (internal or by 3rd party)
* finishing of goods (internal or by 3rd party)
*assembly tasks along the fulfillment supply chain

Latest revision as of 19:28, 9 November 2024

In the context of supply chain management, "fulfillment" refers to the process of delivering products or services to customers after demand has been defined. Fulfillment encompasses all the activities and functions involved in ensuring that a customer's order is successfully completed and delivered to their satisfaction. Fulfillment is a crucial aspect of the supply chain because it directly impacts customer satisfaction and can significantly influence a company's reputation and success.

With supply chains becoming more and more complex, fulfillment tasks also gained complexity through being distributed over multiple steps before the final customer is reached. To address this ZUGSEIL has introduced fulfillment collaboration capabilities which work well in simple as well as the most complex supply chain scenarios spanning over multiple identities. In essence, each participant communicatea with other stakeholders of the fullfillment job.

Examples for basic fulfllment scenarios are

  • demand, which is directly filled from local stock
  • regular demand resulting in purchasing with a supplier
  • demand, which is forwarded to a supplier with direct delivery to the internal customer
  • demand, which is forwarded to a supplier with indirect delivery over a local warehouse to the internal customer

Additional challenges driving fulfillment supply chain complexity are

  • multi level supply chains
  • customization of goods along the supply chain
  • distributed assembly tasks along the fulfillment supply chain
  • dependency on production

Related articles

Related development articles

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