Difference between revisions of "Fulfillment"

From ZUGSEIL Wiki
Jump to navigation Jump to search
 
(14 intermediate revisions by the same user not shown)
Line 1: Line 1:
[[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.  
In the context of [[Collaborative supply chain management|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.  
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 scenarios driving '''fulfillment supply chain complexity''' are  
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
*multi level supply chains
*customization of goods along the supply chain
*customization of goods along the supply chain
*distributed assembly tasks along the fulfillment supply chain
*distributed assembly tasks along the fulfillment supply chain
*amongst many more ...
*dependency on production  
 
== Demand creation ==
The trigger for fulfillment action is always a '''demand'''. With ZUGSEIL, demand is defined through [[Internal order|internal orders]], [[Customer Order|customer orders]] or [[Production order|production orders]].
 
=== Demand of customer and internal orders ===
Each order typically contains information required for propper fulfillment. Covered details are:
 
* '''Ordered products or services''' - <u>Which goods</u> should delivered? W<u>hich state</u> they should be delivered?
* '''Delivery details''' - <u>How</u> are the items shipped? <u>Where</u> and <u>when</u> should these goods be handed over to the customer
*'''Other information''' - There can be many more relevant information to fulfillment, like international commercial terms (INCOTERMS), which clarify the obligations of buyers and sellers in foreign trade contract
 
=== Demand of production orders ===
Each [[production order]] creates internal demand for production ingredients, machines and human resources to be available when required by the [[Production planning|production plan]]. The production plan has to become defined after the [[production order]] was placed and accepted. Once the plan is accepted one outcome is material demand, which is expressed over [[Internal order|internal orders]].
 
== Demand handling ==
 
=== Internal order fulfillment ===
Whenever demand is created over [[Internal order|internal orders]], each internal order immediately triggers one or mulitple [[Shipment order|shipment orders]], which represent the fulfillment state of the internal order towards the internal customer. Please read up more in this article over [[Dev:Internal order fulfillment|internal order fulfillment]].
 
=== Customer order fulfillment ===
With these information available, the receiver of the order starts the fulfillment process.
 
Where to get the goods from?
 
This question aims for the commonly know task of disposition. Whenever demand exists, disposition has three choices to get the goods demanded: 
 
* '''Have''' - Fill the demand from local [[Warehouse Management System (WMS)|warehouses]]. Eventually wait for outstanding production or purchase orders bound to intra-organization stock. Inbound stock is bound to [[Delivery & Expected Delivery|expected deliveries]]. 
* '''Buy -''' Purchase the goods with a supplier/vendor through creation of a [[purchase order]] with a supplier.
* '''Make''' - Produce the required goods through a [[production order]] or through [[Customization|product customization]].  
 
== Supply chain management ==
ZUGSEIL enables collaborative supply chain management capabilities. Within supply chain handling there are two different
 
 
 
=== How to get the goods into the desired state? ===
This optional question aims towards customization of products according to to the demand of the customers. Typically this demand is filled by:
 
* '''In-Process-Services''' - These are typically simple services, which are performed to the items to be fulfilled directly as part of or right after the picking process, before delivery process starts.
* '''Explicit supply chain handling''' - When the desired state cannot be created as part of the picking process, other external parties or production must be involved.
 
=== How to get the goods to the place of demand? ===
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 [[Delivery option|delivery options]]: 
 
* '''Postal''' - requires a shipment address defined at the order
* '''Pickup''' - requires a pickup station defined at the order. Each pickup station must have a ''shipment address gateway'' defined for external parties delivering there.
* '''Internal Logistic System''' - requires a comail-address (typically a orgunit-code) defined at the order. Each internal logistic system must have a ''shipment address gateway'' defined.
Once all these answers are answered, the supplier creates and communicates to his customer a [[Dev:Fulfillment plan|fulfillment plan]].


== Related articles ==
== Related articles ==
 
* [[Demand]]
* [[Collaborative supply chain management]]
* [[Supply chain participants]]
*Order types - [[Internal order]], [[Customer Order]], [[Purchase order]], [[Production order]]
*[[Collaborative supply chain management]]
*[[Fulfillment entities]] - Holds a list of entities relevant to fulfillment
*[[Delivery option]]
* [[Delivery & Expected Delivery]]
* [[Warehouse Management System (WMS)|Warehouse Management System]]
* [[Warehouse Management System (WMS)|Warehouse Management System]]


== Related development articles ==
== Related development articles ==
 
* [[Dev:Fulfillment]]
* [[Dev:Fulfillment plan]]
[[Category:Glossary]]
[[Category:Business Epics]]
__NOTOC__
__NOTOC__

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

Retrieved from "https://wiki.zugseil.com/en/index.php?title=Fulfillment&oldid=29346"