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PROCESSING TIMES, STOCKS AND PICKING LOGIC

In-depth study on managing product lead times, available quantities and supply selection

Written by Dylan Santaroni

Premise

At Poleepo, supplier management not only helps you match purchase quantities and prices to products, but also impacts some important operational aspects, such as:

  • product processing times;

  • the stock displayed on the sales channels;

  • the choice of supply to use when an order arrives.

These logics can change based on the product, the channel and any pricing rules applied.


Product processing times

Processing times indicate how long it takes for the product to be prepared or made available for shipment.

Poleepo sends this data following a precise logic.

If the product processing time field is set in the channel-specific publication, Poleepo uses that value.

For products with variants, the priority is as follows:

  1. first the child product , i.e. the variant, is checked ;

  2. If the value is not present on the variant, the parent product is checked .

If the field is not filled in on either the child or the parent, Poleepo uses the times indicated in the configuration provided for the sales channel.

In practice: if the product has a specific time, it controls the product. If it doesn't, it controls the channel.


Management times with supplier-related pricing rules

When there are supplier-related pricing rules on a product, you can choose which handling time to use.

The options available in the rule are:

  • publication times (as previously mentioned)

  • Vendor times (specified in vendor settings)

For more information on pricing rules, see here:

Please note : Using vendor time is not applicable for some channels.


Management of inventory displayed on channels

The stock that Poleepo communicates to sales channels changes based on the presence or absence of pricing rules.

Stock without price rules

If there are no supplier-related pricing rules for the product, the stock displayed on the channels is the total stock.

The total inventory includes:

  • internal warehouse;

  • quantities available from suppliers, external warehouses or external logistics

Example:

  • Internal warehouse: 5 pieces

  • Supplier A: 10 pieces

  • Supplier B: 15 pieces

Stock communicated to the channel: 30 pieces


Stock with price rules

If, however, the product has supplier-related pricing rules, inventory is managed on one supply at a time.

In this case, Poleepo does not add all the availabilities, but considers the availability linked to the specific supply envisaged by the rule.

Example:

  • Internal warehouse: 5 pieces

  • Supplier A: 10 pieces

  • Supplier B: 15 pieces

  • Rule active on Supplier A

Stock considered: 10 pieces

This logic is important because it allows you to manage prices, availability and margins in a way that is consistent with the supplier actually used.

Picking logic: where is the product taken from when an order arrives?

When an order arrives, Poleepo must determine from which availability to take the product.

The logic changes based on whether or not there is an active rule on the product.


Picking without active rules

If there are no active rules, Poleepo follows a priority logic to decide where to take the product from.

The order of priority is as follows:

  1. Integrated supplier

  2. Dropshipping supplier

  3. Internal warehouse

  4. Generic non-dropshipping suppliers


1. Integrated supplier

First priority is given to integrated providers, (available only for turbo plans).

This logic is applied only if the selected supplier is able to fully fulfill the quantity required by the order.

If there are multiple integrated suppliers, the one with the lowest price is chosen.

Example:

Order received: 3 pieces

  • Supplier A: 2 pieces available, lowest price

  • Supplier B: 5 pieces available, higher price

Poleepo does not use Supplier A, because it is unable to meet the entire requested quantity.

Supplier B is then chosen.

2. Dropshipping supplier

If there are multiple dropshipping suppliers for the same product, the one with the lowest price is chosen.

This logic is applied only if the selected supplier is able to fully satisfy the quantity required by the order as per point 1

3. Internal warehouse

If there are no integrated suppliers or dropshipping suppliers available under the above conditions, Poleepo switches to the internal warehouse.

In this case, the availability present in the directly managed warehouse is used.

They can satisfy orders with multiple pieces located in different picking operations, dividing the product collection.

Example:

Order received: 10 pieces

  • Internal warehouse: 7 pieces available

  • External Logistics: 3 pieces available

4. Generic suppliers (not dropshipping)

Finally, if it is not possible to use previous availabilities, Poleepo considers generic suppliers not configured as dropshipping.

If there are multiple generic suppliers, the one with the lowest price is chosen.

Again, the choice of supplier depends on the availability and configuration of the product.

They can satisfy orders with multiple pieces located in different picking operations, dividing the product collection.

Example:

Order received: 10 pieces

  • Internal warehouse: 7 pieces available

  • External Logistics: 3 pieces available


Picking with active rule

If there is an active rule related to a supplier on the product, Poleepo takes into account picking from that supplier.

Other warehouse positions are not considered.

Even if the product is available elsewhere, with the active rule the logic remains tied to the indicated supply.

Please note: Poleepo pre-sets the picking but it is always possible to change it manually directly within the order.


Conclusion

The management of times, inventories and picking depends on the nature of the product, the connected suppliers and any pricing rules applied.

To avoid unexpected behavior, it is important to always check:

  • if the product has valued processing times;

  • if there are pricing rules related to suppliers;

  • which vendor is associated with the rule;

  • whether the inventory is managed as a whole or for each individual supply;

  • which picking priority is applied.

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