Vendor Management

Vendor Management

The Vendor Management module is used to create and maintain vendor contract information and Vendor related potential contracts; this is very similar in concept to ladder planning. Whereas ladder planning deals with an external site to manage inventory, with replenishments to the retailer appearing as demands on the internal supply chain, vendor contracts refer to commitments made with a supplier, with shipments from the supplier appearing as procurements to the internal supply chain.

  1. To launch the Vendor Management component, go to and click Supply Planner from the left navigation pane, then click Vendor Management. 
  1. Go to the supply Planner section and select vendor management.  From here you should be able to create contracts and maintain the created contracts.  The following information are gathered when creating the contract.





To add a contract, click the + Add Contract button. 

Use the Net contract quantity with past procurement orders to generate the remaining quantity on contract.

We look at the internal requirements based on demand and compare the existing procurements to

a.      Assign procurements to a contract.

b.     Identify if a new contract is needed and when.


Fill in the appropriate information in the fields below, and click Save to confirm the new Contract. 

Availability Type meanings are as follows: 
  1. Prorated: product delivered in equal chunks over the period.
  2. Beginning of Contract: product delivered in whole at the beginning of the contract.
  3. Take or Pay: pay for the entire number of product regardless of how much is accepted.
Remaining Volume is a numeric field value managed by the user. If you do not enter a value in the Remaining Volume field while creating a contract, the value will default to the Maximum Contract Volume. The Remaining Volume will be sent as an input to the Optimization Engine. 

When selecting Availability Type as Take or Pay, the Minimum Contract and Maximum Contract value fields will be displayed. The Maximum Contract value is required for the Take or Pay availability type. If the Contract Availability Type is set to Take or Pay, the Price sent to the Optimization Engine should be set to 0.








Vendor Optimization

A planner can also use the vendor optimization engine to look into various constraints such as: Contracts Created, Price Profiles, Multiple Sources, Minimum/Maximum Contract Volume, Lot Sizes, and Optimal PO's from the right vendor.

Running the Engine will ask you for an optional description before clicking Run Engine to confirm the action and return any records of procurements. 





  1. Clicking the View Run History button from the Optimize dropdown will show you a list of all times the vendor optimization engine was ran. 





  1. Clicking on one of these boxes will show a detailed list of the history which can then be published.



 





Once the engine generated results are verified by the planner they can successfully publish the results to the working scenario, which can then be viewed in the planning worksheet. Below are all the vendor related planning objects which we can view the details in the planning grid:
  1. Assigned PO's
  2. Unassigned PO's
  3. Contract Excess
  4. Contract Shortage
  5. Contract Volume
  6. Remaining Contract Volume





  1. “Split POs” are lotsized based on its contract’s lotsize. The optimization model will minimize un-lotsized POs. Applying “PurchaseTypeFixed”.  will allow the current model to reassign a PO to a different contract/vendor.  This will not be allowed for POs with purchase type “Fixed”.

    • Related Articles

    • Supply Inputs

      Master Data Inactive Rows Manufacturing Methods, Resources, Transport Routes, and Vehicle Type have the Inactive Rows toggle option. Toggling on will hide any inactive rows. Manufacturing Methods A manufacturing method shows the operations used to ...

    • Manage Team

      Invite team members to join your account, customize permissions, and remove users from your plan. Invite a member to Arkieva 1. To invite a new user to Arkieva, click the Add New Member button. 2. The Invite New Team Member drawer will slide out. ...

    • Notifications

      From the Global settings under the Personal section, the Notifications section allows you to configure email and in-app notifications by toggling notifications on and off. Billing Subscription Changed Collaboration Cascade Demand Type Completed ...

    • Custom Reports

      Reports allow you to view the data associated with the end of the Demand, Inventory, and S&OP processes. You can view system created Official reports or create Custom reports. There is a 100000 limit to the creation of custom reports. To start ...

    • Action Permissions

      Administrators can set permissions for individual users to perform specific system Actions from the Action Permissions tab under Settings -> Global -> Admin. Clicking the Edit button will launch the Edit Refresh Input Data drawer. From this drawer ...