Overview of VMI business scenarios
LN supports numerous vendor managed inventory (VMI) scenarios. The following table lists the main scenarios. For each scenario, the responsibilities of the parties involved are displayed.
In each scenario, the customer is a contract manufacturer who builds end items for their end item customers. To build the end items, the contract manufacturer purchases components from the supplier. The end item customer is not included in these scenarios.
Scenario | Financial ownership | Warehouse management | Supply planning | For more information, see: |
---|---|---|---|---|
Full VMI | Supplier | Supplier | Supplier |
|
Planning by customer | Supplier | Supplier | Customer | Supply planning by customer |
Planning by supplier | Customer | Customer | Supplier | Planning by supplier |
Warehouse management by customer | Supplier | Customer | Supplier |
|
Financial ownership by supplier | Supplier | Customer | Customer | The consignment procedure |
To set up VMI functionality, see:
- VMI customer role - setup
- VMI supplier forecast - setup