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
  • Full VMI
  • Full VMI - procedure
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
  • Warehouse management by customer
  • Warehouse management by customer - procedure
Financial ownership by supplier Supplier Customer Customer The consignment procedure

To set up VMI functionality, see:

  • VMI customer role - setup
  • VMI supplier forecast - setup