Allocating the wave

The next step in the process is to allocate the wave. The results of allocation vary depending on the type of allocation strategy being used. Items that are set to backflush (hard allocation strategy) will over-allocate from the speed pick (consolidation) location assigned by the system. Component items defined for actual consumption (soft allocation) will allocate but not against a specific location. Note, though, that replenishment activity will move inventory to the required speed pick location for the production line where the component item will be consumed. In both items, the priority for replenishment is set to ensure replenishments are a high priority for these items.

The allocation rules for production orders are:

• Items using firm allocation will allocate from the speed-pick location as determined by configuration and used by the consolidation logic when the wave was created.
• If there is not enough inventory in the speed pick location, the order will be over-allocated.
• Normal rotation rules defined for the item are used to determine the lot to allocate.
• The system will allocate a different lot that may already exist in the speed-pick location before using normal rotation rules. This prevents an operator from moving a specific lot from another location to the current speed-pick location.
• Inventory for an item located in a different speed-pick location is not available for allocation from another speed-pick location. This prevents additional moves between speed pick locations.