Supply Chain Cloud Glossary

Batch (Job)

A group of tasks that are submitted to run automatically on a recurring basis.

Budget

An allowance of an amount of money or inventory within a business function.

Carrier Group

Two or more carriers that are used as part of a ranked or spot bid, or used to rate from the Pack Station.

Channel Demand

The orders, or demand, that are categorized in a like manner.

Orders are sorted and reserved based on the configured channel configurations.

Customer Segments

The process of dividing customers into groups based on common characteristics so companies can market/work with each group effectively.

Demand

A consumer's desire to purchase goods and services and willingness to pay a price for a specific good or service.

Demand Order Types

The order type of the demand.

Each represents a different type of order that can be created in D365 and utilized with Order:

• Sales

• Transfer order

• Raw material

• Process Kanban

• Transfer Kanban

Distinct Item Substitution

This type of substitution is meant to satisfy one-to-one substitution relationships: A specific item being substituted for another specific item.

However, the substituting item can be succeeded by other items in a sequence; if the primary substitution item is short inventory, another item may replace it.

Fallback Carrier Group

A carrier group used when all carriers in a ranked bid or the carrier in a direct tender scenario decline the tender.

Converts the tender to a spot bid tender and sends out a bid notification to all carriers in the fallback carrier group.

Freight Invoice

Document between the client and carrier (LTL or TL) that details the breakdown of the client cost for the servicing of the invoice.

Freight Invoice Queue

The main landing page within freight invoices that offers visibility to all invoices you have access to.

GOP

A reservation tool that provides additional configuration to the warehousing reservation process.

Those processes largely encompass:

• item substitution

• demand validation

• budgetary awareness

• customer pre-allocation

• backorder management

Item Group Substitution

This type of substitution is used when the items being substituted are truly interchangeable: Item A can be substituted for item B or C and vice versa for both B and C.

LTL

Less Than Truckload: Less than a full trailer of product being delivered to a customer.

Usually has multiple customer (or client) loads on a single trailer.

Margin of Profit (Profit Margin)

The profit earned when one additional or marginal unit is produced and sold.

Marginal refers to the added cost or profit earned with producing the next unit.

Order (formerly Global Order Promising)

An application that allows users to define demand channels to segregate and reserve demand against.

Within those channels, users can define reservation periods, substitution strategies, and even backorder management.

Order is a prioritization tool that enhances the reservation process through budgetary constraints, pre-allocation forecasting, and financial validation.

Purchase Order

An agreement between the client and their supplier to purchase so much of a product at a certain cost to be delivered by a certain date.

Reservation

Holding items for certain demand orders that require that specific inventory.

Reservation Period

Calculated as the time frame between the Number of Lead Days and Number of Days Past Due fields on the Demand Channel Template.

This reflects the period that Order will consider for reservation.

Safety Nets

Force inventory to be set aside and “soft-allocated” without having an order to reserve against.

This keeps inventory from being consumed by orders.

Safety Stock

Extra stock maintained to mitigate potential risk due to having insufficient inventory as a result of any unforeseen circumstances.

Sequencing Strategy

Controls the sequence by which the system will try and substitute inventory for item group substitution.

Substitution

Replacement of one item for another. Most often used where one item is unavailable and a similar item is provided in its absence.

Substitution Action

Dictates whether a substitution happens automatically or requires approval.

Substitution Period

Calculated as the time frame between the Substitution Lead Days and Substitution Days Past Due fields on the Demand Channel Template.

This reflects the period that Order will attempt to substitute an item according to substitution configuration.

Substitution Pricing Rule

Determines how pricing will be handled for item substitution.

Substitution Strategy

Controls the sequence by which the system will try and substitute inventory for distinct item substitution.

Substitution Trigger

Determines when a substitution record should be recommended to the user.

TL

Truck Load (also referred to as FTL- Full Truck Load): A single trailer delivery to a specific customer address.

Transportation Tender

A collection of one (or more) loads of product that the carrier will be delivering to one or more sites for the client.

Supply Chain Cloud supports three core tender types:

• Direct: The client sends the request to a specific carrier.

• Ranked Bid: A carrier group is set up within SCC that ranks the carriers in the order that the client would like them to have the option to accept a specific tender.

• Spot Bid: A bid where a carrier group (could be same group used in a ranked bid) is given the opportunity to provide the best cost for a tender. The client will then accept the bid that they like the best from that group and the tender will be assigned to that carrier.

The main landing page within transportation tenders that offers visibility to all tenders you have access to.

Workflow

A collection of process steps that manage updates to a document.