10 Item Flow Exceptions

The Item Flow Exceptions Workflow is a strategic tool designed to manage item–store exceptions for Short Life Cycle (SLC) products, ensuring precise weekly sales and receipt planning. Unlike Long Life Cycle (LLC) products, which are managed through broader planning systems (IPO), SLC items require a more dynamic approach due to their limited market lifespan. This workflow supports both Single Drop (one‑time delivery) and Multiple Drop (phased deliveries) strategies, providing flexibility to align with diverse business requirements.

Once the Item Flow is approved at the Style‑Color/Cluster/Assortment Period level, plans can be reviewed at the Style‑Color/Store/Assortment Period level within the Item Flow Exceptions workflow. Here, users can plan exceptions for receipts and inventory flow. For example, if certain stores require an early drop, exception lead times can be set for those stores to generate a tailored receipt plan. Similarly, if weekly orders are needed for specific stores while the cluster is configured for bi‑weekly receipts, users can adjust the exception order frequency. Additional parameters such as presentation stock and safety stock can also be customized at the store level.

The process begins by reviewing approved item plans and configuring key parameters for exception item–store combinations. Users select a Planning Method and apply predefined sales curves, such as Bell Curve, Trending Item Curve, Slow Introduction Curve, MFP Curve, or LY Curve, to ensure forecasts reflect expected demand patterns. Default exception receipt parameters (such as, lead time, order frequency, safety stock) are automatically populated from administrative settings but can be adjusted to meet specific needs.

By running the Create Sales and Receipt Plan application action, the system generates weekly sales and receipt projections. For Single Drop items, buy quantities are calculated using factors such as sell‑through percentage, sales units, and lead time. For Multiple Drop items, sales are derived from the selected curve, while receipts are determined using parameters like order frequency, minimum presentation, and safety stock. Filters allow quick aggregation by delivery type, streamlining analysis and reporting.

This workflow enhances operational efficiency, ensures accuracy, and strengthens strategic alignment, maximizing the impact of SLC items during their short market presence. By leveraging this tool, businesses can optimize inventory management, minimize waste, and capitalize on short‑term opportunities effectively.

Create the Item Flow Exceptions Segment

When working in a segment, it is a common practice to keep the wizard selections for the segment size limited to what will be worked on, to facilitate navigation and increase UI responsiveness. Ensure that Item Flow Plans are approved before creating Item Flow exceptions.

To create the Item Flow Exceptions segment:

1. Click Assortment Services in the Task menu. Then, click the Planning Services activity and then the Item Flow Exceptions task.
2. The dialog to create New Plan opens. Click Create New Plan.
3. Enter the Plan Label into the text field. Click Ok.
4. In Select Product, select one department and click Next.
5. In Select Assortment Period, select any one assortment period and click Next:
   • The Assortment Groups visible in the wizard are pre-ranged to the subcategories selected in the previous screen.
   • To see the user-defined Assortment Period label, click the Dimension tile and select Assortment Label.
   • The store clusters have also been assigned to each assortment period while creating assortment periods. You can directly jump into the workspace after making the product and season selections.
   • The wizard is pre-ranged to bring only approved Short Life Cycle Items into the Item Flow Workflow.
6. Click Finish. The Item Flow segment is built.

Step 1: Define Item Flow Exceptions

The Item Flow Exceptions Workflow begins with you defining the Item Flow parameters, where they outline delivery strategies for Short Life Cycle (SLC) products. This includes selecting between Single Drop (one-time delivery) and Multiple Drop (phased deliveries) strategies, tailored to the product’s limited market lifespan.

You then choose a sales curve from a set of predefined options, review and adjust auto- populated default receipt parameters, and execute the Create Sales and Receipt Plan action to generate weekly sales and receipt projections for SLC items.

Next, you review and update Single Drop products, focusing on Buy Quantity, and Multiple Drop items, refining Weekly Sales and Receipts. Once validated, you reconcile the plan with MFP Targets and then approve the Item Flow. Additional views are provided for reviewing sales curves and Admin Parameters, ensuring comprehensive oversight and alignment with strategic goals. This structured process ensures efficient, accurate, and aligned planning for SLC items.

Tabs and Views in this Step:

• Define Item Flow Exceptions Tab:
  • Define Item Flow View
  • Adjust Buy Quantity View
  • Adjust Weekly Flow View
  • Approve Exceptions View
  • Review Sales Curve View
  • Review Admin Parameters View
  • Define Product Rollup View

Define Item Flow Exceptions Tab

In this tab, the Buyer or Planner Reviews the delivery strategy and Sales Curve, reviews and updates the Receipt Parameters to handle exceptions, and plans the weekly sales and receipts units for Short Life Cycle (SLC) items for exception item-store combinations.

Define Item Flow View

In the Define Item Flow view, you plan Short Life Cycle (SLC) items by setting parameters such as delivery strategy ( Single Drop or Multiple Drop), selecting a sales curve from predefined options (such as Bell Curve), and defining Week Start/End dates. You also review the Receipt Parameters (lead time, order frequency, safety stock, and so on) that are auto-populated from Admin Parameters. The Application Action, Create Weekly Sales & Receipts, generates the sales and receipts plan for selected SLC product-Store Combinations.

Weekly Sales for both Single Drop and Multiple Drop items are generated based on the chosen curve and date range. Sales Potential defined and approved in Assortment Fit are the default Assortment Period sales plan unless modified.

Filters enable quick aggregation between Single Drop and Multiple Drop products. Buy Quantity for Single Drop is calculated using sell-thru, sales units, lead time, and minimum order quantity, while Multiple Drop receipts consider sell-thru, order frequency, safety stock, and more.

If you create new placeholders and want to generate sales potential for the placeholders, you need to return to the Assortment Fit module.

Adjust Buy Quantity View

The Adjust Buy Quantity view allows you to adjust the Buy Quantity for Single Drop item-stores by adjusting the sell-thru %, focusing exclusively on items with a single receipt. Weekly sales for these items are automatically derived from the selected Sales Curve, ensuring alignment with demand patterns by week for aggregated product categories. You define the Buy Quantity at the Assortment Period level, which is then planned at the week level and displayed later in the process. This streamlined view simplifies planning for Single Drop items, ensuring precise adjustments tailored to their one-time delivery nature.

Adjust Weekly Flow View

The Adjust Weekly Flow View enables you to meticulously review and refine the weekly sales and receipt flow for both Single Drop and Multiple Drop items for exception stores. This view provides a granular breakdown of how sales and receipts are distributed across weeks, ensuring alignment with planned strategies and market demands. For Single Drop items, the view displays one receipt based on Start Week + Lead Time and populates weekly sales according to the selected Sales Curve. For Multiple Drop items, it shows multiple phased receipts and weekly sales planned across weeks, derived from the chosen curve. Additionally, the view calculates Beginning of Period Inventory and End of Period Inventory, helping you manage stock levels effectively.

You can leverage different measure profiles to analyze sales and margin or receipts and inventory, gaining insights into revenue, profitability, and stock management. Filters are available to review Single Drop and Multiple Drop products separately, streamlining analysis. The receipt flow is controlled by the receipt parameters defined in the Define Item Flow View, such as lead time, order frequency, and safety stock. This view empowers you to make datadriven adjustments, optimize inventory management, and ensure smooth execution of both delivery strategies, ultimately maximizing efficiency and market impact.

Approve Exceptions View

The Approve Exceptions view serves as the final checkpoint for you to thoroughly review and approve the planned Item Flow Exceptions for both Single Drop and Multiple Drop items. Approval of Item Flow Exceptions will be reconciled against Item Flow Plans. Here, you can meticulously examine the weekly sales, receipt flow, and inventory projections to ensure they align with strategic objectives and market requirements. Once satisfied, you run the Approve Item Flow application action, formally approving the planned item flow.

Review Sales Curve View

The Review Sales Curve view allows you to review a comprehensive set of sales curves available in the system, with six predefined curves automatically provided to support diverse planning needs. These include:

• Bell Curve: Symmetrical sales distribution, ideal for products with a clear peak demand.
• Trending Item Curve: Rapid initial sales followed by a gradual decline, suited for fast- moving trends.
• Slow Introduction Curve: Gradual sales buildup over time, perfect for products with a slower market entry.
• MFP Curve: Matches sales patterns from a similar product, leveraging historical data for forecasting.
• LY Curve: Mirrors last year’s sales performance, providing a baseline for comparison.

You can visualize these curves in the graphical mode or view % distribution in the pivot table, allowing them to understand how each curve shapes weekly sales projections. Additionally, you can leverage these predefined curves or custom-built curves to create tailored weekly sales plans, ensuring flexibility and precision. This feature empowers users to select the most appropriate curve for each product, aligning sales projections with market dynamics and strategic goals.

Review Admin Parameters View

In this view, you can review the Admin Receipt Parameters set in the Planning Administration View, which serves as the foundational settings for receipt planning. These parameters, including Lead Time, Order Frequency, Safety Stock, Minimum Order Quantity, and others, are auto-populated based on the standard values defined in the Planning Admin Section.

After review, you can return to the Define Item Flow view and adjust required parameters to meet specific business needs or product characteristics. This may occur at the style-color level or higher product aggregations. For example, a subclass with longer supplier lead times or higher safety stock requirements can be modified to reflect these nuances. This granular control allows for precise tailoring of receipt parameters, ensuring they align with the unique demands of different product categories.

By reviewing and updating these parameters, you can optimize receipt flows, minimize stockouts, and improve inventory efficiency, ultimately enhancing the overall planning accuracy and execution.

Define Product Rollup View

The Define Product Rollup view allows you select up to three product attributes to create an alternate hierarchy for analyzing assortments at the item level. Organized into three groupings, each with three levels, this feature enables nested dynamic rollups by key attributes (such as, Brand, Color, and Fabric). You can review plans grouped by these attributes and edit subtotals at each level to spread values to child positions. This flexibility allows for detailed analysis and adjustments of the proposed assortment based on critical attributes, enhancing strategic decision-making.