Textile/Clothing/Footwear Downstream (v.2013-1)

Activities for theProcess "vendor managed inventory - VMI"

Activity "Initial stocking of the area by vendor" [View diagram]

Activity NameInitial stocking of the area by vendor
DescriptionAt the beginning of the cooperation the area is stocked. The retailer receives article and delivery information and reports back the goods actually received.
Description
Pre-conditionsA system at the producer has calculated the initial delivery.
Post-conditionsThe retailers has received the article and delivery information as well as the physical products and reported back the actual quantities received.

Activity "Daily report of sales and inventory movement" [View diagram]

Activity NameDaily report of sales and inventory movement
DescriptionEach day the sales and inventory movement information is transferred from the retailer to the producer
Description
Pre-conditionsBase information for the process is missing.
Post-conditionsThe system of the producer is up-to-date concerning sales and inventory movements. Replenishment can be planned

Activity "Permanent replenishment" [View diagram]

Activity NamePermanent replenishment
DescriptionEach period the system of the retailer calculates the quantities needed for the replenishment of the area. From the result an order is sent.
Description

Activity "Invoicing" [View diagram]

Activity NameInvoicing
DescriptionAn invoice is send either on delivery or sales base. The invoice must comply with legal regime of the country where the issuer is registered. The issuer of an invoice is responsible for producing a legal invoice.
Description
Pre-conditionsIn a charge-on-delivery model the data for the invoice is prepared from the delivery or in a consignment/concession model from the sales reports.
Post-conditionsThe retailer knows what to pay

Activity "Returns initiated by the producer" [View diagram]

Activity NameReturns initiated by the producer
DescriptionIf sales in certain places does not fit the scheme, products are reallocated by the producer. Because he cannot request from the retailer to send the products to a competitor, the producer request a return and handles the goods afterwards by himself.
Description
Pre-conditionsThe area at a certain retailer is overstocked.
Post-conditionsThe goods are moved back to the producer for further use.

Activity "Price adjustments" [View diagram]

Activity NamePrice adjustments
DescriptionOn the event of a price change a price list containing the changes is sent from producer to retailer.
Description
Pre-conditionsRetailer is working with old prices.
Post-conditionsRetailer is working with the new prices.