Systems and methods of supply distribution optimization driven reverse logistics
A system and method are disclosed for reverse logistics of inventory. The method includes identifying existing reverse logistics contracts, predicting demand for items sold, predicting that a first supply chain entity is likely to have excess inventory for the items based on an expected future inventory of the items and the predicted demand for the items, notifying other supply chain entities of the predicted excess inventory at the first supply chain entity, predicting an inventory shortage at a second supply chain entity of the supply chain network, comparing a cost of transferring the excess inventory to the second supply chain entity with a cost of other options of obtaining additional inventory, in response to determining that the cost of transferring the predicted excess inventory is less than the cost of the other options, generating a reverse logistics plan, and initiating and executing the reverse logistics plan.
1 . A system for reverse logistics of inventory, comprising:
a computer, comprising a processor and a memory, the computer configured to:
identify one or more existing reverse logistics contracts between one or more supply chain entities of a supply chain network;
predict demand for one or more items sold within the supply chain network;
predict that a first supply chain entity of the one or more supply chain entities is likely to have excess inventory for the one or more items based on an expected future inventory of the one or more items and the predicted demand for the one or more items;
notify one or more other supply chain entities of the one or more supply chain entities of the predicted excess inventory at the first supply chain entity;
predict an inventory shortage at a second supply chain entity of the supply chain network;
compare a cost of transferring the predicted excess inventory from the first supply chain entity to the second supply chain entity with a cost of other options of the second supply chain entity obtaining additional inventory;
in response to determining that the cost of transferring the predicted excess inventory from the first supply chain entity to the second supply chain entity is less than the cost of the second supply chain entity obtaining additional inventory via the other options, generate a reverse logistics plan; and
initiate and execute the reverse logistics plan using automated warehousing systems.
2 . The system of claim 1 , wherein the computer is further configured to:
access a database of contract details to identify the one or more existing reverse logistics contracts.
3 . The system of claim 1 , wherein the computer is further configured to:
transmit a notification of the predicted inventory excess.
4 . The system of claim 1 , wherein the one or more other supply chain entities comprise one or more distribution centers, one or more manufacturers, or another supply chain entity that may store inventory.
5 . The system of claim 1 , wherein the second supply chain entity comprises one or more of: a particular retail store, a warehouse, a distribution center, or another inventory storage site within the supply chain network.
6 . The system of claim 1 , wherein the computer is further configured to:
execute the reverse logistics plan by sending instructions to one or more automated warehousing systems.
7 . The system of claim 1 , wherein the cost of the other options comprises one or more of:
one or more manufacturing costs, one or more procurement costs and one or more transfer costs.
8 . A computer-implemented method for reverse logistics of inventory, comprising:
identifying, by a computer comprising a processor and a memory, one or more existing reverse logistics contracts between one or more supply chain entities of a supply chain network;
predicting, by the computer, demand for one or more items sold within the supply chain network;
predicting, by the computer, that a first supply chain entity of the one or more supply chain entities is likely to have excess inventory for the one or more items based on an expected future inventory of the one or more items and the predicted demand for the one or more items;
notifying, by the computer, one or more other supply chain entities of the one or more supply chain entities of the predicted excess inventory at the first supply chain entity;
predicting, by the computer, an inventory shortage at a second supply chain entity of the supply chain network;
comparing, by the computer, a cost of transferring the predicted excess inventory from the first supply chain entity to the second supply chain entity with a cost of other options of the second supply chain entity obtaining additional inventory;
in response to determining, by the computer, that the cost of transferring the predicted excess inventory from the first supply chain entity to the second supply chain entity is less than the cost of the second supply chain entity obtaining additional inventory via the other options, generating, by the computer, a reverse logistics plan; and
initiating and executing, by the computer, the reverse logistics plan using automated warehousing systems.
9 . The computer-implemented method of claim 8 , further comprising:
accessing, by the computer, a database of contract details to identify the one or more existing reverse logistics contracts.
10 . The computer-implemented method of claim 8 , further comprising:
transmitting, by the computer, a notification of the predicted inventory excess.
11 . The computer-implemented method of claim 8 , wherein the one or more other supply chain entities comprise one or more distribution centers, one or more manufacturers, or another supply chain entity that may store inventory.
12 . The computer-implemented method of claim 8 , wherein the second supply chain entity comprises one or more of: a particular retail store, a warehouse, a distribution center, or another inventory storage site within the supply chain network.
13 . The computer-implemented method of claim 8 , further comprising:
executing, by the computer, the reverse logistics plan by sending instructions to one or more automated warehousing systems.
14 . The computer-implemented method of claim 8 , wherein the cost of the other options comprises one or more of:
one or more manufacturing costs, one or more procurement costs and one or more transfer costs.
15 . A non-transitory computer-readable medium embodied with software for reverse logistics of inventory, the software when executed is configured to:
identify, by a computer comprising a processor and a memory, one or more existing reverse logistics contracts between one or more supply chain entities of a supply chain network;
predict demand for one or more items sold within the supply chain network;
predict that a first supply chain entity of the one or more supply chain entities is likely to have excess inventory for the one or more items based on an expected future inventory of the one or more items and the predicted demand for the one or more items;
notify one or more other supply chain entities of the one or more supply chain entities of the predicted excess inventory at the first supply chain entity;
predict an inventory shortage at a second supply chain entity of the supply chain network;
compare a cost of transferring the predicted excess inventory from the first supply chain entity to the second supply chain entity with a cost of other options of the second supply chain entity obtaining additional inventory;
in response to determining that the cost of transferring the predicted excess inventory from the first supply chain entity to the second supply chain entity is less than the cost of the second supply chain entity obtaining additional inventory via the other options, generate a reverse logistics plan; and
initiate and execute the reverse logistics plan using automated warehousing systems.
16 . The non-transitory computer-readable medium of claim 15 , wherein the software when executed is further configured to:
access a database of contract details to identify the one or more existing reverse logistics contracts.
17 . The non-transitory computer-readable medium of claim 15 , wherein the software when executed is further configured to:
transmit a notification of the predicted inventory excess.
18 . The non-transitory computer-readable medium of claim 15 , wherein the one or more other supply chain entities comprise one or more distribution centers, one or more manufacturers, or another supply chain entity that may store inventory.
19 . The non-transitory computer-readable medium of claim 15 , wherein the second supply chain entity comprises one or more of: a particular retail store, a warehouse, a distribution center, or another inventory storage site within the supply chain network.
20 . The non-transitory computer-readable medium of claim 15 , wherein the software when executed is further configured to:
execute the reverse logistics plan by sending instructions to one or more automated warehousing systems.