Optimize Warehouse Networks
Enterprise Supply Chain Optimization (Tier 2) adds multi-echelon warehouse networks and network safety-stock optimization so you can pool risk across sites and recommend transfers before buying more stock.
You need Warehouse Management for meaningful multi-site use — see Warehouse overview and Transfer stock between warehouses.
Set up a warehouse network
- Open Supply Chain Planning → Warehouse Networks.
- Create a network.
- Add nodes — set parent/child relationships and transit lead time days on each edge.
- Keep networks tree-shaped for full network optimization; non-tree designs may be rejected or limited to fallback modes.
- Open Details to review structure before running optimization.
A typical pattern is a central distribution center with regional children.
Run network optimization
- Open Network Optimization.
- Run for the network (or a pooling run for a specific item when offered).
- Review recommended safety stock by node and transfer recommendations.
- Action transfer to create a real Stock Transfer through the existing warehouse transfer path.
- Dismiss transfer rows you will not execute.
- When stock cannot be rebalanced by transfer, fall through to a purchase suggestion (same advisory pattern as Tier 1 Suggestions).
Simple parent→children networks can use a two-level risk-pooling heuristic. Deeper trees may use an advanced solver when available. If the solver is unavailable, the UI should still show the last successful run and may fall back to the heuristic — Tier 1 forecasting and buying keep working regardless.
Exclusion with DDMRP and Tier 1 optimization
Active DDMRP decoupling points are skipped by network and Tier 1 optimization jobs so the engines do not fight each other. See Use DDMRP buffers.
:::tip Pilot before company-wide runs Start with one network and a small item set. Practice Action on a transfer suggestion before you rely on weekly network recalculation. :::