PLANNING Allocation

Direct limited stock to where it creates the most value

HaROS automatically distributes available stock across channels, locations and product groups based on the demand forecast. Each point of sale gets as much stock as it needs.

Demand-based distribution Web, store and B2B channels With OMS, the right stock at order time Configurable rule engine

When stock is low, you set the priority channel Over-allocation and waste go down instant stock visibility with OMS

Allocation Logic

Stock distribution relies on data, not intuition

Allocation means splitting limited stock across channels to deliver the highest revenue and service level. HaROS does this automatically with the demand forecast, channel priority and rule engine.

Forecast-supported pre-allocation

At the start of the season or when a new collection arrives, stock is distributed to stores and warehouses in advance based on the demand forecast. Because the decision is made before stock arrives, the shipping plan is clear early.

pre-allocation

Dynamic re-allocation

If sales deviate from the forecast, HaROS suggests a transfer from the location with excess stock to the one with less. Store-to-store transfers and channel changes are calculated automatically.

re-allocation

Channel priority rules

When stock is not enough, you decide which channel is served first. E-commerce, store, B2B and franchise order, along with season-specific rules, are defined in the rule engine.

rule engine

Location-level quantity calculation

Each location's current stock, forecast demand and lead time are compared, and the ideal quantity is calculated from them. Both the risk of stockouts and the cost of excess stock go down.

quantity calculation

Instant stock reservation with OMS

When the allocation decision is written to OMS, that quantity is set aside for the relevant channel. Orders are fulfilled from the right location, and the same item is not sold twice.

OMS reservation

Allocation report and traceability

In the report you see which product went to which location in what quantity, which rule kicked in and how the result matched actual sales.

audit log

Scenarios

When does allocation kick in

Each situation calls for a different decision structure. HaROS handles four core scenarios with separate rules.

Season opening: stock has just arrived

Before the new collection leaves the warehouse, pre-allocation is made to stores and channels based on the demand forecast. The shipping plan is clear early.

pre-allocation

Constraint: low stock, high demand

If stock does not cover the demand of all channels, the rule engine determines the priority channel. The remaining stock is distributed proportionally; supply lead time is calculated for the points left without stock.

priority rule

Mid-season: sales deviate from the forecast

If a product sells faster than expected at store A, a transfer suggestion comes in for the excess stock at store B. The need for end-of-season discounts goes down.

re-allocation

Campaign period: sudden demand increase

Before the campaign starts, stock is shifted to the locations where demand will rise. The risk of stockouts during the campaign goes down.

campaign allocation

Rules

Parameters governing allocation

Every operation has a different rule set. You define the allocation rules to fit your operation.

Distribution breakdownChannel (web/store/B2B)Location / regionProduct group

Priority orderChannel profitabilityCommitted service levelSeasonal rule

Constraint logicMinimum store stockMaximum channel shareSafety stock

TriggerNew stock receiptDeviation thresholdCampaign startSeason opening

IntegrationsOMS (order–stock matching)WMS (transfer task)Demand forecast (Kahin)

Planning Family

Demand Forecasting (Kahin) Demand forecasting from sales, stock and traffic data Open page → Replenishment Automatic stock replenishment — creates tasks before the shelf empties Open page →

Allocation Stock distribution by channel — the right product, at the right place ● YOU ARE HERE

Frequently asked questions

Does allocation only kick in when stock is low?

No. It works when stock is sufficient, for pre-allocation and season planning, and when stock is low, for distribution by priority rules. If sales deviate from the forecast mid-season, it suggests re-allocation.

Do we define the channel priority rules?

Yes. You define which channel takes priority under which condition, the minimum store stock, the maximum channel share and season-specific rules during setup. You update the rules as your operation changes.

How does the allocation decision reflect in OMS?

When the decision is written to OMS, the relevant quantity is set aside for that channel. When an order arrives, the OMS rule engine fulfills it from the right location. Allocation and order fulfillment work in sync.

Is a WMS task created automatically for store-to-store transfers?

Yes, with your approval. Re-allocation first arrives as a transfer suggestion. When you approve it, a transfer task is created in WMS and lands on the warehouse worker. The transfer is tracked with barcode verification.

Is a separate system needed for allocation?

No. Allocation runs on the same platform as Kahin and HaROS OMS. You don't need to set up a separate system or transfer data; you manage the rules from a single panel.

How does it differ from manual distribution?

HaROS weighs channel profitability and service level together, so it produces both less excess stock and fewer stockouts than manual distribution. Decisions get faster because the calculation is redone from the forecast each time.

The right product, in the right quantity, at the right place

Leave stock distribution decisions not to intuition, but to the demand forecast, channel priority and live stock status.

Request a demo

Related pages: Supply Chain Planning → · HaROS OMS →