Inventory mirroring

Abstract

A method of determining an inventory mirroring plan for a set of distinct items in a fulfillment network. The fulfillment network can include a plurality of distribution centers. The method can include determining, for each distinct item of the set of distinct items and for each demand zone of a set of demand zones, a location-specific demand. The method also can include determining, for each of a number of clusters ranging from 1 to a predetermined maximum number of clusters, a k-cluster profile that partitions the plurality of distribution centers in the fulfillment network into k distribution center clusters. The method further can include determining, for each of the number of clusters and for each demand zone of the set of demand zones, a closest distribution center cluster of the k distribution center clusters that is nearest to the demand zone. The method also can include determining, for each of the number of clusters and for each demand zone of the set of demand zones, an average zone distance from the demand zone to the closest distribution center cluster. The method further can include determining a solution value of the number of clusters for each distinct item that minimizes a sum of a total shipping cost of each distinct item, subject to a total distinct item capacity of the plurality of distribution centers in the fulfillment network.