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Configure intelligent sourcing rules for optimal fulfillment

Use Case

Authors:

Michael Wholohan, Holger Lierse

Changed on:

13 Nov 2025

Problem

Optimal order fulfilment requires intelligent sourcing logic that considers factors like inventory availability, proximity to customer, shipping costs, and location capacity among others. 

Without the flexibility of configurable sourcing rules, retailers cannot automate fulfilment optimisation or network complexity, resulting in higher shipping costs, longer delivery times, and inefficient use of inventory across their network. This limitation prevents retailers from balancing cost efficiency with customer experience based on their specific business priorities.

A national electronics retailer fulfilled all online orders from their central distribution centre, even when items were available at stores closer to customers. Without configurable sourcing rules, they couldn't optimise for proximity, resulting in cross-country shipments when a store 10 miles from the customer had the same item in stock. This led to inflated shipping costs, extended delivery times averaging 5-7 days instead of potential next-day delivery, and missed opportunities to clear slow-moving store inventory while paying premium shipping from the DC.

Solution Overview

Fluent Order Management uses its core Responsive Sourcing Framework to empower retailers with highly configurable, intelligent sourcing rules. This framework automates the process of finding the optimal fulfilment location for every line item, balancing cost, speed, and inventory utilisation based on business-defined priorities. 

Fluent allows users to build and deploy complex sourcing rules without code, prioritising factors like cost, proximity, inventory availability, or inventory liquidation goals. Critically, the Responsive Sourcing framework utilises Proximity and Geospatial Logic to calculate options based on the distance between the customer and all available locations (stores, DCs, 3PLs), minimising shipping distance and time. 

Additionally, Location Prioritisation rules can be configured within the responsive sourcing to favour specific fulfilment types, such as utilising Ship-from-Store to clear slow-moving inventory, optimising the use of the entire network. Sourcing can also incorporate Business-Specific Constraints like limiting a store's daily picking volume to prevent location overwhelm.

By implementing Fluent OMS's intelligent sourcing rules through the Responsive Sourcing Framework , retailers can optimise their entire fulfilment network driving;

  • Drastic Cost Reduction: Responsive sourcing automatically sources from the closest, most cost-effective location (the local store), immediately reducing inflated cross-country shipping expenses.
  • Improved Delivery Speed: Prioritising proximity reduces average delivery times from 5–7 days to potential next-day delivery, significantly enhancing the customer experience.
  • Optimised Inventory Use: Store inventory is effectively used to fulfil online demand based on configurable rules, reducing the need for markdowns and improving inventory turnover across the entire network.

Solution

Michael Wholohan

Michael Wholohan

Contributors:
Holger Lierse