Item classification

The items that are managed in a product catalog or in a warehouse are logically classified into its own groups, which are known as item classification.

The item classification helps the business model to achieve inventory management efficiency and ensures that the items are handled correctly. For example, storage requirements, velocity rate, product value, and carrying cost. For example, ice cream can be classified as refrigeration or food and vaccine can be classified as refrigeration or medical. Both these items require refrigeration but cannot be put together due to different temperature requirements.

Another example is for in-season classification. The items that are placed closed to the back of the store and can increase foot traffic for the store location can be classified as high-velocity items.

There can be different requirements to handle the inventory for each classification and manage the item classification configuration in Sterling Intelligent Promising. The classification can help to locate where an item can be stored based on the level of training and permits issued at each store location. For example, certain store does not allow handling of Hazmat material because of proper training or packaging material to protect the item for shipment. A sample sourcing rule can be setup as If item is of Corrosive, then inventory must be fulfilled by Node1.

In Sterling Intelligent Promising, following components might be included in item classification:
Classification domain
The classification domain defines the purpose and target classification code as applicable to a classification hierarchy definition like Hazmat, Storage, BaseCost. All classification requires to be created in one classification domain. The domain is a placeholder and not for classification. The domain is assigned with a specific purpose such as Sourcing so that it can be considered Promising rules.
Classification
A classification defines the associated items in a business constraint or grouping and is primarily used to locate a group of related items. For example, /HazmatDomain/Household is about a household product that can be hazardous to children. Another example can be /HazmatDomain/Household/Corrosive, which is about the corrosive item to be handled properly such as bleach. The classification is organized in the hierarchy format, which is separated by a slash (/). This defines the system rules against a specific classification level. For example, apply the sourcing rule in Household classification to include all items under Corrosive to include the targeted classification level items only.
Item classification
After the item classification domain and classification are defined, multiple items get associated to the classification level. In this case, the itemId = bleach can be assigned to the classification /HazmatDomain/Household/Corrosive. This selects the item bleach as an item when the rule references either Household or Corrosive. Each classification level must be created individually in the system. For example, Household is created first and then Household/Corrosive can be created.

The purpose of classification domain is to identify when the classification is considered. After the identification is done, the domain mapping to the defined item classification code fields in the catalog item definition is completed.

The following item code fields support the item classification in the catalog service:

  • code.eccnNo
  • code.harmonizedCode
  • code.hazmatClass
  • code.naicsCode
  • code.nmfcCode
  • code.pickingType
  • code.postingClassification
  • code.scheduleBCode
  • code.storageType
  • code.taxProductCode
  • code.unspsc
  • code.velocityCode
  • primaryInformation.itemType
  • primaryInformation.productLine

The list uses a dot notation to indicate the position of the attribute in the item JSON payload.

primaryInformation.itemType is found under the item/primaryInformation/itemType.

{
    "itemId": "", "unitOfMeasure": "", 
    "primaryInformation": {
    "itemType": "",
    "productLine": ""
},
    "code": {
    "commodityCode": "",
    "eccnNo": "",
    "harmonizedCode": "",
    "hazmatClass": "",
    "naicsCode": "",
    "nmfcClass": "",
    "nmfcCode": "",
    "pickingType": "",
    "postingClassification": "",
    "scheduleBcode": "",
    "storageType": "",
    "taxProductCode": "",
    "unspsc": "",
    "velocityCode": ""
}}

For more information, see Configuring item classification.