Supply Chain Segmentation Using Customer-Product Clusters

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Solution Overview

Problem

Companies struggle to differentiate services to customers in a consistent manner due to the complexity of standard supply chain processes and varying customer and product requirements, leading to difficulty in determining the appropriate level of service differentiation.

Innovation Solution

A system and method for segmenting supply chains based on customer and product attributes, using a segmentation analyzer to define clusters, prioritize service offerings, and configure supply chain processes to meet specific customer and product needs, incorporating demand planning, inventory management, and order fulfillment.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Adaptability or versatility

If service differentiation is increased to meet diverse customer and product requirements, then customer service quality is improved, but system complexity increases

Engineering Contradiction:

Improveservice differentiationVSAvoidsupply chain process complexity

Core Design Contradiction:

Adaptability or versatilityVSDevice complexity

Solution Approach 1:

The patent segments the supply chain into multiple independent supply chain models (e.g., strategic, collaborative, responsive, efficient) based on customer and product attributes. Each segment operates with its own optimized processes, allowing high service differentiation without overwhelming system complexity. The segmentation analyzer automatically assigns customers and products to appropriate segments, making the complexity manageable through modular organization.

Inventive Principle:

Principle #1Segmentation

Solution Approach 2:

Different supply chain models are applied to different customer segments and product categories based on their specific requirements. Strategic customers receive customized service with dedicated planning, while efficient customers receive standardized service. This local quality approach ensures each segment receives appropriate service levels without requiring all segments to handle maximum complexity.

Inventive Principle:

Principle #3Local quality

2Productivity

If supply chain processes are standardized, then operational efficiency is improved, but ability to differentiate service to customers deteriorates

Engineering Contradiction:

Improveoperational efficiencyVSAvoidservice differentiation capability

Core Design Contradiction:

ProductivityVSAdaptability or versatility

Solution Approach 1:

The system dynamically selects and configures supply chain models based on real-time customer and product attributes. The segmentation analyzer continuously evaluates customer segments, product categories, and service requirements to automatically assign the most appropriate supply chain model. This dynamic approach allows standardized processes to be applied adaptively, maintaining operational efficiency while achieving service differentiation through automated model selection rather than manual customization.

Inventive Principle:

Principle #15Dynamics

Data Source

PatentUS20260073326A1System and Method of End-to-End Supply Chain Segmentation

Publication Date: 2026.03.12 BLUE YONDER GROUP INC

AI summary

A system and method are disclosed for identifying supply chain segmentations from an initially non-segmented supply chain is disclosed. Embodiments of identifying supply chain segmentations includes receiving a current state of items in a supply chain network, wherein an inventory of the one or more supply chain entities is used to store one or more items, organizing one or more supply chain entities into one or more customer-product clusters, associating supply chain strategies for customer-product clusters, and transporting items among one or more supply chain entities.