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Value-Added Services

Comprehensive kitting, bundling, custom packaging, and product customization operations with configurable workflows, quality controls, and revenue optimization for enhanced customer value.

Overview

The Value-Added Services (VAS) service is a strategic component of the Paklog WMS/WES platform, enabling revenue-generating customization and assembly operations beyond standard warehousing. Value-added services represent a $15B+ market opportunity for 3PLs, with profit margins 30-50% higher than basic storage and fulfillment.

This service implements configurable workflow templates for kitting, bundling, gift wrapping, labeling, personalization, and light assembly operations. It coordinates with warehouse operations, inventory management, and quality control systems to deliver customized products while maintaining operational efficiency and quality standards.

Domain-Driven Design

Bounded Context

The Value-Added Services bounded context is responsible for:

  • VAS order lifecycle management and workflow execution
  • Kitting and bundling operations with BOM management
  • Custom packaging and gift wrapping services
  • Product personalization and labeling
  • Light assembly and pre-retail services
  • Quality inspection and defect tracking
  • VAS billing and cost allocation

Ubiquitous Language

  • VAS Order: Customer request for value-added service operations
  • Kitting: Assembly of multiple components into a single sellable unit
  • Bundling: Combining multiple finished products into a promotional package
  • Bill of Materials (BOM): List of components required for kitting/assembly
  • Custom Packaging: Non-standard packaging tailored to customer requirements
  • Personalization: Adding customer-specific elements (monograms, messages, etc.)
  • Gift Wrapping: Premium packaging for gift presentation
  • Pre-Retail Service: Preparation activities before retail sale (ticketing, tagging, etc.)
  • VAS Workstation: Dedicated area for performing value-added operations
  • Quality Checkpoint: Inspection point within VAS workflow
  • Service Level: Tier of service (BASIC, PREMIUM, LUXURY)

Core Domain Model

Aggregates

VASOrder (Aggregate Root)

  • Manages complete VAS order lifecycle
  • Orchestrates workflow execution
  • Tracks service completion and quality
  • Enforces business rules and constraints

KittingOperation

  • Represents kit assembly workflow
  • Manages BOM and component allocation
  • Tracks assembly progress
  • Validates component availability

CustomizationTemplate

  • Defines customization workflow steps
  • Specifies required materials and tools
  • Contains quality standards
  • Manages personalization rules

QualityInspection

  • Captures quality checkpoint data
  • Records defects and issues
  • Triggers rework or rejection
  • Maintains inspection audit trail

Value Objects

  • VASServiceType: KITTING, BUNDLING, GIFT_WRAP, LABELING, PERSONALIZATION, ASSEMBLY
  • WorkflowStep: Individual operation within VAS workflow
  • ServiceTier: BASIC, PREMIUM, LUXURY
  • BillOfMaterials: Components with quantities
  • PersonalizationSpec: Customization instructions
  • QualityGrade: Quality assessment result
  • VASStatus: REQUESTED, SCHEDULED, IN_PROGRESS, COMPLETED, FAILED
  • ServiceCost: Cost breakdown for billing

Domain Events

  • VASOrderCreatedEvent: New VAS order received
  • VASOrderScheduledEvent: Order scheduled to workstation
  • KittingStartedEvent: Kitting operation began
  • ComponentAllocatedEvent: Components allocated for kitting
  • CustomizationCompletedEvent: Personalization finished
  • QualityInspectionPassedEvent: Quality check passed
  • QualityInspectionFailedEvent: Quality check failed
  • VASOrderCompletedEvent: All VAS operations finished
  • ReworkRequiredEvent: Defect requires rework
  • VASBillingGeneratedEvent: Billing charges calculated

Architecture

This service follows Paklog's standard architecture patterns:

  • Hexagonal Architecture (Ports and Adapters)
  • Domain-Driven Design (DDD)
  • Event-Driven Architecture with Apache Kafka
  • CloudEvents specification for event formatting
  • CQRS for command/query separation

Project Structure

value-added-services/
├── src/
│   ├── main/
│   │   ├── java/com/paklog/vas/
│   │   │   ├── domain/               # Core business logic
│   │   │   │   ├── aggregate/        # VASOrder, KittingOperation
│   │   │   │   ├── entity/           # Supporting entities
│   │   │   │   ├── valueobject/      # VASServiceType, BillOfMaterials
│   │   │   │   ├── service/          # Domain services
│   │   │   │   ├── repository/       # Repository interfaces (ports)
│   │   │   │   └── event/            # Domain events
│   │   │   ├── application/          # Use cases & orchestration
│   │   │   │   ├── port/
│   │   │   │   │   ├── in/           # Input ports (use cases)
│   │   │   │   │   └── out/          # Output ports
│   │   │   │   ├── service/          # Application services
│   │   │   │   ├── command/          # Commands
│   │   │   │   └── query/            # Queries
│   │   │   └── infrastructure/       # External adapters
│   │   │       ├── persistence/      # MongoDB repositories
│   │   │       ├── messaging/        # Kafka publishers/consumers
│   │   │       ├── web/              # REST controllers
│   │   │       └── config/           # Configuration
│   │   └── resources/
│   │       └── application.yml       # Configuration
│   └── test/                         # Tests
├── k8s/                              # Kubernetes manifests
├── docker-compose.yml                # Local development
├── Dockerfile                        # Container definition
└── pom.xml                          # Maven configuration

Features

Core Capabilities

  • Kitting & Assembly: Multi-component kit creation with BOM validation
  • Bundling Operations: Product bundling with promotional packaging
  • Gift Wrapping: Premium gift presentation services
  • Custom Labeling: Product-specific labels and tags
  • Personalization: Engraving, embroidery, monogramming
  • Pre-Retail Services: Ticketing, tagging, steaming, inspection
  • Quality Control: Multi-point quality inspections
  • Workflow Configuration: Drag-and-drop workflow builder

Advanced Features

  • Configurable workflow templates
  • BOM management with version control
  • Material consumption tracking
  • Workstation capacity planning
  • Automated quality gates
  • Rework management
  • Photo documentation
  • Cost tracking and billing integration
  • Performance analytics
  • Integration with robotics for automated kitting

Technology Stack

  • Java 21 - Programming language
  • Spring Boot 3.2.5 - Application framework
  • MongoDB - VAS order and workflow persistence
  • Redis - Workstation queue management
  • Apache Kafka - Event streaming
  • CloudEvents 2.5.0 - Event format specification
  • Resilience4j - Fault tolerance
  • Micrometer - Metrics collection
  • OpenTelemetry - Distributed tracing
  • Camunda - Workflow engine (optional for complex workflows)

Getting Started

Prerequisites

  • Java 21+
  • Maven 3.8+
  • Docker & Docker Compose
  • MongoDB 7.0+
  • Redis 7.2+
  • Apache Kafka 3.5+

Local Development

  1. Clone the repository
git clone https://github.com/paklog/value-added-services.git
cd value-added-services
  1. Start infrastructure services
docker-compose up -d mongodb kafka redis
  1. Build the application
mvn clean install
  1. Run the application
mvn spring-boot:run
  1. Verify the service is running
curl http://localhost:8097/actuator/health

Using Docker Compose

# Start all services including the application
docker-compose up -d

# View logs
docker-compose logs -f value-added-services

# Stop all services
docker-compose down

API Documentation

Once running, access the interactive API documentation:

Key Endpoints

VAS Order Management

  • POST /api/v1/vas-orders - Create new VAS order
  • GET /api/v1/vas-orders/{orderId} - Get order details
  • PUT /api/v1/vas-orders/{orderId}/schedule - Schedule to workstation
  • PUT /api/v1/vas-orders/{orderId}/start - Start VAS operations
  • PUT /api/v1/vas-orders/{orderId}/complete - Complete order
  • PUT /api/v1/vas-orders/{orderId}/cancel - Cancel order

Kitting Operations

  • POST /api/v1/kitting - Create kitting operation
  • GET /api/v1/kitting/{kittingId} - Get kitting details
  • POST /api/v1/kitting/{kittingId}/allocate-components - Allocate BOM components
  • PUT /api/v1/kitting/{kittingId}/assemble - Complete assembly
  • GET /api/v1/kitting/bom/{productId} - Get bill of materials

Customization

  • POST /api/v1/customization - Create customization order
  • GET /api/v1/customization/{customizationId} - Get customization details
  • POST /api/v1/customization/{customizationId}/personalize - Apply personalization
  • PUT /api/v1/customization/{customizationId}/complete - Complete customization

Quality Inspection

  • POST /api/v1/quality-inspections - Create inspection
  • GET /api/v1/quality-inspections/{inspectionId} - Get inspection details
  • PUT /api/v1/quality-inspections/{inspectionId}/pass - Mark inspection passed
  • PUT /api/v1/quality-inspections/{inspectionId}/fail - Mark inspection failed
  • POST /api/v1/quality-inspections/{inspectionId}/rework - Request rework

Workflow Templates

  • GET /api/v1/workflows - List workflow templates
  • POST /api/v1/workflows - Create workflow template
  • GET /api/v1/workflows/{workflowId} - Get workflow details
  • PUT /api/v1/workflows/{workflowId} - Update workflow
  • DELETE /api/v1/workflows/{workflowId} - Delete workflow

Analytics

  • GET /api/v1/analytics/throughput - VAS throughput metrics
  • GET /api/v1/analytics/quality-rate - Quality pass rate
  • GET /api/v1/analytics/revenue - VAS revenue analysis

Configuration

Key configuration properties in application.yml:

vas:
  operations:
    max-concurrent-orders: 100
    default-service-tier: BASIC
    enable-quality-gates: true
    photo-documentation-required: false

  kitting:
    bom-validation-enabled: true
    component-allocation-strategy: FIFO
    allow-partial-kits: false
    track-serial-numbers: true

  quality:
    inspection-points: [PRE_WORK, IN_PROGRESS, FINAL]
    auto-fail-threshold: 3
    rework-limit: 2
    photo-on-defect: true

  workstation:
    capacity-per-station: 20
    assignment-strategy: LOAD_BALANCED
    skill-matching-enabled: true

  billing:
    auto-calculate-costs: true
    cost-allocation-method: ACTIVITY_BASED
    invoice-on-completion: true

  personalization:
    max-text-length: 50
    allowed-fonts: [ARIAL, HELVETICA, SCRIPT]
    supported-techniques: [ENGRAVING, EMBROIDERY, PRINTING]

Event Integration

Published Events

  • VASOrderCreatedEvent - New VAS order received
  • VASOrderScheduledEvent - Order scheduled to workstation
  • KittingStartedEvent - Kitting operation began
  • ComponentAllocatedEvent - Components allocated
  • CustomizationCompletedEvent - Personalization finished
  • QualityInspectionPassedEvent - Quality check passed
  • QualityInspectionFailedEvent - Quality check failed
  • VASOrderCompletedEvent - All operations finished
  • ReworkRequiredEvent - Defect requires rework
  • VASBillingGeneratedEvent - Billing charges calculated

Consumed Events

  • OrderCreatedEvent from Order Management (triggers VAS requests)
  • InventoryAllocatedEvent from Inventory Service (component availability)
  • ProductCreatedEvent from Product Catalog (new kitting BOMs)
  • QualityStandardUpdatedEvent from Quality Compliance (inspection criteria)

Deployment

Kubernetes Deployment

# Create namespace
kubectl create namespace paklog-vas

# Apply configurations
kubectl apply -f k8s/deployment.yaml

# Check deployment status
kubectl get pods -n paklog-vas

Production Considerations

  • Scaling: Horizontal scaling supported via Kubernetes HPA
  • High Availability: Deploy minimum 3 replicas
  • Resource Requirements:
    • Memory: 1 GB per instance
    • CPU: 0.5 core per instance
  • Monitoring: Prometheus metrics exposed at /actuator/prometheus
  • Storage: S3-compatible storage for photo documentation

Testing

# Run unit tests
mvn test

# Run integration tests
mvn verify

# Run with coverage
mvn clean verify jacoco:report

# View coverage report
open target/site/jacoco/index.html

Test Coverage Requirements

  • Unit Tests: >80%
  • Integration Tests: >70%
  • Domain Logic: >90%
  • Workflow Execution: >85%

Performance

Benchmarks

  • Kitting Throughput: 500 kits/hour per workstation
  • API Latency: p99 < 150ms
  • Workflow Execution: < 2ms per step
  • BOM Validation: < 50ms
  • Quality Inspection: 2-5 minutes per unit
  • Order Completion: 95% within SLA

Optimization Techniques

  • Redis queue for workstation assignment
  • Connection pooling for MongoDB
  • Async event publishing
  • Cached workflow templates
  • Batch component allocation
  • Parallel quality inspections

Monitoring & Observability

Metrics

  • VAS orders processed
  • Average order cycle time
  • Quality pass rate
  • Rework percentage
  • Workstation utilization
  • Revenue per service type
  • Component consumption rate
  • Defect rate by service type

Health Checks

  • /actuator/health - Overall health
  • /actuator/health/liveness - Kubernetes liveness
  • /actuator/health/readiness - Kubernetes readiness
  • /actuator/health/workstations - Workstation availability

Distributed Tracing

OpenTelemetry integration for end-to-end VAS order tracking.

Business Impact

  • Revenue Growth: +$2M annual VAS revenue per facility
  • Profit Margin: 30-50% higher margins vs standard fulfillment
  • Customer Retention: +25% retention through differentiated services
  • Order Value: +40% average order value with VAS
  • Quality Rate: 98%+ first-pass quality
  • Operational Efficiency: -20% labor cost through workflow optimization
  • Customer Satisfaction: +15 NPS improvement with premium services

Troubleshooting

Common Issues

  1. Component Allocation Failures

    • Verify inventory availability in system
    • Check BOM accuracy and version
    • Review allocation strategy configuration
    • Examine safety stock levels

  2. Quality Inspection Bottlenecks

    • Add more inspection workstations
    • Review inspection criteria complexity
    • Check inspector availability
    • Consider automated inspection for simple checks

  3. Workflow Execution Delays

    • Review workstation capacity settings
    • Check for skill mismatches
    • Analyze workflow step complexity
    • Examine material availability

  4. Billing Discrepancies

    • Verify cost allocation rules
    • Check service tier assignments
    • Review material consumption tracking
    • Examine time tracking accuracy

VAS Service Catalog

Kitting Services

  • Multi-component Kits: Assembly of 2-50 components
  • Subscription Boxes: Recurring kit assembly
  • Promotional Bundles: Marketing campaign kits
  • Sample Kits: Product sample assembly

Customization Services

  • Engraving: Laser or mechanical engraving
  • Embroidery: Text or logo embroidery
  • Screen Printing: Custom designs
  • Monogramming: Personalized initials

Packaging Services

  • Gift Wrapping: Premium gift presentation
  • Custom Boxes: Branded packaging
  • Retail Packaging: Shelf-ready packaging
  • Protective Packaging: Specialized protection

Pre-Retail Services

  • Ticketing & Tagging: Price and security tags
  • Steaming & Pressing: Garment preparation
  • Quality Inspection: Pre-retail QC
  • Display Assembly: Retail display setup

Workflow Configuration

Sample Kitting Workflow

workflow:
  name: "Premium Gift Kit Assembly"
  steps:
    - name: "Component Verification"
      type: QUALITY_CHECK
      required: true

    - name: "Kit Assembly"
      type: MANUAL_OPERATION
      station: KITTING_STATION_1
      estimated_duration: 5 minutes

    - name: "Gift Wrapping"
      type: MANUAL_OPERATION
      station: GIFT_WRAP_STATION
      estimated_duration: 3 minutes

    - name: "Quality Inspection"
      type: QUALITY_CHECK
      required: true

    - name: "Final Packaging"
      type: MANUAL_OPERATION
      estimated_duration: 2 minutes

Integration with Robotics

Automated Kitting

  • Vision-guided component picking
  • Robotic assembly assistance
  • Automated quality inspection
  • Bin packing optimization

Supported Robot Types

  • Collaborative robots (cobots) for kitting
  • Vision systems for quality inspection
  • Automated packaging systems
  • Label applicators

Contributing

  1. Follow hexagonal architecture principles
  2. Maintain domain logic in domain layer
  3. Keep infrastructure concerns separate
  4. Write comprehensive tests for all changes
  5. Document domain concepts using ubiquitous language
  6. Test workflows with real-world scenarios
  7. Follow existing code style and conventions

Support

For issues and questions:

  • Create an issue in GitHub
  • Contact the Paklog team
  • Check the documentation

License

Copyright © 2024 Paklog. All rights reserved.

Version: 1.0.0 Phase: 3 (Differentiation) Priority: P2 Port: 8097 Maintained by: Paklog VAS Team Last Updated: November 2024

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Kitting, bundling, and custom packaging for revenue generation

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java docker microservices kafka spring-boot mongodb ddd hexagonal-architecture cloudevents value-added-services kitting

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