MrMusAddict
Well-Known Member
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- #1
This is my best understanding of how order fulfillment works, after observing delivery habits, reading support articles, watching Q&As, and talking to support directly.
Nearly everything here is assumed, although with evidence to corroborate it. So anything I write that sounds definitive, consider it to have an implied âsupposedlyâ tacked on.
Please let me know what tweaks you feel might be necessary.
The Queue
There exists a master queue of âreservationsâ and âordersâ (or âpre-ordersâ). This is a single list, and everyone has a firm place in this master queue. Everyone in the queue is truly intended to be served on a first-come-first-serve basis. However, this has its limits in terms of business practicality.
The difference between the two types ("Reservation" and "Order") being that if you have configured your exact spec, youâre considered an order. But if you have not been invited to configure your exact spec, youâre considered a reservation.
To foster an efficient business process, Rivian will serve customers as smaller defined groups, and those groups are what get prioritized on a true first-come-first-serve collective basis. This means there are sub-queues, and you will be placed one of them depending on a multitude of factors.
Batch Manufacturing
Rivian has confirmed that they make their vehicles in batches. This means that they look at their backlog of orders (not reservations), and will decide to build multiple vehicles of the same configuration to keep their logistics and assembly line as streamlined as possible/reasonable. The configuration they choose to build at any given time supports the most people who have collectively been waiting the longest.
Letâs assume Rivian needs to see 20 people with the same config to initiate a batch. So consider two groups
This causes a scenario where the 2 people on the first config waiting for 24 months are going to receive their vehicle after someone further back in the master queue. However, Rivianâs decision has shrunk the total wait time of their master queue more by doing this (420 months instead of 264 months).
This batching process is also the prime victim of supply constraints, which may only impact one or a couple of configs, but not others.
Batch Manufacturing â Shop Supply
We seem to consistently see new inventory arrive in the shop available for customers to buy. Some of this inventory may contain canceled customer orders. However, a majority of it is likely unassignable excess from batch manufacturing. When there is excess from a batch, this is not evidence of diminishing demand, it's an example a phenomenon of averages sometimes known as "no one is average" (good info on that here).
Consider 20 vehicles being the minimum to greenlight a batch. But on the list of open orders, thereâs only 16 people that have actually chosen that exact spec. Perhaps itâs a fringe spec, but the collective wait time for those customers is starting to get unreasonably long, so itâs time to finally make them happy.
Now Rivian will make 20 vehicles of this spec, and deliver 16 of them to those who asked for it. The other 4 get listed on the Shop. Maybe thereâs someone willing to accept Mountain Black over Ocean Coast? Those people will be happy to change their order to get something earlier.
Converting Reservations to Orders (or Shop Access)
Until youâve configured your vehicle, youâre considered a reservation. At first, everyone was considered an Order (technically pre-order), but if youâve put down your deposit after July 2022 then you likely started off as a Reservation, especially for R1S.
In order to get invited to configure your vehicle, the queue of already-configured orders in your region must shrink below some threshold. Rivianâs goal is to make sure that every region has a consistent throughput of vehicles to deliver. They absolutely do not want a service center (or group of service centers) twiddling their thumbs while all of the production is being sent to another region by blindly adhering to first-come-first-serve on the master queue.
So if Washington's service centers were lined up to deliver 5 months of backlogged orders, while Florida only has 4, then Rivian will invite a month-of-deliveries worth of reservations in Florida to configure their vehicles. It doesn't matter if collectively, the people in Seattle have been waiting longer. If the labor isn't there to support deliveries, then those regions will get deprioritized.
Shop Access
Shop Access is limited to people who meet three criteria:
Home Delivery
As mentioned above, home deliveries appear to be limited to 200 miles (by flight) from the nearest service center. Customer service reps have confirmed that this range is a hard limit for granting shop access, but it has not appeared be a limitation for customers who are waiting for their configured order.
That means if you live 201+ miles away and you do not have any addresses closer to a service center that you can use for your order, you will likely be denied shop access, and your delivery schedule will be at the whim of whichever sub-queue you might be placed in. BUT you should still be queued to start the delivery process as soon as your configuration was batched and on its way for inventory at your region.
I do not have evidence to suggest one way or another if this 200-mile range is a factor for converting Reservations to Orders.
Nearly everything here is assumed, although with evidence to corroborate it. So anything I write that sounds definitive, consider it to have an implied âsupposedlyâ tacked on.
Please let me know what tweaks you feel might be necessary.
The Queue
There exists a master queue of âreservationsâ and âordersâ (or âpre-ordersâ). This is a single list, and everyone has a firm place in this master queue. Everyone in the queue is truly intended to be served on a first-come-first-serve basis. However, this has its limits in terms of business practicality.
The difference between the two types ("Reservation" and "Order") being that if you have configured your exact spec, youâre considered an order. But if you have not been invited to configure your exact spec, youâre considered a reservation.
To foster an efficient business process, Rivian will serve customers as smaller defined groups, and those groups are what get prioritized on a true first-come-first-serve collective basis. This means there are sub-queues, and you will be placed one of them depending on a multitude of factors.
- Vehicle Model (R1T vs R1S)
- Vehicle Config
- Quad vs Dual
- Battery Size
- Paint
- Interior
- State (legislative restrictions)
- Within range of a service center (âyesâ/ânoâ, seems to only affect Shop access)
Batch Manufacturing
Rivian has confirmed that they make their vehicles in batches. This means that they look at their backlog of orders (not reservations), and will decide to build multiple vehicles of the same configuration to keep their logistics and assembly line as streamlined as possible/reasonable. The configuration they choose to build at any given time supports the most people who have collectively been waiting the longest.
Letâs assume Rivian needs to see 20 people with the same config to initiate a batch. So consider two groups
- Quad R1T Rivian Blue + Forest Edge
- 2 people waiting 24 months
- 5 people waiting 18 months
- 8 people waiting 12 months
- 5+ people waiting 6 months
- Quad R1T Limestone + Ocean Coast
- 10 people waiting 24 months
- 10+ people waiting 18 months
This causes a scenario where the 2 people on the first config waiting for 24 months are going to receive their vehicle after someone further back in the master queue. However, Rivianâs decision has shrunk the total wait time of their master queue more by doing this (420 months instead of 264 months).
This batching process is also the prime victim of supply constraints, which may only impact one or a couple of configs, but not others.
Batch Manufacturing â Shop Supply
We seem to consistently see new inventory arrive in the shop available for customers to buy. Some of this inventory may contain canceled customer orders. However, a majority of it is likely unassignable excess from batch manufacturing. When there is excess from a batch, this is not evidence of diminishing demand, it's an example a phenomenon of averages sometimes known as "no one is average" (good info on that here).
Consider 20 vehicles being the minimum to greenlight a batch. But on the list of open orders, thereâs only 16 people that have actually chosen that exact spec. Perhaps itâs a fringe spec, but the collective wait time for those customers is starting to get unreasonably long, so itâs time to finally make them happy.
Now Rivian will make 20 vehicles of this spec, and deliver 16 of them to those who asked for it. The other 4 get listed on the Shop. Maybe thereâs someone willing to accept Mountain Black over Ocean Coast? Those people will be happy to change their order to get something earlier.
Converting Reservations to Orders (or Shop Access)
Until youâve configured your vehicle, youâre considered a reservation. At first, everyone was considered an Order (technically pre-order), but if youâve put down your deposit after July 2022 then you likely started off as a Reservation, especially for R1S.
In order to get invited to configure your vehicle, the queue of already-configured orders in your region must shrink below some threshold. Rivianâs goal is to make sure that every region has a consistent throughput of vehicles to deliver. They absolutely do not want a service center (or group of service centers) twiddling their thumbs while all of the production is being sent to another region by blindly adhering to first-come-first-serve on the master queue.
So if Washington's service centers were lined up to deliver 5 months of backlogged orders, while Florida only has 4, then Rivian will invite a month-of-deliveries worth of reservations in Florida to configure their vehicles. It doesn't matter if collectively, the people in Seattle have been waiting longer. If the labor isn't there to support deliveries, then those regions will get deprioritized.
Shop Access
Shop Access is limited to people who meet three criteria:
- They must be eligible (or nearly eligible) to confirm their order/configuration.
- For R1T, this means that youâre able to gain immediate access as of publishing this post if you choose the right config.
- For R1S, it means that you must have an existing configured order, or youâre close to being asked to configure your order (if they can prevent avoidable backlog for niche configs, they will).
- You must be within the range eligible for a home-delivery. As of publishing this post, that appears to be within 200 miles (by flight) from the nearest service center.
- The service center processing your delivery must have the spare time to schedule new deliveries.
Home Delivery
As mentioned above, home deliveries appear to be limited to 200 miles (by flight) from the nearest service center. Customer service reps have confirmed that this range is a hard limit for granting shop access, but it has not appeared be a limitation for customers who are waiting for their configured order.
That means if you live 201+ miles away and you do not have any addresses closer to a service center that you can use for your order, you will likely be denied shop access, and your delivery schedule will be at the whim of whichever sub-queue you might be placed in. BUT you should still be queued to start the delivery process as soon as your configuration was batched and on its way for inventory at your region.
I do not have evidence to suggest one way or another if this 200-mile range is a factor for converting Reservations to Orders.
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